APNU+AFC heading to privatize sugar industry – says Rohee

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By Jomo Paul

Sugar[www.inewsguyana.com] – With a Commission of Inquiry undergoing into the Guyana Sugar Company (GuySuCo), the People’s Progressive Party (PPP) does not believe that the sugar company has a future as a State entity under the new APNU+AFC administration.

General Secretary of the PPP, Clement Rohee at a press conference on Monday August 03 alluded to statements purportedly made by the recently appointed GuySuCo Chairman, Dr Clive Thomas.

According to Rohee, the GuySuCo Chairman is quoted as saying “the sugar industry like the rice industry has to be privatized in order for it to function better because it was wrong of the previous administration not to do so.”

Rohee referenced this statement by Thomas and the fact that the principals of one of GuySuCo’s main buyers – Tate & Lyle – recently testified at the on-going commission.

“Steps have already been taken in this direction with the presence in Guyana of Tate and Lyle representatives, the management of Guysuco was once privatized and placed in the hands of Tate and Lyle,” said Rohee.

However, it should be noted that the principals of the company including, Vice President Duncan Tate, Allan Wood and Mac McLachlan recently stated that GuySuCo should look at lowering production costs.

Tate and Lyle officials reflected on their long productive association with Guyana and stated their continued interest in buying Guyana’s sugar.

However, recent developments in Europe have made the sugar market very volatile and that the primary consideration is market price. With the removal of preferential prices which ACP countries like Guyana enjoyed, the developing situation dictates that producers have to be more efficient and that demands disciplined management.

They noted that the price situation will become even more complex for Guyana when the cap on beet sugar production is deregulated.”

7 COMMENTS

  1. Also there is PSU that’s an anti PPP union,and the employees take bribe from the public to get things done fast also they don’t pay tax on that.

  2. JERRYAW , YOU ARE TALKING ABOUT A BIG ” IF THAT ENSURES ETC ” . WHAT ABOUT THE ” IF NOT ” ? YOU CANNOT GET A PACK OF FAILURES TO BRING SUCCESS TO AN ENTITY.

  3. Maharaniji, There is an institution called GAWU once it is involved in the sugar industry no private investor would show interest.

  4. The question I want to ask Mr. Rohee and all of Guyana: what is wrong with privatisation of Guysuco if that ensures the company continues to operate as a producer of sugar, energy, paper, molasses, and other products, continuing to employ many Guyanese, not being a drain on the treasury (all taxpayers), and with a Govt of Guyana ownership stake remaining, with also at least one Govt of Guyana appointed director on the company’s board?

  5. Sell the cane lands to private cane farmers. This will improve efficiency, reduce cost and make it more profitable and non-political. Let private investors take on the sugar industry.

  6. Mr Rohee if the PPP was in government it would have been faced with the same proposition and the response would have been the same.
    It is unfortunate that the Coalition is now faced with this challenge. In 23 years the PPP did nothing to foster the improvements and when it did it implemented a jagdeo plan riddled with futile assumptions. It is really a shame.
    Expenditure overshadowing revenue cash flow nullification emm its time to get out of business.
    I see that the Professor is saying that our best bet is caricom market, however he is not saying what we need to do to get cost of production down. Guysuco has never benefited from economies of scale and that is one reason why it is where it is. The people who can help in this process have all moved on we should woo them back and work with them.
    One of the option for profitibaility was sold to GPL the co generation plant.The PPP should tell us on what business proposition they sold the co generation plant to GPL.

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