Lower sugar production mirrors PH overall sentiments this year – RHI
Roxas Holdings, Inc., one of the country’s biggest sugar and ethanol producer, eyes lower sugar production for both its operating plant this year, reflecting overall outlook in the Philippines at the aftermath of an El Niño episode.
According to RHI President and Chief Executive Officer Hubert Tubio, sugar production to reach around 3.1 million metric tons this year – some 1.8 million attributable to its Negros Occidental operations and some 1.35 million MT to its Batangas refinery.
This was lower than the 1.9 million MT in Negros and 1.85 million in Batangas last year, Tubio added.
It was a different case for ethanol s RHI expects to produce over 78 million liters, higher than the 70 million liters produced in the previous year.
Despite the uncertain environment this year, the company still hopes to lower the level of indebtedness in next couple of years. This, according to Tubio, will help lower the interest expenses of the company and boost profitability.
At present, RHI has a net debt of P10 billion, while the interest expense is at P400 million.