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Watch This Counter: MSC
stonemimi
#1 Posted : Tuesday, June 02, 2009 9:16:00 AM
Rank: Member


Joined: 5/16/2009
Posts: 145
In addition to power generation and alcohol production,MSC is adding portable water to its product portfolio. The plant,according to the advertisement in today's EAS,will produce between 3000-5000 litres per hour. Assuming the plant operates at 3000 litres capacity,it will produce 2.16 ml/month or 26 million litres a year. At a net margin of Ksh 10/litre,works to ksh 260 m or 20c addition to EPS. Just watch!!!!

Happiness is not a right - except for children. You won't be happy if you think too much. The search of happiness is one cause os sorrow.
Gordon Gekko
#2 Posted : Tuesday, June 02, 2009 9:39:00 AM
Rank: Elder


Joined: 5/27/2008
Posts: 3,760
The word is potable,not portable. If you asked me,MSC is losing focus. Power generation is arguably related to sugar production as bagasse is used. But WATER! When you copy something someone is doing,make it better - what will they add to make it 'sweeter' than Darsani? What will be landed costs at the biggest market - Nairobi given as MSC is at least 300 km away?
jammo
#3 Posted : Tuesday, June 02, 2009 9:49:00 AM
Rank: Member


Joined: 2/12/2008
Posts: 345
@GG.. I tend to disagree with you..and not on potable nor portable. Water as a packaged product relies mostly on distribution. If wagalla yusuf traders in north wajir hav mumias sugar in their stocks i'm sure mumias water will get there. Dasani does well simply because where there's a coca cola outlet there's dasani..literally every corner.

..if it is not expressly prohibited in law.. DO IT!!!!
stonemimi
#4 Posted : Tuesday, June 02, 2009 10:15:00 AM
Rank: Member


Joined: 5/16/2009
Posts: 145
@GG... there is a large enough market in western,Nyanza and north rift to consume 2 million litres a month,and effectively compete with the likes of Dasani,being supplied all the way from nairobi,and kerengeti from molo. By the way,MSC already has a water treatment plant and are looking at investing in a uvt palnt,an ozonator and a bottling palnt. Next,perhaps fruit juices for MSC. All water bottling companies are moving that way: cocacola; Kevian; Kilimanjaro; and many more.

Happiness is not a right - except for children. You won't be happy if you think too much. The search of happiness is one cause os sorrow.
Impunity
#5 Posted : Tuesday, June 02, 2009 10:24:00 AM
Rank: Elder


Joined: 3/2/2009
Posts: 26,328
Location: Masada
Good venture.Even homeboyz are doing water so am not seeing anything funny with MSC going this path.

Which is more dirty,the pig or Kenyan mp?
Portfolio: Sold
You know you've made it when you get a parking space for your yatcht.

Ken K
#6 Posted : Tuesday, June 02, 2009 11:07:00 AM
Rank: Member


Joined: 10/19/2006
Posts: 84
MSC has always been planning to do......... yet again,they plan to do. Get out of this counter while the going is good. i.e. before the Losses are announced with you on board.

It will soon be 50 cents.
Njunge
#7 Posted : Tuesday, June 02, 2009 11:17:00 AM
Rank: Elder


Joined: 2/7/2007
Posts: 11,935
Location: Nairobi
@GG,

What MSC is doing is not an entirely new process.Take it this way.Their new steam plant requires 170 Tons of treated water every hour but since they condense much of the steam and direct the hot water back for re-use in the boiler,the water treatment will be used for 'making up' only and thus will be idle for close to 90% of the time............What better to do than have it regenerate for portable water.............as for marketing,use the same sugar distributors.


God gives,mugikuyu takes.
Nothing great was ever achieved without enthusiasm.
mtaalam
#8 Posted : Tuesday, June 02, 2009 11:55:00 AM
Rank: Member


Joined: 11/2/2006
Posts: 519
Are you sure about that? They've probably sensed trouble and are diversifying early. Read below.

Kenya’s sugar industry is in dire straits. And no matter what steps are taken now,it may be too late to salvage the sector come January 1,2012.
That is the date Comesa will open the gates for member states to export the commodity to Kenya. The Kenya Sugar Board says that,while the country has had 10 years to prepare the sector for competition,this has not been done. It adds that nothing on the ground indicates that tangible steps have been taken by the Ministry of Agriculture to make Kenyan sugar competitive in the Common Market for East and Southern Africa states.The situation has been further complicated by last year’s move by Agriculture Minister William Ruto to cancel import licences,sparking a court case that is yet to be resolved.'If we have not done anything in 10 years,what substantial gains can we make in two years?' asks economist Moses Ndiritu. He says Kenya went off the track more than 30 years ago,when a strategy paper on developing the sugar industry was abandoned and politics crept in.A Kenya Sugar Board director,Saulo Busolo,told The EastAfrican that the country has been requesting special exemptions under the Comesa Safeguard provisions since 2002,on the argument that its sugar industry needs to be prepared to take on competition

The best time to plant a tree is twenty years ago. The second best time is now.
Obi 1 Kanobi
#9 Posted : Tuesday, June 02, 2009 2:13:00 PM
Rank: Elder


Joined: 7/23/2008
Posts: 3,017
If you look at the sugar sector as Muhoroni and Miwani etc,then they are in trouble,but if you look at Mumias as an innovative well run company that has nothing to do with the problems of the other sugar companies,then its easy to see the obvious benefits from the water bottling plant.

All mumias needs to work on now is to reduce the cane maturity period to possibly 14 months and they will indeed be in business,for the very long run.

What happened to the TARDA project. Njung'e you normally have 411 on this sector.


I guess if you can't win with facts,you can always pen bile-laced,xenophobic rants to distract everyone.
"The purpose of bureaucracy is to compensate for incompetence and lack of discipline." James Collins
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