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Backward Integration: Dangote Targets 700,000MT of Refined Sugar in Four years

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3 weeks ago

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L-R: Company Secretary/Legal Adviser, Dangote Sugar Refinery Plc, Temitope Hassan; Group Managing Director/CEO, Dangote Sugar Refinery Plc, Ravindra Singhvi ; Executive Director, Dangote Sugar Refinery Plc, Mariya Aliko Dangote; and Chairman, Dangote Sugar Refinery Plc, Aliko Dangote, at the Dangote Sugar Refinery Plc 18th Annual General Meeting, on Tuesday, April 30, 2024 in Lagos.

 

Dangote Sugar Refinery Plc (DSR) has unveiled plans to produce 700,000 metric tonnes of refined sugar from locally grown sugarcane in the next four years, through its Backward Integration Programme (BIP).

Chairman of Dangote Sugar Refinery Plc, Aliko Dangote stated this at the company’s 18th Annual General Meeting (AGM) held yesterday in Lagos, just as the Nigerian Exchange released the company’s first-quarter result for 2024, indicating an increase of 20.1 per cent in its revenue to N122.7 billion.

Dangote, at the AGM, said in alignment with the Federal Government of Nigeria’s policy guidelines, DSR continues to focus on and enhance its Backward Integration Project (BIP) by deploying and reviewing project strategies to ensure efficient delivery.

He noted that the 700,000 metric tonnes would meet 50 per cent of the current market demand for refined sugar. According to him, the 10-year sugar development plan to produce 1.5 million MT of sugar per annum from locally grown sugarcane remains a germane roadmap to the attainment of the Company’s objectives.

Our focus is on achieving the revised targets set for DSR Numan Operations, Dangote Adamawa Sugar Limited, and Nasarawa Sugar Company Limited, while we are hopeful that the Taraba State Government will resolve the community payment issues that have led to the stoppage of activities at the Dangote Taraba Sugar Limited, Lau/Tau project.”

He added that “…During the year under review, despite the challenges we were faced with, the company significantly scaled up investment in the Backward Integration Projects with the ongoing expansion of the DSR Numan factory refining capacity from 3,000TCD to 9,800TCD year-end.

The factory will be increased with an additional 5,200TCD to 15,000 TCD (tonnes of cane crushed per day) eventually to meet the need in view of the massive land development activities also going on at the site. The aim is to achieve 24,200 hectares in total by the year 2029.”

He also emphasised that despite the adverse impact on the business environment by the continuous increase in the inflationary trend, lack of liquidity and FX to fund the company’s equipment import among others for the backward integration projects, concerted efforts are ongoing to secure the needed funds for the development of the Nasarawa Sugar Company Limited project at Tunga in Awe Local Government Area of the state.

This will enable the company to put in place the needed infrastructure for the eventual commencement of full-scale production and ensure that the Dangote Sugar Backward Integration ‘Sugar for Nigeria Project’ is achieved. In the end, over $700 million investment would be committed to the Backward Integration Programme,” he added.

Dangote said that the Dangote Sugar (Ghana) Limited, was established as a subsidiary of the Company during the year under review, in line with the plan to expand its presence in the sugar industry across Africa.

On outlook, he stated that “achievement of the goals of the Sugar Backward Integration Master Plan remains our focus. This will go a long way in delivering the anticipated benefits, especially in FX savings and cushioning its impact on our operations amongst other benefits to the company, all stakeholders, and the nation.”

Group Managing Director/CEO of Dangote Sugar, Ravindra Singhvi said, “Despite these challenges, we are resolute and focused on the delivery of our business targets in the medium to long term.”

He pointed out that “as we continue to navigate through the scarcity and high cost of foreign exchange, escalating costs of raw materials amongst others, our focus is to enhance the effectiveness of our supply chain processes, optimise cost, improve our operational efficiencies and delivery on our Sugar for Nigeria backward integration project.”

He said “the target is to produce a minimum of 1.5MT refined sugar annually from locally produced sugarcane at our integrated sugar production estates, which is expected to alleviate some pressure on costs and our demand for foreign currency.

Achievement of a sustainable business remains one of our key strategies and concerted efforts were made towards sustaining the achievements we have recorded in the past,” Singhvi added.

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ECOWAS Parliament to Set Up Mediation Committee to Re-Coopt Aggrieved Members

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2 hours ago

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May 21, 2024

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ECOWAs parliament extra ordinary session opening in Kano

By Abbas Yushau Yusuf

KANO, Nigeria – The ECOWAS Parliament has announced plans to establish a mediation committee aimed at re-integrating aggrieved member states.

This decision was revealed by the First Deputy Speaker of the ECOWAS Parliament, Senator Barau Jibril, while opening the second extraordinary session of the Parliament in Kano, Northwestern Nigeria.

