STARAFRICA Corporation (StarAfrica) says its going concern was momentarily hampered by the spike in pricing by the company’s sole supplier of raw sugar but rectified the situation by securing a new supplier.
In February 2023, Gold Star, a StarAfrica affiliate, placed staff on indefinite leave and temporarily shuttered its refinery in Harare in protest of the supplier’s price hike and onerous business terms.
“The ability of the group to continue generating cash flows was temporarily affected by a price increase by its sole local supplier of the major raw material, however, the increase has since been reversed and an alternative supplier secured in Zambia.
The group said it successfully concluded negotiations with the local supplier, and operations resumed in October 2023.
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