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December 24 ,2021
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-following deep flooding



The Guyana Sugar Corporation (GuySuCo) was forced to modify its annual production target of 97,420 tonnes of sugar after floods from earlier this year battered its cultivation and it managed only 57,995 tonnes.

Stabroek News was told that the three estates had to reduce their production targets due to the decline in yields and that weather conditions have contributed tremendously to the drop in sugar production for the current and last crop.

The disastrous output, continuing subventions to the industry from the state and absence of viable options for the still-shuttered Skeldon factory and estate will pile pressure on the government for radical decisions to be made next year.

GuySuCo’s projected sugar production for 2021 was set at 97,420 tonnes, as against its 2020 production of 87,875 tonnes, and projected targets for the first crop for the individual three grinding estates were, Albion 21,573 tonnes, Blairmont 12,404 tonnes, and Uitvlugt at 8,631 tonnes. Following the floods that inundated the estates in early 2021, the broader production target of 97,420 was revised downwards to 79,000 tonnes. However, according to GuySuCo, only 57,995 tonnes of sugar was produced across all combined estates in 2021.

The actual production for the first crop at the three estates, according to GuySuCo, was Albion 14,792, Blairmont 8,668 and Uitvlugt 6,190. GuySuCo also stated that the floods that overwhelmed the estates was largely responsible for the sugar production decline in 2021 when measured against production per estate in 2020. In 2020, Albion estate produced, for the first crop, 16,802 tonnes but produced 14,792 tonnes, in 2021.  Blairmont in 2020 produced 11,867 tonnes for its first crop but only 8,668 tonnes for 2021. Uitvlugt’s 2020 first crop production number was 8,344 tonnes, but it managed only 6,190 tonnes in 2021. GuySuCo’s second crop data per estate were: Albion 24,908 tonnes in 2020 and 9,981 in 2021, Blairmont 15,548 tonnes (2020) and 11,113 tonnes (2021), and Uitvlugt 10,406 tonnes in 2020 against 7,207 in 2021.

Targeted production across all estates was also revised downwards, the first crop was reduced to 27,651 from 42,608 tonnes, and the second crop from 54,812 to 28,302. When compared to 2020 production across the estates, first crop production in 2021 was 27,651 compared to 37,013 tonnes in 2020, and the second crop production was 28,301 tonnes compared to 50,862 tonnes in 2020. The mid-year flooding resulted in more than 30% of the sugar cane being destroyed. The floods were also responsible for GuySuCo not being able to produce the highest quality of sugar. “What we currently have now is light sugar cane. It is not the best of quality and that is impacting production. The canes have no weight,” a source familiar with the crisis at the three grinding estates explained. Sugar cane that was waterlogged for more than 65 days has resulted in poor yields.

Due to the sugar canes being waterlogged for so long, the plants were unable to acquire sufficient nutrients to adequately ripen, therefore producing the required sucrose.

In a letter to this newspaper earlier this year, the three estates’ managers reflected on the adverse impacts of the floods. They predicted that at Albion Estate, production was expected to fall short of the target by at least 10,000 tonnes. The estate’s target for the first crop was set at 32,000. The return for the second crop was also expected to be dismal, deepening the financial woes besetting the industry and raising further concerns about its future.

“The extended rainfall was so brutal to the sugar industry that on some estates, the standing canes found themselves under water for more than 65 days even though some 4.5 million tonnes of water was removed from the land daily.  This situation has resulted in a mortality rate of 31% of the standing canes at the largest estate – Albion /Port Mourant that produces some 50% of the annual production in 2020,” Threbhowan Shiwprasad, Hutton Griffith and Yudhister Mana, the Estate Managers of the grinding sugar estates explained.  

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The GuySuCo CEO has no strategic plan


I was eagerly awaiting Mr. Charles Sugrim’s support for GuySuCo’s CEO and it came on 23rd December, 2021 in a letter in the Kaieteur News captioned “GuySuCo’s CEO has to be given time to implement his strategic plan”.

Well let me make it clear, this CEO has no ‘strategic plan’ and even though two of his friends were each given 6 month contracts to assist in the preparation of ‘Business Plans’ for GuySuCo, they never submitted any but the plans prepared and submitted by Estate Managers kept changing with each meeting with the CEO and the Board. Until now, there is no clear direction how the billions given to GuySuCo will be spent.
Can I ask Mr. Sugrim to verify whether he was given a contract for US$25,000 to do a Human Resources Audit? Is this not part of the ‘gravy train’? Is it true that the Board was unaware of this contract? Is it not true that after this audit was concluded no formal report was made known but ‘heads’ began rolling?
Mr. Sugrim in his letter insisted that the CEO needs a ‘united team which will work to achieve the objectives of the entity’. This is inadvertently acquiescing to the fact that his HR Audit was to weed out those who were not subservient to the CEO and to find ‘suitable’ replacements. Sugrim then emphasized the need for ‘a trusted team’; this again laid bare the objectives of his ‘mission’. What must be concluded is that over 17 experienced and qualified staff at Head Office were intimidated and coerced into resigning. Were these recommendations not in alignment to your plan Mr. Sugrim? Another very disconcerting conclusion is the fact that these persons who resigned is now classified by Mr. Sugrim as ‘untrustworthy’.
Mr. Sugrim as a qualified accountant should be aware that GuySuCo sank ‘into the abyss’ due to the EU’s 36 % price cut and not because of the professionals he wants to malign. As for the ‘glamour and the perks’, the current CEO has taken these to new heights along with his band of ‘trusted’ cronies.
Is it not true Mr. Sugrim that Sasenarine’s appointment as CEO has more to do with rewarding the Diaspora’s financial contribution to the PPP’s 2020 Elections Campaign rather than being ‘fit and proper’ for the job? Is this why the CEO and his other AFC friends are allowed to enjoy the ‘gravy train’?
If the Government is serious about the sugar industry, then an investigation and an audit needs to be launched immediately.
Yours sincerely,
Abdool Majeed

Mitwah

Guysuco is creating employment for the people and also bringing foreign currency to the nation. Two things should be the focus. 1. Diversify crops and grow various crops for corporate contracts. 2. Teach skills to the sugar workers so that they could start small business.

Ali Khan Azad

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