Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698075433586.pdf (Guyana)
Guyana Sug.ar Corporation ANNUAL REPORT AND ACCOUNTS 1994 TABLE OF CONTENTS Chairman's Statement Board of Directors Report of Directors Review of Operations Statistical Summary Statement of Employment & Community Costs Report of Auditors Profit & Loss Account Balance Sheet Statement of Source and Application Notes on the Accounts 1 6 7 8 31 32 33 34 35 36 38 l • j Chairman's Statement basic Sugar Protocol price which continued in 1994. in 1994.
A cash Employment costs rose sharply shortage which developed by mid-year was relieved through a pre-crop financing loan from Citibank for US$5 million (repaid in full by February 1995).

The costs remains as important a need to reduce priority as ever.

Comparative figures for 1993 and 1994 were as follows: 1993 1994 .,.

Chairman of the Board of Directors, Mr .

Vickram Oditt 1994 was another year of substantial achievement in Guysuco.

Sugar production climbed to 252,615 tons, the highest since 1982.
The important tons cane/tons sugar productivity ratio improved significantly.

Wages and salaries increased by 20% and incentive payouts were higher than in 1993.

Production time lost in industrial disputes declined significantly.

The marketing outlook improved and export revenue was exceptionally buoyant.

Profit before tax and levy again exceeded $4 billion.

In 1994 the sugar industry's remarkable recovery since the depths of its decline in 1990 continued in all areas.
The achievements of 1994, however, must be seen In particular, exceptionally buoyant in context.

export revenue was due to an unusual combination of favourable movements in exchange rates .

Because in 1994 the £ weakened against the Deutschmark in the EU monetary system, the £ per ton price in our most important market, the U.K. market, increased.
Since the £ in the second half of the year then strengthened against the US$ and the Guyana $ weakened against the US$, the resulting price per ton received in Guyana dollars increased signifcantly.
This fact should not be allowed to mask the underlying stagnation in the 242,640 tons 167,389 tons 12,000 tons Production EU (Sugar Protocol) shipments US shipments &gar Expoo reverue $15.0 billion Material and Services costs $ 5.8 billion Employment costs $ 5.4 billion Profit $ 4.1 billion (before tax and levy) 252,615 tons 155,169 tons 14,128 tons $16.8 billion $ 5.9 billion $ 6.5 billion $ 4.1 billion A YEAR OF CONSIDERABLE ACHIEVEMENTS In 1994 we can be proud of our many achievements: production exceeded 250,000 tons for the first time since 1983 when 251,870 tons were produced at 11 factories , compared with 252 ,615 tons produced at eight (8) factories in 1994. cane yields in the field at 30.45 tons cane per acre suffered from heavy rainfall at critical crop establishment periods in 1993 but, though lower than the 32.6 tons cane per acre achieved in 1993, were substantially better than the yields following similarly high rainfall in the late 1980s/early 1990s.
sugar yields at 12.47 tons cane/tons sugar improved significantly over the 1993 ratio of 12.

75 tons cane/tons sugar.

all the main factory efficiency indicators showed improvement in 1994 compared with 1993: grinding rate rising from 104.58 1 Chairman's Statement tons cane per hour to 106.34; overall factory overall from 76.69 to 78.24; 76.47. from 74.29 to time efficiency recovery completed streamline operations will serve to centralise stores control and workshop leading to considerable savings.
and land preparation and planting, future crop yields, remained at a historically prepared best achieved The 18,298 acres in 1994 was the third high level.

for planting for 21 years.


vital to Our major effort sugar industry progress in 1994. to rehabilitate in all its areas of operations and modernise the made good environmental Guysuco's environmental audit in 1994 an independent declared standards superior sugar industries to be high in absolute to those of all other Caribbean terms and included in the study.
FINANCE Revenue and Expenditure revenue before Guysuco's billion whilst $12.5 billion in 1994 compared expenditure in 1993. with $16.6 billion sugar levy was $18.1 in 1993, with was $14.0 billion compared structures.

10 water control million, were rehabilitated programme of replacing drainage continued.

costing $50 as the and repairing and irrigation infrastruct ure Profit Guysuco earned a profit of $4.1 billion.

earnings per share of G$8.22.

before tax and sugar levy the same as in 1993.
This represents Guysuco played an important assisting Government breaches in the seawall Mon Repos in the latter to repair serious at Strathspey part of 1994. role in and Profit 1994 compared with after tax and sugar levy was $691 million $529 million in 1993. in Capital Expenditure in was spent or committed field machinery 4 years the US$2 .0 million replacing and refurbishing and equipment; in the last delivery of 561 field machinery items varying from crawler spreaders, valued in total at US$12.3 much higher million, levels and cane delivery to the factories has made possible the tillage, now being achieved.
of planting, tractors to filter mud capital a coordinated to rehabilitate Implementing programme factory Nearly $1,600 million projects: assests remains a high priority expenditure in field and in GUYSUCO.
was spent in 1994 on capital equipment Buildings Agricultural Cane punts Factory equipment Drainage Transport Other $ million 106 154 123 551 56 253 355 and irrigation of the factories with the expenditu on the replacement went a step re of US$3.9 of out-of-date rehabilitation further million plant and equipment: punt dumpers were commissioned at Blairmont factories installed diesel boiler at Albion; pumps were replaced factories; and bagasse car­ the No.5 Boiler rier was upgraded ; new turbo-alternators at Rose Hall and Wales and a new a new installed alternator steam receiver and Uitvlugt were was commissioned at Uitvlugt.
at Enmore; at 6 the establishment complex made good progress of the new Coldingen and when 1,598 ------- ------- capability rated factory capacities objective of securing on all eight (8) has been current The aim must now be to increase rated production The Board's short-term Guysuco's estates at achieved.

