Sugar’s way forward: (Other proposals 2 & 3) – ‘privatization and devaluation’
This week I shall continue with the presentation of the second and third ‘other proposals.’
The call for the privatization of GuySuCo is probably the most widely recognized and indeed contentious proposal ever put forward for the future of the sugar industry. This call always evokes intense political controversy, if only because sugar workers are widely perceived as one of, if not the leading political constituency for the ruling PPP/C administration. Not surprising therefore, it is well nigh impossible to assess this proposal outside of a contentious context.
There is an ideological aspect to the privatization proposal, which provokes this controversy. This is revealed in the axiomatic position taken by those who believe that state enterprises (and more so those based on agriculture activities) could never operate efficiently. The call for privatization therefore, seeks a drastic reversal of this fundamental commercial heresy, which GuySuCo embodies.
Since an ideological debate has no rational resolution, a priori positions are taken on both sides of the divide. It is my view though that the fundamental objection to privatization lies in the observation that those who propose it do not tie it to guidance on how the agricultural and other assets released from selling GuySuCo are to be steered. Surely such …..To continue reading, login or subscribe now.