In Morogoro, Tanzania, the Mkulazi Sugar Factory, a groundbreaking joint venture by the National Social Security Fund (NSSF) and the Tanzania Prisons Service, is poised to launch its sugar products into the market. This follows the successful completion of its machinery trials, marking a pivotal stride towards Tanzania’s self-sufficiency in sugar production and a significant boost to the national economy.
Owned by Mkulazi Holding Company Limited (MHCL), incorporated on September 6, 2016, the factory represents a collaborative effort between NSSF and Prison Corporation Sole (PCS). The shareholding structure of MHCL is predominantly NSSF at 96%, with PCS holding the remaining 4%.
Dr. Hilderither Msita, Chairman of the Mkulazi Holding Company Board, declared the completion of the trials during a visit by the NSSF Board of Trustees. This visit was a part of an assessment to gauge the progress of the factory’s construction, a project that has captured the nation’s focus. The NSSF, a crucial governmental organization, and the Tanzania Prisons Service, known for their law enforcement and correctional endeavors, have also been actively engaged in various economic and investment initiatives. These efforts are directed towards generating revenue, supporting operations, providing vocational training for inmates, and contributing to the nation’s economic development.
The Mkulazi Sugar Factory, nestled in the fertile region of Mbigiri Village, Kilosa District, Morogoro, is equipped with an impressive production capacity of 50,000 to 75,000 tons of sugar annually. This production prowess is anticipated to significantly reduce Tanzania’s dependence on imported sugar, thereby addressing a chronic shortfall in domestic supply.
The factory’s alignment with the government’s directives was emphasized by Mwamini Malemi, Chairman of the NSSF Board of Trustees. The Board, after a thorough review of the entire sugar production process, expressed their contentment with the factory’s progress and confidence in a profitable return on their investment.
A notable achievement of the Mkulazi Sugar Factory is the creation of approximately 5,000 jobs, underlining its substantial impact on local employment and economic development. This contribution is especially meaningful for Tanzania, a nation committed to expanding its industrial sector and reducing unemployment rates.
Selestine Some, CEO of MHCL, acknowledged President Samia Suluhu Hassan’s visionary leadership and strategic directives, crucial in steering this project to fruition.
The Mkulazi Sugar Factory stands as a symbol of Tanzania’s escalating industrial prowess and a beacon of progress in East Africa’s agro-industrial sector. As it approaches full-scale production, the factory is set to emerge as a key player in the regional sugar market, propelling Tanzania towards a path of economic resilience and prosperity.
MHCL’s principal activity extends beyond sugar production to include downstream products such as bio-ethanol, particle boards, and pulp. With its sugar project at Mbigiri Estate in Kilosa District, Morogoro Region, MHCL aims to produce 50,000 MT of sugar annually at full operational capacity.