factory efficiency.
factory efficiency.

capacity at an improved level of overall 2 Chairman's Statement SUBSIDIES Guysuco's revenue and profitability are reduced because it subsidises the domestic consumer of sugar and cane farmers in the industry to a significant degree.

Local Sales Subsidy The price of brown sugar has remained unchanged since February, 1991 .

Since then the effect of inflation has substantially reduced the real value of sugar earnings in the domestic market.
The local price is now well below the cost of production.

The amount of this subsidy in 1994 was $124 million.

Cane Farming Subsidy When farmers' cane is processed, gross revenue per ton - before sugar levy - is shared 70% to the farmer (no levy deducted) and 30% to Guysuco (subject to levy).

Every ton of sugar made from tanners' cane costs Guysuco $12,000.

The amount of this subsidy in 1994 was $225 million.
DEVELOPMENT OF HUMAN RESOURCES The people who work in the industry are our most important resource.

Therefore, our employees are regarded as assets to be safeguarded, developed, and improved.

Our policies will always tend in that direction.


training and education programmes are given high priority : in 1994, 7 4 apprentices graduated from the Apprentice Training Centre, 55 education bursaries were awarded, 14 cadets were in training in the fields of sugar technology, mechanical and electrical engineering and agriculture; courses in management training and skills development were held throughout the year on estates and at the Management Training Centre at Ogle.
improving safety and environmental standards is a priority concern : expenditure deyoted to achieve high standards is steadily increasing; Safety Committees have been established on all estates and at Head Office units.
3 the delivery of health services continues to improve: primary health care centres on all estates and the special chronic diseases clinics are now fully operational; the Ogle Diagnostic Centre achieved a full complement of staff and improved its services during the year; the provision of drugs has been further up-graded; all estates are now served by fully equipped ambulances.
the cess paid into the Sugar Industry Welfare Fund now amounts to $120 million per annum : programmes to provide considerably more housing for sugar workers and water supply and welfare services are being developed.

in the meanwhile Guysuco is providing 450 developed lots for sugar workers in 9 housing areas on estates.
the rehabilitation and improvement of Community Centres, 9 of which are now under Guysuco's control, continues apace: rehabilitation of the Centre at Uitvlugt was completed in 1994 and considerable progress made in rehabilitating the Centres and playing grounds at Albion, LBI and Wales.
cricket and other sports are being vigorously promoted on all estates: 7 Guysuco members represented Guyana in the 1994 Northern Telecom under-19 competition; a three-week coaching visit by the legendary McDonald Bailey gave athletics a considerable boost.
there is full recognition that increased production and productivity should be rewarded by improved wages and increased incentives: sugar workers' earnings have significantly outstripped inflation and they share in the industry's profits; non-wage benefits include meal allowances, provision of tools and boots, free transportation and medical services.
strikes , particularly in prime production periods, seriously affect the industry's Chairman's Statement therefore in man­ from the sharp reduction and stop­ productivity: the industry benefitted days of work lost through pages from 200,000 in 1992 and 126,000 in 1993 to 72,000 in 1994. strikes SUGAR'S IMPORTANCE TO GUYANA Guysuco· throughout industry's the nation's s impact on the Guyanese economy and society is wide-ranging.

The sugar recovery has contributed recovery.


economic overall significantly to sugar accounts for GDP approximately 18% of very substantially to in 1994 $2.0 billion Guysuco contributes was public revenue: Levy, $262 million in paid in Sugar Export taxation, in Consumption Tax and Duties, and $433 million in employees' $450 million PAYE.
30,000 persons, direct employment for including Guysuco provides approximately cane farming employment, and an 8,000 persons are employed estimated in which supply and service the businesses industry by-product, molasses.

and utilise the industry's earner of retained sugar is the largest foreign foreign represented in Guyana: in 1994 earned from sugar 26 % of export earnings.
exchange exchange a wide range of agricultural sugar develops and industrial substantial educational and training opportunities industry not only of the nation as a whole.

skills and provides for the benefit but also the sugar is a crop excellently suited to the areas where it is grown in Guyana and is example of an industry in an outstanding which the principles of sustainable development apply.
policies in protection promotes and environmental incorporate the best and thus provide Guysuco actively health, safety which will increasingly modern practices example to public and private enterprises in the country.

an Guysuco makes substantial contributions The successful management Jagan; the United Agriculture, Agricultural of waler is essential Nati•ns Food and Agricultural for coastland agriculture Resident and sugar cane cuhivation: Representative.
Mr. Lance Hayles: President and the Ministe rs of His Excellency, Organisation Cheddi were among those who viewed a video documentary on wawr management Exhibition.

in the sugar industry at the National 4 Chairman's Statement and to helping organisations, conferences, seminars, to the nation's of endeavour.

to the widest possible range of charitable to educatio nal, and religious sporting.
hea Ith youth development, improvement, cultural and heritage preservation projects, and events sponsor progress in which contribute Guysuco's many fields are also resources human and material projects inumerable made available to assist and improvements around in communities estates and to help to tackle local arise.

