TellZim Reporter
Tongaat Hulett Zimbabwe (THZ) Managing Director/Chief Executive Officer Tendai Masawi told journalists during a tour of the company’s operations in Chiredzi recently that they were expecting an increase in sugar output from 375 000 tonnes last year to about 400 000 tonnes this year.
THZ units are made up of wholly-owned Triangle Pvt Ltd and the 50.3% owned Hippo Valley Estates.
Masawi said last year’s output was affected by recurrent mill breakdowns which forced the company to carry over sugarcane to this year’s milling season.
“We are expecting to produce between 395 000 to 400 000 tonnes this year, with a total value of about US$380 million. Our output was slightly lower than last year because we were affected by recurrent mill breakdowns but I am happy that we managed to repair our mills and they are now running smoothly. We are on target, and since our mills are running well, I am very confident that we will get the tonnage we set,” said Masawi.
He added that THZ’s two mills at Hippo Valley and Triangle respectively, had an installed capacity of approximately 640 000 tonnes per year. The company accounts for 60% of the sugarcane whilst 40% is supplied by the 1200 out grower farmers in Mkwasine, Hippo Valley and Triangle. These 1 200 out grower farmers are assisted by THZ with fertilisers, herbicides and technical assistance in order to complement its sugarcane production.
Masawi said Zimbabwe requires 300 000 tonnes of sugar per year for domestic consumption and the surplus is exported to get foreign currency which he said the company needed to buy spares for the Triangle and Hippo Valley mills as well as sustaining other operations.
THZ is also working with government under the Kilimanjaro project to develop about 4 000 hectares that will be distributed by government to out grower farmers. To date, THZ in partnership with various banks managed to develop 2 700 hectares of the targeted 4000 hectares and expects to complete the remainder as soon as possible.
