Johannesburg - Sugar producer Tongaat Hulett said on Monday first-half operating profit grew 9.3% as import tariff hikes and cost cuts partially offset the effects of low sugar prices.
Operating profit for the six months to September rose 9.3% to R1.5bn compared to the same period last year.
The South African Revenue Service raised sugar import tariffs after months of lobbying by producers who argued that the international price of the commodity was lower than production costs and that cheap imports were strangling business.
"The various protection measures implemented in each country of operation to improve local market sales volumes are starting to produce some benefits," Tongaat said in a statement.
The company also has operations in Zimbabwe, Swaziland and Mozambique.
However, Tongaat said revenue from some regions that were not effected by tariff hikes were still hobbled by the low global price, particularly for exports into the European Union.
The company declared an interim gross cash dividend of 170 cents per share for the period, up slightly form 150c last year.
Operating profit for the six months to September rose 9.3% to R1.5bn compared to the same period last year.
The South African Revenue Service raised sugar import tariffs after months of lobbying by producers who argued that the international price of the commodity was lower than production costs and that cheap imports were strangling business.
"The various protection measures implemented in each country of operation to improve local market sales volumes are starting to produce some benefits," Tongaat said in a statement.
The company also has operations in Zimbabwe, Swaziland and Mozambique.
However, Tongaat said revenue from some regions that were not effected by tariff hikes were still hobbled by the low global price, particularly for exports into the European Union.
The company declared an interim gross cash dividend of 170 cents per share for the period, up slightly form 150c last year.