Plant & process conference.

Performance Review of
Agricultural Operation in
Operational Sugar Factories

July 2011 E.C.

 * 1. Introduction
Ethiopia has a potential to be in the list of few top
countries in sugarcane productivity, owing to it’s
immense natural resources & climatic conditions
favoring sugarcane production. In line with this, Cane
productivity history of Metahara & Wonji sugar
factories, which exceeded 180 tons/ha (10 ton /ha/
month) in many previous years, witnesses the huge
potential of our country.
 * Cont`d
In spite of this huge potential for cane productivity, in
recent years our cane productivity is declining
alarmingly achieving the lowest record ;
WSSF- 83 tons/ ha in 2017/18
MSF- 119 tons/ha in 2015/16 &
FSF - 84 tons /ha in 2018/19,
mainly due to different manageable problems.
 * Cont`d

 Reluctance to upkeep cane husbandry standards,

 shortage of Agricultural inputs,
 lack of improved sugarcane varieties are among the
main reasons prompting the dramatic decline in cane
productivity.
 * Cont`d

If we cannot manage to reverse this trend as

soon as possible, apparently our sugar
industry will no longer stand the fierce global
competition & un inevitably collapse.
 * Cont`d
•Apart from decline in productivity, rising cost of
production is another burning issue, which should be
dealt urgently.
•It is obvious fact that decline in productivity would
entail rise in cost of production per unit product, on top
of that our negligence in cost management is fatal to our
sugar industry.
 Cont`d
Therefore it is high time to give due attention to ,
• - cane productivity &
• -cost of production issues
• in order to avert the declining trend of productivity &
rising trend of cost of production.
• In Previous years Plant & process conference served as
an appropriate forum where all factories professionals,
• -Thoroughly discuss on current performances,
• -Analyze trend &
• -Share experiences among themselves.
*contd
* In recent years this very important conference was not
held due to different reasons.
* Currently the sugar corporation management is
aggressively looking for ways out of the existing alarming
productivity decline.
* Reinstalling all useful previous sugar industry working
cultures is one among the efforts given attention in this
regard.
 *contd
*This year the management has decided to hold
plant and process where;
concerned professionals working in and out of
the sector have a chance to share their
experiences and contribute in our performance
improvement endeavor.
*In line with this the last ten years Agricultural
operation major activities and performance
parameters report is presented for open
discussion in this paper.
 * Progress of major Agri. Operation
Activities
Wonji Shoa Sugar Estate
Production year (E.C)
S/N Major activities Unit
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
1 Cane coverage ha 6,904 7,274 7,287 8,747 10,065 11,986 12,244 11,834 9,712 9,712
2 Planting ha 1,082 1,852 3,255 2,614 3,035 1,574 1,632 1,456 1,909 1,624
2.1. CAC & CAF ha 1,082 1,289 1,446 1,364 1,479 1,297 1,632 1,456 1,909 1,624
2.2. New development ha 0 564 1,809 1,250 1,556 277 0 0 0 0
3 Area harvested ha 4,579 4,904 5,485 2,777 5,017 6,980 6,621 7,558 7,312 5,041
4 Input consumption                     
32,591. 10,000. 21,955. 12,216.
4.1. Urea fertilizer Qt   30,311.0 27,512.0 9,483 37,763  
0 0 0 0
33,446. 30,553. 61,480 32,990. 52,745. 53,270.
5 Herbicide chemical Lt   25,975.0 34,294.0  
0 0 .0 0 5 0
Cost of Cane up to
6
Weigh Bridge
Birr/Qt - 29.2 30.5 41.3 49.0 54.5 50.0 - - -

6.1. Unit Cost of estate Cane Birr/Qt   23.3 26.1 47.6 47.9 59.1        

Unit Cost of out grower

6.2.
cane
Birr/Qt   35.0 35.0 35.0 50.0 50.0 50.0      
contd
Metehara Sugar Estate

Production year (E.C)

