BELGRADE (Serbia), July 4 (SeeNews) – Serbia needs no more than four sugar factories as the domestic market is not big enough, according to Miodrag Kostic, president of vertically integrated conglomerate MK Group, local media reported.
The Serbian market could absorb only 200,000 tonnes of sugar annually, while up to 180,000 tonnes could be exported to the EU, Hungarian-language newspaper Magyar Szo quoted Kostic as saying in an interview on Monday.
Last year, the three sugar factories of MK Group's subsidiary Sunoko produced a total of 420,000 tonnes, while the combined output of the two factories of Hellenic Sugar Industry in Serbia came in at 170,000 tonnes, Kostic said.
The surplus of 200,000 tonnes cannot be sold below market price, unless the government provides support, he added.
Hellenic Sugar Industries said on Monday that MK Group is among the three bidders for its two factories in Serbia, located in Crvenka and Zabalj.
Sunoko operates sugar mills in Vrbas, Pecinci and Kovacica and is the largest Serbian sugar manufacturer and exporter, according to data from the corporate website.