Caroni can’t compete, says Manning

PRIME MINISTER Patrick Manning said yesterday Caroni (1975) Ltd must be restructured because it cannot compete against other sugar producers.

Manning made the comment during his address at the Trinidad and Tobago Manufacturers’ Association’s (TTMA) annual general meeting at the Hilton. “Some of our firms will not survive without support needed to adjust to a new and harsh reality. That is the case with Caroni (1975) Limited, one of the highest cost sugar producers in the world, one of the most inefficient sugar producers in the world,” he said. As part of its plan to scale down operations at Caroni, Government has offered voluntary separation to 9,000 workers and will be closing down the Brechin Castle refinery.

Manning said local manufacturers can import sugar more cheaply from Guatemala and Guyana. “The Government of Trinidad and Tobago cannot protect Caroni from some of these imports,” he said. He added that after 2006 there will be no market for Caroni sugar unless production costs and market prices can be lowered. This is because of new Cotonou and World Trade Organisation protocols which will be introduced by then. “The best protection we can give workers in Caroni is to organise their orderly departure into new activity and to train and upgrade them accordingly,” Manning said. “While streamlining processes in Caroni, we must set up new industries there to absorb these workers. We must move very fast.” The Prime Minister called on TTMA to get involved in new businesses which will be created in central Trinidad and said the area will be a hub for new economic activity. “Within three years we will give lie to the prophets of doom and gloom to central Trinidad,” he said. “They have prophesied doom and gloom. Caroni is about to see an explosion of new types of economic activity.”