SMCL deposits $32M in bank to pay farmers

THE Sugar Manufacturing Company Ltd (SMCL) yesterday staved off protest action by cane farmers at the Usine Ste Madeleine factory, when it deposited approximately $32.9 million, representing part of monies owed to farmers for this year’s crop. The sum represented 70 percent of a final $47 million payment owed to approximately 7,000 cane farmers for sugarcane sold to the factory. Trinidad Islandwide Cane Farmers’ Association (TICFA’s) chairman Raffique Shah led a group of farmers to the factory compound at 7.30 am and assembled in front the Cane Farming Department Offices. The workers threatened a sit-down protest at the refinery compound until SMCL’s management paid up.

The company, which took over operations from the defunct Caroni (1975) Ltd, reportedly netted a small profit from the sale of 42,000 metric tonnes of sugar. The company was mandated to produce 60,000 tonnes. Farmers are paid in three tranches with the final one deposited in their bank accounts in the first week of August of each year. Under the watchful eyes of armed Amalgamated Security guards, the farmers mingled on the compound while Shah and his TICFA executive, led by general secretary Lalan Rajaram, met with SMCL’s Prem Nandlal. Around 10.30 am, Shah emerged from the meeting and told farmers he had no choice but to accept the company’s 70 percent payment, because it had already been deposited in the bank.  

“They informed us the 70 percent is already in the bank. We have no choice but to accept this,” Shah said. Shah said TICFA agreed to accept the remaining 30 percent no later than the first week of next month. On the issue of the non-availability of fertilisers, SMCL’s management assured that 33 container loads would have been available by late yesterday. Another 44 containers of fertilisers had left the Dominican Republic, Shah said. In a release yesterday, SMCL stated it had paid 86.5 percent of the value of farmers’ cane sold during the 2004 crop ahead of the promised August 27 date. “SMCL is working towards payment of the outstanding amount less deductions within the next month,” the release stated.