Sweet Newsletter No.4, By Ethiopian Sugar Corporation


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Sweet Newsletter No.4, By Ethiopian Sugar Corporation

  1. 1. The implementation of the plan in the sugar develop- ment sector of the GTP is encouraging, Abay Tsehaye, Director General of Sugar Corporation with a rank of minister disclosed. On the meeting held for three days starting from Au- gust 7, 2013 to evaluate the 2005 E.C. performance and 2006 E.C. physical and financial plan of the corpora- tion Abay commended the implimentation of the plan set on the sector. Implementation of Sugar Development Plan Encouraging Employees & Leadership Vowed to Realize the Late Premier’s Vision on the Sector Employees and leadership of Sugar Corporation as well as staffs of Liaison Offices of Wonji/Shoa , Metehara , Finacha and Tendaho sugar factories here in the capital vowed ,while commemorating the first year anniversary of the sad death of the late great leader of the nation his excellency Meles Zenawi, to work with high dedication so as to realize his vision on the sugar development sector. Sugar Corporation Plans to Satisfy Domestic Demand by 2006 * Above 69 Thousand Job Opportunities will be Created »» P.3 »» P.4 »» P.2 SweetVISION ፡ TO CREATE SUGAR INDUSTRIES COMPETITIVE ENOUGH AT INTERNATIONAL LEVEL BASED ON A SUSTAINABLE GROWTH PATTERN Vol. 2 No. 1 September, 2013 Newsletterተወዳዳሪ የስኳር ኢንዱስትሪ መገንባት! Building Competitive Sugar Industry! Quarterly Newsletter Prepared by Communication Directorate, Sugar Corporation :+251-(0)11-552-7475/6322 : +251-(0)11-515-1283 : 20034 Code 1000 A.A Sugar_corp@ethionet.et www.etsugar.gov.et The Rebirth of the Pioneer in a New Form ›› P . 6Inside Page Abay (left) presiding the meeting Increasing the average 300 thousand tons of sugar annually produced by the existing three sugar factories close to 546 thousand tons, Sugar Corporation plans to satisfy domestic sugar demand by 2006 E.C., Plan and Project Division of the corporation disclosed. Shimeles Kebede, Plan and Project Deputy Director General of Sugar Corporation said to the editorial office
  2. 2. page 2 www.etsugar.gov.et||www.facebook.com/etsugar Sweet N e w s l e t t e Quarterly Newsletter of Ethiopian Sugar Corporation Sugar Corporation Plans ... Factory Plans to Produce 1.3 Million Quintals of Sugar on 2006 Budget Year                                       Metehara Sugar Factory plans to produce 1.3 mil- lion quintals of sugar and close to 10 million liters of ethanol on the 2006 budget year. The report of the factory’s Public Relations Of- fice disclosed that the factory , in a bid to bring its golden production years record back in place, is found making the necessary preparations exerting its maximum effort in completing the overhaul- ing job during the winter season. High upgrading work will be done on the factory’s boiler number four and other diffuser machineries during the overhauling period that stretches from half of July to November. The budget year’s plan is set following the com- mon successive forums of all employees and lead- ership of the factory which have deliberated on the factory’s 2005 budget year performance in detail, the report of the office added. Mutual understand- ing is reached at with the participants of the fo- rums thereby extensive works shall be done in fill- ing the gap of inputs of both human resource and materials, skill and of the wrong attitudes ahead of time so as to achieve the target the factory has set, it was learnt. The successive forums in which high motivation and regret of all employees and leadership of the factory is reflected with regard to recent low pro- duction performance record of the factory have at last come into consensus to bring the factory’s golden production years record back in place as of 2006 budget year, the report further mentioned. Hence, employees and leadership of the factory have voluntarily started working on their break hours including weekend days, it was disclosed. Shimeles Kebede of our newsletter that the expansion work of Wonji/Shoa and Fincha sugar factories, which contribute a lot to the increment of the nation’s sugar production, is concluded enabling them inter into regular production with high production capacity as of October, 2013 while Tendaho Sugar Factory the first phase factory con- struction of which is closer to its completion is to begin production as of December, 2013. According to Shimeles 95,000; 200,000; 123,600 and 130,000 tons of sugar is expected to be pro- duced from Wonji/Shoa, Fincha, Tendaho and Metehara sugar factories respectively by the year 2013/14. The production of these all factories will not only satisfy the domestic demand but also help the nation to do away with import of sugar spending a large amount foreign currency annually, he further explained. New job opportunities which shall be created in 2006 budget year by the corporation, small and micro enterprises and also contractors will give the chance to 69,254 citizens to be recruited on perma- nent and contract basis among which 20,195 shall be women, Shimeles further disclosed.
