Rahael outlines the way forward

Having shed itself of 11,000 workers, Government is giving the assurance, as it prepares the 2003/2004 Budget, that the newly created Sugar Manufacturing Company Limited would not be receiving the $600 million subvention to which Caroni Limited had grown accustomed.

“That will no longer obtain,” Minister of Agriculture John Rahael said yesterday, adding: “In fact, that is going to be substantially reduced to the extent that the country would be very pleased.” Rahael told Newsday that Government would be installing the Boards of the SMCL and the Rum Distillers Limited tomorrow at the Ministry of Finance at which time Board members would receive their instruments of appointments. Rahael said the first task of the SMCL would be to hire a Chief Executive Officer. It would then determine how many employees the company needs to carry out its operations — of  purchasing, grinding, refining and the marketing of the cane grown by private farmers. Rahael said the Government had hired four security firms to keep the lands, equipment and buildings at the large Caroni estate secure. The SMCL is expected to assume control of the office building, the St Madeleine’s factory and the refinery.

Rahael said that the timing of the transition was perfect because this is the slow period for the factory. Normally at this time, the activity is in the cane fields, which the factory works from January to June. “So for those who were questioning the timing—[I say] we could not have chosen a better time,” he said. Rahael said the various mechanisms for helping the former Caroni workers were being put in place. He said Caroni Ltd and the transition management team were  going through all the forms submitted by workers in which they indicated what they were interested in doing post-VSEP. “We will now meet with the agencies involved  to set up these programmes,” he said. He said the core company, Caroni Ltd, was also handing queries from workers on their VSEP payments. Saying that all workers received at least part of the VSEP, Rahael said those who had their Certificates of Clearance from the Board of Inland Revenue got all their monies. Those who didn’t get their Certificate of clearance were given 50 percent of the VSEP. The certificate indicates how much tax, if any, the workers owe the government.