Ouagadougou—The Burkinabè government has announced its intention to retake its shares in the Comoé Sugar Company (SN-SOSUCO), thus converting it back into a state-owned company. This decision revokes the 1998 convention that permitted the transfer of state shares in SN-SOSUCO to private individuals.

According to a new release by Burkina Information Agency, Crafts and Small and Medium Enterprises, the state owned shares in SN-SOSUCO until 1998. At that point, in line with privatization trends, the shares were sold to a strategic consortium named “Sucre participation.” The sale was contingent on the consortium investing approximately 20 billion FCFA over a 5-year period to bolster national sugar cane and sugar production capacities. An ancillary commitment was also made to sustain alcohol production with another company affiliated to SN-SOSUCO, named “Alcohol Production Company (SOPAL).”

The Council of Ministers, upon reviewing a report on the matter, observed that the various commitments that were stipulated at the time of the share transfer have not been met by the strategic partner.

“In light of this finding and considering the strategic importance of SN-SOSUCO, the government has opted to annul the 1998 convention. This annulment paves the way for the state to reclaim its shares, thereby converting SN-SOSUCO back into a state company,” stated Minister PODA.