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

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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.

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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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President Tinubu Issues New Directives On Security,Says Enough Is Enough

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President Bola Tinubu has directed an immediate and comprehensive overhaul of national security strategies, demanding urgent action to end the escalating violence in Borno, Benue, Plateau and Kwara states.

The President, who met with security chiefs at the State House in Abuja for more than two hours, said the killing of innocent people in Borno, Benue and Plateau States must cease.

“Enough is enough,” President Tinubu declared as he once again condemned the senseless targeting of innocent Nigerians.

The National Security Adviser (NSA), Nuhu Ribadu, told newsmen that the service chiefs briefed the President on all the attacks in the states, the death toll, and the destruction of properties.

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The NSA said President Tinubu ordered a new approach to tackling the insecurity problems.

Ribadu noted that President Tinubu was also actively monitoring and giving instructions during his work visit to Paris and London.

“Mr President gave us the chance to come and brief him again. It lasted very long. We gave him an update on what was going on.

“Even when he was out there, he was constantly in touch, giving directives and following developments.

“Today, we had the opportunity to come and brief him again, and it lasted hours. It was a very detailed briefing, and it was exhaustive.

“We listened, and we took instructions from him. He gave us new directives. The fact is that Mr President is insisting that we work harder to restore security in the country.

“We gave him information on what has been happening and assured him of our commitment.

“We had carried out his instructions. We went to places with incidences of insecurity, such as Plateau, Benue, and Borno States.

“We went to those particular three states. We gave him feedback because he had directed us earlier to go and meet with the political authorities there,” he added.

The NSA said the President highlighted the need to involve the local councils and state governments more in tackling insecurity cases.

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BREAKING: Delta State Governor Sheriff Oborevwori Dumps PDP ,Joins APC

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In a stunning political twist, Delta State Governor, Rt. Hon. Sheriff Oborevwori, has officially defected from the Peoples Democratic Party (PDP) to the All Progressives Congress (APC).

The announcement came after a high-level, closed-door meeting held at the Government House in Asaba, the state capital, on Wednesday afternoon. According to the Governor’s Chief Press Secretary, Sir Festus Ahon, confirmed the move on the phone. The decision follows “wide consultations with political stakeholders and in the interest of Delta’s long-term development.”

Governor Oborevwori, who won the 2023 gubernatorial election under the PDP platform, was received by top APC chieftains in what is now being described as a strategic political realignment ahead of the 2027 general elections.

More to follow….

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Nigeria Customs Service Pledges Cooperation with Online Journalists

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Nigeria Customs Service Pledges Cooperation with Online Journalists and publishers to ensure balanced reporting of its activities. This assurance was given by Comptroller Dalhatu Abubakar, who hosted the leadership of Northern Online Reporters and Publishersat the command’s headquarters in Kano.

Welcoming the delegation, Comptroller Abubakar expressed his willingness to foster a mutually beneficial relationship with online journalists, emphasizing that the command remains open to engagement at all times. In a heartfelt moment, he offered condolences to the President of the Northern online reporters and publishers over the tragic loss of his child, reflecting his deep understanding of the challenges faced by media professionals.

“I am one of you,” he stated, noting his previous role as an Assistant Public Relations Officer (PRO) before attaining the Present position within the customs service. He further highlighted the importance of objective and balanced journalism, encouraging reporters to highlight both the achievements and lapses of the agency in a fair manner.

On his part, Musa Muhammad, President of Northern Online Reporters and Publishers, praised the comptroller for his media-friendly approach, acknowledging that the customs service plays a pivotal role in the country’s economic and security landscape. He assured Comptroller Abubakar that the association would work closely with customs officials to propagate their activities, particularly across all 19 northern states.

Muhammad emphasized the influence of online media in shaping public discourse, stressing that majority of Nigerians now turn to digital platforms for news updates. He assured the customs service that their security operations and enforcement efforts would be duly covered, ensuring transparency and accountability.

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Among the notable journalists in attendance were Abbas Yushau Yusuf, publisher of The Nigerian Tracker; Abubakar Abdulkadir Dangambo, publisher of Independent Post; and Hadiza Yusuf representing Prime Time.

The engagement marks a significant step in strengthening the relationship between the Nigeria Customs Service and the media, fostering a partnership rooted in transparency, accountability, and information dissemination to the public.

 

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