Dangote Sugar Refinery Plc says Nigeria will save up to $700m of foreign exchange yearly from sugar production self-sufficiency if the government faithfully follows through the backward integration policy in the sugar industry.
The Chairman of Dangote Sugar Refinery, Aliko Dangote, at the company’s 15th Annual General Meeting in Lagos, says that allowing for distortions in the sugar master plan framework would adversely affect the target of self-sufficiency in sugar production.
He described the backward integration policy as commendable, saying it would reduce imports of raw sugar and save the country enormous forex used for importation.
Dangote expressed delight that the BIP was going on well, saying, “If the National Sugar Master Plan is followed strictly and the players all follow the rules, the country will be better for it as Nigeria will save between $600m and $700m annually as forex.”
According to him, the backward integration policy of Dangote Sugar Refinery is recording appreciable progress, and the company is irrevocably committed to the policy.
He told shareholders that despite the disruptions in the economy occasioned by the COVID-19 pandemic, the company’s production volume rose by 13.7 per cent to 743,858 tonnes in the financial year ended December 31, 2020, compared to 654,071 tonnes in 2019.
He said the company posted a group turnover of N214.3bn, a 33 per cent increase over the N161.1bn in 2019, while its sales volume rose by 6.9 per cent from 684,487 tonnes in 2019 to 731,701 tonnes in 2020.