Sugar consumption on the rise in Mozambique

19 April 2011

Maputo, Mozambique, 19 April – New industries in the food sector in Mozambique and improved systems for distribution are expected to further drive domestic sugar consumption to 200,000 tons this year, accounting for 57 percent of total expected national production, estimated at 350,000 tons, according to Mozambican newspaper Notícias.

Citing figures from the Centre for Agricultural Promotion (Cepagri), the newspaper said that despite annual growth of Mozambican production, sugar consumption was rising much faster leading to reduced stocks to guarantee export contracts.

For this year, figures from Cepagri point to domestic sugar consumption rising by 4 percent.

As a result of the rise in domestic sugar consumption, exports in 2010 fell by 11 percent against 2009, and the industry exported 108,000 tons of sugar and generated revenues of US$50.7 million.

Of the total exported, 83,000 tons went to the European Union, as part of the Everything but Arms (EBA) Initiative and 25,000 tons to the United States.

Due to the drop in exports, Mozambique lost out on the opportunity to have unlimited access given by the EU to the EBA Initiative.

This year Mozambique is expected to export 140,000 tons of sugar, of which 118,000 will be to the EU, 7,000 tons to the Southern Africa Customs Union (SACU) region and 15,000 tons to the United States. (macauhub)