GAWU President Komal Chand says the sugar corporation could close the first crop with a shortfall of around 38,000 tonnes of sugar based on current production numbers and the threat of approaching May/June rains.
GuySuCo has improved from weekly numbers of just over 3,000 tonnes of sugar about a month ago to 9,000 tonnes within the past two weeks, but Chand told Stabroek News Wednesday that a significant amount of canes are still to be reaped for this crop. “Production has picked up and things have been looking good these past two weeks, but the May/June rains are around the corner and we still have a lot of canes left in the ground,” Chand said, while observing that first crop canes are likely to be carried over to the second crop.
The industry’s first crop was scheduled to close at the end of this month but was extended to May after the weather crippled operations last month, setting back the industry by some two weeks. The May extension will coincide with the scheduled start of the rainy period and is likely to impact on the final numbers for the crop, according to Chand.
Chand, who heads the Guyana Agricultural and General Workers Union (GAWU), said the industry could finish with around 100,000 tonnes for the first crop, which is below the first crop target of 138,791 tonnes. Production numbers for the week ending April 15 were close to 69,000 tonnes.
Chand said that if the rain holds, the crop could go until around mid-May and finish strongly. “Cane is not the issue for the industry but the weather is,” he noted. He said too industrial unrest is another factor which has to be considered if the crop is to finish close to its target.
Asked to elaborate on this statement, Chand pointed out that the union has been cooperating with the corporation since the start of the first crop earlier this year. However, there is an ongoing wage dispute over a five percent increase. Chand said workers were paid a one-off five percent increase last December, but that no wage increase has been offered by the industry since the start of the year.
“We have indicated to GuySuCo that this issue is still on the table and we are supposed to be meeting with them to discuss it,” he said, while adding “since January we have been fighting to get this five percent added to the salaries of our workers.”
Chand remains optimistic about the industry, saying it should do well this year coming off of a dismal performance in 2010, but he pointed out that problems still persist at the flagship Skeldon factory. He said that a few major defects are still plaguing the factory and are yet to be resolved.
GuySuCo had indicated that the major problems at the factory would be remedied by June—a deadline which Chand is hoping is kept for the sake of the industry. He said that there is also the issue of where the finances are to be sourced from to remedy the ongoing defects.
In addition, Chand pointed to the new packaging plant at Enmore, saying it is an added boost to the industry. “We welcome Project Gold because it brings tremendous benefits to the industry and we are aware of the high demand out there for refined sugar.
Last year, the industry ended the year with a dismal 220,000 tonnes of sugar but has set a target of 305.000 tonnes for 2011.
