The Chemical Industries of Senegal plans to invest 60 billion FCFA for a fertilizer plant in Mbao, increasing annual production from 250,000 to 600,000 tonnes. A separate 240 billion FCFA investment aims to enhance rock processing by an additional 300,000 tonnes, contributing to the government’s agricultural sovereignty goals. Despite past challenges, ICS is financially recovering and aims to continue supporting Senegal’s economy.
The Chemical Industries of Senegal (ICS) has unveiled plans to establish two new plants aimed at enhancing fertilizer production and processing phosphoric rocks. Director-General Mama Sougoufara informed attendees at a seminar in Dakar about a significant investment of 60 billion FCFA for the Mbao plant, which is projected to increase fertilizer output from 250,000 to 600,000 tonnes annually.
Additionally, ICS intends to invest 240 billion FCFA in a new raw rock processing facility, which should contribute an extra 300,000 tonnes to production. This initiative aligns with the government’s objectives for agricultural advancement and enhancing food sovereignty, according to Sougoufara.
In a review of the company’s performance from 2014 to 2023, Sougoufara highlighted production figures including 2 million tonnes of phosphoric rocks, 600,000 tonnes of phosphoric acid, and 250,000 tonnes of fertilizers, noting that the ICS has faced challenges but has shown resilience. The restructuring phases since 2008, including Indorama’s majority stake acquisition, have stabilized the company.
In the financial context, significant progress has been made since 2013, where ICS was under a potentially bankrupt scenario with a debt of 271 billion FCFA. Indorama’s investment strategies have secured the banking sector’s stability and provided guarantees valued at 131 billion FCFA for lenders.
Furthermore, all debts were reportedly settled as of December 2022, totaling 161 billion FCFA. Senegal holds a 15% stake in ICS and has received dividends of 25 billion FCFA in 2023, contributing an estimated 84 billion FCFA to the state budget over the past decade, as noted by Sougoufara.
The announcement by the Chemical Industries of Senegal regarding the establishment of two new plants signifies a strategic move to boost fertilizer production and enhance the processing of phosphoric rocks in Senegal. This development comes in response to government initiatives aimed at agricultural improvement and self-sustainability in food production. Since its restructuring, ICS has worked to recover from financial strains and play a critical role in the national economy by supporting local agriculture. The investment initiatives reflect a broader effort to align with Senegal’s 2050 agenda, ensuring significant contributions to the economy and agriculture sector. Additionally, the company’s financial turnaround and performance metrics highlight their resilience in confronting global economic challenges.
The establishment of two new plants by the Chemical Industries of Senegal marks a significant investment in the country’s agricultural sector, with ambitions to boost fertilizer production and process phosphoric rocks. Under the leadership of Mama Sougoufara, ICS aims to enhance its contributions to Senegal’s economy and agricultural sovereignty. The company has demonstrated resilience through past challenges and is positioned to play a crucial role in meeting national agricultural goals and supporting the state budget.
Original Source: www.senenews.com
