Today, Guyana is observing Arrival Day. More specifically, today marks 179 years since persons of East Indian ancestry first came to Guyana as indentured labourers following the end of slavery. They were brought to these shores in a bid to save the sugar industry faced with lost markets and fallen prices.
Today, 179 years later, sugar in this part of the world again seeks survival in not-dissimilar circumstances, but with the workers, descendants of the indentured servants, being callously thrown on the breadline.
Last year, in its rhetoric “sugar is too big to fail”, the Government announced that it would be closing the Wales Sugar Factory and would seek to “reform” the industry by looking at diversification. In doing so, neither a social nor an economic impact study was done to examine the consequences of such a decision. What subsequently resulted was that over 1700 workers were left on the breadline and several communities along the West Bank of Demerara – Patentia, Vriesland, Wales, Goed Intent, Sisters, Belle Vue – in dismay. This was done despite the fact that sugar-cane production in 2015 increased significantly, for which the very regime took credit. There is no doubt that costs of production and the loss of the EU preferential market have resulted in financial challenges for the sugar industry, not only in Guyana but all across the Region. However, restructuring of the industry directly in response to changes to the international trading environment cannot be done without looking at the local consequences, impacts and hardships the peoples of this nation will face.
Restructuring of economic sectors and industries has been influenced by changes in both the international and domestic economic environments.
Over in our sister Caribbean territory, Jamaica, following some difficulties, the Administration had privatised part of the industry. Estates were sold to companies which eventually encountered problems. The Government of Jamaica, in examining the social and economic impact of such a failure on its peoples, made a decision to take back the estates.
Instead of closing the sugar industry, as is being pursued in Guyana, that Government decided to work towards reviving the industry and making it more viable. In so doing, Jamaica is looking to increase sales in the Caribbean market.
In the instance of Wales workers, none of this was done, but following the end of sugar operations at Wales Factory, the sugar workers were high-handedly told that they would be transferred to Uitvlugt Estate, now compelling them to travel 22 miles from their points of origin.
“Reforming”, therefore, should be done to ensure survival and sustainability of sugar operations and not as a cost-cutting measure to Government. It seems that the latter is the option this Administration is taking following its decision to close more sugar factories. This was announced recently when the Government stated that in considering its options moving forward in regards to the cash-strapped Guyana Sugar Corporation (GuySuCo), more estates are expected to be closed. This was announced even before the white paper on the sugar industry comes up for parliamentary consideration next Monday.
Agriculture Minister Noel Holder had drafted a white paper on GuySuCo’s future which speaks to the findings of the Commission of Inquiry that was held into the sugar industry, as well as proposals made by the Sugar Corporation. That white paper, according to the APNU/AFC Government, also looks at issues confronting the Administration in making a decision on the future of GuySuCo.
Instead of the cavalier approach that has been meted out to the sugar industry, without apparent consideration for the impact on the lives of Guyanese sugar workers, Government should instead consider prospects of addressing the continued modernisation of the industry to compete on the world market. Guyana, since 2006, has been preparing for this modernisation, and studies which were done back then had depicted that modernisation would reduce production costs by approximately 39 per cent. The importance of this industry to Guyana’s economy justifies the need to lead continued modernisation.
The importance of the sugar workers as Guyanese citizens justifies our investment to offer them dignity in their lives.
