Due to the decline of the orange trade, alternatives were considered for economic compensation, one of them being sweet potato, with the purpose of producing alcohol. Thus, in 1886, the Santa Clara Alcohol Distillation Plant was inaugurated; however, at the beginning of the 20th century, and due to monopolistic interests of the sector, alcohol production in the Azores was subject to restrictive measures, which is why the Azorean Alcohol Distilleries was set up in 1902. Then, in 1906, the Sugar Factory is created with the purpose of producing sugar from beet, an innovation in the country.
Installed in the old alcohol production unit of Santa Clara, the Sugar Factory would be acquired by SINAGA in 1969, boosting and modernizing the production process, and consequently increasing the sugar production. The local economy based on beet crops was determinant for the livelihood of more than 1000 farmers.
The plant occupies an area of 60,000 m2 and is equipped with a lime kiln, a laboratory, a warehouse prepared to receive 4 thousand tons of sugar and an electric energy transformation station, which is the largest in the Region.
