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December 31,2016 Source

Sugar production will end the year at 183,000 tonnes, roughly 56,000 tonnes less than the figure which had originally been set for 2016.

The figure is also 48,000 tonnes less than the 2015 output of 231,000. This year’s 183,000 is one of the lowest outputs in decades and was registered in the first full year of the APNU+AFC government in office.

The poor result prompted a number of explanations from Minister of Agriculture Noel Holder at a press conference on Thursday. Meanwhile, the Guyana Agricultural and General Workers Union (GAWU) yesterday accused GuySuCo’s top management of grave miscalculation as it relates to the target.

Holder on Thursday said that while El Nino had a positive impact on production last year, it had a negative impact this year.

“While the onset of the El Nino weather phenomenon or drought would have had a very favourable impact on harvesting during the second crop of 2015 as a result of excellent ripening and harvesting conditions, it took its toll on the production this year.  The combined effects of the poor state of the cultivation coupled with the impact of El Nino, resulted in a shortfall of 23,600 metric tonnes of sugar (based on the revised targets)”.

It is unclear why the cultivation was in a poor state.

Additionally, Holder said that 2016 has been plagued by “poor labour turnout, lack of spares, equipment shortages in particular cane punts, and factory breakdowns.

As indicated earlier, the shortage of skills and experience together with the serious underinvestment in the industry are taking their toll.

While the 2016 second crop started late as a result of the wet conditions which succeeded the drought and canes yields are higher than forecasted, the Corporation would be unable to harvest all its canes before the end of the year and it is estimated that some 153,300 tonnes of cane would be carried over into 2017.  This is equivalent to some 11,300 tonnes sugar”, he added.

He also said that the arid El Nino has resulted in a drop in world production of sugar over the previous season of over 13 million tonnes.    Production declines were experienced by producers in Central America, the Caribbean, Cuba, China, India, Philippines, Thailand to name a few, he said.

He provided information on a range of production matters

* An estimated 194,355 tonnes canes carried over to be harvested in 2017. The estimated sugar from the carry over canes is 14,060 tonnes (this figure was different from another one that he gave at the press conference).

* Whilst cane yields in the 1st crop were below estimates, the 2nd crop cane yields were appreciably better (9% better than estimates).

* The El Nino weather phenomenon had a significant effect on cane growth particularly in the 1st crop

* Tillage and replanting were similarly affected.

* Tillage achieved 60 % of the programme.

* Planting achieved 65% of the programme.

* Lack of investment over the years in both field and factory contributed to significant out of canes and factory downtime.

* Power generation issues at 3 of our factories led to problems in steam generation and increased usage of diesel fuel.

At its press conference yesterday, the main sugar union GAWU said that from several perspectives, 2016 has been a dismal year.

“Instead of sugar production continuing to climb from a high of 231,000 tonnes in 2015, it slumped, this year, to a low of 183,652 tonnes, the lowest since 1990.

The just concluded second crop which should have lasted about 13 weeks took as much as 18 weeks and still the production target was not met. It is to be noted that the set target of 242,000 tonnes sugar this year was determined after an account was taken of the effects of the last El Nino weather phenomenon. Clearly, there was a grave miscalculation by the industry’s top management and this requires a full examination given the context of the Government’s inputs and various interferences”, the union said.

Estate performance

In terms of estate performance, Albion remained the champion performer racking up over 46,000 tonnes for the year. It was followed by Blairmont with 33,000 tonnes. The troubled, hugely expensive Skeldon estate could only muster just over 31,000 tonnes.

When it was conceived, Skeldon was expected to yield 117,000 tonnes of sugar each year. It has come nowhere near to this since its inauguration in 2009.

Wales estate which will no longer produce sugar, churned out nearly 17,000 tonnes, surpassing its second crop target.

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I have a hunch there is collusion at the highest level across the political divide to kill Guysuco. They will divvy up the land among elites and former army big wigs. Watch and see...but they are not observant of history and they underestimate the difficult conditions of the man-made polder system.

