“Solid progress is being made since the implementation of the Sugar Master Plan last year,” Minister of Trade, Industry and Competition (dtic), Ebrahim Patel, and Minister of Agriculture, Land Reform and Rural Development, Thoko Didiza, told captains of industry, union leaders and government officials last week during Executive Oversight Committee (EOC) meetings.
It has been reported that the sugar industry recorded largely flat local demand in the first two months of the 2021/22 growing season, with a notable increase in soft-drink manufacturer uptake of local sugar and a decrease in demand for local sugar by wholesalers and retailers.
According to a statement from the dtic, a small recovery in export sales is expected.
“This performance is off the significant growth of 15% in demand for local sugar during the prior season, and stakeholders committed to continued efforts to deliver further growth to achieve the target of 300 000 tonnes’ growth over the three years of Phase 1 of the master plan,” the statement read.
“The EOC discussed ways the sugar industry plans to implement its strategic ambition to strengthen the sector, particularly through new industrial uses of sugar and crop diversification to provide farmers with a better hedge when global sugar prices drop."
“One notable possibility currently under investigation is the use of sugar to produce bio-jet-fuel. Efforts to promote the economic viability of smaller local producers were boosted by the decision of the SA Sugar Association to make R60 million a year available as price support to small-scale growers,” the statement read.
