Tensions flared in the National Assembly this afternoon as the House considered an additional $4 Billion for the cash-trapped Guyana Sugar Corporation (GUYSUCO).

Six months ago, GUYSUCO was allocated $6 Billion in the 2024 budget. The Government moved to the Assembly today for the additional $4 Billion in supplementary funding.

Opposition Members of Parliament, Khemraj Ramjattan, Annette Ferguson and Vinceroy Jordan, grilled the Agriculture Minister Zulfikar Mustapha on the operations of GUYSUCO, which continue to cost tax payers Billions of dollars.

The Agriculture Minister explained that the cost of production is higher than the earnings of GUYSUCO because the industry is now getting back on track.

Jordan quizzed the Minister, as to the feasibility of investing $40B in Guysuco in four years and losing more than $20B so far, with no returns.

“We loss $11 Billion at Rose Hall estate that was closed down, we had to spend $11B to open Rose Hall estate—then Skeldon and Enmore, we still have to shutter workers there and we have almost 500 workers who are doing drainage and irrigation work we have to continue to give them wages and salaries,” Mustapha noted.

Mustapha told the House that in 2021 GUYSUCO’s losses amounted to $7.8 Billion and in 2022, the losses reached $10.2B.

Separately, the National Assembly heard that GUYSUCO’s annual wage bill is a staggering $12B which represents 76% of the company’s operational cost.

The Agriculture Minister said while the Government is putting systems in place, there are some issues outside of the government’s control that continue to plague the sugar industry.

He explained that the shortfall in the first crop was due to weather conditions. Opposition Member, Khemraj Ramjattan inquired from the Minister whether there could be a possible sugar shortage in wake of the drop in production.

‘There is no shortage of sugar Mr. Speaker and there will be no shortage at the end of the year,” Mustapha noted.

The Opposition said it was dissatisfied with the Minister’s responses, and it intends to raise a number of other questions related to GUYSUCO through the Assembly.

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