Latest update November 7th, 2024 1:00 AM
Latest News
- Govt. hails US$1.5B gold project by Canadian firm
- Exxon says they are finalising area of Stabroek Block to hand back to govt.
- At least 38 people killed in dozens of Israeli strikes on eastern Lebanon
- Trump re-elected
- Citizens can no longer trust PPP, PNC to make decisions for a future with oil-Glenn Lall
GuySuCo braces for another year of losses
…CEO predicts return to profitability by end of 2012
The Guyana Sugar Corporation (GuySuCo) operated at a loss in 2009, but significantly less than the previous year, and is staring at another year of losses. In fact, the company is not expected to return to profitability until the end of 2012.
This is according to Chief Executive Officer of the cash-strapped entity, Errol Hanoman, who along with its chairman Nanda Gopaul, Minister Robert Persaud and a high level team, appeared before the Economic Services Committee.
Errol Hanoman
The team appeared before the parliamentary committee, where it was grilled on a range of issues relating to the company including the production level of cane, the Skeldon sugar factory, production costs and labour relations among others.
Hanoman also told the committee that the relative inexperience of the management team at the new Skeldon Sugar factory is a source of concern, but the company was addressing the issue of training for its staff.
He said too that GuySuCo was seeking additional skills to complement the team.
In face of the questions relating to an investigation at the factory with respect to defects, Minister Persaud said that there is ongoing evaluation at the facility.
The defects liability period comes to an end in March and it was pointed out that in excess of 100 defects were found at the new Skeldon Sugar factory, with only about 10 being critical.
Subject Minister Robert Persaud did assure the committee that the Chinese Contractors will stay on to ensure that all of the defects are remedied.
Hanoman supported this notion, telling the Committee that the Chinese have expressed confidence in remedying the identified defects, and added that by August this year all should be addressed.
On the issue of labour, Persaud emphasized that despite the push for mechanization, no person will be laid off, and there will be a redeployment of the human resources.
With closure of the Diamond and La Bonne Intention estates being imminent, Persaud said that the workers will be utilized on East Coast Demerara.
Minister Robert Persaud
In relation to the projected downward projection of employees, Persaud stated that it must be appreciated that there is competition for labour, simply because there are a lot more opportunities available for persons to seek employment.
“We have to take into account the reduced availability of labour,” said Persaud.
He did seek to emphasise that with the downtime in the opportunity work days, mechanization is even more important, given that there is a lot more that needs to be done, in less time.
It was pointed out that the objective of the company is to increase production to 400,000 tonnes of sugar by 2013.
This is expected to be done through acceleration of mechanisation with a drive to 41 per cent of the cultivation being full mechanised by 2014 and 56 per cent of the cultivation semi-mechanized.
There is also a drive to push for the improvement of cane yields and production through a major land rehabilitation programme; focus on rehabilitation of field and factory assets through a capital expenditure programme and optimising production of Skeldon’s factory to achieve steady state production of 110,000 tonnes by 2013.
Similar Articles
THE BLUNT OF THE DAY
Sports
Features/Columnists
A broad-based movement for the people’s voice on oil
…Peeping Tom Kaieteur News- The call for a referendum on Guyana’s oil contract is a step in the right direction,... more
Rising Gun Crimes in the Caribbean: Urgent Action required by all
By Sir Ronald Sanders Kaieteur News – There is an alarming surge in gun-related violence, particularly among younger... more
Weekend Cartoon