  3. 3. page 3 SweetN e w s l e t t e r Quarterly Newsletter of Ethiopian Sugar Corporation According to the director gen- eral when the plan in the sec- tor was set at various regions as part of the five years GTP there was no road, electric, tele- phone , etc... infrastructures at the selected sites of new sugar development projects while do- mestic contractors at the same time had no experience in the sector both contributing to the drawback in implementing the plan fully. “The first year of the GTP peri- od was therefore only a year of making the necessary prepara- tions to implement the plan and it was since 2004 E.C. that ac- tual works have partially been started” , Abay stated. Explain- ing the situation new sugar de- velopment projects are found the director general said that the construction of Kuraz One, Kesem and Tana Beles One and Two factories will be finalized by the year 2006 and thereby start production the following year. The construction of Kuraz Two and Three and of Wolkai- yet sugar factories will begin as of 2006, he further added. On the occasion the direc- tor general also disclosed that Wonji/Shoa and Fincha sugar factories which have concluded their expansion work will start producing additional sugar by 2006 while Tendaho Sugar Factory with its first phase con- struction completed by 2006 will enter into regular produc- tion by mid of the same year. When these three factories en- Implementation of Sugar ... Participants of the meeting ter into production they will not only satisfy the domestic de- mand but also help the govern- ment to do away with import- ing over two million quintals of sugar annually, he further men- tioned. The construction of sugar fac- tories; houses of residential and non- residential; dams and ca- nals; the plantation of sugarcane as well as construction of social services and infrastructures to the people at and around proj- ect sites will continue in 2006 E.C. more strengthened so as to attain the goal set on the sector in a coordinated manner, Abay noted. As the sector is very wide and new to our nation it demands the coordinated work of regional governments, stake holder fed- eral institutions, domestic as well as foreign companies and also the people living in and around sugar factories and proj- ects, he further stressed. The gap in skill of both employ- ees as well as leadership of the corporation, stake holders, and contractors were identified as the main obstacles faced during the implementation of the plan in the sector, Abay explained . To fill the gap in leadership quality and the skill required among employees, the corpo- ration has planned to prepare various training programs to be conducted using both domestic and foreign professionals and also to apply Kaizen in a more strengthened and desired level as of 2006 E.C. it was disclosed. Eventually, the director general stressed on the need to the em- ployees and leadership of the corporation of working with full enthusiasm and dedication so as to finalize works which had not been done by 2005 and also ac- complish the plan set for 2006. On the three day discussion held, Shimeles Kebede Plan and Project Division Deputy Direc- tor General of the corporation has presented the performance of 2005 plan and also the 2006 physical and financial plan of the corporation in detail upon which employees of the corpo- ration have intensively deliber- ated on.
  4. 4. Employees & Leadership Vowed... The memorial program with a leading motto that goes: “Keeping Your Word, We Have Renewed Ours to Keep It Up Even Higher” was held on Au- gust 20, 2013 at the meeting hall of Sugar Corpora- tion with various events. On the occasion, a candlelight vigil and a prayer program was held commemorating the late leader followed by, in relation with his vision on the sugar industry, the presentation of a documentary film that depicts the various activities underway in the sugar development sector. Woyo Robba, Operation Division Deputy Director General of Sugar Corporation while delivering his message on the event said that the late Prime Min- ister Meles Zenawi was the one who had played the greatest role in expanding the sugar development sector at a wider scope in the nation. Woyo further called upon the employees and leadership of the corporation to work with high dedication in real- izing his vision on the sector finalizing the already started activities. “The successful works the late prime minister had done to transform this nation into higher develop- ment level will always be remembered”, Woyo fur- ther remarked. Higher contribution from employees and leadership of the corporation on the sector is highly expected to realize the renaissance of Ethio- pia envisioned by Meles, he finally said. On the occasion, the leadership and employees of the corporation were asked to contribute their own share in terms of their knowledge and/or finance to establish The Meles Zenawi’s Research and Study Centre. Employees Ready to Implement Green Development Strategy Employees of Sugar Corporation said that they are ready to implement the green development strategy the nation is set to realize planting seedlings and taking care of them afterwards. While planting seedlings on July 19, 2013 at Alula Forest around an area known as CMC here in the capital with a leading motto that goes – “Let Us Hand Over Green Environment to the Coming Generation“, the employees confirmed their readiness to carry out their responsibilities responding to national issues they are expected to take part as citizens of this nation . Coordinator of Seedling Planting Committee Senayit Belay on her speech on the occasion noted that the corporation has made successive awareness raising discussion forums and train- ing for trainers programs ready to make the wide ranged development activities of the corporation on the sugar industry sustainable and reliable. Forming seedling stations at and around areas where sugar development activities are carried out and conducting seedling planting programs, the corporation is working hand-in-glove with communities around , Senayit further added. The candlelight vigil S w e e t N e w s l e t t e r4 Vol. 2 No. 1 || September , 2013
