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Lawmakers tout Kilombero Sugar’s expansion as necessary for the market
ippmedia.com/en/business/lawmakers-tout-kilombero-sugar’s-expansion-necessary-market

January 21, 2020
21Jan 2020
The Guardian Reporter
Morogoro
Business
The Guardian
Lawmakers tout Kilombero Sugar’s expansion as necessary for the market
THE planned expansion of Kilombero Sugar Company is good for the domestic market as sugar will be available in adequate quantities while cane out-growers also expand their farms.
Kilombero.jpg

Kilombero Sugar Company board chairman, Ami Mpungwe (1st R) and PIC member, Janet Mbene (2nd R) lead a delegation of lawmakers who paid an official visit to the Morogoro based company last weekend. Photo courtesy of KSC.
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Members of Parliamentary Public Investment Committee, said this last weekend after visiting the Morogoro based factory that management should implement the expansion plan of the sugar factory not only for the sole purpose of increasing sugar production but also to provide enough market for cane farmers around the Kilombero valley.
The PIC members who spoke to KSC management as well as members of cane farmers who supply 40 percent of the raw material to the factory said the partnership should grow stronger and more beneficial to both parties.
“From our conversation with Kilombero farmers who supply cane to the factory, we have learned that one of their major challenges is the factory’s capacity to crush all the cane they produce per annum,” said PIC member Daimu Mpakati.
Mpakati said the cane farmers have demonstrated that they have capacity to produce 850,000 tons of cane but at the moment the factory can only crush 600,000 tons per annum.
On her part, Deputy Chairperson of PIC, Zainab Vulu said the committee will work with the Treasury Register by sharing the KSC’s report after their visit and meeting with management to see how the government can support the expansion project, especially since Kilombero cane farmers have already shown interest to supply more cane to the factory.
“I commend Kilombero Sugar Company for having created an enormous economic impact directly and indirectly around the Kilombero valley through their investment in the sugar factory, the expansion plan is in line with the government’s emphasis on attaining an industrial economy,” noted Vulu.
Addressing the delegation, Kilombero Sugar Company’s board chairman, Ami Mpungwe said the company has come a long way since privatization and fears of closing down in 2012/2013 season.
“We are now planning to expand thanks to the fifth phase government under President John Magufuli. We are grateful to President Magufuli’s tireless efforts to protect the local sugar industry by controlling the modus operandi of sugar importation in the country, it is through his efforts that our business managed to pick up and we are now at a point of working towards expansion,” said Mpungwe.
Speaking of the modal of operation by the company, Mpungwe said Kilombero cane growers as part of the business provide 40 percent of the cane noting that the model is aimed at creating a sustainable economic growth across the Kilombero community.
Upon expansion, the number of Kilombero cane growers which now stands at 8,000 is projected to double and increase cane production from the current 600,000 to 1,450,000 tons a year whereby the farmers will supply 60 percent of the cane needed by sugar factory, he added. The expansion will also increase sugar production by Kilombero Sugar Company, from the current 128,000 tons to 260,000 tons.
 
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