Photo: Ariel view of BSI’s Tower Hill Factory

Cane supply to BSI impacted by labour shortage as crop end draws near

BELIZE CITY, Thurs. June 1, 2023

As the end of the 2022/2023 sugar crop season up north draws near, the miller, Belize Sugar Industries Ltd. (BSI) and the four cane farmers associations have agreed that the daily grinding rate be reduced from 7,000 tonnes, and be managed according to cane supply for uninterrupted milling. So, whereas the miller can process 7,000 tonnes of cane daily, on Wednesday, May 31, about 5,800 tonnes were milled.

Olivia Carballo-Avilez, BSI’s Cane Farmer Relations Manager told Amandala that it was BSI which called a crop progress meeting this week with the associations and the Sugar Cane Production Committee (SCPC) to address the issue of “out-of-cane supply” leading to 59 hours of lost time to date. As is customary, as the season comes to a close, they also wanted to determine the amount of standing cane in the fields so that a date for the end of the crop can be agreed on. Carballo-Avilez says the associations explained they are confronting an issue of labour shortage. She says they shared that there is an impact from the increased minimum wage to $5.00 per hour that now applies “because the cutters are able to get a higher salary for doing jobs that are lighter or less strenuous … also, labour competition in the area such as the road building and other agricultural crops, and, in reality, we are at the point during the year when it is really, really hot. So, the rise in temperature and the strenuous labour that is required for that …” Marcos Osorio, Chairman of the Sugar Industry Control Board (SICB) commented that this highlights the important role cane cutters play in the sugar industry. He said they ought to be congratulated for their continuous support.

At this week’s stakeholders meeting, the cane farmers associations reported that there are an estimated 104,000-120,000 tonnes of cane left to be harvested and delivered. According to Osorio, the standing cane spans between 12,000 to 14,000 acres. Looking at the numbers, Osorio believes the crop season may come to an end in the 2nd or 3rd week of June. Both Carballo-Avilez and Osorio implore farmers to make every effort along with cane cutters to harvest all the standing cane.

Importantly, the season is already being impacted by a drop in the sugarcane production target. Osorio explained that, whereas they estimated that 1,381,000 metric tonnes of cane would be delivered, the forecast now is that delivery will end up at 1,050,000. He ascribes the estimated 25% reduction to two extreme weather events featuring continuous rain from June to November 2022 in northern Belize, followed by a very dry 2022/2023 crop season with intense high temperatures. In addition, there was pest damage, and because of high agro-input costs, especially for fertilizer and herbicide, farmers were unable to do the adequate maintenance of their ratoon fields.

Asked about the impact of the shortfall in sugar cane delivery this season, Osorio remarked that there is a global drop of sugar cane production due to weather conditions, and such a reduction triggers an increase in the price of sugar – something he says is cyclical. He called it a lost opportunity for Belize this sugar crop season, as greater sugar cane production would have yielded greater revenue for our cane farmers. However, he notes that due to the higher sugar prices, things will even out.

For her part, Carballo-Avilez says BSI had anticipated the impact of drought, flood and pests, and so they set their delivery estimate at 1,150,000 metric tonnes. She shared that quotas have been fulfilled, and they will ensure that they can meet the plantation white sugar requirement of the country.

Another crop progress meeting of the stakeholders has been convened for Monday, June 5. At that time they will determine how much cane has been milled and ensure that everyone is on the same page about bringing in all the cane available. “We need every stick of cane to come in this high-priced year,” affirmed Avilez. BSI says it is offering manual and mechanical harvesting if farmers wish to contract that service.