COSUMAR

Sustainable Development in the Sugar Industry

Product 73D0Cf8C

Authors

Yahya EL HAJJAMI

Yahya EL HAJJAMI

Reda Laaboudi

Reda Laaboudi

Younes Lahouaoui

Younes Lahouaoui

School

Al Akhawayn University

Al Akhawayn University

Professor

Mary Grace Neville

Mary Grace Neville

Global Goals

3. Good Health and Well-Being 4. Quality Education 6. Clean Water and Sanitation 9. Industry, Innovation and Infrastructure 13. Climate Action

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Summary

The first main innovation consists in reducing carbon emissions within the industrial process, and re-using them in the same process. The second main innovation consists of reducing water waste.

Innovation

For the innovation concerning the carbon emissions, the company uses a complex process in which carbon emissions are chemically transformed into energy which is therefore re-used in the industrial process. According to the company's official website, COSUMAR has taken several measures in order to "optimize energy consumption through the introduction of more economical techniques and conversion of existing facilities to new fuels".

Moreover, COSUMAR developed a technique to reduce significantly the consumption of water in the production of sugar. COSUMAR not only treats wastewater, but it has also created artificial lakes (from waste water treatments) for irrigation. Those lakes attract each year more and more species of migrator birds, impacting positively the ecosystem. COSUMAR started its innovation in an experimental farm in the region of El Jadida, Doukkala, specially dedicated for Research and Development activities.

Sustainable Development in the Sugar Industry

Inspiration

The original idea was imposed by the climatic changes that have resulted in several drought periods, bad agricultural performances and water penuries. This has lead COSUMAR to study about new and more efficient production processes. “The first motivation is to provide a sustainable economic model of development for COSUMAR” said Mr Derj. “ As you know, many households depend entirely on COSUMAR, and the implications are too important to stay inactive”, he also added. The second motivation concerns the involvement of COSUMAR in the protection of environment. Indeed, “ human beings must respect the environment and ensure that all the efforts are made to protect it” added Mr Derj.

Overall impact

The innovation led to the generation of high and increasing returns. Through the process of energy optimization and water saving allowed COSUMAR to cut its manufacturing and operating costs, which has led to increasing income. Those profits are not only rewarding the company but are also beneficial for the society. Actually, a part of the profits made thanks to the innovations were re-invested in educational and health care purposes. Many schools were built in inaccessible villages, in the aim of fighting illiteracy. When it comes to the environmental impact of COSUMAR, it is unnecessary to mention that the innovations positively impact the environment.

Moreover, the company has also a corporate social responsibility towards its employees and their families. COSUMAR Group employs directly and indirectly 3350 people and partners with many external collaborators (80,000) all around Morocco. According to the official website of the company, "Cosumar pays particular attention to the welfare and development of its employees and their families through multiple social benefits and the organization of various educational and cultural events."

Business benefit

Those innovations impacted positively the business and the financial condition of the company. Thanks to this model, COSUMAR is making each year more profit. The returns were in 2017 around 575 million dirhams with an increase of 38.1 million dirhams (+ 7.1%) compared to the achievements of the first half of 2016 even if the climatic conditions were not favorable for the production of the raw materials used for sugar production.

Social and environmental benefit

The innovations resulted in the decrease in cost of production and allowed a significant increase in the business profits. The business favorised wealth creation and participated in social and environmental development. COSUMAR helped in the construction of schools in the rural areas near its farming and production site, as well in other rural areas where there is a high need of educational infrastructure.

Moreover, COSUMAR takes also in consideration the welfare of its employees by providing them and their families with social benefits. According to the official website, "COSUMAR pays particular attention to the welfare and development of its employees and their families through multiples social benefits and the organization of various educational and cultural events." The company is also involved in providing support for micro, small and medium entreprises existing in the company's ecosystem. "The group has helped actively in the creation of 160 businesses related to seasonal agriculture activities".

Interview

Azziz Derj, Interview about COSUMAR's innovations

Business information

COSUMAR

COSUMAR

Casablanca, MA
Business Website: http://www.cosumar.co.ma
Year Founded: 1929
Number of Employees: 1001 to 5000

COSUMAR Group is a moroccan public company listed on the Casablanca Stock Exchange. The Group ensures the extraction of local sugar plants, refining of imported raw sugar, packaging, distribution and export of white sugar. The company gathers a group consisting of five companies specializing in the extraction, refining and packaging of sugar in various forms, and these companies are: COSUMAR SA, Sunabel, Surac, Sucrafor and Suta.