Mozambique: Crisis in Zimbabwe benefits sugar producers

28 April 2008

Maputo, Mozambique, 28 April – The collapse of the Zimbabwean economy has been beneficial to Mozambique’s sugar producers, the executive director of the Mozambique Sugar Producers Association (Apamo), João Jeque said in Maputo Friday.

Speaking to Mozambican news agency AIM, Jeque said that the crisis in the neighbouring country had had the unexpected effect of reducing smuggling of sugar from Zimbabwe to Mozambique.

“Some sugar has come into Mozambique illegally, but not in the huge quantities that it used to,” Jeque said.

The sugar that arrives illegally in Mozambique is considered unfair competition to Mozambican companies, as it is sold at a lower price on the market.

Jeque also said that Zimbabwe was not the only problem facing Mozambique’s sugar producers as there was also sugar smuggled in from Malawi and Tanzânia.

Mozambique’s four sugar companies are able to provide for total domestic demand in Mozambique, as well as producing a surplus that is exported to the European Union and other countries. (macauhub)