My position is that Guyana’s future is linked to sugar

Nov 02, 2016 Letters

Dear Editor,
The current APNU/AFC administration need to seriously reconsider its position regarding the sugar industry and by extension sugar workers which despite the challenges still remain the single largest employer of labour. Any attempt therefore to downsize the scope of operations could have far reaching implications not only for sugar workers but for the economy as a whole. It is in the best national interest to restore the industry to economic viability even if it means injecting the needed resources to recapitalize and revitalize the industry in order to increase production and productivity.
Sugar production is highly capital intensive with huge fixed overhead costs. It makes great economic sense to optimize production and productive capacity in order to minimize unit cost which is the key for any turnaround of the industry to profitability. The news that production targets for the year is way below target is depressing news since it means an increase in unit production cost and reduced foreign exchange inflows to the Corporation and the economy as a whole.
Sugar is too big to be allowed to fail. It is an industry that is inextricably interwoven with our history and except for our indigenous peoples it was the primary reason for the importation of all the other ethnic groups in the then colony which changed several European hands until it finally became a British colony. I wish to urge the current administration to think big and not to allow partisan thinking to stand in the way of this historical institution.
Sugar workers are not responsible for the fluctuating fortunes of the industry over the long march of history. The government has a duty and a responsibility to rescue the industry in times of difficulty in the same manner the industry rescued the economy when other sectors were underperforming as during the days of the sugar levy. The way forward for sugar is to constructively engage key stakeholders more particularly the sugar workers through their respective unions in coming up with strategies to make the industry viable. Refusing to engage GAWU in wages and salary negotiations and failing to pay increases to sugar workers for two consecutive years will only lead to a demoralized and demotivated workforce. This in turn would hasten the decline of the industry with devastating consequences.
Hydar Ally

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