Prior to 2002, it was a 2500 tcd co-operative sugar mill that was run by the state of Andhra Pradesh. With outdated equipment and plant & machinery, the then cooperative sugar mill always recorded heavy losses which drove the state government to hive it off in “tender process”. It was during that period 2002 September, the present management of NCS had got their hands on this dilapidated sugar mill through the tender process. The subsequent years saw the rise of the sugar mill with state of the art machinery, capacities increased to 5000 mt per day crushing along with the erection of a 20 mw co-generation power plant equipped with a multi fuel boiler alongside the sugar mill.
Many steps were initiated in the modernization of the plant and also equal emphasis thrust given to cane development. NCS Sugars ltd suddenly became the largest industry in the district of Vizianagaram with a strength of more than 1000 staff members of all cadres at its disposal. The mandatory “CSR” has sure taken NCS to greater heights what with its adoption of 4 adjacent villages. NCS has since then taken care of 24 hour water supply building overhead tanks), electricity ( by laying poles and stringing it with conductors), laying of cement roads in the villages, conducting weekly medical check-ups to the villagers, granting scholarships to meritorious students of the villages and above all providing them with suitable jobs on priority.
Obstacles and Challenges Encountered During the Journey by NCS Sugars
The challenges and hurdles encountered during this strenuous journey are innumerable.
- Paucity of working capital.
- Since sugar is an essential commodity, the prices of both sugarcane and white sugar were controlled by the state and central government causing immense financial problems. Added to them was the 10% levy that the sugar mills have to cough up to the state governments at an abnormal discounted rate compared to the market price. This is the sugar that the state governments supply to the BPL families.
- Sugar industry being seasonal, operates for a maximum of 4 months in a year. The remaining 8 months would be utilized for maintenance works. However, salaries have to be paid even for these 8 months to the staff which is a huge burden.
- Poaching of the company’s agreement sugarcane by the adjacent sugar mills and jaggery crushers is a menace.
Key Achievements of NCS Sugars
- NCS is the pioneer in import of raw sugar from Brazil under advance license mechanism and export the processed white sugar earning precious foreign currency to the country’s exchequer.
- Similarly, NCS was also the 1st to have imported molasses from Sri Lanka way back in the year 1995.
- NCS had set up a 20 mw power plant alongside the sugar mill with a multi fuel boiler so as to generate electricity all through the year.