Somdia’s exit from Sosucam exposes hidden truths behind sugar trade policies

The decision by Somdia to abandon Cameroon’s Sosucam, despite prior commitments made to the President by Pierre Castel, has been shrouded in misleading narratives. These accounts, carefully crafted by influential figures, falsely portray the group’s withdrawal as a consequence of internal family disputes, while concealing the real motives behind this strategic retreat.

Investigations reveal that Somdia’s move was triggered by a deliberate policy of granting sugar import licenses to associates of the Yaoundé regime. This scheme flooded the market with cheaper imported sugar, making it impossible for Sosucam to compete. Despite injecting 4.5 billion FCFA into operations last year with hopes of regulatory intervention, the situation worsened. Over 125 billion FCFA worth of sugar was imported, effectively crippling local production.

Worse still, some of these importers—allegedly acting as fronts for regime elites—benefited from preferential customs treatment. They imported sugar under the guise of supplying the domestic market, only to divert it to neighboring countries. Currently, vast quantities of sugar are reportedly stockpiled at the Ngaoundéré rail terminal, blocked since Chad reinstated customs barriers on Cameroonian sugar. This stockpile is later redirected back into Cameroon’s market, exacerbating the crisis.

Somdia’s recent choice to invest 100 billion FCFA in Côte d’Ivoire’s sugar sector underscores the stark contrast between the two countries’ policies. Unlike Cameroon, Côte d’Ivoire does not distribute import licenses to proxies. Instead, it strictly regulates sugar imports based on production deficits, ensuring only legitimate producers benefit when shortages occur.