For the last few days, we've been telling you about the challenges within the Sugar industry where the miller, BSI/ASR, is anxious to start the 2022/23 crop season. Three of the cane farming associations are also ready. However, all stakeholders are caught in an impasse due to the protracted commercial disagreement between BSI/ASR and the biggest of the four associations, Belize Sugar Cane Farmers.
They want the Sugar Industry Control Board to legally announce the start of the season via publication in the Gazette. But, the Sugar Board and its chairman are delaying in the hopes that BSI/ASR and the BSCFA can reach a last-minute compromise. So, the start of the harvest is now being delayed by eight days and counting.
Stuck in the middle of all that frustration is the Briceno Government, which is tasked to do its best to ensure that the industry does not suffer another costly, late start. This morning, we got a chance to ask Prime Minister Briceno about the stalemate, and here's what he had to say about his administration's attempts to address this challenging time in the industry:
John Briceno, Prime Minister
"I have not seen the mediation report. I am waiting for that. They are supposed to give me a copy. I hope I could get it before Friday. That is in two days' time. The mediation efforts came to an end I think Friday or maybe late Saturday. Both sides, I think it is an issue where both sides have to find a way where they can compromise to come up with something that is going to be working in the interest of everyone. As I mentioned, BSI cannot exist without the farmers and the farmers cannot exist without BSI. Us as a government we have to be able walk that thin line in finding a balance. We have been doing everything to encourage the process so that they can find common ground. We are not there yet. I am still hopeful that we can get there. The plan now is that we are hoping, we are asking, I know BSI issued a press release saying they are prepared to sign for two years. But we believe we don't need two years. We are going to ask for one year for both of them and now to work with them in earnest, now seriously, that probably BSI can present the actual cost of manufacturing the direct consumption sugars for instance, the actual cost to get to the net strip value, as part of the negotiations so that then the Belize Sugar Cane Farmers Association can also see and convince themselves that BSI is right, maybe not. So, that I think we need to look at as a next step. So, we are going to be asking them for a year. We will be inviting BSCFA to address the Cabinet. Mr. Mai has been for some time want us to meet with them so we will probably invite them early. Then we will have invite BSI also to hear both sides."
We also asked the PM about the rising frustrations of the cane farmers who have signed agreements with the mill, and are ready to deliver cane but are being negatively impacted in a fight that does not concern them. Early indications are that at least one association is considering legal action against the SICB for the delay in the start of the crop.
Here's what the Prime Minister had to say about it:
Reporter
"8 days is good productivity time."
Prime Minister John Briceno
"Well good productivity, but remember around Christmas time they would shut down for at least 2 days Christmas and the 26th. But 6 days is a lot and I agree with you. We wanted to open the crop on the 19th. What happened is that when the sugar board met on Saturday the 2 entities BSI and Cane Farmers Association they were still meeting and there was a hope that something could have worked out and to be able to give an opportunity for that process to work, they said okay, let's set the 27th of December to be able to open up. So, I'm going to impress on the sugar board to be able to work with everyone and to be able to get the crop going as soon as possible and the best time possible at this time is going to be the 27th December."
Reporter
"Isn't the chairman sort of infringing on the rights of those other 3 associations? Their livelihoods took an injury last year due to this problem and I understand that some of them are considering taking legal action to force the sugar board to issue that gazette, sir."
Prime Minister John Briceno
"Well, I think that's a matter for them to decide what action they are going to take. I can tell you from our end we are doing everything possible to get the crop going as quickly as we possibly can."
"We have to be the honest broker. These are 2 private entities. It's not something that we can say rule in favor of the farmers, because then BSI is going to take us to court. If we rule in favor of BSI, the farmers will take us to court, so we have to walk this thin line."
