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Sugar Industry Market Research & ROCOL Products
Sugar Industry Market Research & ROCOL Products
Sugar Industry Market Research & ROCOL Products
Description: General information about EGYPT'S Market Share of sugar industry, And list of
Sugar Factories at the Calendar Year of 2019/ 2020.
Sources: Egypt's Chamber of Sugar Industries, FAS (Foreign Agriculture Services) Cairo office
research.
Report Highlights: The Office of Agriculture Affairs forecasts refined sugar production in
MY2019/20 to increase by approximately 14 percent or 335,000 MT to reach 2.74 MMT. Of this
total forecast, 1.5 MMT of sugar will be derived from sugar beets, while 1.2 MMT will be sourced
from sugarcane. Increase in production is attributed to higher procurement prices especially for
sugar beets. Posts forecasts domestic consumption in MY2019/20 to increase by 4.8 percent or
150,000 MT to reach 3.25 MMT as a result of population increase. Egypt’s raw sugar imports in
MY2019/20 are forecast at 800,000 MT down from 830,000 MT in MY2018/19.
General Information
Cane Production:
FAS Cairo estimates a slight increase in the planted area to 130,000 ha, an increase of
4,000 ha compared to last year. The government is considering the request of farmers to
increase the procurement price of sugarcane for the 2019/20 marketing year. The farmers
responded to increases in the government procurement price of sugarcane by increasing
the planted area. After the farmers syndicate demanded an increase in the price to EGP
1000 ($57.68) per metric ton, the Egyptian government allowed for some upward
adjustment. The price first increased to EGP 700 ($40.38) and later, in January 2018, it
increased to EGP 720 ($41.53) per ton. Post expects an increase in the procurement price
in 2019 harvest season to EGP 900 ($51.90).Post expects sugarcane production in MY
2019/20 to reach 13.8 MMT, 1.30 MMT above last year’s estimate.
Post estimates that with a sugarcane procurement price of EGP 900 ($51.90) per ton, farmers will
see a net profit of EGP 24,500 ($1,413) per hectare. With the current procurement price of EGP
720, farmers received a net profit of EGP 19,619 ($1,122) per hectare. The estimated cost of
sugarcane production per hectare is around EGP 52,381.
Table 1: Sugarcane, PSD
Beet Production:
The industrial demand for sugar beets is increasing, which provides a higher price,
incentivizing many farmers to plant more beets. FAS Cairo is increasing sugar beet area
harvested in MY 2019/20 to 250,000 ha. Post is revising down last year’s harvested area
to 225,000 hectares instead of 230,000. With the decreased area harvested, post also
revised down MY 2018/19 production to 9.5 MMT, six percent below earlier estimates.
Increased demand is attributed to new sugar beet processing plants, increasing demand for
raw beets. Post expects area planted to increase and, subsequently, area harvested to rise
by 11 percent or 25,000 ha, to reach 250,000 ha in MY 2019/20. With increased area
comes an associated increase in production, expected to reach 10.71 million metric tons.
This is an increase of 13 percent over the MY 2018/19 estimate of 9.75 million metric
tons.
Sugar beet prices are increasing significantly. In MY 2018/19, the procurement price for
the sugar beet crop reached to EGP 700 ($40.38) per metric ton for early varieties
compared to EGP 500 ($28.08) per metric ton in 2017/18; a 40 percent increase. In MY
2016/17, the price was EGP 400 per ton. The 2016/17 price increase was the first beet
farmers received since MY 2011/12. Before that time, prices were flat at EGP 275 per
metric ton. Figure 2 shows sugar beet procurement prices from 2009 to the current
year.
Figure 2: Egyptian Procurement Price for Sugar Beets, 2009-2019:
Beets are planted in August and September and harvested in March and April. Independent
farmers grow beets and contract sales directly with factories. Some beets are also cultivated on
leased land operated by privately owned factories. During MY 2017/18, post expects sugar beet
yield to average 42.4 metric tons per hectare. Sugar concentration in beets is 13-18 percent, higher
than the 11 percent in sugarcane. In addition to sugar for human consumption, co-products from
the refining process are utilized in animal feed.
