• Algeria may establish a National Sugar Office to manage output, demand, and exports.

• The new Tafadis refinery in Boumerdès can produce 2,000 tons of sugar daily.

• With sugar demand second only to Egypt in Africa, Algeria aims to reduce imports and stabilize the market.

Algeria is weighing the creation of a regulatory authority for its sugar industry to improve oversight and market stability. The proposal to establish a National Sugar Office was raised during a cabinet meeting on May 18, with President Abdelmadjid Tebboune emphasizing the need to align production levels with domestic demand and export objectives.

This initiative comes as Algeria's sugar sector continues to grow. The country now ranks second in sugar consumption across Africa, after Egypt. Increased investments in production capacity have prompted the government to consider tighter regulation.

A key development supporting this shift is the recent launch of the Sugar Refinery of Tafadis, a subsidiary of Madar Holding, located in the Larbaâtache industrial zone in Boumerdès province. Inaugurated by Industry Minister Sifi Ghrieb on May 15, the facility spans 14 hectares and cost over $176.5 million.

With a production capacity of 2,000 tons of sugar per day, the plant includes seven processing lines capable of producing 1,350 tons of refined white sugar, 450 tons of industrial liquid sugar, and 200 tons of refined brown sugar daily. According to the minister, the new plant is expected to satisfy national demand and gradually shift toward international exports. Algeria currently imports close to 2 million tons of sugar annually, according to FAO data.

The creation of a national regulator is seen as a necessary move to manage this growth and ensure long-term sustainability in the sector. Tafadis has already outlined plans for further expansion. In August 2024, the company announced an investment of more than $595.8 million to build a new sugar refinery in Ouargla province, in partnership with American group Reasol. The project includes developing local sugar beet plantations to secure a consistent supply of raw materials.

As industrial projects scale up, a regulatory framework is increasingly viewed as critical to balance output, reduce dependency on imports, and formalize Algeria’s emerging sugar economy.