For the past five decades, Buriram Sugar Group has determined to build its strength sustainably, simultaneously to encourage the competitions in Thailand which mainly driven by agriculture to reach their full potential by applying the modern technology and innovation in agriculture products processing to create higher value of the agricultural products.

The Company remains committed and has established goals for sustainable business developments that will advance all dimensions of environment, societies, economy, and governance (ESG) and enhance the potential of both employees and sugarcane farmers to maintain sugarcane standards in terms of quality and quantity in accordance with the business plan.

Mr. Anant Tangtongwechakit

Chief Executive Director and Managing Director

Mr. Sirichai Sombutsiri

Chairman of the Board of Directors

“The Golden Year of Sugar”

In 2022, world sugar prices reached their highest level in five years as a result of several factors, including the global economy's recovery from the COVID-19 epidemic, which increased demand for sugar consumption, as well as the limitation of sugar export quotas by India, the world's second largest sugar producer and exporter, in order to meet domestic consumption. Brazil, the world's largest producer and exporter of sugar, has also experienced droughts. As a result, the quantity of sugarcane utilized to produce sugar is significantly reduced, which causes a shortage of sugar on the global market.

Moreover, business development for sustainable growth is a topic on which the entire world is focused. This is one of the principles that the Company has consistently adhered as a practice in line with its mission. “Ensure raw materials security and better living conditions for cane growers and develop sugar, renewable energy and by-product businesses for sustainable growth and harmonized living between communities, society and nation with responsibility for all stakeholders.” Over the years, the Company has used every component of "sugarcane" to grow its business and produce a wider range of products, including power, biomass, fertilizer, and bagasse pulp packaging. These activities resulted in a production process that is completely free of waste from start to finish, or what is known as a zero-waste industry. The Company, which focuses on promoting and developing alternative energy and reducing greenhouse gas emissions, also sought opportunities to grow continuously by expanding investment in the business of producing and distributing biomass fuel briquettes or wood pellet in Lao PDR.

Due to factors that supported the sugar price and the Company's business development strategy for sustained growth, the Company generated total revenues of 7,506.99 million baht and net profits of 760.56 million baht in the financial year of 2022, representing a profit increase of 499%. The Company has also received a "BBB-" credit rating with a "stable" outlook from TRIS Rating Co., Ltd.

“Toward Sustainable Future”

Although 2022 was designated as the "golden year" for the sugar industry, there are still risks could disrupt operations, such as flooding in sugarcane areas in the third quarter, which damage sugar cane, the primary raw material for sugar production. The Company, on the other hand, has quickly solved the problem by increasing the number of yields within the unaffected plots in order to increase yields and reduce the impact on production for the following production season.

Moreover, there is a risk of currency rate volatility. The value of the baht increased in the fourth quarter. Sugar exports, which are reported as revenue in US dollars, account for about 70% of the Company's total sugar sales revenue. As a result, the Company's revenue will fluctuate in line with baht-to-dollar exchange rate. Nonetheless, the Company has implemented risk-mitigation measures such as negotiating forward contracts with financial institutions to reduce volatility in foreign exchange rates. The contracted exchange rate will be attempted to be equal to or greater than the exchange rate used to determine the selling price of sugar by Thai Cane and Sugar Corporation Co., Ltd.

For long-term business development, the Company has developed its employees to their full potential by encouraging employees to participate in more than 38,325 hours of training per year, as well as supporting continuous development of sugarcane farmers in the Company's network in accordance with the mission "Farmer Businessman". In 2022, Five sugarcane farmers supported by the Company received the outstanding Sugarcane Farmer Award from the Office of Cane and Sugar. Together with advancing academic knowledge, machine tools and other production-related technologies have been supported in order to guarantee the stability of raw materials and achieve the goals established, while also taking into account farmers' wealth of income and good quality of life. This is a critical factor in long-term business development success.

Collaboration with strong partners is a further strategy applied by the Company to develop its business for long-term growth. In the third quarter, the Company collaborated with Jay Mart Public Company Limited to expand the business, causing the project "Buriram Model". Jay Mart Public Company Limited recognized the Company's potential for sustainable growth, outstanding productivity, and the strength of the group of sugarcane farmers. As a result, Jay Mart Public Company Limited purchased shares and is now the second-largest shareholder with 74,660,000 shares, or 9.193 percent (data as of December 30, 2022). As a result of Jay Mart Public Company Limited's exceptional financial performance and technological capabilities, the Company would like to use such strengths to help improve the quality of life for sugarcane farmers, employees, communities, and surrounding societies live healthier, more stable, and sustainable lives. because the Company has always believed that Sugarcane farmers, all employees, and communities that have been with the Company for a long time, comparable to important people of the Company. When everyone lives in greater quality, the Company's financial stability is also impacted.

The Company remains committed and has established goals for sustainable business developments that will advance all dimensions of environment, societies, economy, and governance (ESG) and enhance the potential of both employees and sugarcane farmers to maintain sugarcane standards in terms of quality and quantity in accordance with the business plan. Moreover, technology, research, and innovation are used to develop products and services in order to deliver high-quality products and services that are safe for customers and the environment. As an example of its success in these areas, in 2022, the Company achieved an " Excellent CG Scoring" grade from the Thai Institute of Directors Association (IOD) for the fifth consecutive year, and Sugarcane Ecoware Co., Ltd. has been certified Green Industry Level 2 (Green Activity), which reflects the business activities to reduce environmental impact, including the establishment of environmental policies, the creation of an environmental plan, and strict adherence to the plan.

On behalf of the Board of Directors and all employees, we would like to thank the sugarcane farmers, shareholders, customers, and other stakeholders who have consistently shown their trust and support for the Company. The Company will be committed to being an organization that generates worth and value with our potential and dedication to continuous improvements in order to accomplish the desired objectives, which include providing opportunities and good performance to the organization, stakeholders, and Thai society.