Dangote Sugar has stated plans to have a backward integration master plan with a target of producing a total of 1.5 million tonnes of sugar per annum.
The company said it had appointed a new group managing director for the refinery to aid its production plan, adding that this would help it to position itself as the key player in the national sugar master plan as well as have a proactive sugar production model to aid investment.
The new Managing Director of the company, Mr. Graham Clark, told journalists that the firm would continue to strengthen output, sales and distribution through a large distribution network as well as have additional investment for new factories.
He said Dangote Sugar embarked on the expansion as part of its efforts to boost the integrated sugar cane farming and sugar milling through increased plant capacity from 50,00 tonnes per annum to 200, 000 tonnes.
Clark, who replaced Mr. Abdullahi Sule, said plans were underway to begin production in Savannah Sugar, one of Dangote Sugar’s subsidiaries, with the aim of increasing its sugar refineries to five across the country.
According to Clark, the remodelling of the integrated sugar production will enhance the company’s value-chain process, as by-products will be extracted from sugar cane for production.
He said, “Unlike before, where we import raw sugar for refining, the economic model of the sugar plantation is profitable when examined from the value-chain process. We will change the whole process and seek partnerships with communities and state governments in order to aid land acquisition for sugar plantation.
“The company is actively pursuing a backward integration master plan with a target of producing a total of 1.5 million tonnes of sugar per annum locally from its subsidiaries. We will also continue to strengthen output, sales and distribution through a large distribution network.”
He added that the company would harness opportunities in the regional markets after it had satisfied demands in the local market.
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