DSR targets 700,000 MT of refined sugar in four years

Dangote Sugar Refinery (DSR) has announced plans to hit 700,000 metric tons (MT) of sugar in the next four to five years.

The figure constitutes 50 per cent of the current demand for sugar in Nigeria.

At the company’s 18th yearly general meeting held in Lagos yesterday, the Chairman of Dangote Group, Aliko Dangote, said the company’s commitment towards achieving continued growth, building a sustainable business and the socioeconomic development of the host communities remains unwavering.

Besides, its first-quarter 2024 result showed revenue of N122.7 billion, representing an increase of 20.1 per cent when compared to the previous year’s figure.

According to him, the company’s 10-year sugar development plan to produce 1.5 million MT sugar per annum from locally grown sugarcane remains a germane roadmap to the attainment of its objectives.

Dangote said the company’s priority presently is to achieve the revised targets set for DSR Numan operations, Dangote Adamawa Sugar Limited and Nasarawa Sugar Company Limited.

He expressed the hope that the Taraba State government would resolve the community issues to enable the resumption of activities at the Dangote Taraba Sugar Limited, Lau/Tau project.

“We are taking the sugar master plan seriously, the best future of this company is backward integration, that is what will give your company the needed profitability and stability.

“In the next four to five years, your company will be producing what we are selling all 100 per cent domestic, even if we are importing, it will be to complement what we have. Our target is to hit 700,000 tones between Nasarawa and Numan,” he said.

Amid the harsh operating environment, he disclosed that the firm significantly scaled up investment in its backward integration projects with the ongoing expansion of the DSR Numan factory refining capacity from 3,000TCD to 9,800TCD year-end.

He said that the factory will be increased with an additional 5,200TCD to 15,000 TCD to meet the need given the massive land development activities to eventually achieve 24,000 hectares in total by the year 2029.

In addition, he pointed out that despite the adverse impact of the continued inflationary trend, lack of liquidity and foreign exchange to fund its equipment import among others on the business environment for the backward integration project, 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.