GuySuCo releases positive second crop figures
Less than two weeks after the National Cane Farmers Conference was successfully hosted at the Arthur Chung Convention Centre, figures released by the Guyana Sugar Corporation (GuySuCo) indicate that production for the second sugar crop has actually exceeded its original target.
During the conference, Prime Minister Moses Nagamootoo had projected over 17,000 tonnes of sugar as the expected target from the crop. However, the latest figures from show that as of yesterday, 20,208 tonnes of sugar have come out of the second crop.
The sugar corporation however noted instances of rainfall that at some points hampered the work of cane harvesters. This, according to the corporation, was most prevalent with the Berbice Estates, which registered an average recorded rainfall of 46.75mm.
The weekly average rainfall was 66.59mm, with Wales (109.2mm), Rose Hall (85.9mm) and Blairmont (87.4mm) being the worst affected. The wet conditions are said to have halted mechanical and semi-mechanical harvesting throughout the industry.
With these figures, according to GuySuCo, 101,352 tonnes of sugar cane have been produced for the year to date.
It had been reported at the National Cane Farmers Conference that among the estates, the multi-billion dollar Skeldon factory had produced 2,656 tonnes of sugar from its first crop of 2015, while Albion recorded 15,487 tonnes, Rose Hall 7,688 tonnes and Blairmont 10,525 tonnes. All have been behind target.
It had also been reported that 26,132 tonnes of sugar was expected to be produced for 2015. With 8,991 tonnes of sugar already produced from the year’s first crop of cane that left 17,141 tonnes expected from the second sugar crop. The Prime Minister had described this as a “very good and rewarding performance” That “could be better” from the private farmers.
The world price for sugar stands at approximately US$0.11 per pound, while Guyana’s cost of production is approximately US$0.40 per pound. In addition to the failure of the Skeldon factory and the industry’s below par production, the previous government plugged billions into GuySuCo over the preceding years.
This Government, in the laying of budget 2015, allocated some $12B to the sugar industry. A Commission of Inquiry into the sugar corporation has also commenced, mandated to chart a course for the industry for the period spanning 2016-2030. It is expected that the Commission’s findings will be ready by next month.
The placement of the industry into private hands has also been subject to debate, as GuySuCo has continuously been granted massive subsidies. Government’s advisor on sustainable development, Dr. Clive Thomas, has repeatedly called for downsizing of the industry and the need to privatize it. He currently sits on GuySuCo’s Commission of Inquiry.
During the conference, Government had not been averse to such steps, but during the parliamentary debates, the People’s Progressive Party/Civic (PPP/C) spoke out strongly against steps being taken to privatize the industry.
