In a context of falling international prices, increasing production and improving efficiency are the main objectives of Guatemalan sugar producers for the 2019-2020 harvest.
Official figures detail that during the 2018-2019 harvest the production of sugar in Guatemala reached 2.9 million metric tons, and for the current harvest that has just begun the harvest of a similar volume is projected.
Farmers insist on a reform to the law so that they receive an additional payment from part of the revenues generated by the mills from the sale of surplus energy.
The eternal conflict between cane growers and industrialists over the use of cane bagasse in power generation remains unresolved.The Association of Producers of Sugar Cane (Asprocaña) is proposing reforming"... Articles 2 and 39 of the law in which there is talk of the distribution of income between mills and producers, so that the latter receive a share that corresponds to them for the raw material."
A study planned by the Ministry of Economy on the costs of production and marketing of sugar, could help resolve the conflict between sugarcane cultivators and agro industrialists.
Sugarcane farmers continue to demand that they receive an additional payment as part of the revenues generated by the mills from the sale of surplus energy produced.A study that the Ministry of Economy announced that it will carry out, will allow an analysis to be made of the costs of production, consumption and marketing of sugar and honey, and the generation of energy through bagasse.With this study, it will be possible to determine if a reform is necessary to the Law on Production, Industrialization and Commercialization of the Sugar Agroindustry, as proposed by sugarcane farmers.
A study requested by the union will determine how sugar profits should be divided between producers and industrialists, providing information for a law reform.
The information derived from the study, which according to the Salvadoran Sugar Industry Council, is being undertaken by the FAO, could solve part of the conflict over the distribution of profits between manufacturers and producers.