Dangote will create jobs and save Forex by substituting 40% of sugar imports

Chairman of Dangote Group, Aliko Dangote

Aug. 31 (THEWILL) – The management of Dangote Sugar Refinery Plc has said it is determined to drastically reduce the importation of sugar into the country by 40%, paving the way for the employment of more than 30,000 young people.

Dangote Group Chairman, Aliko Dangote, who explained it in a conversation with reporters, said the company is embarking on phase II of its sugar project, which will cover more than 100,000 ha to make its sugar refinery, the largest in Africa.

Dangote said the integrated sugar complex to be located at Tunga, Awe local government area in Nasarawa state, comprises a 60,000 ha sugarcane plantation and two sugar factories with a production capacity. 430,000 tonnes of refined white sugar per year.

It is reported that Nigeria was unable to meet the 5% target as data from the National Sugar Development Council (NSDC) revealed that in 2016 the local production of refined sugar was 25,000 tonnes ; 2017, 20,184 tons; 2018, 14,918 tonnes and 2019, 28,597 tonnes; 2020, 75,000 tonnes and 2021, 75,000 tonnes, according to a statement from Dangote Group.

Meanwhile, shipping data from the Nigerian Ports Authority (NPA) revealed that Auarius Honor and Ocean Crown would be at Greenview Development Nigeria Limited (GDNL), a subsidiary of Dangote Group to unload 45,850 tonnes and 46,750 tonnes respectively. tons. Following strong demand in the food and beverage sector, GDNL took delivery of 187,000 tonnes from four vessels in May this year.

At the terminal, Common Galaxy arrived with 48,800 tons; Bonny Island, 47,200 tons; Chayanee Naree, 46,000 tons, and Karteria Bluestar, 45,000 tons. Additionally, in April, the terminal took delivery of 91,600 tonnes when Unity Bluestar unloaded 47,200 tonnes and Eco-Atlantic unloaded 44,400 tonnes.

NPA shipping data also noted that 67,000 tonnes of sugar were offloaded to ENL Consortium and GDNL, noting that the ENL terminal took delivery of 20,000 tonnes from Doro, while Baltic Mantis unloaded 47,000 tonnes. at GDNL.

He added that Genco Picardie arrived with 46,500 tonnes in February, while two ships unloaded 101,422 tonnes in January, pointing out that Desert Calm docked with 55,352 tonnes and Pauline 46,070 tonnes.

Findings from Index Mundi, a trade portal, revealed that the country has already imported 965,000 metric tons of raw materials this year.

In addition, the country imported $1.82 billion worth of beet sugar, sugar syrups and other sugar confectionery over the past two years. Sugar is currently listed as a commodity on the Central Bank of Nigeria (CBN) foreign exchange restrictions list.

Other Trade Data Monitor (TDM) statistics based on Brazilian foreign trade explained that Brazil’s exports increased from $458.9 million in 2019 to $702.8 million in 2020.

According to TDM, Brazil’s cumulative raw sugar exports to Nigeria in the 2020/21 season were 1.62 million tonnes, while domestic cane sugar production increased from 75,000 tonnes to 70,000 tonnes. , a drop of approximately 6.7% in one year.

The country had planned to reach the target of 800,000 tonnes of raw sugar production by 2022 as demand from food and beverage manufacturing and retail markets is on the rise.

Rachel J. Bradford