We emergencies take our role as a good corporate seriously.

which frequently citizen THE FUTURE IN PERSPECTIVE which has Rehabilitation in the recovery n has doubled.

has improved.
has improved.

especially in field and Productivity of run-down Much has been achieved taken place in the sugar industry.

Since 1990 productio factory in the field, assets, Management has been strengthened.

levels increased better conditions of employment workers better performance.

A reasonable level of has been profitability Improved incentives and have brought back into the industry and encouraged has made progress.

of remuneration, restored.


Combined quota, our preferentially Guyana will mean a new market for 30,000 to 40,000 tons of sugar at a preferential price well above current world market prices.

Sugar Protocol quota of approximately 12,000 tons, and the markets in Caricom which we are developing, new market in the EU gives Guysuco a strengthened future.
marketing in the immediate outlook with our priced US this we should not be led into policies based view of future marketing exceptionally might be a particular But the underlying revenue movements in exchange in mind.

Most That, indeed, the EU's restrictive However, on an over-optimistic prospects.

danger after a year like 1994 when rates gave rise favourable and at a time to much higher than budgeted new, when the industry has gained an entirely ally priced market.
preferenti fundamentals must be kept importantly, continues.

since 1986 and will tend to reduce prices received both for Sugar Protocol sugar and for sugar delivered over the next few years.

Rising not be balanced not controlied and productivity profitabil industry continue assets.

ity will be progressively will be unable to generate the essential eroded and the the funds to of its operating This has meant sugar prices frozen under the new preferential by increasing prices.
It costs are rehabilitation price policy improved, arrangement costs will therefore and increasing and office operations.

require a substantial in particular to be done.

There is a long way productivity in field, factory But much remains yet to go in improving efficiencies Our factories a period injection of capital over secure their reliability and equip them to achieve internationally performance.
The cost of production industry must be reduced over the next so that we enter the 21st century compete and generate competitive standards of in the few years with our ability much enhanced.

of years in order to profits to support during the wish to record my sadness at for the Directors which 1 have received I wish to thank my fellow and cooperation year.

I particularly the recent death of our colleague Hamilton, considerable an important part in our discussions.

deepest to Ivan's sympathy bereavement.


and whose thoughtful wife and family advice played I extend my in their on the Board, Ivan whose services to the Corporation were and workers I also thank management most warmly for their outstanding 1994.

Together they are building more productive industry to the well-being in Guysuco achievements a stronger of the nation.
and progress in and and contributing greatly outlook access for Sugar Protocol of recovery the As we pursue our programmes marketing 1994 marked the has improved.

conclusion of a new GATT agreement incorporated Guyana's case 163,000 tons).

thus further securing Guyana's period of 6 years, ACP countries additional this most important of all sugar.

Also, from 1st July, 1995, for a acce�::; in the European Union which for will enjoy for markets quotas (in which VICKRAM ODITT Georgetown, 28 June, 1995.
5 Directors The Board of Directors during 1994 was: Mr. V. Oditt, A.A. Chairman Mr. I.S.

Hamilton, A.A. Mr. R. Alli • Mr. D. Ramotar Mr. B. Newton Mr. R.M.D.

Glasford Member Member Member Member Member Mr. G.N.

Hilary Chief Executive Note: All members of the Board of Directors were reappointed for a second term of office at the expiry of their first term on 30th June, 1994.
Auditors The 1994 Accounts were audited by the Auditor General in accordance with the provisions of the Financial Administration and Audit (Amendment) Act, 1993.

A.L.
A.L.

