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Govt. spent $9B to revive Rose Hall factory – Mustapha
Minister of Agriculture, Zulfikar Mustapha
– says ongoing repairs at estate will finish by end of February
Kaieteur News – Government has spent a whopping $9B thus far to revive the Rose Hall sugar factory, Minister of Agriculture, Zulfikar Mustapha said on Wednesday.
Mustapha made the disclosure on Wednesday during the Consideration of Estimates of the 2024 budget in the National Assembly.
During questioning from the Opposition, he said that repairs at the factory are ongoing, and they are scheduled to be completed by the time grinding season starts at February month’s end.
Opposition Member of Parliament (MP) Vinceroy Jordan asked several questions regarding the operation of the factory including whether all the boilers are operable at the factory. He also questioned the total cost for the rehabilitative works that were undertaken through a previous budgetary allocation of $549.
Opposition Member of Parliament, Vinceroy Jordan
Said Mustapha- “$9B they {the Opposition} cost the people of this country, they cost taxpayers $9B to be spent to rehabilitate and bring back Rose Hall Estate into production.” He expressed alarm at the questions from the Opposition, noting that it was the Coalition government which was responsible for the closure of the estate in 2017.
MP Jordan informed the House that he observed in this year’s budget that a sum of $2B budgeted for the Guyana Sugar Corporation (GuySuco) under capital expenditure. He reminded the House that in 2023, a sum of $3.5B was budgeted for the sector.
The Agriculture Minister that, “about $549M for Rose Hall factory to complete the works in the factory. The rehabilitation of the main crane gang three component, crane carrier, boiler component, bagasse carrier, centrifugal baskets and crystallizers, rehabilitation of scales, vacuum pans, wharf and general factory equipment.”
The Minister had also informed the house in 2023 that an additional $50M was set aside to address buildings, roads, and works around the area.
Grinding of Sugar at Rose Hall last year.
“Now those parts that the Honorable Member mentioned things like boiler you will repair the boiler, but during the course of boiling you might find a leakage, you have to repair it and that will be a continuous process. Those baskets that he talked about are repaired and Rose Hall Estate is scheduled to commence grinding at the end of February.”
Mustapha noted that all the components mentioned by Jordan are part of the ongoing rehabilitation works at the factory and will be completed shortly, to facilitate the start of the grinding season on time and the targets set for GuySuco this year. He also informed the House that he will layover the targets for 2024 since those figures are currently being revised per factory.
Last October it was reported that the Rose Hall Sugar Estate had recommenced the grinding of sugarcane after being closed in 2017 in a move that was termed as “right-sizing the sugar industry” by the Coalition government.
Mustapha had expressed optimism that the factory will continue to grind and crush sugar cane despite some mechanical concerns at the time.
Meanwhile, the management of the Rose Hall Estate has refuted to claims that parts from machines are being substituted to fix newer machines at the factory.
The estate’s management noted that funds expended at the estate is being undertaken in the “most economical and cost-effective manner.”
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