Dangote Sugar Refinery Plc has set an ambitious target to produce 700,000 metric tonnes of refined sugar over the next five years. Aliko Dangote revealed this milestone during the company’s 18th Annual General Meeting held in Lagos.
Dangote emphasized the importance of safeguarding the interests of the sugar industry, urging government entities at all levels to support and protect investments in the sector. He stressed the necessity of adhering to regulatory frameworks to ensure the industry’s progress and success.
Amidst economic challenges including currency depreciation and foreign exchange constraints, Dangote Sugar Refinery is implementing strategies to navigate these hurdles. Efforts include reducing reliance on foreign exchange by localizing production processes and advocating for regulated tariff adjustments to support revenue growth.
Despite facing operational challenges in 2023, including increased costs due to foreign exchange fluctuations, the company recorded a 9.5% increase in group turnover, reaching N441.5 billion. Operating profit stood at N72.69 billion, with Profit Before Tax (PBT) and Profit After Tax (PAT) impacted by non-cash foreign exchange losses.
Looking ahead, Dangote emphasized the company’s commitment to cost optimization, process improvement, and enhancing operational efficiencies to overcome economic obstacles. The focus remains on achieving the goals of the sugar backward integration master plan, with plans to invest over $700 million in the program.
As Dangote Sugar Refinery continues to deploy strategies to achieve its production targets and navigate economic uncertainties, stakeholders anticipate positive impacts on the company’s growth trajectory and contributions to Nigeria’s economic development.
Credit: News Agency of Nigeria (NAN) Text Excluding Headline
