One of the most critical things we can do to save us from economic collapse and avoid the loss of thousands of jobs is to rescue the sugar cane industry before it is too late.
The sugar cane farmers of this island, both large and small, are committed to ensuring that our nation’s most important resource – prime agricultural land – is preserved for the benefit of present and future generations of Barbadians as well as visitors to the island on whom the tourism industry relies for its success.
The industry, run by the Barbados Agricultural Management Company (BAMC) for more than 15 years, is about to collapse. The company is rumoured to be some $380 million in debt and is losing in excess $38 million every year.
If our international creditors are asked to assist our economy, the first thing they would do is to demand the closure of this bottomless well.
The question is, can the industry be saved? The answer lies with the owners of the lands on which sugar cane is currently grown. They must accept the responsibility to continue employing thousands of field workers and staff.
Our sugar workers are paid higher wages than any other country in the Caribbean and add to this our high cost of fuel, among other costs.
The price we receive from Europe has fallen by nearly 40 per cent and no industry in the world can survive a 40 per cent reduction in revenue.
But I believe there is a solution to the dilemma.
The answer would be to close the BAMC and transfer its technical, agronomic and variety-testing side back to the Ministry of Agriculture where it belongs.
It is clear that Andrews Factory is capable of processing all of the cane grown and therefore the Portvale Factory must close.
We have to accept that some job losses will result but this would be better than closing the whole industry and losing thousands of jobs.
The exportation of sugar to Europe must stop, as selling $3 000 worth of sugar for less than $1 000 is not very clever.
It is clear that most cane producers are no longer replanting or applying fertilizer to the ratoons due to the assumed imminent closure of the industry.
However, when Government agrees to these suggestions in principle, it is highly likely that there would be an immediate response from the farmers, especially when they see the advantages of a cooperative.
A working agreement would benefit both parties, the annual operating losses borne by Government would be eliminated, and the acreage under cane would be expanded.
Some pieces of equipment at Portvale will have to be transferred to Andrews, modifications will have to be made to accommodate the changed system, and further storage tanks for molasses must be constructed.
Since the bulk sugar store and sugar-loading equipment at the Bridgetown Port will be closed, they could be sold to create funds for the work needed at Andrews. This work has to start now to be in time for the next sugar cane crop.
• Keith Laurie is an agricultural expert.