S/N Major activities Unit
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

1 Cane coverage ha 10,231 10,231 10,228 10,231 10,240 10,235 10,232 10,222 10,222 10,222

2 Planting ha 1,609.0 1,510 1,227 1,274 723 1,502 913 1,790 1,280 1,078

2.1. CAC & CAF ha 1,609.0 1,510 1,227 1,274 723 1,502 913 1,790 1,280 1,078

3 Area harvested ha 7,435 5,755 5,296 4,998 6,871 8,141 6,647 7,605 5,726 4,787

4.1. Urea fertilizer Qt   20,647 17,169 16,838 2,781 27,764 20,678 14,384 17,319 16,798

4.2. Herbicide chemical lt 63,845 73,800 56,298 46,444 21,008 47,024 66,683 32,309 29,505 33,855

Unit cost of Cane up to

5 Birr/Qt 11.1 13.7 15.5 16.8 16.3 21.0 20.2 24.7 29.4 47.7
Weigh Bridge
contd
Finchaa Sugar Estate
Production year (E.C)
S/N Major activities Unit
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
1 Cane coverage ha 9,752 11,514 14,311 15,898 17,474 18,483 19,548 19,560 19,579 19,590
3 Planting ha 2,714 4,138 2,921 2,848 3,398 3,436 2,018 2,547 2,048 2,395
3.1 CAC & CAF ha 952 1,342 1,376 1,273 2,310 2,198 1,973 2,547 2,048 2,395
3.2 New development ha 1,762 2,796 1,546 1,575 1,088 1,238 45 0 0 0
4 Area harvested ha 7,051 6,578 6,491 7,372 9,609 11,483 9,854 11,536 9,469 10,470
12 Input consumption                      
12.1 Urea fertilizer Qt 24,756 23,513 20,995 16,653 17,983 29,582 11,285 15,468 7,810 17,901
12.2 DAP/NPS fertilizer Qt 22,644 22,993 23,400 22,316 24,742 24,415 14,040 19,000 13,338 25,265
12.3 Herbicide chemical lt 25,412 33,918 36,332 33,582 43,468 31,762 27,145 24,158 18,878 26,492

Unit cost of Cane up to Weigh

13
Bridge
Birr/Qt 17.6 20.0 25.2 28.5 32.3 28.0 30.0 38.2 41.6 59.0
Fuel consumption
Production Fuel utilization-Land preparation Fuel utilization-Harvesting
year (lt/ha)  (lt/ton/Km)
Wonji Wonji
  Metehara Finchaa Metehara Finchaa
Shoa Shoa
2002 0 16 100.065  0 0.085
2003 222 16.6 103.1687 0.15 0.327 0.08
2004 149 15.49 111.6431 0.14 0.227 0.085
2005 179 17.43 104.8997 0.12 0.273 0.1
2006 174.1 20.77 139.1602 0.11 0.42 0.076
2007 174.7 16.66 151.0674 0.11 0.393 0.099
2008 179 15 152.0341 0.1 0.33 0.095
2009 177 14.9 121.9985 0.1 0.39 0.099
2010 183.7 17.2 105.2851 0.1 0.402 0.09
2011 202 14.4 126.16 0.11 0.45 0.1
 Comparison, cane area
C a n e co v era g e (h a )

Wonji Shoa Metehara Finchaa

22,000
19,590
20,000
18,000
16,000
14,000 12,244
12,000 10,240 9,712
10,000
8,000
6,000
4,000
2,000
0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Production year
Comparison, harvested area
H a r v es ted a rea (h a )

Wonji Shoa Metehara Finchaa

14,000
12,000 11,536

10,000
8,141
8,000 7,558
6,491
6,000 4,787
4,000 2,777
2,000
0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Production year
2. Major Agricultural Performance Indicators
comparison
Sugarcane productivity (ton/ha)
Prod uctiv ity (ton/ha )

Wonji Shoa Metehara Finchaa

200
182 186 182
180 171 167
157
160
136
140 133
131 134 131 136 136
130 130
123
117
120 113 118 116
129 107
102
119 97 101
100 115 111 83
80
84
60
40
20
0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Production year (E.C.)

Cont`d

Sugarcane Productivity (ton/ha/m)

P ro d u ctiv ity (to n /h a /m )

Wonji Shoa Metehara Finchaa

12.0
10.0 9.8
10.0 9.0
8.3 8.6
8.0 8.1 8.0
8.0 7.7 7.7 7.6 7.7
7.1 7.3 7.0
6.9 6.6 6.6
6.2 6.4
6.0
6.0 6.7 5.6 5.5
6.4
5.8 6.0
5.4
4.0 4.7
4.1
2.0

0.0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Production year (E.C.)

Cont`d
S u c r o se c o n t e n t in c a n e ( % )
Sucrose content in cane (%)

Wonji Shoa Metehara Finchaa

16.0 14.7 14.6
13.8 14.2 14.1 14.3
14.0 14.0
13.2 13.7 13.3 13.3
14.0 12.9 12.9
12.5 12.2
13.4 13.7 13.4
12.0 13.1
12.1 12.5 12.5
11.9 11.7 11.6 11.5
10.0 11.2 11.1 11.1

8.0
6.0
4.0
2.0
0.0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Production year (E.C.)

