The Guyana Sugar Corporation Inc. (GuySuCo) is reporting a shortfall of the First Crop for 2016.
The Corporation said it experienced a shortfall of 29.3% with actual production of 56, 825 tonnes compared with a budget of 80,270 tonnes.
The audit of the production, which takes place at the end of each crop, is underway, but it is not expected that the final figure would vary significantly.
GuySuCo said the shortfall in the first crop was due substantially to the El Nino weather conditions which severely dried out the canes, drastically constrained cane growth and led to reduced sugar content.
“It is also important to note that the crop coming into the drought was in an unhealthy state which was exacerbated by the El Nino conditions. Obviously, this has been a great disappointment to all, especially after the promise of the 2015 Second Crop,” a statement noted.
The shortfall is bound to have significant financial implications for an already cash-strapped industry. It would therefore necessitate management considering further strategies for re-organisation of the industry with a view of making the Corporation a viable business entity.
“It is as a consequence of this process that categories of workers at Wales Estate have been offered alternative employment opportunities at Uitvlugt Estate, but some have persisted in opting for early retirement, or severance pay, as applicable.”
Despite the challenges, the management is sparing no effort in carving out creative and innovative pathways to lift the Corporation out of its current financial state and is strategizing to retain current skills and competencies into proposed diversified projects.