Lancaster Secretary 6 Report of the Di rectors The Directors 31st December, 1994. submit their report for the year er.ded The net profit making provision for:- before taxation was arrived at after Principal Activities G$M *G$M activities of the Corporation were the its own and the conversion of of sugar cane The principal growing and farmers' molasses.
cane to sugar and its by-product, Provision stock obsolescence 200 for Depreciation 783 643 Sugar Production/Sales Audit Fees 3.9 2.2 The sugar production data tor 1994 compared the previous year were: with Net Loss on exchange 181.4 6.1 1994 1993 Change expense Interest 225.8 85.4 Total acres harvested 95,303 89,797 6.14% 30.46 32.6 (6.56%) Provision pensions for ex-gratia 108.3 77.6 Tons cane acre Tons sugar acre Tons* sugar made (·incl.
from cane) farmers· 2.45 2.50 (2.0%) Interest income (52.2) (65.7) fees Management and expenses 463.1 526.2 252,615 242.640 4.11 % (*comparative 1993 provision ) Sugar Sales in 1994 amounted against G$16.1 billion in 1993. t o G$17.5 billion as Molasses Production/Sales The charge for taxation with G$231.6 million in 1993. was G$41 O million compared production in 1994 was 116,803 tons of 128,226 Morasses which was less than t he 1993 production tons.
The decrease related Molasses s ales in 1994 amounted to G$608 million to the improveme G$399 million nt in factory in molasses as against production in 1993. was The net compared was G$691 million after taxation in 1993. with G$529 million profit recoveries.
The Export Sales Levy for 1994 amounted billion with G$3.36 billion compared in 1993. to G$3.03 Retained Profit Financial Results T he turnover for the year before export sales levy was G$18.1 billion compared 1993. with G$16.6 billion in The profit billion forward from 1993. carried forward to 1995 was G$41.2 as against G$516 million carried 7 Review of Operations Agricultural Operations PRODUCTION AND WEATHER and private farmers· 252,615 tons sugar, some 9,975 more than the 242,640 tons in 1993 and 2,556 tons ahead of the target for 1994 of 250,059 contributed 233,871 of total production, tons.
tons sugar as in 1993) while In 1994 GUYSUCOs estates lands produced tons (4.1 percent) achieved budget production GuySuCo's (92.6 percent private percent production in absolute relative contribution estates farmers' contributed 18,744 tons (7.4 of total production).

total thus continued farmers' its recent increase The private terms and farmers maintained their to national production.

with a budget of 91 , 733 2,562 acres brought acres that forward the mill in 1994 compared acres.
The 3,570 additional-to-budget were reaped included from the first crop of 1995 to second crop 1994 mainly to rebalance the harvesting blocks thrown into imbalance areas of cane carried during the heavy rains in November 1993. schedules by the substantial forward to first crop 1994 and December in exceeded 250,000 tons GuySuCo's production sugar for the first time since 1983 when tons were produced at the 252.615 tons produced 1994.

251.870 with compared in 11 factories.
at eight factories 33,777 tons sugar farmers estates supplied supplied 218,093 In 1983 private while GuySuCo 102,721 harvested sugar per acre, compared from 95,303 acres at an average per acre in 1994. tons from of 2 .12 tons with 233,871 tons sugar of 2.45 tons sugar acres at an average The GuySuCo estates harvested 95,303 acres for given the heavy rainfall experienced at Mean yields tor the year on estate lands at 30.45 and 2.45 tons sugar tons cane per acre (72.7 tc/ha) were lower than in 1993 (32.6 per acre (5.85 ts/ha) tons cane per acre and 2.50 tons sugar per acre).
However, critical periods particularly period, achievement yields achieved 1980s /early 1990s.

the 1994 yields represent especially following 1n comparison high rainfall a reasonable with the in the late of crop establishment in 1993, during the second crop in Demerara average of 81.89 inches.

total in 1994 was only 4.6 percent preceding With an industry rainfall average particularly in March and in Demerara heavy storms in Berbice for the 35 years but there hig�er than the were and Demerara in November.
T he rainfall CANE AND SUGAR PRODUCTION -1994 Estate Production 1st Crop 2nd Crop 1994 Total 1993 Total Actual Actual Actual 1994 Budget Actual Acres (1) Reaped for mil 40,931 54,372 95,303 91,733 89,787 Tons (2) Cane Milled 1,246,918 1,655,836 2,902,754 2,945,744 2,925,012 Tons Sugar Produced 101,213 132,658 233,871 229,754 224,711 32.1 Tans Cane/ Acre 30.5 30.4 32.6 Tons Sugar/Acre 2.47 2.44 2.50 2.50 Tons Canerron Sugar 12.32 12.48 12.41 12.82 13.02 30.4 2.45 Tons Sugar From Farmers 7,967 10,777 18,744 20,305 17,929 TOTAL TONS SUGAR 109,180 143,435 252,615 250,059 242,640 (1) "Acres" (2) "Tons" are long tons"' 2240 pounds"' 1.016 tonnes.
acres, where 1 Rhynland are Rhynland acre "' 1.051 Imperial acres "' 0.4253 ha 8 Agrlcultural Operations MONTH January February March April May June TOTAL 1 ST CROP PERIOD July August September October November December TOTAL 2ND CROP PERIOD TOTAL YEAR 1994 6.72 3.37 7.63 2.90 10.00 8.00 38.62 13.43 5.10 3.40 4.70 10.03 6.63 43.29 81.91 in March may have a slight adverse effect on cane yields in the first crop 1995 but the rainfall in November is unlikely to have had any significant adverse effect.
After the middle of December the weather began to change and the last two-to-three weeks of the year were particularly dry, especially in Berbice, with the promise of drier-than-average weather extending through to January 1995.

Rainfall in 1994 had very little effect on cane deliveries overall, although there were isolated instances where ra in did interfere w ith the harvesting programme , as at the LBI/Diamond "Pilot Area".
It was therefore disappointing that for the year only 56 percent of cane transport punts were discharged within two days of the cane being burnt, compared with 54.6 percent in 1993 and 62.2 percent in 1992.

