Dalmia Bharat Sugar approves $132 million integrated sugar project in Tanzania
Dalmia Bharat Sugar approved a US$132 million integrated sugar project in Tanzania, featuring sugarcane plantations, a sugar mill and 20 MW cogeneration. The project supports international expansion, targets East Africa’s sugar deficit, and offers future capacity expansion and bio-energy development.
Dalmia Bharat Sugar and Industries Limited approved the development of an integrated sugar project in Tanzania at its board meeting held on Tuesday, according to a regulatory filing by the company. The project will be executed through Eagle Agrotech Tanzania Limited (EATL), a wholly owned subsidiary of Eagle Agrotech Holdings Limited (EAHL).
EAHL is a 51 per cent subsidiary of Dalmia Bharat Sugar, with the remaining 49 per cent equity stake held by Symphony Global LLC, an investment holding company of H.E. Mr. Mohamed Ali Rashed Alabbar, founder and Chairman of Emaar Properties, a publicly listed entity in the UAE, the filing said.
The project involves the development of a sugarcane plantation and the establishment of a sugar manufacturing unit along with a cogeneration facility, at an estimated cost of US$132 million, the company said.
According to the filing, the project marks a significant milestone in the company’s international growth strategy, supporting its geographical diversification objectives and providing a strategic platform to enter global bio-energy markets. The investment is backed by favourable long-term market fundamentals, with Tanzania and the wider East African region facing a structural deficit in sugar production as domestic demand continues to outpace local output. The company said this creates a significant opportunity for import substitution as well as access to neighbouring regional markets.
The integrated sugar estate is planned to be developed over 10,000 hectares, with potential to expand to 20,000 hectares, the filing noted. The company said the development of captive sugarcane plantations is expected to ensure a reliable and sustainable feedstock supply, strengthening long-term operational resilience.
The initial phase of the project will include a sugar manufacturing capacity of approximately 70,000 MT per annum, expandable to 150,000 MT per annum, along with a 20 MW cogeneration facility that can be scaled up to 40 MW. Over the medium to long term, the company said it intends to progressively transform the integrated complex into a diversified bio-energy platform by maximising the utilisation of all by-products through commercially viable and environmentally sustainable value-added initiatives.
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Source : ChiniMandi