In Egypt, there are 15 sugar processors, seven processing sugarcane, seven processing sugar beets,
and one processing both in Abo Kormas in the Mania governorate. All seven sugarcane processors
are state-run companies affiliated with Ministry of Supply and Industrial Trade’s (MOs IT)
Holding Company for Food Industries (HCFI). Of the seven sugar beet processors, three are
private sector, three are public-private, and the rest are state-run companies. Figure 3 demonstrates
geographical distribution of sugar processors and related integrated industries.
Figure 3: Geographical Distribution of Sugar Processors and Related Integrated Industries
Consumption:
Post forecasts total domestic sugar consumption in MY2019/20 to increase by 4.8 percent or
150,000 MT to reach 3.25 MMT. The rise in sugar consumption is driven by improving
purchasing power and high population growth, estimated at 2.4 per annum. Egypt, with a
population of 99.4 million (est. 2019), is adding roughly 2.4 million people per year. It is also host
to an estimated six million refugees from Iraq, Syria, Libya, Yemen, and Sudan. Increases in
consumption are in line with annual population growth.
Nationally, average prices are between EGP 8-9 per kilogram, including bulk sales. Retailers in
the greater Cairo area generally sell packaged sugar to the public at around EGP 10 per kilogram.
Table 3: Centrifugal Sugar, PSD
TABLE 1: Upper Egypt Factories, And all the details about the factories:
Name of the factory Info.
Certificates:
1-Quality Assurance Certificate 9001/2008 was obtained from Moody
International company in conformity with the sugar specifications
.produced according to the European specifications E.C.2
.2-Egyptian Ministry of Health certificate
3-Quality assurance certificate ISO 22000/2005 obtained from TUV
.company
Creation Date: 1978
Address:
The main center
Plot 17 - Service Center Street - Fourth District - 6th of October City -
P.O. 79 12566
Phone + 202 3830 8212
Fax +202 3831 1060
Cairo office
Delta Sugar Company 20 Salem Salem St, Agouza ,Giza.
Phone + 202 3749 5773
Fax +202 3749 8687
Factories
Al-Hamoul Kafr El-Sheikh PO Box: Al-Hamoul - Kafr El-Sheikh
Phone +20473760369 - +20473760290
Fax +20473760300
Email: Distillery@SIICEGYPT.COM
Total number of employees: 2000
Factory products:
Sugar – Sugar beet - molasses
Storage capacities:
340,000 tons white sugar (crystals)
300,000 tons refined sugar (crystals)
100,000 tons of luxury cubic sugar
140,000 tons dried beet pulp
120,000 tons molas for export
120,000 acres under contract farming system
Certificates:
QACS international OHSAS 18001:2007 - ISO 22000:2005
Cane Tipper
A) Wire Ropes: ROCOL Wire Shield
B) Pully: ROCOL SAPPHIRE AQUA 2
C) Gearboxes: ROCOL Sapphire Hi-Torque 320
D) Motors: ROCOL Sapphire Advance 2
`
Milling
A) Mill Bearing: ROCOL HT70
B) Mill Rods: ROCOL Tufgear 100
C) Open Gears DR E BH: ROCOL HT70
D) Planetary Mill box: ROCOL Sapphire Hi-Torque 460
`
Opean Gears
A) Gears DR E BH: ROCOL Tufgear 100
`
Milling
A) Bearings: ROCOL HT70
Milling
A) Bearings: ROCOL does not attack metal [No-Corrosion on copper sleevs]
`
Planetary
A) Planetary Mill gearboxes: ROCOL Sapphire Hi-Torque 460
Planetary
`
6) Cooling Towers
A) Gearboxes : ROCOL Sapphire Hi-Torque 220/320
B) Gearbox Axle Seal : ROCOL FOODLUBE Hi-Temp 2
C) Pulleys & Bearings : ROCOL Sapphire Aqua 2