It would seem that too much cane was being burnt at any one time, often in anticipation of rainfall that did not come.
Cutting and loading standards maintained the improvements of the past three years with average extraneous matter levels of 4 .7 percent and 2.9 percent in the first and second crops respectively.
Average estate punt load was 6.10 tons cane in the first crop and 6.13 tons in the second for an annual 9 Industry Average Rainfall (Inches) 1993 9.80 3.28 11 .56 2.44 7.77 12.24 47.09 5.02 5.42 3.64 4.48 15.14 7.13 40.83 87.92 1992 5.46 4.26 2.93 1.74 11 .12 8.04 35-YEAR MEAi\ 6.98 3.42 4.04 5.63 10.10 11.57 33.55 41 .74 8.97 8.17 1.61 1.68 2.21 5.11 9.81 6.81 3.06 3.11 5.24 8.46 27.75 36.49 61 .30 78.2 average of 6.12 tons, which compare favourably with the 5.90 tons and 6.02 tons for estates in the first and second crops respectively in 1993 and far exceeds the 5.38 tons cane per punt average for the year by farmers.
The latter was lower than the farmers' average of 5.55 tons cane in 1993 and was particularly low at Enmore where the Pioneer Farmers averaged only 3.06 tons cane per punt.

In contrast Houston averaged 6.21 tons cane per punt and the Skeldon farmers 5.73 tons cane.

LAND PREPARATION AND PLANTING The availability of the Caterpillar D6ESR crawler tractors increased steadily throughout the year as Central Workshop rectified hydraulic problems.
As a result , and despite the wetter-than-average months of March and November, some 90 percent of the budget target for land preparation was achieved with the 18,298 acres prepared for planting representing the best on the GuySuCo estates in any of the past 20 years with the exceptions of 1992 (23, 184 acres).
Agricultural Operations ACRES - ESTATE LANDS 1994 ACRES 1st Crop Actual 2nd Crop Actual 1994 Total Actual Land Preparation Planting 9293 6957 9005 9954 18298 16911 1994 Budget 20342 17524 1993 Total Actual 17573 19544 Planting progressed well throughout the year and 96 percent of the budget planting target was achieved.
The budget planting target had been set lower than the land preparation target with the aim of taking lands out of cane to increase the area under fallow and thus assist the planting programme in 1995.

In the event at the end of 1994 estates had 93,781 acres of cane and 6,293 acres under wet fallow compared with 95, 168 acres of cane and 5,085 acres of wet fallow at the end of 1993 and 94,287 acres of cane and 7,456 acres of wet fallow at the end of 1992.
The increased fallow land area should enable planting to progress smoothly in 1995.

Since the beginning of 1991 GuySuCo has planted 69,335 acres, or 74 percent of the land area under cane at the end of 1994.

It is anticipated that by the end of 1995 some 94 percent of total cane area will be under plant to 4 ratoon cane , with the desired complete cropping cycle of a plant and four ratoons being achieved during 1996.
In 1994, as in 1993, DB 7869 was the most widely planted variety accounting for 6,630 acres (39.2 percent) of the 16,911 acres planted, followed by DB 66113 (16.4 percent) DB 7047 (13.8 percent) and DB 75159 (12 .3 percent) .

There was comparatively little planting of DB 7160 (4 .4 percent) but planting of this excellent variety will resume in 1995 following extensive establishment of nurseries across the industry in 1994.
Some 165 acres of D 8415 were planted in 1994 and it is expected that this vigorous variety will cover about 1 percent of total cane area at the end of 1995.

At the end of the year DB 66113 remained the most widely grown variety, occupying 21,458 acres (22.9 percent) of total cane area , compared with 26.5 percent of total cane area at the end of 1993, followed by DB 7869 at 16,500 acres (17 .6 percent) up from 10.
7 percent at the end of 1993 and B 41227 at 12,567 acres (13.4 percent) down from 15.8 percent of total area at the end of 1993.

There was an increase in the area occupied by DB 7047 while DB 75159 increased its percentage occupancy from 8.0 to 10.8 percent.
There is no doubt that the success of the planting programme since 1990 has enabled the industry to greatly broaden its variety base and thus be better placed to manage pests and diseases and develop more flexible harvesting programmes than was previously possible.

At the end of the year plants to, and including , fourth ratoon cane covered 72,425 acres (77.2 percent of total cane area) and some of the oldest ratoon cycles (15 + Ratoon) were , at last , disappearing from production.
ENVIRONMENTAL ASSESSMENTS to The agricultural aspects of the industry were environmental monitoring subjected assessments by three outside parties .
The Canadian Government c ommissioned an environmental impact study of the fertilizer support programme, the Pan American Health Organisation at the request of the Minister of Health carried out an investigation into claims that pesticide use by GuySuCo had been a major cause of male sterility Agro in a fraction of the population and Zeneca chemical studied the systems in place for the stor age and handling of pesticides at GuySuCo's es tates .
In each case the assessments were generally satisfactory particularly in the case of the Zeneca study where GuySuCo's standards were shown to be high in absolute terms and superior to those of the other Caribbean Sugar Industries included in the study.

Towards the end of the year an Environmental Audit of the industry to be carried out under World Bank tendered to selected groups of funding was international consultants.

