Tonight, the Belize Sugar Cane Farmers Association is under pressure to settle a massive legal dispute with BSI and Tate & Lyle Sugars. The proposed deal would force farmers to abandon an 11 million dollar claim for unpaid Fair Trade premiums without receiving a single cent in compensation.
And getting into the mix on the side of the multinational is the Government of Belize which has offered a million-dollar fertilizer package to encourage a signature on that settlement. In a letter to the BSCFA, Prime Minister John Briceño has pledged one million dollars in fertilizer over two years, along with monthly operational support for the Association. However, that assistance is strictly contingent on the BSCFA dropping its legal claims against BSI and T&L Sugars.
While the Prime Minister frames this as a path toward industry stability, the Association is caught between immediate relief and a legal battle for those many millions in unpaid premiums. The BSCFA has signaled it is willing to talk, but they are demanding 'tangible recognition' of what is owed rather than walking away empty-handed.
The association's attorney at Young and Company have presented a formal legal opinion saying the settlement offers zero compensation for these past losses and could give the sugar companies the power to withhold future payments with 'impunity.' This comes after the High Court ruled last July that the farmers do have the right to sue the multinational companies right here in Belizean courts.
So is the proposed settlement agreement a 'trap' for cane farmers? That is the question as the BSCFA reviews the proposal - which we understand has the association divided this evening. They went into a meeting to discuss the proposal and Vice President Fred Ortega spoke to CTV-3 News when he came out a short while ago. Here's how he put it:
Alfredo Ortega, Vice Chaoirman, Committee of Management
"Really and truly, it does not bring any good benefit to our farmers. It brings and it contains what they have presented to us from 2021 when we started with this agreement with BSI. We thought that there will have been changes to that letter, but nothing that is in there will benefit the farmers because what they're asking for is for us to remove the court case that we have."
"And not only that, but for future days to come that we won't be able to go to court or to fight for our rights."
Reporter
"What is the leadership of the association saying at this point in time, the committee of management?"
Alfredo Ortega, Vice Chaoirman, Committee of Management
"Well, there are some of us that are not in agreement with that, because we have seen that it will not be beneficial to our farmers. Nevertheless, most of the leaders have approved that we hold a general meeting and an emergency meeting this coming Sunday, on which we are not stopping that to happen."
"But what we would want is our farmers to really analyze and understand what the implications are if they agree to that letter that have been sent to us to forego the court case and to forego everything, even the premium."
"So that is what we would want our farmers to clearly understand before taking any decision."
Ortega says the entire membership of the BSCFA would have to decide on any issue like this. We'll continue to follow this story.
