1996News

Another sugar shortage?

Sugar industry experts are forecasting that there will be a deficit of 100,000 short tons on the local market this year, that will have to be covered by imports as most of the Dominican production will go to fulfilling its commitments in the preferential U.S. market. National consumption is estimated at 315,000 metric tonnes a year, or 346,000 short tons. Between them, the State Sugar Council (CEA), the Grupo Vicini and the Central Romana are estimated to produce 660,000 tons, of which the U.S. market will demand 350,940 metric tonnes or 385,000 short tons before September. The principal problems of the Dominican sugar industry are caused by the decline of the State Sugar Council, in part due to the corruption within the organization, that has been corroded away over the years, as revealed by a series of articles published by the newspaper Hoy.

The director of the National Sugar Institute, Inazucar, Federico Echenique, says that the decline of the (CEA) will affect a large part of the economy, as manufacturers of alcohol, cattle feed, soft drinks, juices, sweets and many other agroindustrial companies, use sugar as a raw material in the production of their products.