BUA Group reaffirms commitment to backward integration

…Denies flouting sugar concession
The Chairman, BUA Group, Alhaji Abdulsamad Rabiu has denied the allegation bordering on the flouting of its sugar concession by the National Sugar Development Council (NSDC), adding that his firm remains committed to government’s backward integration agenda.

Rabiu according to a statement explained that BUA Group remains a law abiding and responsible company that will never go against the law or anything that will not support the backward integration plan of the Federal Government.

He said it is obvious that the sugar council is not saying the truth as regards the allegation, adding the group has made huge investments in the sugar production and refining value chain within Nigeria.

As a responsible corporate entity, BUA Group and its various subsidiaries ensure it does its business within the limits of applicable regulatory and legal frameworks in Nigeria. The company strongly believes that it has not in any way, flouted its approved sugar allocations for 2015.
“In addition, BUA group has made huge investments in the sugar production and refining value chain within Nigeria. Verifiable effort has been made in developing a sugarcane nursery as well as deploying manpower, agricultural and construction equipment to our Lafiaji Sugar Plantation,” he said.

On the refining side, we also run one of the largest and most efficient sugar refineries in Nigeria. To further boost local supply of sugar and support the government’s Backward Integration Policy for the industry, BUA Group also acquired an additional 50,000 hectares of land in Bassa LGA of Kogi state for the establishment of another sugarcane plantation”, he added.
Rabiu commended the Federal Government for the resuscitating the local refineries, saying it has led to increased supply of Low Pour Fuel Oil (LPFO) to many industries.

He added that the moves of the current administration to ensure optimal operations at the nation’s refineries will rejuvenate moribund industries.
Recently, the National Sugar Development Council (NSDC) said some companies have flouted the terms and conditions for obtaining a three-year low tariffs for sugar importation into the country.

The Executive Secretary of the council, Dr. Abdullatif Demola Busari, had said though the high tariffs for refined sugar import into the country was deliberately designed to discourage importation and encourage local production of sugar, the concession became necessary in order not to hike the local price of the commodity since the country has not achieved self-sufficiency in sugar production yet.

He said from investigations, the BUA Group’s BIP site in Kwara State has nothing to show for the three years the company enjoyed concessionary low tariffs for sugar imports.
“By now, it supposed to have over 400 hecters of cane in the site. It supposed to have brought in its machineries by now. That is, by March 2015 it supposed to have imported it’s machineries but nothing like that has happened,” he said.

 

Source: Guardian News