STO scratches flour factory planned by former govt

State Trading Organization (STO)'s Managing Director Shimad Ibrahim has announced the company's decision to scratch plans made by the former government to develop a flour factory.

Shimad announced the decision while speaking at the STO's Annual General Meeting for 2023 held on Friday evening, in response to a query from a shareholder.

He said the decision was arrived following discussions with STO's board. Shimad said the board had found the factory was not feasible.

"When we cross check the recent feasibility study with the previous one, we observed it was not feasible, which is why the board decided not to proceed with the plan," Shimad said.

Back in 2022, the company completed its feasibility study and secured funds to develop the factory. STO also added that it had been ready to mobilize the project once the land from Kulhudhuffushi City was arranged.

Previously, STO said the processed flour imported to Maldives cannot be warehoused for longer periods.