TONGAAT Hulett says it expects to increase sugar output by 7% during the financial year to March 2025 after record lows recorded last year.
Managing director Tendai Masawi revealed this during a media tour in Chiredzi on Friday last week, adding that its Zimbabwean operations were recovering from production challenges.
He said some of the challenges included bad weather, currency volatility, inflation and a lack of critical spares for mills, resulting in unscheduled stoppages.
“Last year, we did 375 000 tonnes, from the two mills, one of our lowest production. This year we are looking at 395 000 to 400 000 tonnes of production,” Masawi said.
Tongaat's Zimbabwe units are made up of wholly-owned Triangle Sugar Estates and the 50,3% owned Hippo Valley Estates, which operate the country’s two sugar mills.
However, Tongaat Hulett's South African operations entered business rescue proceedings in October 2022.
The two Tongaat Hulett mills have a combined sugar production capacity of about 640 000 tonnes.
“We are on target, our mills are running well. I am confident that we'll be able to meet the tonnage that we have set,” he said.
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Tongaat Hulett Zimbabwe works with a network of 1 200 farmers, providing fertilisers, herbicides and technical assistance to complement its sugar cane production.
Meanwhile, Tongaat Hulett has announced that it has made significant progress in developing its 4 000 hectare sugar project with 2 700ha of virgin land having been cleared and ripped since the commissioning of the programme.
The sugar project, which is called “Kilimanjaro” and designed to assist underprivileged members of society, was launched in Masvingo by President Emmerson Mnangagwa.
The Kilimanjaro project, is fully supported by the government and a consortium of banks and is providing thousands of direct and indirect jobs to the local community.
