By Dipo Olowookere
The Group Managing Director/CEO of Dangote Sugar Refinery, Mr Ravindra Singhvi, has assured that the company will lead Nigeria to self-sufficiency in sugar.
Mr Singhvi gave this assurance while commenting on the financial performance of the organisation in the first six months of 2021.
In the period under review, the sugar refiner grew its revenue by 27.8 per cent to N132.0 billion from N103.2 billion achieved in the same period of 2020.
Also, the gross profit rose by 37.3 per cent to N28.6 billion from N20.8 billion, while the group sales volume increased to 388,589 tonnes, with the production volume rising by 7.6 per cent to 403,846 tonnes driven by operations optimisation drive.
“We commenced the year on a strong footing with an impressive performance in the first half as the financial results have shown, with a stronger Q1 topline growth and a robust Q2 topline growth year on year.
“During the period under review, we launched our new packaging designs for the 50kg fortified and non-fortified sugar bags with the theme Dangote Sugar has a new look…. Same Great Quality.
“The theme reaffirms the quality of our product and inspires a deeper connection to the Dangote Sugar brand among our valued customers and consumers, whilst refreshing our market presence as the leading sugar brand in Nigeria,” he added.
“As part of our supply chain management sustainability journey, we continued to enhance our outgrowers scheme. The technical and agriculture support provided for them over time has led to the improved yield from our outgrowers sugarcane farms at the Numan Sugar Estate.
“This effort will be sustained to ensure the socio-economic growth of our immediate communities and improved sugar cane supply for production,” he assured.
“The team is committed to navigating the second half of the year, keeping the health and safety of our people and partners as a top priority.
“Our refinery in Apapa and backward integration operations in Numan, Adamawa State and Tunga, Nasarawa State continue to operate in compliance with our health and safety protocols while ensuring our commitment to the environment and sustainable business practices are maintained,” Mr Singhvi further said.
He stated that the recurrent challenges with Apapa traffic gridlock persisted during the first half of the year but expressed optimism that the truck call up system will address the situation.
Achievement of the Dangote Sugar backward integration projects targets, he added “remains our focus. We are resolute and will continue in our quest to put Nigeria on the path of sugar self-sufficiency and on the world sugar map.”
Dangote Sugar Refinery is Nigeria’s largest producer of household and commercial sugar with a 1.44M MT refining capacity at the same location. The refinery located at Apapa Wharf Ports Complex, refines raw sugar imported from Brazil to white, Vitamin A fortified refined granulated white sugar suitable for household and industrial uses.
It has the Backward Integration goal of becoming a global force in sugar production, by producing 1.5M MT/PA of refined sugar from locally grown sugar cane for the domestic and export markets.
To achieve this, Dangote Sugar Refinery Plc acquired DSR Numan Operations (Savannah Sugar Company Limited), located in Numan, Adamawa State in December 2012, and embarked on the ongoing rehabilitation of its facilities and expansion of its 32,000 hectares’ sugarcane estate. In September 2020, the scheme of merger between DSR and Savannah Sugar Company Limited was completed which gave birth to a bigger and stronger business with considerable opportunity for growth and delivery of superior benefits to all stakeholders.
“The expansion of the sugar estate is still ongoing as well as the development of the greenfield site acquired at Tunga, Nasarawa State for the achievement of DSR’s sugar for Nigeria development master plan.
The Nasarawa Sugar Company Limited is the registered subsidiary of Dangote Sugar Refinery Plc. The 78,136 hectares Sugar Project Site is located at Tunga, Awe Local Government Area, of Nasarawa State.
Adedapo Adesanya