Sugar would be dead without the political commitment of the administration, President Bharrat Jagdeo said yesterday at the opening of the new packaging plant at Enmore, where he predicted a brighter future for the industry under a Donald Ramotar-led government.
Jagdeo talked up the PPP’s presidential candidate before a capacity crowd of mostly sugar workers, saying his record as a long-serving director at GuySuCo points to years of committed service to sugar and the plan to turn things around in the industry.
Critics will continue to attempt to disparage efforts made by government to keep sugar alive in the country, Jagdeo said, stating that while some speak of “political interference in sugar…it really is about political commitment.” His statement on political interference was in reference to a comment recently made by Managing Director at DDL Yesu Persaud. Jagdeo wasted no time yesterday in accusing Persaud of stymieing progress in the sugar industry through court action some years ago over a molasses investment by a Trinidadian firm.
Jagdeo said government’s commitment to sugar has nothing to do with the workers being “a party support base,” but rather with the development of the sector which contributes some 16 per cent of the country’s Gross Domestic Product. He argued that government pumps a significant amount of money into bauxite every year, adding “this has nothing do with race or religion because equal opportunities are available for everyone.
“The sugar industry is vital to Guyana, we have to succeed there is no other choice.” Jagdeo said too that getting out of sugar was never an option, stressing that while challenges persist the industry will bounce back.
He also mentioned the need to bring the cost of production down, in addition to the industry pursuing an ethanol route.
Project Gold, the Enmore packaging plant, is seen as a major boost for the local sugar industry, which has been struggling with production and finances in the past few years. The focus of the plant is packaged sugar and initially, it will package some 40,000 tonnes for the local market, as well as markets in the region and wider afield.
The plant was built by Surendra Engineering Corporation out of India at a cost of US$12.5 million. It has the capacity to increase output to 80,000 tonnes of packaged sugar a year. Currently, GuySuCo produces around 8,000 tonnes of packaged sugar.
Chief Executive Officer of GuySuCo Paul Bhim hailed the new plant as a significant achievement in the push to modernise the industry and, according to him, GuySuCo stands to earn some 35 per cent more on each sale of packaged sugar in comparison to the bulk sugar, which is exported. “This makes more financial sense,” Bhim said, noting that there are markets for the sugar, including in Europe where GuySuCo is currently selling bulk sugar.
Commenting on the industry’s performance since the start of the year, Bhim said production is expected to pick up significantly in the second crop, since one of the damaged boilers would be repaired by then. He said the Skeldon Estate should do better during the second crop, while adding that cane is not an issue.
GuySuCo has produced 90,000 tonnes of sugar for the year so far, falling short of its first crop target of 138,791 tonnes. The industry is hoping to produce over 300,000 tonnes by the end of the second crop in December.
Agriculture Minister Robert Persaud called Project Gold “an important investment,” which represents the government’s commitment to sugar.
He said that while the industry is making strides the road ahead is not going to be easy.
Persaud said also that stakeholders in the industry need to show greater commitment and cooperation in order for GuySuCo to confront the challenges ahead. “We are building a first-class industry and it requires a first-class approach and attitude from all involved,” he added.
Chairman of the Board of Directors at GuySuCo Dr Nanda Gopaul also spoke briefly, saying the industry is set to do well despite some constraints earlier this year. He too praised Ramotar’s contributions to the industry since 1992.
Keith Burrows, a director at GuySuCo, also made brief remarks and he praised the vision of President Jagdeo for the improved fortunes of the industry. “He is the best President this country has ever had,” Burrows declared.
The opening ceremony yesterday was punctuated with many cultural items while the Enmore Estate featured several billboards celebrating the President’s leadership over the years, and his vision of the country and the sugar industry.
