Persaud tells honours ceremony…
GUYANA Sugar Corporation (GuySuCo) honoured 12 more of its workers last Saturday, for their sterling contributions to Demerara estates and the industry in 2008.

A section of the gathering

The awardees were each presented with plaques and other tokens at the annual GuySuCo Demerara Estates Regional Honours Roll 2008 ceremony hosted in the Uitvlugt/Leonora Community Development Centre, Uitvlugt, West Coast Demerara.

Among them were champion workers Parsram (only name given) of Enmore; Samuel Adolphus of La Bonne Intention (LBI); Mahendra Kumar Singh of Wales; and Mohamed Yusuff Habeeb of Uitvlugt.

Minister of Agriculture, Mr. Robert Persaud, who delivered the feature address elucidated the setbacks sugar has been suffering since 2005 and outlined a number of initiatives being undertaken to get the industry back on track.

“I am happy to say that, with the Chief Executive Officer (CEO) and the Board chaired by Dr. Nanda Gopaul, we have already been seeing some signs of recovery but these signs of recovery are not sturdy. They are not robust enough for us to take things for granted.

Sitting in front row second from left GuySuCo CEO, Mr. Errol Hanoman and Minister of Agriculture, Mr. Robert Persaud with the honoured workers.

“And these kinds of recovery require a lot of dedication and focus,” he said.

Persaud pointed out that the situation is made much more complex in terms of the international context.

Referring to the effects of the global economic crisis, he said Government has been able to resist and reduce the impact on citizens and the national economy through various factors.

“…but that international environment is also complicated by changes that have taken place and they are also coming at a time when, take for instance, the sugar industry has felt the full impact of some of those changes.”

Reminding that the European Union (EU) sugar protocol comes to an end in September, he reiterated that, starting next year, the industry will be earning about $9 billion less income.

“We have also seen that the way in which some of those entities have treated the sugar industry and Guyana, has not been fair and just,” Persaud said.

ENVIRONMENT
Emphasising that the international and external environment is not a favourable one, he said: “We need to recognise that today our sugar industry and country, are existing at a time when we can no longer depend on others or think that people will be grateful and generous to us, so that our country can gather resources or that the sector can be in a position to grow, advance and expand.

“And there are other instances and we need to recognise that and in recognising that, it must tell us, too, that we need to make changes to prepare ourselves for that environment.”

Persaud said, with the removal of the preferential market and access, the industry needs to be cognisant and treat the issues of reducing cost, increasing production and reducing productivity with a great degree of urgency.

He maintained: “Our sugar industry today is at a point where, if we do not take the correct steps, we can be left behind and even the investments that we are making will not be fully realised.”

Persaud assured sugar workers that the blueprint for success or the turnaround plan entails a number of immediate, medium and long term interventions and one of the first areas must be cost reduction.

“If we do not reduce costs, we are not serious about turning around and making this industry viable,” he declared.

In that circumstance, Persaud said it is anticipated that this year GuySuCo will be able to reduce cost to about $3 billion.

“I hope that we are on track because people will be held accountable at all levels of the corporation,” he warned.

The Minister said the plan looks at ways of reducing wastage and corruption and improving efficiencies.

He admitted there were doubts or queries whether or not there is commitment to the Demerara estates but reassured that “within the framework of the plan and, once we see that these operations in Demerara are very successful, no one should doubt the existence of Demerara estates within GuySuCo.”

However, Persaud maintained:“All of us will have to take steps and be prepared to be agents of change to make the Demerara operations much more productive, much more viable”

Observing that some of the highest cost centres within the industry exist within the Demerara operations, he said that part of the turnaround plan also targets those high cost centres.

CHANGES
Persaud said the plan also looks at value-added, restructuring and consolidation and added: “Very soon, you will be advised of some major changes within the Demerara operations, in terms of consolidation and focus.”

He expressed the hope that the Enmore packaging facility will, initially, produce close to 40,000 tonnes of packaged and specialised sugar and, within a short period, move up to 80,000 tonnes.

“That means that our Demerara operations and the productive centres within Demerara will have to produce more and will have to be much more efficient,” Persaud indicated.

He said, in the West Demerara area, the administration is working closely with the private cane farmers on arrangements to support them to allow increased production and ensure adequate supplies and improved efficiencies and there are ongoing efforts to rehabilitate some of the estates and cultivated areas.

Persaud said, within the framework of the turnaround plan, there is the possibility to explore models of operation to work with other partners and investors to make the operations much more efficient.

“The success of the whole plan hinges also on the success and the viability of the Demerara estates,” Minister Persaud asserted.

“We want all parts of this industry to grow, to be efficient and viable,” he reiterated.

He mentioned expansion of the level of collaboration with workers through the Workers Council and dialogue with the unions, positing that the workers’ interest is best protected if there is a viable and more competitive sugar industry.

“We have to ensure that every single person who works and depends on this sugar industry recognises an individual role and that action can either make or break the industry,” Persaud said.

Congratulating the awardees, he said: “I do certainly hope that we will all be committed to the task of turning around and building the sugar industry in Guyana.”

Persaud exhorted all the workers to be inspired by the contribution of their honoured colleagues and use their recognition as a means of encouragement for all to give a little more to the industry every single day.

Addressing the large gathering, as well, was GuySuCo Chief Executive Officer (CEO), Mr. Errol Hanoman, who underscored the performance of the industry last year and the interventions to address the challenges facing it and to move it forward.

He agreed that all the players in the industry need to work as team to achieve the objectives insisting.
“I am confident that together we can turn this industry around,” Hanoman said.