It is expected that this study will be carried out early in 1995.
10 4, I Agricultural Operations AIRCRAFT DEPARTMENT The year saw the Department with a seventy five percent fleet availability.

The Thrush Commander (8R-GFD) damaged in December 1993 remained unserviceable throughout the year because of an extended time required to aquire major components.

By the end of the year the aircraft was under repair and it is expected to fly before the middle of 1995.

In 1994 the fleet achieved a total flying time of 879 hours 40 mins., compared with 698 hours 27 mins.
in 1993, an increase in flying time of approximately 26%.

From fleet operating reports it is clear that in 1994, Thrush Commander 8R-GFC (which was rebuilt in 1993) achieved 405 hours 50 mins.

flying time and attained the highest air time of any single Thrush Commander for the past decade, an achievement which reflects much credit on the ground staff and pilots .
The Corporation's aircraft in 1994 achieved 396 hours and 30 minutes for agriculture operations and 450 hours 38 minutes for passenger traffic compared with 228 hours and 4 70 hours and 27 minutes respectively in 1993.

The agricultural work involved the application of a range of c rop control and growth regulatory chemicals to 15,756 acres and the fertili sing of 19,582 acres of cane compared with the spraying of 19,192 acres and fertilising of 6,000 acres in 1993.
In addition to the 35,338 acres treated by the Corporation 's aircraft so me 5,695 acres were sprayed and 1,471 acres fertilised by an outside contractor.

A total of 42 ,504 acres was, therefore, treated in 1994, comprising 21,451 acres sprayed and 21,053 acres fertilized, compared with 1993 when 32,727 acres were treated by the Corporation and the contractor.
The treatment of 35,338 acres of sugar cane by GuySuCo was due to a second pilot becoming fully proficient on the Thru sh Commande r thus permitting ma ·.·imum utilisation of the one serviceable aircraft.

11 Engineering coverage improved during the year and all engineers are now fully qualified on the airframe and engines of the Thrush Commander and the Cessna 185F.

Type coverage on the Cessna 4028 still remains the responsibility of the Chief Engineer.
During the year the Government of Guyana accepted the recommendations of the Internati onal Civil Aviation Organisation study on the future of Ogle Aerodrome.

The Aerodrome is to be developed as a Munici pal Airport and the transfer of th e Aerodrome from GuySuCo's ownershi p to the ownership of the Min istry of Transport and Communications has been initiated.
The legal formalities gove rning the transfer of land are expected to be completed before mid-1995 and until that time GuySuCo will continue to manage the airfield on behalf of the Civil Aviation Department.

HYDRAULICS DEPARTMENT The Hydraulics Department provided advice on Drainage and Irrigation works to the Ministry of Agriculture as well as to the Boerasirie and Lama Conservancies.
Indeed, the Hydraulics Manager was appointed Chairman of the National Drainage and Irrigation (D & I) Board which was resuscitated in October 1994 and has commenced a three-year rehabilitation programme for the entire Country.

pump Relevant to GuySuCo is a D & rehabilitation programme for stations pertaining to GuySuCo estates, of which the pre-conditions for first disbursement of the COB financed loan were approximately 50 % completed by the end of the year.
I As a re su lt of th ese additi onal external responsibilities it proved necessary to reorganise the Department with the Civil Engineering Division being transferre d to an extended Engineering Services Department.

The accumulated number of flood days for the year for the industry indicated that the drainage system problems at Rose Hall, Uitvlugt and Enmore need to be addressed as matters of urgency, with particular attention directed towards Rose Hall.
Agricultural Operations Buxton and Mon Repos resulted Overtopping of sea defences Strathspey, flooding Hydraulics repairs in the latter in these areas and Department.

part of the year.

to breaches at high tides at in the in at Strathspey of Agriculture and Mon Repos GuySuCo assisted Ministry TOPCON EDM.

LAND SURVEY SYSTEM (Digital Terrain Model System), TRANSFER UTILITIES interactive install and ARTECH SURVEY SYSTEM.

LSS i s to with AUTOCAD and i t is proposed this programme during 1995.
EX:PEINDITURE ON WATER CONTROL STRUCTURES 1988 TO 1994 YEAR 1988 1989 1990 1991 1992 1993 1ClQ4 TOTAL NO.

OF STRUCTURES TOTAL VALUE GS 2 1 4 2 6 6 111 31 663.171.00 74,480.00 7.069 852.00 4,122.232.00 59,824.418.00 52.719.231.00 ,HI ti?7 ?7n nn G$172,900,604.00 has been Since 1988 G$172.9 million the repair or replacement tures of which nine were aqueducts ing 22 were sluices.

verts.
verts.

expended on struc­ of 31 water control and the remain­ revetment for sluices or cul­ The high expenditures from the rehabilit and the No 23 Road Bridge and Culvert ation of the Hope/Enmore sluices at Skeldon.

for 1992 and 1993 resulted were issued for the replacement In 1994 contracts of five aqueducts at a cost of G$34 .1 M and other structural total of G$48.4M for the year.
works were costed at G$14.3M to give a the sections a large fraction field areas and the Head drain longitudinal surveyed During 1994 Survey Systems completed at Enmore sideline Estate.

of Providence Estate to produce accurate establish a system of benchmarks, Office Survey staff in the use of TOPCON EDM equipment and in LSS software ARTECH SURVEY TRANSFER U TILITIES SYSTEM In addition estate field statt were trained in conventional including completed.
house lot surveys on 10 locations, survey methods and other projects.

together trained with the were ENGINEERING SERVICES both on the East Bank, failed The Peters Hall sluice gate and the Bagotstown sluice.

in the Demerara in adjacent and other East Bank.

sluices the end of the year and a foot bridge at Providence was replaced.

