Listed sugar manufacturer Illovo Sugar (Malawi) Limited has said the local sugar price is now competitive among six Sadc countries the Illovo Group operates in because of the depreciation of the kwacha.
“At the current exchange rate of K547 [to a dollar], Malawi sugar is selling at one dollar, just as in Zimbabwe whereas in Tanzania, it is selling at $1.02, followed by Mozambique at $1.08 and Zambia at $1.15 with South Africa selling sugar at $1.18,” said Illovo Sugar (Malawi) managing director Ray de Allende in an interview.
He bemoaned the dumping of cheap sugar into the region, saying that is a threat to the industry.
“Our sugar is fortified with vitamin A to add value and dumped sugar is unfortified,” he said.
Illovo Sugar (Malawi) Limited is a subsidiary of Illovo Sugar Group, which is Africa’s biggest sugar producer and has extensive agricultural and manufacturing operations in six Southern Africa Development Community (Sadc) countries.
The company produces raw and refined sugar for local, regional Africa, European Union (EU) and United States of America markets.
Illovo Group is listed on the JSE Limited and is a subsidiary of Associated British Foods plc which holds 51.4 percent of the issued share capital.