The Sugar Association of the Caribbean (SAC) says the CARICOM Single Market and Economy (CSME) is simply not working for the regional sugar industry when the need is most critical. With the challenges facing CARICOM regional sugar producers, SAC has been gathering market intelligence across the region. Findings from that investigation have prompted SAC to urge the CARICOM Secretariat to take definitive and immediate action through the Council for Trade and Economic Development (COTED) to address the valid concerns that Member States are failing to apply the Common External Tariff (CET) on sugar imports.
SAC market research indicates that more than two-thirds of CARICOM sugar demand is currently being supplied by extra regional sugar imports, despite the fact that CARICOM producers annually produce more sugar than the total regional demand. Additionally, this sugar is permitted to enter the CARICOM market—duty-free—under waiver or suspensions from CET. Furthermore, SAC has consistently advocated for changes to the current CET policy in order to mitigate this practice, which has displaced CARICOM regional sugar producers, who are forced to export their sugar elsewhere.
Equally disturbing, SAC market research indicates that the current CET policy is affecting the sale of CARICOM produced brown sugar. It has become evident in recent months that the brown sugar market opportunity—value and quantity—in CARICOM is rapidly shrinking. This is mainly attributable to imports of extra-regional brown sugar at pricing levels that SAC believes could not be supporting payment of the full CET. The blatant disregard for CET rules is now a distinct challenge to the survival of the CARICOM sugar industry, which supports the livelihoods of more than 400 thousand CARICOM citizens.
SAC will continue to press the CARICOM Secretariat to act with urgency in safeguarding the viability of the CARICOM sugar industry. SAC believes that anything less would amount to an abrogation of responsibility regarding the principles and functionality of the CSME.
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For further information, see our website: www.caribbean-sugar.org
Or please contact:
R. Karl James
Chairman, SAC
t + 876 929-6213
m + 876 371-2637
Email. karljam@gmail.com
William A. Neal
Communications, SAC
t +501 322-2150
m +501 610-9774
Email. william.neal@asr-group.com