Repair works to these.

towards were initiated at high water with some flooding river in October communities.
During the year the Civil Engineering and Agricultural Engineering Departments were combined to form the Engineering Services Department.

the Field Within this E quipment Experimental disbanded to other agricultural and the technical engineering Unit (FEEU) was department duties.
staff were redeployed authorized The Surveys Diyl§lon G$15.23M in rates, taxes and Authorities and Regional with G$15 14 M patd in 1993. the payment of rents to Local compared Administrations at the A Survey Systems Manager was appointed beginning and other engineering systems.

staH, in computerized survey are at present The systems available of the year with a brief to train Surveyors, earned forward from 1993.
An additional department completed all The civil engineering projects 62 projects, during the year.

compared at G$172 million valued at G$111 million, structures maintenance while the valued at G$203 million were awarded valued 17, in 1994.

Of these 62 projects with 46 projects represented new capital remainder were repair and At the structures.
works of existing 12 Agricultural Operations end of the year 42 of these projects completed forward to 1995. and 20 in progress were carried had been structures the most or completed during a new field workshop at Skeldon, bond at Blairmont and the of the stores facilities at Coldingen into 1995) together works undertaken Apart from water control significant the year included a new fertilizer refurbishment (a project with the building In addition store at Uitvlugt estates.
that will continue of a new field laboratory at Uitvlugt.

work commenced on a new fertilizer and agrochemical bonds at several early in 1995, all of the agricultural Section supplies the purchase Engineering fleet.

Apart from which were expected The Agricultural to continued of replacement co-ordinate and new items for the agricultural vehicle five lorries for labour transport, to be delivered machinery and equipment the IADB loan 839 had been delivered programme 1994.
During the four-year from crawler 561 separate valued in total at some to a filter mud US$12.30 that without programme targets achieved.

were obtained.

There is no doubt the purchase s made under this items.

ranging spreader, of the past three years would not have been purchased by the end of the tillage, planting million a total of via and cane delivery tractors purchased Apart from field equipment loan the Corporation purchased other items, including two fire-tenders, several for cane transport.
four school buses, two ambulances, and 167 new punts sugar lorries with the IADB for field structures steel bridge materials of a galvanized into alternative Studies led to the construction at Enmore and to a trial to compare concrete and boxes with wooden drainage plastic boxes drainage The galvanised at Blairmont.

proved to be an attractive or concrete there will be a move towards this type of robust, unit.
Similarly low-cost have proved cost-effective purchased to enable production regional alternative and it is expected and a mould was out to to be carried requirements.

steel arch bridge the concrete bridges to either that in 1995 wooden drainage boxes and operating operators.

There is no doubt that with the new equipment concepts consideration for the near future this training, perhaps even more important.
with workshop training, will become linked under FLEET MAINTENANCE such ranging in age from and the to deserving institutions, from the asset register.

for spares and Some 175 pieces of equipment 6 to 32 years were deleted Some of the units were dismantled others were donated as the Guyana School of Agriculture Linmine Technical Training aids.

The majority training either the case of seven SP1800 Cameco grab loaders surplus an interested G$32.
7 million in 1994 and will continue through 1995 as the industry (still at various Complex.

for use as sold were however, as in to requirements, purchaser.

by direct These sales raised some by public tender or, and exceptionally far too) many pieces of scrapped moves to divest itself locations.

equipment negotiation with of the The fleet received average availability was 79.0 percent, 1993.
This improvement lowering estate field workshops operation, despite required 183 items of new equipment and of field units throughout the year in compared only the of the fleet age but also the efforts of to keep the fleet in the (often very long) lead time with 72.5 percent reflects not of spare parts.

for the purchase was paid to the improvement attention buildings of and facilities inspection Particular workshop ance of a workshop team.
Major works were undertaken the buildings pletely was built at Skeldon.

new workshop at Uitvlugt and Albion while a com­ under the guid­ and development to enhance was reviewed at approved Car Workshop The role of the Service and the unit will close early in 1995.

Cars will then be serviced The workshop the industry building Estate.

employees as appropriate and equipment returned within and the workshop will be redeployed workshops to Enmore in Georgetown.
became increasingly important training Operator the industry department 237 proficiency certificates, introduced orga"ized as new equipment.

The to all grades of 13 courses, and awarded attention will be paid to the In 1995 particular management.

and disposal, of the stocks of unwanted present and obsolete in estate and spare parts which are at workshop stores.
13 Agricultural Operations RESEARCH ANID CROP CONTROL Variety Development and Selection -Sugarcane Breeding began in programme 1994 crossing for 16 weeks achieving The Demerara July and lasted This compared and the 156 of 1992.