  5. 5. 5 Due attention is given by the corporation to the job of containing wildfire, making working envi- ronments attractive and taking care of green areas on the existing sugar factories , she said. Employees of the corporation have promised to plant more seedlings and take care of them there- after to make the implementation of the green development strategy of the late great leader of this nation His Excellency Meles Zenawi sustain- able, it was learnt. Factory Minimizes Expenditures Applying Kaizen Giving successive training programs to employees and leadership on the theory of Kaizen and applying the philosophy into practice with wide mobilization of all, Fincha Sugar Factory has registered remarkable result in minimizing its expenditures. According to the report of Public Relations Section of the factory, the high motivation reflected from the employees and leadership; the spirit of competition among the various sections for outstanding result ; the strong team spirit; staffs punctuality in attendance; the commendable actions taken in minimizing expen- ditures and the effort exerted in avoiding loss during production processes are remarkably growing among all staffs of the factory all of which made possible through the successive training programs and discus- sion forums the factory has held with regard to the phi- losophy of Kaizen and its applications. The application of close to 16 resource minimizing practices at the Filed Maintenance Section of the factory within a short period of time has triggered moti- vation across its other work units. it was learnt . A machinery modified to do both the job of fertil- izer application and plowing simultaneously and an ISUZU car with appliance of some modification made to start giving service after 10 years of disposal are some among others identified as remarkable results the factory has attained applying Kaizen. The applica- tion of the philosophy has helped to save more than 6.5 million Birr at Field Machineries Maintenance Section of the factory alone, the report disclosed. Furthermore, applying Kaizen at the health sector of the factory, more than 1.8 million Birr was saved within six months, the report further added. The application of the philosophy has helped to minimize number of patients and those who unnecessarily used to take sick- leaves while the malaria prevention system has played a pivotal role to the success gained at the sector, it was noted by the report. Machinery modified to have a double purpose Employees planting seedliings Quarterly Newsletter of Ethiopian Sugar Corporation S w e e t N e w s l e t t e r
  6. 6. Some 59 years back fellow Ethiopians were not accustomed to a factory product known by the name –Sugar. And, it was the nation’s pioneering cane crush- ing plant built in 1946 E.C. – Wonji Sugar Factory that acquainted them with it. Unlike today the supply of sugar had been over the local demand during the first few production years of this factory that the factory had been engaged in introducing this sweet product to Ethiopians free of charge. Aged employees of this factory recalls in amusement their experience in introducing the product moving from one place to another making free tea available to Ethiopians who were stranger to its taste by then. It took less than a decade when the need for the second sugar produc- ing plant came forth paving way to the birth of another plant – Shoa Sugar Factory at Wonji and it was in 1955 E.C. And, these two facto- ries had been serving for close 50 to 60 years satisfying the domes- tic demand till very recent years getting supply support from the nation’s relatively latest two sugar factories - Metehara and Fincha sugar factories. As time elapses the machineries of the aged two factories became obsolete and finding spare parts on the market became very tough which forced the factory to higher cost of production. Therefore, replacing these two plants became mandatory not only because they are outdated but also the strategic economic advantage of the sector calls for a plant with a-state-of-the- art technology of higher production capacity and quality. The aging pioneering sugar facto- ries are never giving up their role on the aftermath of their closure leaving nothing that follows their footsteps. They rather give birth to a new and modern plant ready to enter into regular production by 2006 E.C. with 6,250 TCD (Tons of Cane Crushed per Day) that doubles the two oldest plants. And, it in the long run will be raised into a plant of 10 to 12, 000 TCD. Therefore, their closure is being fol- lowed by the birth of a new, modern and more automated one that it could be considered as their rebirth – in a new form and style! The birth of the new Wonji/Shoa Sugar Factory is a reflection of the beginning in realizing the FDRE Government’s five years GTP in the sector as carrying out expan- sion projects on the existing sugar factories is one targeted at it while building 10 other new factories and bringing the two-phased con- struction job of Tendaho Sugar Factory into its completion are the others. The other worth mention- ing success is the completion of the expantion project of Fincha Sugar Factory. The construction of the new Wonji/ Shoa Sugar Factory is started three years back in 2003 E.C. to replace the oldest outdated two plants- Wonji and Shoa sugar factories. And, Wonji Sugar Factory was made to stop production since the beginning of 2005 E.C. while Shoa is to follow Wonji and stop produc- tion hereafter leaving the task to the newly built plant ready to do the job that had been theirs for more than half a century in a more efficient and modern way. The new plant at the start has a capacity of producing around 1.7 million quintals of sugar a year which with more expansion job will reach to 2.7 million quintals. Satisfying its own demand it will export 22 Mega Watt electric power to the nationa grid. The factory will also produce 10,299 meter cube The Rebirth of the P in a New Form Machineries Operation Controlling Room Production PIntroducing Sugar S w e e t N e w s l e t t e r6 Vol. 2 No. 1 || September , 2013