Addressing the session, Senator Barau emphasized the critical need for Parliament’s intervention in regional issues, as highlighted by the President of the ECOWAS Commission during the Inaugural Session.

Barau said the President had called for urgent efforts to prevent the disintegration of the regional bloc, particularly with the potential departures of Mali, Niger, and Burkina Faso. He also stressed the importance of confronting non-state groups vying for control of resources and marginalizing states, which has led to severe insecurity, especially in the Sahel region.

“In consultation with my colleagues on the Bureau, I will propose the appointment of an Ad hoc Mediation Committee,” Senator Barau stated. “The committee’s mandate will be to work with all stakeholders to encourage our brothers to rescind their decision and come back, and to promote dialogue to resolve conflicts in the region. Our strength lies in unity, and there is no alternative to our collective aspirations of a united, peaceful, and secure ECOWAS.”

Senator Barau also mentioned a Parliamentary Fact-Finding mission dispatched to Togo. The delegation investigated the reasons behind the notable absence of the Togolese delegation, who, according to the Supplementary Act on the Enhancement of the Powers of the Parliament, should hold the Speakership. Discussions with national stakeholders yielded positive responses, and Senator Barau reported that Togolese authorities assured the imminent inauguration of their parliamentary representatives.

Governor Abba Kabir Yusuf of Kano State, in his remarks, urged the ECOWAS Parliament to strive for the development of West African countries and to promote economic diversification.

The session in Kano also saw the swearing-in of new members, marking another step in strengthening the legislative body’s capacity to address regional challenges.

NIGERIAN TRACKER reports that the extraordinary session underscores ECOWAS’s commitment to maintaining regional stability and fostering cooperation among member states

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ECOWAS Parliament Meeting in Kano is to Bring Legislature Closer to the People-Barau

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1 day ago

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May 20, 2024

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Senator Barau
Senator Barau Jibrin first Deputy Speaker ECOWAS parliament

Abbas Yushau Yusuf

Apart from their usual meetings in Abuja, the ECOWAS Parliament has brought its second extraordinary session to Kano.

Addressing the press after a closed-door session of the ECOWAS Parliament, the First Deputy Speaker of the Parliament, Senator Barau I. Jibrin, said the meeting will bring the legislature closer to the people and make them aware of the happenings.

Senator Barau said Kano, being the commercial nerve center of Northern Nigeria, is pertinent to hold the second extraordinary session in Kano.

Senator Barau said the ECOWAS Parliament’s session in Kano will discuss issues of economy, security, and other social happenings for the overall benefit of society.

According to the First Deputy Speaker, the legislatures of the 15 member countries of the subregion are here in Kano, and it’s meant for Kano people to know them and also for the Parliament to know Kano.

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Governor Muftwang Of Plateau State Bids Farewell To Muslim Pilgrims

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2 days ago

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May 19, 2024

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BY Asile Abel,Jos

The Governor of Plateau State Barr. Caleb Manasseh Mutfwang, has encouraged intending pilgrims from the state to embody the values of love, peace, and tolerance as they embark on the sacred journey to the Kingdom of Saudi Arabia for the 2024 Hajj.

while bidding farewell to the departing pilgrims from Plateau, Governor Mutwang enjoined them to not only pray for themselves and their families but also for the restoration of lasting peace in the state.

“As you embark on the fifth pillar of Islam, you carry not only your personal aspirations but also the collective hopes and spiritual yearnings of our beloved state. The Hajj is a journey of profound reflection, steadfast faith, and a commitment to righteousness.”

He emphasized the significance of this act of worship by highlighting his administration’s unwavering support for the Plateau State Muslim Pilgrims Welfare Board and ensuring the spiritual growth and welfare of Muslims in the state.

As the Chief Security Officer of the State, Governor Mutfwang reaffirmed his dedication to upholding fairness and justice for all citizens, regardless of tribe, religion, or background. He emphasized his administration’s commitment to transparency and inclusivity, prioritizing the unity and prosperity of Plateau State.

“In your prayers and supplications, remember our dear State, not only for immediate peace but for sustained harmony and unity,” he urged.

Hon. Daiyabu Dauda, the Executive Secretary of the Muslim Pilgrims Welfare Board, commended Governor Caleb Manasseh Mutfwang for his support of the Muslim community in the state.

He noted that the Governor’s sponsorship of 540 out of 1,232 pilgrims, the approval of funds for the resettlement of backlog deposits and the procurement of a bus for the board demonstrated a deep commitment to the well-being of the Muslim Ummah.

He called on all to pray and support the efforts of Governor Mutwang in providing transformative leadership for Plateau State.

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