British Sugar home news and events contact us log in
latest releases

14 November 2008

British Sugar and Illovo Sugar establish JV to supply the EU sugar market

British Sugar and Illovo Sugar have announced the incorporation of Mitra Sugar Limited.  Mitra will supply a range of European customers with imported raw and processed sugar from October 2009.  Changes to the EU’s sugar regime which become effective from 1 October 2009 will allow tariff-free access to sugar producers from the Least Developed Countries (LDCs) and countries signatory to Economic Partnership Agreements (EPAs) with the EU.

This important step is positive demonstration of the industry’s commitment to supporting the EU Commission’s development agenda which is integral to the reform of the sugar regime.

Mitra will import and supply approximately 700,000 tonnes of sugar into the EU.  This will be supplied from Illovo’s existing African operations (via both LDC and EPA market access arrangements) and be supplemented by sugar from the Swaziland Sugar Association (SSA). Mitra has signed an agreement with SSA for the supply of a minimum of 200,000 tonnes per annum of raw sugar for the duration of the current EU sugar regime i.e. to September 2015.
 
Graham Clark, Commercial Director of Illovo noted that 'Mitra will provide an efficient and robust route to market for sugar originating from Africa, in a manner that fully embraces the new trading opportunities arising from October 2009'.
 
Mike Matsebula, Swaziland Sugar Association Chief Executive said, 'We are delighted to be working with Mitra during this exciting time as the EU reduces its trading barriers.  We believe our agreement with Mitra will bring real benefits to the Swazi nation.’

British Sugar Chief Executive Mark Carr said, 'The formation of Mitra is a further significant step in optimising British Sugar Group’s global sugar activities.  By putting supply chains in place to meet the needs of our EU customers for raw sugar, Mitra will help deliver the objectives of the EU’s sugar reforms.'

Managing Director of the new company, Mitra, will be Paul Blunden, formerly Head of EU Business Development for British Sugar UK.  Paul will be joined by Ray de Allende, formerly General Manager Group Marketing at Illovo Sugar Ltd. 


Ends

 

BS User | Privacy Statement | Terms & Conditions | Accessibilityback to top