Al Sharkeya Sugar Manufacturing (Al Nouran)

Al Nouran Sugar represents the convergence of agricultural expertise, manufacturing know-how in sugar production and an ideal location to fill a crucial void in the market. Founded in 2006 to address the expanding and unfulfilled demand for quality white sugar in Egypt and the MENA region, Al Nouran Sugar (ANS) is the only integrated sugar concern in Egypt. ANS is a greenfield project that will build Egypt’s first state-of-the-art sugar production facility in the governorate of Sharkiya, with a total investment cost of EGP 2.5 billion (USD 350 million). Its main activities will be the production of sugar from sugar beets and refining raw sugar into white sugar, byproducts of which (molasses and fodder) will also be sold in international markets. In line with its strategy of consolidation and integration, ANS will have the upside potential of full-market access (white sugar off-take and raw sugar supply) through its sponsor and main shareholder, Al Nouran Multitrading. Its daughter company, Al Nouran Advanced Agriculture, will be its long-term sugar-beet supplier. ANS’s facility in Sharkiya is expected to launch operations on its first production line in 2017, and upon completion of its second line in 2018 will have a white sugar processing capacity (from beet slicing) of 274,000 tons per year, while its white sugar refining capacity will be 315,000 tons per year. Its byproducts are expected to reach 105,000 tons per year of molasses, while fodder should reach 106,000 tons per year. The Sharkiya plant is strategically located near two major ports and a refinery, specifically: Damietta Port and Port Said, and the Sokhna Refinery on the Red Sea (each within 100 km). The facility will also have the potential to access 823,000 feddans* for beet cultivation. Over the past 10 years, there has been a 20-fold increase in Egyptian beet cultivation (at an average CAGR of 26%), ensuring ample feedstock, and the Ministry of Agriculture’s Sugar Crops Council nominated Sharkiya as the best location for a sugar beet factory in Egypt. * feddan: unit of agricultural land in Egypt = 4,200 square meters. Competitive Advantages : Al Nouran Sugar benefits from a number of strategic advantages, both in terms of capabilities and market conditions, which when fully leveraged will allow the company to be the leading sugar producer in Egypt, the Middle East and Africa.