Business Hilights

Tracking Nigeria's Headline Business News Online

Dangote G Logo

Dangote proffers solution to herdsmen crisis, plans vapoured milk plant

Ad 2
Ad 3

In keeping with his star quest for life changing investments and to drive possible end to incessant farmers’/herdsmen clashes, Dangote Group has signaled readiness to  establish vapoured milk plant as part of measures to deepen economic diversification.

Vapoured milk is produced from Cow milk for human consumption. Agriculturists who barred their minds on the new investment idea, said with the milk production vision, greater sanity will begin to emerge in the way and manner cattle breeding business is organized so as to limit chances of clashes with farmers.

President/Chief Executive Officer of Dangote Group, Mr. Aliko Dangote, while speaking at Dangote Foods, 2018 Customer Celebration and Distributor Awards Night held recently in Lagos, said when the plant is fully in operation, it will create a lot of employment opportunities for Nigerians.

According to him, the decision to invest in milk production is driven by massive presence of key raw materials needed for the production of the product in Nigeria.

Besides, Dangote noted that the new plant will reduce capital flight in the growing importation of milk and allied products.

However, the President of Dangote Industries used the Award Night to give updates on the strides of the Group in the food sector.

He said “in the Sugar sector, we developed a sugar backward integration project plan targeted at the production of 1.5MT/PA from various sites across Nigeria, in the next 10 years and we are acquiring about 150,000 hectares for sugar plantation in Adamawa, Taraba, Nasarawa, Kwara, Kogi and Niger States.

“We signed memorandum of understanding (MoU) with the Nasarawa State Government for the construction of an integrated sugar complex located at Tunga.” He envisaged that this will generate over 100,000 employment opportunities from all these sugar projects, saying that “we will establish integrated sugar mills within these locations, generate electricity, and produce animal feeds from bagasse and molasses.”

“For Dangote Flour Mills, we have a three-point growth plan, to focus on sustaining high product quality, improving customer engagement and strengthening supply chain capabilities.

“We introduced new improved pasta product called ‘Excellente’ which comes with a new taste and in new packs. Our flour has remained the bakers’ choice and toast of many confectionary companies. We are currently conducting tests to evaluate the suitability of our soils in Nigeria in the cultivation of wheat.”

According to him, new investments in NASCON Allied Industries would boost efficiency and enhance better returns, saying “we are producing edible salt in several packages. We are also choice producers of industrial salts and planning to venture into the production of vegetable oil and tomatoes.

Dangote made it clear that his Group’s exploits towards backward integration in providing its own raw materials on a massive scale has led to the planned investment of $4.6 billion over the next three years in sugar, rice and dairy production alone, noting that this will eliminate the country’s reliance on imported materials, and the foreign exchange headaches that comes with it.

Business Hilights gathered also that the Group annual revenues exceeded $4.1 billion in 2017, which in his submission, grew out of strategic management modalities put in place by the management team.

He added that “our new projects include the world’s largest single train petroleum refinery, which is being built in Ibeju-Lekki, Lagos at the cost of $12 billion will address Nigeria’s energy needs and eliminate importation of refined petroleum products.”

Explaining more on the reasons behind the Award Night to celebrate distributors and key stakeholders, Dangote averred that “We are gathered here in honour of our customers and distributors who have distinguished themselves in the distribution of our food products range and also to thank all the staff at DFM, NASCON and Dangote Sugar for their contribution”.

Earlier in her remarks, the Director, Dangote Sugar Refinery, Ms. Bennedikter Molokwu, said  a total of 77 customers distinguished themselves in 2017, saying the awardees have in small measure, helped to create awareness for Dangote food products across the six geopolitical regions and has led to increased consumption of our products in the regions and better balance sheets for our food products’ companies.

Business Hilights is an online news channel conceptualized and structured to report and track on a daily basis; latest developments in critical business sectors to serve as a one stop news gateway for governments, foreign and indigenous investors.