Leader of the Opposition, Bharrat Jagdeo yesterday called on the government to reverse its decision to close the Wales Sugar Estate by the end of the year as the move would affect the livelihood of many residents.
Speaking to the workers and residents who turned out in large numbers yesterday at the Wales market square, Jagdeo said that the People’s Progressive Party (PPP) would not support the closure of the sugar industry. Wales employs 1,600 workers and many of them are likely to be out of a job at year-end.
He said the party would be willing to take to the streets to oppose the APNU+AFC government’s move to close or privatise the estate. GuySuCo has said Wales is the most vulnerable of the estates and the money is just not there to undertake much needed rehabilitation.
Contending that it was a sad day for residents, Jagdeo told them he came out early after the press statement on the closure was released, to let them know that the PPP stands by them.
He lashed out against the “callous” way in which the announcement was made, saying: “One would have thought they would come on the ground and talk to the workers and the cane farmers if they had to pursue this path” but instead the Ministry of Agriculture issued a press release.
He did not realize that he would have to visit the area “under these unusual circumstances because of this unconscionable action of the government”, he declared.
While in office over the last 10 years before losing the 2015 general elections, the PPP/C had been accused of ignoring the grave problems facing sugar and failing to take drastic remedial action. A huge millstone around the industry was the ambitious sugar modernisation project at Skeldon which had been launched by Jagdeo.
The project has operated at far below expectations and returned a $4.2b loss in 2014. The industry has also operated with a huge debt – $82b at last count.
According to Jagdeo, the intent of the government had been laid bare sometime back so that in spite of the Commission of Inquiry (CoI) into GuySuCo which did not recommend the closure of any estate, the government was determined to close some of the estates in the sugar industry.
He said it “came to pass swiftly; parliament has not even considered the CoI report. That report itself had not recommend any closure of any estates.
In fact, the report considered all the estates and eight of the 10 members voted against closure… Sugar can still be made viable… I’m convinced that sugar would get back on its feet.”
He said the government could not fulfill promises it made in its manifesto and had claimed that the “PPP left them with a bankrupt country but yet they went to parliament and produced a budget for $221 B.”
“How can a bankrupt government finance a budget for $221B when the biggest budget under the PPP was $218B.”
He also questioned “how they found the money to pay themselves a 50% increase after one and a half months in office and tens of millions of dollars to celebrate independence.” The 50% increase was mainly for Cabinet ministers.
The CoI says that GuySuCo is bankrupt but the reality is during the PPP’s campaign for the elections they knew that sugar needed help for several reasons, with the main reason being the loss of $8B in revenue due to the cut in the European Union market price, Jagdeo argued.
He stressed that sugar has a big impact on the economy while in many villages the entire drainage depends on GuySuCo.
Jagdeo said sugar has to be kept alive, if not, with the system down, the entire country would go down. He added that the PPP is willing to work with the government to ensure the survival of the sugar industry.
The former president of Guyana said that as the opposition, his party would look into the interest of all the people of Guyana, regardless of race or religion. He charged that the estate closure seems to be a direct assault on one of the PPP’s strongholds and that they have to “vigorously oppose the closure of Wales… whatever it takes.”
“You can’t punish the PPP people alone. If the sugar workers do not earn, the people who sell in the market will not earn…”
The private cane farmers would also be affected, he said, as it would not be economical for the cane to be transported to Uitvlugt.
Meanwhile, Jagdeo challenged the government to “come out and face us in a debate, if we can’t debate in parliament, Let’s come to Wales because then we won’t have anyone stopping us from talking…”
In a statement earlier in the day, the PPP denounced the decision to close the estate and charged that it was an assault on the workers.“The PPP views this (as) an assault by the David Granger-led administration on the hard-working and dedicated workers of the Estate who will be plunged into economic hardship as they will be forced onto the breadline.
It demonstrates a continued wanton disregard and gross disrespect for sugar workers who, only recently, were denied any bonus which the government paid out to other categories of workers”, the PPP charged.
The party said that it had warned about this prior to the election and the two groups now in government had denied any such plan.
“Our Party is convinced that the closure of the Wales Estate is just the beginning of the Granger Administration’s efforts to shut down the entire sugar industry.
More so, we believe that this is part of a scheme to impose hardships on persons who are perceived to be supporters of the PPP as in the case of the current witch-hunt taking place. We believe that the closure of more estates will follow”, the party declared.
The PPP urged Guyanese and civil society to take note of the government’s actions and the “abandoning” of its campaign promises.
“Closing the Wales Estate cannot in any way provide a good life, as the government boasts it is doing for the sugar workers, their families and those who depend on the industry”, the PPP declared.
