Having a hard time finding regular sugar at your corner grocery? Many people are. And sugar is scarce because it's so cheap in Belize - that smugglers are taking it over to Mexico for a profit.
BSI's director of Finance Shawn Chavarria told us more about it in a Zoom interview today and how they believe that increasing the price would certainly patch the problem, and keep local sugar on the market for Belizean consumption.
Shawn Chavarria, Director of Finance, BSI
"We issued a press release earlier today we felt it was very important to put out what our position is regarding this matter as we continue to receive reports that some communities are unable to obtain sugar it's important we felt that it was important for the Belizean public to be aware that from our standpoint, we don't have any shortage and product available for the market we produce sufficient to take us into January of next year. But we have observed that there has been a significant uptake in purchases, particularly for the plantation of white sugar we've seen over 20% increase in demand for plantation white sugar, which we can only did use is because of the price disparity that exists between the Belizean market and our neighboring markets we know that, for example, in Mexico sugar, particularly plantation in white equivalent, which is a standard sugar, selling for 2 1/2 times the price that is sold for in Belize and we feel like that is perhaps creating a pressure here in our domestic market for our product so people are able to buy cheaper here, sell it across the border and make a profit. We believe that might be the cause for the apparent shortage of sugar on the shelves and therefore we felt that it was important that we clarify that from our end we are making the product available, but somewhere in the supply chain there are leakage is that is occurring that is then resulting in the sugar going across the border."
According to Chavarria these price adjustments had been proposed to the government in the past but the cabinet has not yet openly rejected their proposal. The adjustments would cost the average Belizean family 36 cents more per week, he says.
