The Sunday Mail
Livingstone Marufu
Sunday Mail Reporter
Zimbabwe has sugar stocks to last until August 2017 even though cane production in the Lowveld has declined due to the prevailing drought, an official has said.
Processed sugar output was projected to reach 506 000 metric tonnes in the 2015/16 season, up from 443 000 metric tonnes last season while sugar cane was to top 4,5 million metric tonnes.
About 300 000 tonnes of sugar are consumed in Zimbabwe every year.
Roughly 200, 000 metric tonnes were due for export to the European Union and the United States.
However, inadequate rains occasioned by the El Nino phenomenon saw production figures recede and exports being cancelled.
Tongaat Hulett corporate affairs and communications manager, Ms Adelaide Chikunguru told The Sunday Mail the sweet news that stocks will last the next 18 months.
“We have enough sugar to supply the nation for the next 18 months as we are still consuming last year’s sugar supplies which were produced the previous year.
“Despite very hot, high temperatures and dry weather spells and other shortcomings associated with the sugar industry, we are very confident that we will have enough sugar for the stipulated period or more months to come,” Ms Chikunguru said.
She said Tongaat Hulett will not export sugar in 2016 as it is focusing on meeting domestic requirements.
Ms Chikunguru also added that exports to the EU are unviable because of high production costs while global prices are at their lowest largely due to high production in Brazil and India.
“The main reason why we are not exporting sugar this year is for us to cater for the local market. The European Community has determined that the price of sugar in the EU should be traded at prices close to world market pricing. This makes the market unviable due to the high costs of production associated with Zimbabwe sugar and other African countries.”
Tongaat supplies 90 percent of Zimbabwe’s processed sugar. It wholly owns sugar cane producer Triangle Limited and holds a 50,3 percent stake in Hippo Valley Estates.
