BSI/ASR explains why they call for an increase in sugar
We’ve continued to follow the discussion on the proposal to increase the prices of brown and white sugar for local consumption. In 2014, BSI/ASR asked the Barrow administration to raise the prices. They only acceded to an increase in white sugar and the company says that since 2001 – 22 years ago – there has not been an increase. This week, the Corozal Sugar and Progressive Sugar Cane Producers Associations have written to the Prime Minister to increase the prices. Shawn Chavarria, BSI/ASR’s Director of Finance, explained in a briefing today why the company believes these increases are necessary.
Shawn Chavarria, Director of Finance, BSI/ASR: “This has been something that’s been on the table for many years. In fact the original proposal that was done in 2014 was for the government’s consideration to increase the price of plantation white and brown sugar but at the time the government only granted the increase in white sugar and so since 2014 stakeholders have been discussing and lobbying for a price adjustment in the brown sugar because as I said earlier it’s been distorting the market. When the price for bright sugar was adjusted immediately you saw a significant reduction in sales of white sugar and then you saw a corresponding increase in sales of brown sugar. In fact brown sales went up about 50% and so it distorted the market because obviously consumers would move towards something that’s cheaper and so year in year out it’s been something that stakeholders have been discussing and every time we put it off because there is the feeling that you know it’s not the right time, we have to consider the impact on the consumers on the economy, the pandemic came then we said again it’s really not a good time but from what we’ve seen over the years it really will never be a good time and so I think after twenty two years I think the stakeholders are rightly raising the matter once more for government’s consideration and as I said it’s been something that’s been on the table for many many years.”