Chief Executive: Guysuco struggling to supply
some markets because of production shortfall
By Shabna Ullah
Government is working to ensure that the local sugar industry meets world class standards in terms of efficiency, production and cost but it hopes that Guysuco’s management takes the responsibility to make it happen.
Minister of Agriculture, Robert Persaud, speaking at the Berbice Estates’ Honours Roll Function on Saturday, said government has already worked out a strategic plan which seeks to make the industry more competitive.
He also said that there is a “new management arrangement”, which should be ready at the start of next year. The minister mentioned the US$180 million Skeldon Sugar Modernization Plant (SSMP) and said much more investment would have to be made if the strategic plan is to be implemented.
He said government also has to look for resources in terms of the sugar refinery, ethanol production and distillery and to successfully complete the packaging plant.
Challenges
But he acknowledged that government, management and workers have to work to overcome the challenges the industry has been facing over the last five years. The challenges, he said are influenced by external factors such as the increase in fuel prices across the world which has taken “a toll in every sector of the country.”
It has also caused the cost of production in the sugar industry to go up. The minister pointed out that while the workers cannot do anything about the external challenges they “have to adapt to the changes if you are going to successfully deal with the effects and consequences.”
He said that the production cost is US 22 cents while the world market price is US 12 cents. “We are producing sugar US 10 cents above the world market price. That situation cannot exist forever; we will have to bring down the cost of production…” he vowed.
He noted the industry has already been suffering from price cuts that would cost Guysuco to lose $7B per annum.
Another area of concern, he said, is the inability to achieve the target that Guysuco has set, noting that the adverse weather conditions has affected cultivation and harvesting.
According to Persaud, government is not satisfied with the level of production as well as other areas of operation and would be “bringing in an expert to look at the production issue of the corporation” as well as the financial issue.
Alcohol awareness
Chief Executive of Guysuco, Nick Jackson, told the gathering that “for the benefit of the work force in general we [Guysuco] would be embarking on an alcohol awareness programme to point out the problems of excessive drinking.
The industry would also be working with the International Labour Organization and the National AIDS Programme Secretariat to launch Voluntary Counselling and Testing centres at Ogle and at Rose Hall, Corentyne. He assured that information would be treated with strict confidentiality and urged workers to take the opportunity to get tested.
He mentioned that Guysuco did not meet its target of 315,000 tonnes because of floods, strikes and other problems and that the estimates had to be downgraded to 285,000 tonnes at the beginning of this year.
As a result of being behind production for the year, he said Guysuco is now struggling to supply some of the markets and has lost credibility with the government as well as with customers in the Caribbean and in Europe.
He reminded the workers, “Production is the lifeline of the organization; if we can’t produce we can’t survive. The future of the industry is in our hands; we can kill it or we can save it.” Further he challenged them to, “Emulate the performance of the champion workers…”
Guysuco has been managed by Booker Tate since the early 1990s and Persaud recently told the Economic Services Committee of Parliament that an international tender for the management of the industry will be put out early next year.
No sugar shortage
In his address, Chairman of Guysuco’s Board of Directors, Ronald Alli assured Berbicians that contrary to beliefs, there is no shortage of sugar and that there is enough in stock to last throughout the out-of-crop season.
He said that the corporation has always provided sugar to the nation and “we do not and will not short sugar for local consumption. Today there are some 24,000 bags of sugar still in store for distribution… about four weeks’ supply of the domestic market.”
Chairman of Region Six, Zulfikar Mustapha remarked that the completion of the SSMP would bring tremendous economic benefits to the country, particularly his region. He also mentioned other developments such as the resurfacing of the Corentyne Highway, the establishment of the ophthalmology centre at the Port Mourant Hospital and the occupation of plots at the Belvedere Industrial site.
Mustapha said that the sugar industry provides for more than 50,000 people in the region directly and much more than that indirectly. It has also provides social benefits such as health, sports and housing and the chairman implores them to continue the services.
Awards
Workers of the four estates in Berbice – Skeldon, Albion, Rose Hall and Blairmont – were honoured as champions and first and second runners-up.
Narendra Ramphal, a cane-harvester was named champion worker of the Skeldon Estate, while the other champion workers who are also cane-harvesters of Albion, Rose Hall and Blairmont estates were Sharma Persaud, Satest Sanchara and Bhaiskoomar Samaroo respectively.
Those honoured as first runner-up were Omadat Sastri, a compound hand of the Skeldon Estate, Vijai Pooran, a grade II fitter of the Albion estate, Shalendra Ramessar, a grade one fitter of Rose Hall and Shon Spencer, a filtration plant attendant of the Blairmont Estate.
Mill feed operator, Imtiaz Ally, Seeram Sooknanand, an office messenger, Lallchandra Dudnath, a pump operator and a turbine operator, Inshanalli Lackerbaj of the Skeldon, Albion, Rose Hall and Blairmont estates were awarded with the second runner-up positions.
Two awards were also presented to the Albion Estate being the best estate and for having the best agriculture department and Skeldon Estate was awarded for having the best workshop.
A special award was also presented to Desiree Davis-Pollard for her initiative in designing four punts so that they can be pulled by tugs again. The punts had been pulled by tractors along the deplorable dams posing a difficulty in getting the cane to the factories, according to Alli.
He also said that Guysuco is once again constructing its own punts and has saved $168,000.