Why agreement with top UK industry is important - Royal Sugar is the one that can save the EBZ, says Chr. Karathanassis
A new era for Greek sugar seems to mark the important Royal Sugar SA deal with British Sugar.
Under the agreement, British Sugar, a world-class sugar producer and leading supplier of sugar in Britain and Ireland, commissioned the dynamic Greek company Royal Sugar to import and distribute its sugar in Greece, Cyprus, Albania, Bulgaria, Romania. and Skopje.
Investment of over 250 million pounds
British Sugar, which employs 1,400 people and indirectly supports 9,500 jobs, produces 1.4 million tonnes of sugar per year exclusively in Britain. British Sugar works with more than 3,000 growers supplying its plants with 8 million tonnes of sugar beet annually. By implementing precision farming, it has managed to increase its crop yields by 25% over the last 10 years, with significant environmental benefits.
Over the last five years the company has invested over £ 250 million in four sugar mills (in Bury St Edmunds, Cantley, Newark and Wissington) to maximize their effectiveness.
The costs of producing British Sugar sugar are among the lowest in Europe and the highest quality of its sugar is widely accepted. At the same time, it is the first bioethanol production company in the UK, producing feed, lime, electricity and more.
Why agreement is important Why agreement is important
According to the managing director of Royal Sugar Elli Limpou, this big deal reveals the aim of the Greek company to become the No.1 sugar wholesaler in our country. According to her, the signing of the British Sugar deal agreement with Greece and neighboring countries is a major success for Royal Sugar as it guarantees large quantities of high-quality sugar, potentially covering the entire Greek market. The agreement also guarantees long-term co-operation regardless of Brexit and enables back-to-back contracts with key clients - industries.
Karathanasis: Royal Sugar is the technocrat who can save EBZ
Royal Sugar's interest in EBZ is not new, after all, the two companies are working closely together: In 2018, Royal Sugar was EBZ's largest liquidity sponsor buying 16,000 tonnes of sugar worth 7 million euros. This amount allows the EBZ to meet its obligations to farmers in Northern Greece.
In fact, the information says that the beet growers contact Royal Sugar President Christos Karathanassis and ask him to take over the operation of the EBZ plant in Platy Imathia to save the year. Mr Karathanassis, who had previously been interested in the Serres plant, is clear about his intentions: “We are committed to making all the productive investments needed to lead EBZ on the path to sustainable development. The salvation of Greek sugar must be entrusted to a Greek company that has secured a high level of know-how from its cooperation with major companies abroad. Royal Sugar is the technocrat who has to save EBZ. We want to be given the opportunity to make the most of our place, to bring Greek industry to the forefront, to create new jobs. Greece deserves better luck, it's time for the healthy forces of Greek entrepreneurship to come forward. "
Royal Sugar: The new big player in the Greek sugar market
Since its establishment in 2013, Royal Sugar SA is the fastest growing sugar processing, packaging and wholesaling company in Greece. Today it serves 30% of the domestic market, which has a capacity of 280,000 tonnes per year. It is the preferred distributor in Greece of the Dutch sugar producer, sourcing sugar from other European sources, and from third countries such as Mauritius, South Africa, Mozambique and others.
Royal Sugar's customers are large food industries, and almost all supermarket chains. It also exports to Cyprus, Bulgaria and Kosovo. Its facilities, in Thessaloniki and Athens, employ 60 people, working in the packaging and marketing of its full range of sugar products. In a highly compressed market, Royal Sugar's sales in 2018 amounted to € 25 million, continuing the same dynamic in the current year.