INDEFINITE STRIKE BY SUGAR CANE FARMERS POSES THREAT TO INDUSTRY SURVIVAL

Today is day ten in the strike by sugar cane farmers in the north. The effect that this may have on the farmers, the economy of the country and the overall survival of the industry is huge. One of the major players, the Belize Sugar Industries has not said much since the start of the strike last Tuesday. That is until today. BSI says that they have now seen it necessary to “clarify some issues covered in the media.” The company today sent out a three page release highlighting in seventeen points the effect the strike is having on the industry and how we basically got to where we are today. The release begins by sympathizing with the Gutierrez family and expressing regret over what had transpired and eventually led to his death.

The first point of clarification is that the Core Sampler, which is the point of contention, is controlled by the Sugar Cane Quality Control Authority on behalf of the Sugar Industry Control Board and BSI accepts the analysis given and makes payments in accordance with the agreed formula. The second point is that the issue of payment by quality was raised by a number of external studies as a means of encouraging farmer reform in order top offset the reduction in the price of sugar sold to our main market which is the European Union.

The release continues to say that Belize Sugar Cane Sector has some of the lowest levels of efficiency in the world and significantly worse that our neighbors in Guatemala, Honduras and Mexico. As a result it is crucial for long term survival that the yields be increased in order for unit cost to be reduced significantly. While the payment by quality seems like a huge change for the farmers, BSI maintains that the overall average price for cane paid to the BSCFA members will not change from the 65/35 percent that was agreed upon.

The release ended by saying that the alternative of an increasing quantity of poor quality cane will produce losses all round and could initiate a very rapid closure of the mill leaving no place for the cane to be processed and a devastation for northern Belize. BSI maintains that they remain open to further negotiations with all parties involved but the responsibility for implementing the necessary changes must be assumed by all stakeholders if it is to be effective in ensuring long term viability.