Changes to come for sugar estates that don’t meet 2026 targets – Pres Ali

– dissatisfied with GuySuCo’s performance last year

President Dr Irfaan Ali has cautioned the management of the Guyana Sugar Corporation (GuySuCo) that each estate will be held accountable for delivering on their sugar production targets set for this year. The Head of State gave this warning on Saturday during an engagement with the Board of Directors and Management of GuySuCo at State House. According to a Facebook post on his official page, President Ali expressed his dissatisfaction with the performance of estates’ management and their inability to achieve the 2025 targets. Initially, a production target of approximately 101,000 metric tonnes (MT) was set at the beginning of 2025. This, however, was further revised on several occasions to a final figure of close to 60 MT. During Saturday’s meeting, the Guyanese leader hinted at potential changes at the sugar estates that fail to meet their production targets this year.
“The President informed management that every estate will be held accountable for achieving its targets, and that beginning with the first crop of 2026, estates that fail to meet their targets will see changes,” the brief statement on Dr Ali’s social media page detailed.

Revised target
Only recently, GuySuCo admitted to not meeting its revised sugar production target for 2025 but reported a 26.5 per cent increase in overall sugar production compared with 2024. According to the Sugar Corporation, while the achievement fell short of expectations, the increase in production over the previous year nonetheless reflected “incremental progress despite several challenges.” GuySuCo explained that the prolonged and excessive rainfall during last year severely disrupted harvesting schedules and reduced cane quality across multiple estates. This was further compounded by persistent labour shortages that continue to limit field operations. In response to these issues, GuySuCo said it expanded the use of mechanical harvesting and achieved the highest level of mechanisation in its history. The sugar company described this shift as a “necessary structural adjustment” to address the continuing scarcity of field labour and noted that corresponding field conversion works, including upgrades to access roads, drainage, and field layout, are underway to support greater efficiency. In fact, GuySuCo reported improvements in cane yields with an increase from 41 tonnes per hectare in 2023 to 53 tonnes per hectare in 2025, representing a 29 per cent gain. It said that these results strengthen the foundation for future recovery even if short-term targets remain unmet. “The corporation’s recovery cannot be assessed on the basis of a single crop or production figure,” GuySuCo posited, adding that its focus remains on long-term viability through “steady, practical improvements” such as factory upgrades, enhanced maintenance systems, and strengthened management practices. As preparations begin for the upcoming crop, the company said lessons learnt in 2025 are already being incorporated into new operational strategies.

Commitment to reviving industry
Only last November, President Ali had renewed warnings that failures in management at GuySuCo will not be tolerated as he reiterated his Government’s commitment to reviving the sugar industry. Speaking at the opening of the 2025 GuyExpo in Georgetown, he pointed out that Government has invested heavily in the sector and the leadership must deliver measurable results. “Sugar is far from where we want it to be, but we are seeing signs of recovery, not at the pace at which we want that recovery. Let me be very clear: if the managers in GuySuCo can’t deliver to us next year (2026) from the investment we are putting in GuySuCo, we will have to find a new management system to give us the type of results that we are investing to get. There is no shortcut,” the Head of State had declared.
Nevertheless, the Guyanese leader had indicated that he is encouraged by an emerging partnership involving local and international investors to establish a sugar refinery. That partnership was cemented in December last year when Guyanese company GAICO Inc. inked a deal with North American-based Sucro for the establishment of a white sugar refinery here. Set to be located at the former Wales Sugar Estate on the West Bank of Demerara (WBD), the 100,000-tonne white sugar refinery will not only strengthen Guyana’s sugar industry but also enhance the regional supply chain. This project is expected to create about 75 jobs during the construction phase, which was slated to commence this month, and a further 60 permanent positions when operations commence within a year.