  7. 7. 7 ethanol per annum. The plant is made to be equipped with various machineries which will help the factory work in a safe and efficient way. Accordingly, reserve machin- eries are found installed at key process points so that down times due to a failure of a machine will be minimized a great deal. Moreover, as the plant is techno- logically advanced it minimizes loss during production process, gives better product with minimal energy consumption, releases harmless wastes, equipped with various machineries protect inter- nal machineries of the plant from damage due to the entrance of unwanted materials while it is also environmentally friendly. As it is also highly automated plant every activities of its machineries is con- trolled at one station. Here anyone familiar with the working environ- ment of the nation’s existing sugar factories will be taken aback when he/she looks at the huge and intri- cate machineries of the plant are only attended by few staffs of the factory. Furthermore, the transporting task of the last packed sugar product to the factory’s warehouses is accomplished through a long belt stretched from the factory to the ware- houses that greatly avoids the labo- rious job and saves a lot the human resource of the factory to be asigned at another demanding task. In its relentless effort to come up with a new and modern plant the manage- ment of Sugar Corporation and Wonji/ Shoa Sugar Factory has not left all the burden of pro- ducing sugar that doubles the old two factories in quantity and also excels in quality to the modern plant with latest technol- ogy alone. They rather have made the staffs of the old factories work on the new one for months so as to acquaint them with the various machin- eries of the new plant of modern tech- nology and thereby they can be able lead its operation independently. Moreover, Wonji/Sohoa Sugar Factory has equipped its leadership and employees with a key science that enables it to be more productive with reduced cost and that science is – THE PHILOSOPHY OF KAIZEN! As any one might recall Wonji/Shoa Sugar Factory, standing first out of more than one hundred rivals nationwide, has recently won a trophy for its out- standing application of the Kaizen phi- losophy. The new plant, therefore, is not expected to come up with expected result alone. Ascientific tool – KAIZEN and a well trained staffs of Wonji/Shoa Sugar Factory are there to carryout the task. And, as the plant is expected to work with 6,250 TCD, it demands the supply of cane that doubles the old two used to seek. Hence, the new Wonji/Shoa Factory, in line with the construction of this new High Tec plant, had been engaged on the expansion job of its cane cultivation land. The factory is conducting expansion work on its cane cultivation land so as to have around 16 thousand hectares of land which satisfies the demand of the new plant with 6,250 TCD capacity. And, what makes the expansion job of Wonji/Shoa Sugar Factory quite dif- ferent from others like Fincha Sugar Factory is that the expected additional cane is supplied by out growers. One has to note here that the former two sugar factories had only 6 thousand hectares of land under their man- agement while 1 thousand hectares of land had been cultivated by out growers. Out of the total 16 thousand hectares of cane cultivation land the new plant will have , nine thousand hectares of land is to be owned and cultivated by out growers who have contractual agreement to supply their cane to the factory. Currently the factory with its cane cul- tivation expansion project has 3,000 hectares of land at Dodotta and 1,000 hectares at Wolenchiti covered with cane cultivated by out growers while it has finalized the construction of main and secondary canal to cultivate 5,000 hectares of cane at Wolenchiti by 2013/14. Therefore, with the help of the factory starting from land prepara- tion to other routine technical support such as supply of pesticides, fertiliz- ers and other professional support these out growers will supply the cane demand of the new plant throughout its production seasons. Besides selling their cane to the factory these out growers get paid to their labor working on their own cane cultivation land. The symbiotic relationship between the out growers and the new and modern plant with higher crushing capacity will continue more strengthened and the rebirth of the old Wonji/Shoa Sugar Factory in a new form and style will proceed making farmers around it the most beneficiaries! With this single instance it is vivid to see the role of the sugar development sector in cre- ating wider job opportunities and con- ducive market link to people around project or factory areas in particular and to citizens of this nation in general! Here it is!!! One can see that sugar corporation’s contribution in making poverty a history at this nation is start- ing to surface clearer and clearer!!! Pioneer Process House New Wonji/Shoa Sugar Factory Quarterly Newsletter of Ethiopian Sugar Corporation S w e e t N e w s l e t t e r