FM
Last edited by Former Member

Central America, the Caribbean, Cuba, China, India, Philippines, Thailand to name a few,

No country with Black governance cannot successfully produce sugar. After they fled the plantations they have a "bitter" taste for sugar, but on the other hand they become good provision farmers.

K

One point coming out from the video on the disgraceful encounter at Red House is how naïve and messed up the economic perspectives of some PPP supporters are. I am talking about the comment made that sugar workers did not get a bonus. Of course, the Minister took her rant to lower level. This PPP guy should spend 5 years in the US and observe how businesses and governments operate. Who the hell gives bonus and salary increase to workers in a dying industry? In any state or municipal government in the US many would have gone home by now (not even counting private sector) or they would have to take a salary cut (like we had to do in Florida in 2009). GAWU and PPP should be telling sugar workers it is better to get some work than none at all. Tell them we ALL have to sacrifice to save the industry.

GAWU and PPP should have a plan on how to diversify production because G$15 billion subsidy to sugar each year will eventually bankrupt the country and all races will face massive devaluations and financial stress. On another matter, I saw Jagdeo saying how much lands he sold to the Burnham family. That's very interesting. I guess this is how it works down there, if you decide to take sure you share it widely. Indeed, the PPP shared lots of lands and gold mining rights to elite PNC supporters. I keep telling you guys...do a count. Ultimately, systems and order work better for everyone. We should not have to rely on political connections for anything.

 

 

FM
kp posted:

Central America, the Caribbean, Cuba, China, India, Philippines, Thailand to name a few,

No country with Black governance cannot successfully produce sugar. After they fled the plantations they have a "bitter" taste for sugar, but on the other hand they become good provision farmers.

 

I don't know about sugar, but I can tell you about aggregate economic performance and the human development index. While it is true several black countries are poor because of bad leaders, you have some spectacular black successes that no Indian state can match (except perhaps Mauritius and I am sure Mauritian people are sophisticated enough to know they are not an Indian state) . As a matter of fact, UP and Bihar are more backward, poor and corrupt than almost any African state. Several black countries in the Caribbean, Botswana, Namibia, Rwanda and others have superior living conditions than UP or Bihar. I'd say take the shit out of our eyes first before daubing it on others.

FM
kp posted:

 

No country with Black governance cannot successfully produce sugar.

And GuySICKO was a thriving company under the PPP with millions in profits and production at 400k?

Your racism is astounding.   The difference between your PPP Guyana and the rest is that they saw the writing on the wall and took the EU money to transform their economies and retrain their workers.

The result being your PPP supporters fleeing to these islands away from Jagdeo rule.

FM
TK posted:
(except perhaps Mauritius and I am sure Mauritian people are sophisticated enough to know they are not an Indian state) .

What will interest PPP supporters about Mauritius is that there the Hindus are the civil servants, the police men and the soldiers.

The business class consists heavily of the Chinese, the creole whites, and the Muslim traders with their Indian Ocean heritage of trading. 

And Mauritius has miniaturized its sugar and moved on to garments and tourism.

FM
TK posted:

 

GAWU and PPP should have a plan on how to diversify production because G$15 billion subsidy to sugar each year will eventually bankrupt the country and all races will face massive devaluations and financial stress. On another matter, I saw Jagdeo saying how much lands he sold to the Burnham family. That's very interesting. I guess this is how it works down there, if you decide to take sure you share it widely. Indeed, the PPP shared lots of lands and gold mining rights to elite PNC supporters. I keep telling you guys...do a count. Ultimately, systems and order work better for everyone. We should not have to rely on political connections for anything.

 

 

1. Jagdeo sold NOTHING to the Burnham family.

2. This statement is all in the "black man a kill ahbe" vein.

It is more fun to engage in racial panic than in sound strategy. Were Jagdeo ethical who would to devising and discussing ways to reduce production costs at Guysuco and figuring out how to help impacted workers to transition to other industries.

He abandoned the bauxite workers because most were black, and feels that his mainly Indian sugar worker base should be subsidized infinitum, using the electricity subsidy at Linden (BOSAI being the largest beneficiary) as a weapon.

FM

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