Online Reporter
Nokuthaba Brita Ncube, [email protected]
SUGAR producer Hippo Valley Estates Limited has assured the nation that it has sufficient stocks to meet both local demand and key export commitments.
In a trading update for the third quarter ended December 31, 2024, the company reported an increase in local sugar sales following the repeal of Statutory Instrument (SI) 180 at the end of January 2024. This policy shift sparked a surge in demand for its flagship Huletts “Sunsweet” brand.
However, export sales volumes declined by 53 percent as the company deliberately prioritised the domestic market.
Hippo Valley noted that despite having adequate sugar stocks, illegally imported unfortified sugar brands continue to be present in the local market, and the relevant authorities have been alerted to address the issue.
The company reported strong performance in the latest harvesting season, with cane deliveries from its plantations (miller-cum-planter) increasing by 18 percent. This growth was driven by a 7 percent improvement in yields and a more consistent sugarcane delivery rate.
“Private farmers recorded a marginal drop in cane deliveries despite a 4 percent increase in yield, resulting from reduced area under cane by 124 hectares,” said the firm.
In addition, the crushing period ended with increased sugar production, supported by improved mill uptime after a successful off-crop (annual) maintenance programme before the commencement of the 2024/25 season.
The company noted that the focus remains on the current off-crop maintenance programme, which commenced in December 2024, and is progressing well with the anticipation to commence the 2025/26 season in April.
