Why we reported BUA to FG – Dangote Sugar Refinery
Dangote Sugar Refinery Plc has said it reported BUA Sugar Refinery Limited to the Federal Government because the company’s activities would derail the government’s plan in its drive to self-sufficiency in sugar.
DSR accused BUA, which operates a sugar refinery in the Free Trade Zone in Port Harcourt, of exporting refined sugar into the Custom territory.
It said in a statement on Friday that this might circumvent the Nigeria Sugar Master Plan framework and jeopardise its objectives by taking advantage of the location of its Port-Harcourt Refinery in the Free Trade Zone.
It said, “DSR made this notification to the Hon. Minister of Industry, Trade & Investments bona fide, via its letter to the Minister dated January 28, 2021 asking the minister to investigate the matter.
“We believe our action is in line with our responsibility as a major stakeholder to alert the supervising ministry on activities that would derail the plan of the Federal Government in its drive to self-sufficiency in sugar under the NSMP.”
DSR described as false the allegation by an online publication that the company was engaging in price-fixing, saying the allegation was geared at tarnishing its good name and brand.
“It is a socially responsible company and considers price-fixing to be unethical and reiterates that it does not engage in artificial price manipulation of its products but rather encourages healthy competition amongst the industry players,” it said.
DSR said it remained committed to the actualisation of the laudable objectives of the NSMP by supporting the development of the sugar industry with a view to ensuring that Nigeria attains self-sufficiency in its sugar requirement within the shortest possible time and even export to earn foreign exchange.
The company noted that it began its Backward Integration Programme with a 10- year sugar development plan, to produce 1.5 million metric tonnes per annum of sugar from locally grown sugarcane.
It said the project commenced with acquisition of large expanse of land in strategic locations such as Taraba, Adamawa and Nasarawa states.
“To this end, three BIP sugar companies: Dangote Taraba Sugar Limited, Dangote Adamawa Sugar Limited, Nasarawa Sugar Company Limited, were incorporated,” the statement said.
