Starafricacorporation shuts factory over increase in raw sugar prices

Starafricacorporation Private Limited company has announced the closure of its Goldstar Sugars Harare branch from today to Sunday due to an increase in raw sugar prices.

In a statement, the company’s Chief Executive Robson Nyabadza said some employees shall take leave for the next seven days.

The statement to workers reads:

Kindly be advised that the plant at Goldstar Sugars (GSS) will be closed for a week from Monday 13 February 2023 to Sunday 19 February 2023 due to a lack of raw sugar.

The outage of raw sugar is a result of the raw sugar price increase effected by the Zimbabwe Sugar Sales (Private) Limited (ZSS) on 9 February 2023, which makes it difficult for the company to operate the refinery viably as well as the onerous trading terms, that ZSS has imposed.

This have constrained the supply of raw sugar to the extent that the refinery is experiencing frequent raw sugar stockouts.

Management is engaging ZSS and the Ministry of Industry with a view to procuring a viable pricing and raw sugar supply arrangement that will ensure an uninterrupted supply of adequate tonnages to the refinery.

All employees shall take leave with effect from 13 February 2023 and report for duty on 20 February 2023, except those doing debt collection and other specified and essential activities as shall be advised by their line managers.

Zwnews