Shuttered Pomeroon coconut factory rejects gov’t report that it resumed operations

Dr Vincent Adams
Dr Vincent Adams

Fat Boy Ventures Inc, the Pomeroon coconut factory fined $1 million for polluting and which subsequently decided to shutter operations, yesterday rejected a government report that suggested that it had reopened.

“We…wish to confirm that our processing facilities remain closed, and regrettably farmers’ crops continue to spoil with little to no demand for them, contrary to the recent Ministerial outreach and subsequent press releases by the Department of Public Information which indicated, falsely, that ‘…the livelihood of 3,000 coconut farmers is no longer in jeopardy as the Government has decided to allow the country’s largest coconut water facility to continue operation…’,” a statement from the company said.

It added that it does not know for how long the situation will continue and said it is working to come into compliance with environmental regulations.

“Fat Boy Ventures Inc is working with local and foreign consultants to resolve the issues with the Environmental Protection Agency (EPA) and subsequent closure of its processing facility, which has, unfortunately, resulted in thousands of farmers being placed on the bread line,” the statement said.

After several warnings, the EPA last month fined the company $1 million for dumping coconut shells and husks into tributaries of the Pomeroon River. The company subsequently announced that it was closing its operations indefinitely and blamed the EPA for not giving it enough time to get its operations in compliance with rules.

However, EPA Head Dr Vincent Adams yesterday said that while he has no control of the business managers’ decisions for their establishment, he rejects the company’s contention that the EPA would not work with it and has documents to prove otherwise.

“That is totally false that we didn’t work with this company. But he made his business decision to shut down his operations, in preference to protecting human health and environment. He does that while the EPA makes its decisions with protection of the human health and environment based upon the laws of the country as its highest priority,” he said.

Fat Boy Ventures Inc is managed by Alfro Alphonso & Sons Enterprises, headed by Essequibo business magnate Alfro Alphonso.

In its statement yesterday, the company said that its Quality Assurance and Quality Control operations teams have been conducting an in-depth diligence exercise to try to find solutions swiftly and independently of the EPA. “Although the EPA is the regulatory agency in charge of environmental protection, it has failed to offer any practical and innovative suggestions to the waste management challenges unique to the Guyana interior and surrounding terrain,” the statement said. 

The company also claimed that at no time did it promise to come into compliance within a month.  “At no point did we indicate that a waste management solution to the disposal of coconut husks would be found and employed within a month. Additionally, we note that the EPA had also indicated that they have been behind the company for as long as one year, which was not entirely true. We were made aware of the breaches and wrote the agency for assistance in reaching compliance; we followed up with proposed options and never received any assistance or response. The only significant response was a notice and fine almost one year later,” the statement said.

‘Made a commitment’

Adams yesterday told Stabroek News that he finds the company’s position both disappointing and disingenuous. “We at the EPA are very disappointed at the position the company has taken knowing they are disingenuous in saying that they did not commit to coming into compliance within one month. They are the ones, when we asked about time, that made a hard commitment that they will get equipment in place to recycle the coconut shells and replace the dumping. They made that commitment,” Adams said.

“In October of 2018, they outlined a plan to us for this same infraction after they were found continuing the dumping. The plant supervisor had explained that even though the company had made efforts to commence on-land disposal, because of space limitations, they had excess quantities and continued to dump. They said that they were forced to dispose of a quantity of the husks in the canal,” he related

“The company had also, in October, said that it was sourcing machinery used for shredding it had not gotten up to that time. Fast forward to our last meeting with them in June; they said they would get the machinery in 30 days. We decided to give them more time and said up to the end of July. They had been mentioning this machinery since 2018. Why did they promise in October of 2018 and then again in June? For them to now say that we are not helpful is not truthful, not truthful at all,” he added.

He pointed to EPA’s records that show that since 2017, Fat Boy Ventures had never applied for a permit. “Only on June 24th 2019, after we imposed the fine, then they applied. They were working with our Senior Environmental Officer and confirmed that they were on schedule last month. Mr Andron Alphonso told us that they were on schedule for the installation. They were preparing the land at the back and would complete by July 31st. From July 31st, they promised, they said that they would divert the coconut husks to the plant. When she called, he said late July. She informed him that we would be visiting in the first week of August to inspect. He said that they would not be operational as they would be moving the conveyor belt; directing it to the backlands where they prepared. He said that she should come 13th of August and she explained it would be more convenient to come on the 16th August. That was where we were last at. So for them to now come and blatantly lie, is very, very disappointing to this agency,” he said.

Adams explained that another coconut company in the Pomeroon area recycles its coconut shells into fertiliser so for Fat Boy Ventures to say the situation is unique is also not true.

‘Optimistic’

Meanwhile, in its statement, Fat Boy Ventures said that it is the largest buyer of coconut in the Pomeroon region and has been operational in the river well before the establishment of the EPA.

“We have grown the international market by more than 300%, and today, the Ministry of Agriculture counts Guyana’s coconut exportation as a major foreign exchange earner. We are very proud of our achievements. The company has, over the years, grown the market from a mere 12 farmers to more than 500 farmers now suppling a growing demand for Guyana’s coconuts around the world. We have invested in advanced farming techniques and remain the largest buyer of coconuts in the country. While we do not have first world technologies, over the years, we have found unique local solutions to business problems. Today, we are asked to find solutions to challenges that even the developed world does not have one for. Nonetheless, we remain optimistic,” the company said.

The statement said that the company has also actively engaged its overseas buyers to reassure them of its continued reliability as a consistent and sustainable supply source of coconut products to the regional and international export markets.

“So far, they have indicated a willingness to continue buying from us. We urge farmers and their families to please be patient with us a while longer. Rest assured that we will continue to push for the development and growth of the Pomeroon farmers and work with the farmers’ groups to find alternative means to help them maintain and support their families during this difficult time,” the statement said.

“In addition to the substantial financial losses and reputational damage already faced by our company in respect of the shutdown, we recognise that the livelihood of the majority of the farmers in the Pomeroon River is heavily dependent on the harvesting, processing, sale and export of coconuts and their by-products from the region and we know that this sudden loss of stable and predictable income for their crop has had a severe negative impact on the farming community.  The company sympathises with the many families affected, and we continue to work diligently to restore our operations which the farmers have grown to know and enjoy as a consistent and predictable source of demand and income within the region,” the statement added.