Even with all the excitement that sugar caused this year with negotiations to keep and secure the European Union's sugar quota and the labor problems at the plant, overall, the news from the sugar industry at the end of its production year is good. The industry performed better that it did last year. Sugar production went up from 104,433 tons in 2003 to 116,500 tons this year. There was also an increase in supply from 1.073 million tons last year to 1.150 tons this year. More that this, the news is good because of the increase in what's called, markets of direct consumption which this year meant that none of Belize's sugar had to dumped on the world market where it gets very low prices.
That's good news, but the best news of all is reserved for the cane farmers who will be receiving $42.32 cents per ton of sugar delivered to the factory. And while it was a good year, the outlook in the EU market is not as good as a 33% price cuts is expected. BSI says it hopes that the price cut will be implemented on a gradual basis and not in one fell swoop.
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