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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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Governor Adeleke Picks Party Accord After Dumping PDP

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Governor Ademola Adeleke

 

 

By Yusuf Danjuma Yunusa

The Osun State Governor, Ademola Adeleke, has officially joined the Accord Party, days after leaving the Peoples Democratic Party.

The governor made the announcement on Tuesday at the Banquet Hall of the Government House in the presence of national and state leaders of the Accord Party.

Adeleke announced his intention to seek re-election for a second term on the platform of the Thumb Up Party, stating that he joined the party more than a month ago.

The governor said, “I joined the Accord Party more than a month ago, precisely on November 6, as a platform to seek re-election in 2026. This was after weeks of consultation and deliberations with stakeholders and opinion leaders.

“Stakeholders and residents of Osun state are aware of why we are taking this important decision. We intend to pursue a second term in office on the platform of the Accord Party to complete ongoing delivery of good governance and democratic dividends, which have been applauded at home and abroad.”

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Adeleke stated that he opted for the party because its mission of welfarism aligns with our passionate focus on citizens’ and workers’ welfare.

The governor added, “I welcome our party leaders into the Osun State Government House. You are now part of us, as I am also now part of you. We are united in progress and good intentions for the good people of Osun State and Nigeria at large.

“At this historical point, our task is to sustain a united front as we prepare for the elections. We have a duty to ensure an inclusive leadership where the interests of all groups are cared for. Our party, Accord Party, is here to take over Osun governance and sustain the delivery of good governance in our dear state.

“Since I joined the party more than a month ago, I have been fascinated by the philosophy of this great party. The focus on people’s welfare should always be at the heart of public leadership. The primary essence of a government is the welfare and well-being of the people.

“As a governor, I have prioritised the welfare of our people, from workers to the entire citizenry. Day and night, we implement policies and programmes to elevate the well-being of our people. From infrastructure to social services, Osun has never had it so good in governance and service delivery.

“Today, we unveil the new platform for the good people of Osun state. From Osun West to Osun East to Osun Central, this is our party, our new platform for victory come August next year.”

“From Igbomina to Ijeshaland to Ifeland to Osogbo to Iwoland to Modakeke to Gbongan to Igbajo to Ikire to Ikirun to Ede and other lands of Osun state, we must thumb up according to our collective desires for good governance.

“Osun voted for good governance in 2022, and they will support continuity in 2026. The mass of our people are for continuity, and Accord is our party for victory next year.

“In accordance with the will of our stakeholders and to accord deep respect for the wishes of the Osun people, I hereby declare for the Accord Party,” the governor added.

However, despite the governor’s formal notice of resignation as PDP member to his ward Chairman, the national body of the party insisted that he is yet to inform them officially.

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JUST IN:Rivers State Governor, Fubara, Dumps PDP for APC

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By Yusuf Danjuma Yunusa

Siminalayi Fubara, Rivers state governor, has defected from the Peoples Democratic Party (PDP) to the All Progressives Congress (APC).

He made the announcement on Tuesday during a stakeholders’ meeting at the government house in Port Harcourt, the state capital.

Fubara said he joined the ruling APC as a “gesture of reciprocity” for the consistent support, cooperation, and encouragement his administration has received from President Bola Tinubu since the political crisis that rocked the state in late 2023.

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“We can’t support Mr President if we don’t fully identify with him; not backyard support,” the governor said.

“So, we have taken that decision today since we have gotten a pass. Everyone here, who followed and suffered with me, our decision today [is that]we are moving to APC.”

Recall that less than a week ago, 15 members of the Rivers state house of assembly, including Martin Awaewhule, the speaker, joined the APC.

Two days before the defection, the 32-member Rivers assembly passed a vote of confidence in President Bola Tinubu, urging him to seek re-election.

Fubara’s defection now has left the PDP with six governors, with Agbu Kefas of Taraba and Caleb Mutfwang of Plateau planning to join the APC.

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Nigerian Senate Approves Troop Deployment to Benin After Attempted Coup

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By Yusuf Danjuma Yunusa

The Nigerian Senate has formally approved President Bola Tinubu’s request to send Nigerian troops to the Republic of Benin to support efforts to restore peace and stability following last weekend’s attempted coup

Senate President, Godswill Akpabio, announced the approval on Tuesday during plenary, after lawmakers deliberated the request in the Committee of the Whole under section 5, Part II of the Constitution.

The Senators voted unanimously in favour, granting legislative backing for the regional security intervention.

Akpabio described the decision as a critical move, emphasising that unrest in a neighbouring country poses risks to the entire West African region.

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“An injury to one is an injury to all,” Akpabio said, stressing Nigeria’s duty to support its ECOWAS partners in maintaining regional stability.

The Senate’s consent letter will be transmitted to President Tinubu immediately, clearing the way for the deployment of Nigerian forces to Benin.

This newspaper earlier reproted that the Economic Community of West African States (ECOWAS) declared a state of emergency across the region, citing escalating political instability marked by a wave of coups and attempted mutinies in recent months.

The announcement was made on Tuesday by the president of the ECOWAS Commission, Omar Touray, during the 55th session of the Mediation and Security Council at the ministerial level, held in Abuja.

Touray said the extraordinary step became necessary as the sub-region faces “unprecedented security and political threats,” underscoring that immediate collective action is needed to safeguard democracy and stability.

“The situation requires a coordinated and urgent response. Our region is confronting a disturbing resurgence of coups and attempted mutinies that challenge our collective commitment to constitutional order,” he told delegates at the high-level meeting.

The emergency declaration comes amid growing concerns over political tensions, military takeovers, and deteriorating security conditions in several West African states.

ECOWAS ministers and security chiefs convened to assess the situation and explore measures to strengthen regional cooperation.

Touray emphasised that ECOWAS remains committed to restoring stability through diplomatic engagement, sanctions where necessary, and reinforcement of regional security mechanisms.

At the time of filing this report, details on the operational implications of the state of emergency are yet undisclosed.

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