THE Government, in continuing its efforts to resuscitate the ailing sugar industry, is set to take new initiatives, with the Ministry of Agriculture outlining plans to strengthen diversification and marketing.“Strengthening economic diversification and marketing of the industry is the goal of the Ministry, given the fact that the industry does not produce sugar alone but also byproducts can be produced in every stage of the sugar cane plant,” said Minister of Agriculture Noel Holder last Friday during his address at the National Cane Farmers conference held at the Arthur Chung Convention Centre, Liliendaal, Greater Georgetown.

Currently, molasses is used by the Demerara Distillers Limited (DDL) for the production of alcohol while the Guyana Sugar Corporation (GuySuCo) has ventured into bottling molasses, producing 160 cases in 2014 and using the opportunity to brand Guyana’s molasses.
Apart from direct consumption, packaged sugar can be produced in half-kilogram, one-kilogram, two-kilogram and 25-kilogram packets, based on market demand.

Noting that just recently, GuySuCo launched a new product called Enmore Crystal for the United States and Canadian markets, Minister Holder said they are working with Caribbean retailers to produce specialised brands at premium prices.
VALUE-ADDED PROJECTS
The minister also told stakeholders that “research for value-added projects is key, therefore, production of paper, wax, etc… are areas which should be taken into consideration.”
Packaging and storage of rice, in addition to packaging sugar, are areas which they are exploring so that they could package rice using existing staff skills.
AIRCRAFT DEPARTMENT
Apart from that the corporation’s aircraft department has extended their services for the aerial application of fertilisers and chemicals to rice farmers at a cost of $192,500 per hour with the use of existing staff and equipment.
GuySuCo, he noted, also has the capacity to produce 217 litres of ethanol per day but currently produces 96 liters per day and this will enable the corporation to reduce fuel costs internally and earn revenue.
Meanwhile, he explained that sugar is an integral player in Guyana’s history and a contributor to the country’s current economics as it contributed 9.5% of Guyana’s GDP and US$87M in export earnings in 2014.
Apart from that 16,539 persons are directly employed with GuySuCo, leaving approximately 66, 000 dependent on the sugar industry for their livelihood.
Additionally, 2,555 business entities, private cane farmers, labour lorry contractors, local businesses and utility businesses indirectly depend on GuySuCo for their income.
It is also the second largest user of agricultural land and approximately 49, 000 hectares are being currently harvested, with 66% in Berbice and 34% in Demerara.
Over the years sugar suffered shortfalls in production moving from 247,687 metric tonnes in 2007 to 216, 359 metric tonnes in 2014, with 2015 estimates standing at 227, 243 metric tonnes.
Meanwhile Prime Minister Moses Nagamootoo also highlighted the fact that the focus is to make sugar work. “We have too many workers who stand to lose with the collapse of the industry, so it is no question that we have to make it work.”
The Prime Minister declared also that they have to not only look at mechanisms but new and improved varieties of sugar cane to increase productivity at the field level along with appropriate investments.
In fact, it is stated clearly in the APNU+AFC manifesto that there is an urgent need to reorganise the management of the entire agriculture sector – be it sugar, rice, aquaculture, livestock or other crops.

With the establishment of a Commission of Inquiry into the sugar industry the Government is attempting to ensure a flexible, integrated and environmentally sensitive sugar sub-sector to satisfy the demands of the domestic, regional and international competitive markets.
The Government, he added, will also be looking to complement cost-effective production with enhanced processing and marketing as well as establishing programmes for technical and financial support.
“I say, GuySuCo cannot be divorced from this effort and must be applauded for the lifeline support they have given to private cane farmers through the extension and extensive services provided them over the years.
“Difficult times are now with us, especially with plummeting market prices and rising operating costs and climate change. Farmers must embrace these changes. They must not only work harder but smarter too,” the Prime Minister said.
On an optimistic noted, he added, “You can rest assured as you leave here today, that you will not be unemployed. Jamaica scaled back. Barbados went out of sugar. Trinidad and Tobago went out of sugar. St. Kitts went out of production. Our cost of production is high; but despite this, we still have hope that the industry would improve and eventually succeed.”
In 2014, GuySuCo recorded a production of 216,147 tonnes – the first crop having surpassed the 75,000 tonne target, bringing in about 80,000 tonnes. GuySuCo is targeting a 2015 production of some 240,000 tonnes.

By Navendra Seoraj