The sugar industry’s performance has, in the past weeks, been taken on by politicians, and other stakeholders in the political area, who are using the issue as a platform to speak of a better Guyana and advance criticisms of the sector’s management. But President Bharrat Jagdeo, speaking at last week’s meeting with sugar workers in Diamond, contends that the realities of the sector must be considered in context and that is what must take precedence.
He referenced the statement made by People’s National Congress Reform – One Guyana (PNCR-1G) Presidential Candidate, Rtd. Brigadier David Granger, regarding privatization of GuySuCo – a continuation of similar efforts that began under the presidency of late Desmond Hoyte between 1989 and 1992.
Jagdeo stated that it is clear that Granger does not understand the reality of the economy.
The sugar sector has been battling with everything from climate change and global changes to the poor turnout of workers and the loss of some $9B with changes in the European Union market.

Privatization and Grassroots People
According to the President, in private hands the first response in face of these challenges would be to abandon sugar, as many other countries in the Caribbean, including Jamaica and Trinidad and Tobago, have done.
He maintained that private operators look at the current bottom line not the thousands that depend on the industry.
“We have seen it happen in the world, we have seen it happen before,” Jagdeo said.
From 1999 to date the current administration has invested some $50B in GuySuCo, the most recent installment being $300M that will be paid out as severance to over 300 workers from the Diamond Sugar estate.
“The financial reality of GuySuCo (the Guyana Sugar Corporation) is that they are in very deep trouble and without support GuySuCo would have failed,” the Head of State said.
The President stressed that the usual rhetoric that the administration invests in sugar because the people in the sector represent a People’s Progressive Party/Civic (PPP/C) stronghold, is invalid.
He pointed to the fact that in Linden there is subsidized electricity and increased housing developments at Amaila Ward – developments that have been made in what has historically been a PNC stronghold area.
To this end, Jagdeo noted that the advancement drive of the current administration goes beyond political affiliations and ethnic divides; rather they are directed to progressively improve the lives of all Guyanese people.
The President made it clear that Guyana has managed to transform its economy with gradual, progressive steps – an effort that has seen the economy resilient against the financial shock-waves that rattled the rest of the world.
A point to note also is the fact that the sugar sector was worst off in the past than it is now.
In 1988 and 1989, production levels were so low that in order to satisfy the European Economic Community (EEC) quota Guyana imported sugar at low prices and re-exported it to the lucrative European market.
In the midst of the struggles of the sugar sector, production has never fallen so low and in fact this year’s first crop is expected to be above 100,000 tonnes, a production target that has not been met since 2004 as the sector battled different challenges.
The industry’s turnaround plan was activated to rescue the industry, but some of the targets could not be reached because of unavoidable factors.
The Head of State expressed optimism that this year would be a turning point for the sugar industry.
The target for 2010 is 300,000 tonnes and some 400,000 tonnes of sugar is the aim for 2012, achievable aims coupled with the government’s support and improvements in management – all in the interest of ensuring that the sector survives the rigors it faces and remains operational.
The Head of State stressed that politicians need to pay attention to the bigger picture and make statements that reflect as much.