 Cont`d

Productivity (ton/ha) Productivity (ton/ha/m) Sucrose content in cane (%)

160 15.0
146 143 146 13.6 13.5
141
13.0 13.2 13.1 13.2 14.0
140 12.7 12.8
12.3 12.113.0
139 12.0
120 125 11.0
Productivity (ton/ha)

117 10.0
100 108 1059.0
101
8.8 8.0
808.2
7.6 7.0
7.0 6.7 6.9 6.0
60 6.5 6.1 5.7 5.65.0
40 4.0
3.0
20 2.0
1.0
0 0.0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Production year
Reasons for cane productivity decline
 

1- Management related problems

1.1- Violating the recommendation due to different
reasons;
 Recommended planting time,
the crushing period is scheduled to end before the
rainy season,
Seed cane production procedures; Initial seed cane,
seed cane & commercial cane,
contd
Proper Application of fertilizer by properly
calibrated fertilizer application machineries to
maintain the rate & uniformity of application.
Land preparation has recommended sequences and
standards which is violated due to different reasons
resulting poor seed bed preparation.
The cropping pattern (cane cycle programme)
1.2- Reluctance to upkeep cane management activities
standards;
 SOP
Land preparation
Planting
Fertilization
Irrigation
Weed mgt
Disease & pest control
Cane Harvesting
Machineries utilization & maintenance
 2 Resource related problems.

Absence of new improved cane varieties,

 Shortage of irrigation water,
Poor seed cane treatment facilities. Hot water treatment plant,
chemicals,
Shortage of agricultural inputs (Fertilizers, herbicide, insecticides),
Shortage of Farm machineries; LPCD, Harvesting, construction
Shortage of supervision vehicles
Shortage of Spare parts
contd

Shortage of skilled manpower.

Shortage of irrigation materials. Malfunctioning pumps due to
oldness,
Canal capacity problem to supply water for the command area.
Shortage of manpower ( Labor) to execute cane management
activities in time.
Shortage of infrastructures in new agricultural villages.
* 3 Remedial measures;
3.1- Measures to be taken to address management related problems;

3.1.1- Required efforts to avoid/ reduce violating recommendations;

Concerted efforts by all concerned is required to accomplish planting
activity within the recommended time schedule.
Avoid out of season crushing.
Due attention should be given at all levels to strictly follow the seed
production procedure.
Fertilizer application machineries should be regularly calibrated by
skilled personnel.
Seed bed preparation standards should not be
violated for any reason.
The cropping pattern should be studied. Recycling
program should be led accordingly.

*contd
* 3.1.2- Required efforts to avoid/reduce negligence to follow standards ;

Supervisors, foremen ,headmen, laborers should be well aware of

SOP and committed to strictly follow the procedures, all through the
production process. (continuous training, regular supervision at all
levels is crucial)
Machineries maintenance should be to the standard through
coaching & strict follow up.
Zero tolerance for negligence in any operation.
Intensify the recent encouraging activities being carried out in
introduction & commercialization of new improved varieties.
The hot water treatment plant required for initial seed cane
treatment should be properly functional throughout the season.
Otherwise, plantlets from tissue culture should be used for initial
seed cane.
All concerned departments should work together to have adequate
supply of inputs consistently.

* 3.2- Measures to address resource

related problems
Procurement of new machineries & implements commensurate with
the expanded cane area should be conducted.
Provision of Supervision vehicles equivalent to the number of field
supervision personnel .
Spare parts supply should be well planned, so that maintenance is
conducted in time.
Upgrading the skill of mechanics, machine operators to the required
standard should be given due attention.

*contd
 *contd
Irrigation materials shortage should be avoided. Due attention is
required for Replacement of old malfunctioning pumps.
Negotiation with EPCO officials should continue to make sure water
shortage will no longer be a problem.
Efforts are required to finalize Completion of Agricultural villages
under construction at all site.
 In recent years cost of cane production is alarmingly rising, owing to
the facts;
* Poor attention on cost issues by management & employees. Most of
the time the major concern of the managers is attaining a production
target for the season at any cost.
* Rising price of agricultural input (Agro chemicals, spare parts etc).
* Increasing labour cost (wage, salary increment).
* Failure of recently purchased Agricultural machineries to be

*
operational as long as they are expected.
Production cost
 * contd
Decline in cane productivity. When production per unit area reduces,
obviously cost per unit production rises, even if the cost encored per
unit area remains the same.
poor quality of work, which results in repetition of work/cost.
Therefore due attention should be given by all concerned to manage
manageable costs in the cane production process.
 *Cont`d
Fuel utilization-Harvesting (lt/ton/Km)
 *Cont`d
Unit cost of Cane up to Weigh Bridge (Birr/qt)
 * Solutions to control cost of production

Enhance productivity
Improve machinery performance
Reduce labor cost, minimize repetition of
work.
Increase resource utilization efficiency
Improve performance efficiency
THANK YOU FOR
YOUR ATTENTION!