Dangote Sugar Refinery Restates Non-involvement in Price Fixing

Dangote Sugar Refinery Restates Non-involvement in Price Fixing

Dangote Sugar Refinery Plc. has restated its non-involvement in price fixing as the management asserts strong participation in the Nigeria Sugar Master Plan.

The company made the disclose via document  submitted to Nigerian Stock Exchange, saying it is aware of an online publication claiming that the sugar company is engaging in price-fixing and is not honestly engaged in any Backward Integration Programme as claimed.

However, DSR said it vehemently refute the allegations and assertions in their entirety as the false allegations are geared at tarnishing its good name and brand.

Accordingly, the company said it is socially responsible and considers price-fixing to be unethical, reiterates that it does not engage in artificial price manipulation of its products.

Rather, the sugar refinery said it encourages healthy competition amongst the industry players.

“DSR is committed to the actualization of the laudable objectives of the Nigeria Sugar Master Plan by supporting the development of the sugar industry with a view to ensuring that Nigeria attains self-sufficiency in her Sugar requirement within the shortest possible time and even export to earn foreign exchange”, it added.

The management said DSR began its Backward Integration Programme (BIP) with a 10- year sugar development plan, to produce 1.5 million MT per annum of sugar from locally grown sugarcane.

The Project commenced with acquisition of large expanse of land in strategic locations such as Taraba State, Adamawa State and Nasarawa State.

To this end, three BIP sugar companies; namely Dangote Taraba Sugar Limited, Dangote Adamawa Sugar Limited, Nasarawa Sugar Company Limited were incorporated.

Read Also: BUA to Commission US$300 million Lafiagi Sugar Company

The statement also reads that DSR has a responsibility to the Government, the good people of Nigeria, the Sugar Industry, and all other stakeholders to protect the integrity of the Sugar industry.

The management assure its stakeholders that it will do all that is necessary to vehemently protect the integrity of the Sugar Industry.

DSR highlighted that BUA’s operation of a Sugar refinery in the Free Trade Zone in Port Harcourt, exporting refined sugar into the Custom territory may circumvent the National Sugar Master Plan’s (NSMP) framework and jeopardize its objectives by taking advantage of the location of its Port-Harcourt Refinery in the Free Trade Zone.

The company said it 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.

“We are committed to the ideals of corporate governance and ethical practices and assure our various stakeholders that we shall continue to support the Federal Government’s National Sugar Master Plan”, it said.

Dangote Sugar Refinery Restates Non-involvement in Price Fixing