Almot Maqolo, Staff Writer 
STARAFRICA Corporation (Starafrica) says it has increased its refined sugar production to between 6 000 and 7 000 tonnes per month, enough to meet growing demand.
The sugar processor carried out a refurbishment of the dry section of the sugar refining plant. A replacement of centrifugal machines, rehabilitation of the raw sugar warehouse and procurement of an effluent treatment plant were also done to increase productivity.
“We have satisfied all the key customers who are picking up sugar from us,” Starafrica’s chief executive, Robson Nyabadza, said in response to questions from The Financial Gazette during the company’s virtual annual general meeting.
Starafrica indicated that 70 percent of its revenue over the past five months was in US dollars.
It comes as more companies have been reporting an increase in US dollar revenue amid persistent dollarisation pressures in the economy, which have been driven by a lack of confidence in the local unit.
Starafrica boasts a fairly unique range of products in its Country Choice Foods (CCF) unit and the increased dollarisation could be offering some respite in the post-reporting period.
The recent reports of the government’s plans to establish a new large-scale sugar mill could be a boon for Starafrica, as the country’s only indigenously controlled refinery operation.
In the year ended March 31, production volumes at Starafrica’s sugar unit declined six percent to 77 270 tonnes compared to 82 399 tonnes recorded in the prior year on the back of raw sugar stockouts and power outages. Sales volumes of granulated sugar produced by Goldstar Sugars were stagnant, having been 82 500 tonnes sold in the prior year to 82 321 tonnes, weighed by pressure from imports after the promulgation of Statutory Instrument 98 of 2022.
Goldstar Sugars continues to focus on refurbishment and replacement of critical items of plant and machinery to improve plant availability.
For CCF, sales volumes increased by nine percent from the prior year’s 1 879 tonnes to 2 048 tonnes supported by an improvement in the production of sugar specialties, from 1 920 tonnes last year to 2 140 tonnes in the year under review.
In that period, the unit launched new products into the market, namely drinking chocolate, powdered mahewu, baking powder, cocoa powder and baking raisins.
The properties business recorded $337,5 million in rental income during the year compared to $162,2 million in the prior year as the unit has recovered from the Covid-19 pandemic, which reduced tenants’ ability to generate income and meet their rental obligations.
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