Sugar reform faces hurdles

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PS for Agriculture and Waterways Andrew Tukana – FILE

THE push to reform the sugar industry is continuing, even as production shortfalls, ageing infrastructure, and operational challenges persist, permanent secretary for Agriculture and Waterways Andrew Tukana says.

Speaking before the Standing Committee on Foreign Affairs and Defence, he outlined the broad reform agenda being implemented under the National Development Plan, aimed at strengthening the sector’s long-term viability.

“The areas included improving industry governance, implementation of cane quality payments for 2022–2023, developing climate-resistant varieties, securing new sugar markets, increasing cane production to 3 million tonnes by 2022–2023, and also introducing mechanical harvesting and the establishment of lorries to rail transfer stations, and also to promote programs to entice young and active farmers into sugarcane farming, as well as to establish FSC-owned farms to support cane production,” he said.

He noted that while many of the initiatives were initially targeted for completion by 2021, implementation has continued, with updated data now reflecting progress into 2024 and 2025.

Mr Tukana said governance frameworks were now in place, with institutions operating under strategic and operational plans, but acknowledged that key production targets had yet to be met.

He highlighted a decline in sugar output in recent years, although there had been a modest recovery.

“Government continued to support farmers through grants and subsidies, including assistance for planting, fertiliser, lease renewals and mechanisation.”

Production figures showed a slight increase from 1.3 million tonnes in 2024 to 1.47 million tonnes in 2025.

Mr Tukana added that long-standing structural challenges — including ageing mills and low productivity — were being addressed, with annual maintenance costs estimated between $3million and $6m.

He stressed that continued reforms would be essential to improving efficiency and securing the long-term sustainability of the industry.