Local sugar producer, Hippo Valley Estates, has added the United States and the European Union to its export markets.
A Hippo Valley Estates trading update for the third quarter period ended December 31, 2025, shows that the business recorded a strong production performance over the past two seasons, resulting in excess sugar available beyond domestic market requirements.
The company’s manufacturing division achieved a 1% increase in sugar production, reaching 1,905 tonnes above the prior year, reflecting modest growth in cane supply and improved milling efficiencies. Consequently, the cane-to-sugar ratio improved to 8.01%, representing a 0.6% year-on-year enhancement.
“In light of this, more sugar was being availed to the export market. Export sales grew by 53%, with increased volumes supplied into Burundi, Rwanda, Botswana and the USA. A 36,000-tonne industry shipment to the European market departed shortly after the quarter end,” said Hippo Valley.
On the domestic front, sales increased by 10%, rising by 27,290 tonnes year-on-year, with demand remaining strong, supported by steady disposable incomes and the competitiveness of the Huletts Sunsweet brand.
However, demand for raw sugar softened marginally during the period, as some industrial customers shifted to alternative sweeteners following the introduction of the sugar tax.
Revenue for the nine months increased by 10% to US$174 million, supported by a 14% increase in total sales volumes. Nonetheless, higher exposure to COMESA markets moderated overall gains, as 22,016 tonnes were sold compared to 3,001 tonnes last year at prices that were 7% lower.
“The growth in revenues remains underpinned by positive production performances, good product quality and excellence in our sales and marketing efforts, which guaranteed product availability,” said the company.
