Kabras maintains lead in sugar market thanks to surge in imports

0

Merchandise

Kabras maintains lead in sugar market thanks to surge in imports


geraldandae

Summary

  • Imports of processed bulk sugar have helped the West Kenya Sugar Company, based in Kabras, maintain its market share, controlling 29 percent of total sales.
  • Data from the Sugar Directorate indicates that Western Kenya, maker of the Kabras brand, sold 71,176 tonnes of sugar during the period under review out of a total of 243,083 tonnes.
  • Miller has maintained his lead for more than two years now, attributing his success to one-off payments to farmers and the installation of new machinery.

Imports of processed bulk sugar have helped the West Kenya Sugar Company, based in Kabras, maintain its market share, controlling 29 percent of total sales.

Data from the Sugar Directorate indicates that Western Kenya, maker of the Kabras brand, sold 71,176 tonnes of sugar during the period under review out of a total of 243,083 tonnes.

Miller has maintained his lead for more than two years now, attributing his success to one-off payments to farmers and the installation of new machinery.

“Production in western Kenya and Sukari Industries has been boosted by the inclusion of imports of processed bulk sugar,” management said.

“All state-owned factories except Chemelil have reported a drop in sugar production due to a limited supply of cane and inefficiencies at the factories,” the regulator said.

Western Kenya sugar sales during the period under review were 20,000 tonnes higher than the same period last year.

The miller widened the gap further with Butali Sugar, which was second after selling 38,834 tonnes, followed by Kibos (35,567 tonnes), Sukari (32,618 tonnes) and Transmara Sugar Company (30,934 tonnes).

Nzoia Sugar emerged as the best among government millers with sales of 6,725 tonnes, followed by Chemelil at 4,458 tonnes and Muhoroni at 4,372 tonnes.

The country’s sugar sector has been hit by the shortage of cane grinding, which has resulted in increased import levels to cover the deficit.

Imports of table sugar to Kenya during the period under review increased by 56% compared to the corresponding period last year, following the scarcity of the product in the country which forced the regulator to increase shipments for cover the deficit.

According to the Sugar Directorate, imports of the commodity between January and April amounted to 157,593 tonnes against 100,815.

The government last week banned the importation of sugar and cane to curb the influx of cheap sugar into the market.

A two-kilogram packet of branded sugar has now gone from a high of Sh 230 in February to Sh 210 for the same amount as the market responds to an increase in cheap sugar on the market.

Share.

Comments are closed.