Crosses included utihzing programme.

312 crosses.

of 1993 interest of particular 80 for the base-broadening well with the 288 crosses exotic varieties and 55 for the programme high-quality in February and sown in the greenhouse four months.
Germination The OB 1993 series fuzz was received from Barbados over the following low at 45% of expectation and only 44,000 seedlings ser'1es crosses countries of the Central programme.

has been reported by all member Station's were potted.

Low recovery Breeding of 1993 was At the end of 1994 some 199,300 being evaluated clones were in Stage U trials The majority of these are D and DB series genotypes.
were seedlings 6,399 trials, in Stage I selection and 919 at Stage Ill. and disease confirmed trials has of selection Assessment ity rating canes continue dard variety 8664 are to be released to selection trials.
that several to perform well relative DB 66113 and D 8687, D 8684 and D estates for Stage V to the stan­ susceptibil­ D-series during the year D OB 66113 in terms of reaped at estates In the 27 trials 8415 continued to outyield tons cane per acre lbut was not significantly different from the standard as regards None of the other varieties with the standard.

tons sugar per acre.

in these trials competed Plant Protection of any major There was no significant inc1dence in the 1994 crop.
At the end of 1994 the disease 1995 crop appeared smut disease stalks and no other major diseas·e significance.

with an average of only 0.03% on level across the industry at any level of healthy estates Neither the Berb1ce suffered significant insect 1994 crop and all indications estates significant the 1995 damage.
nor LBJ/GD or rat damage during the crop has not been exposed to are that at these and Uitvlugt with insecticide for from extensively damage in 1992 flavilatera) by early was under control where cane had suffered (Aneolamla At Enmore.

froghopper and 1993 the problem 1994.

Only 1,308 acres sprayed the year (and only 175 acres after March) compared with the 11,882 and 7,626 acres sprayed in 1992 At the end of the year the and 1993 respectively.
froghopper series of trials control and cultural wern in abeyance.

tolerance to study varietal pest methods for this particular life stage populations established were so low that a Towards the end of the year there were pleasing that the efforts adopted to control indications lieus (giant Castniomera were beginning infestation the previous to show success as damage and levels were lower than damage at Enmore at any time over two years.

borer) from minor outbreaks of the year.


In insects throughout with now established policy these were rapidly disrupted with any insecticide and by a range of were not sprayed All estates suffered leaf-eating accordance insects the outbreaks indigenous anack by the grey on young cane at Skeldon a range of predators.

beetle Coleomegilla natural enemies.

Similarly, aphid (Longiungius a heavy was rapidly sacchar,) restricted by the lady bird most notably maculata.
pest damage recorded The most serious for the year was at Wales where the rat outbreak noted at the start of 1994 was not fully under control at the end of the year.

Rat populations and damage levels had levels to acceptable been brought but there areas of high infestation still within the remained Baiting with Klerat and Storm cult1vation.

rodenticides effective as did hunting noted that could be much improved oil prior to placing and ring burning the attractiveness by dipping boxes.
of Klerat to the rats proved highly in baiting overall at harvest.

It was it into coconut in this campaign, The outbreak enabled appear relatively several cane varieties that unpalatable to rats to be identified Agricultural Operations and these, including now recommended and on migration trails.

for planting DB 7160 and DB 7047 are in rat endemic areas At the end of the year there were indications of increases and a control at Wales, was initiated.
programme, based on the experiences in rat populations and damage at Enmore The Allorhogas pyralophagus programme for Diatraea Albion, Rose Hall and Uitvlugt by the production for the same purpose.

and release and replaced estates of Cotesia flavipes sp.

was discontinued at biocontrol Recovery surveys tor A. pyralophagus only 0.05% of Diatraea compared respectively.
indicated that larvae were parasited in 1994 with 0.15% and 0.09% in 1993 and 1992 of Rottboellia cochinchlnensls, control to eradicate a notifiable at Wales although not been declared Effective which has still continued possible number of infested from Wales, and to-date instances reports, then on sugar estates fallowing viability.
pest, it has not yet proved the weed from the relatively small Should Rottboelliaescape there have been no proven a number of mistaken be possible to control it, at least, by long-term flood adverse effect on seed of this, despite it will certainly which has a severe, fields.

at was evaluated stages of weed and crop growth and a A large number of herbicides various number of herbicides either alone or in combination, now in use.
Several successfully introduced and it is anticipated ex1ensions in 1995. to those were during the year to estates that there will be further proved significantly superior of these combinations (1989 to 1994) adults of this putative parasitoid and mean field parasitism has levels are much too in the ability of the in cane in larvae any confidence Diatraea Over the period of the programme some two million have been released been 0.29%.
These acquisition low to engender female adult to parasitise the fields (as opposed in an artificial pyralophagus biocontrol as rice.

To this end discussions interested pyra/ophagus industry, thereafter Unit.
agent in a narrower parties to the high level of acquisition system) and it may be that A. could prove a more effective stemmed grass, were initiated such with with the aim of transferring rearing with only a small culture the A. to the rice being maintained technology by the GuySuCo Agricultural Research e successful, with various for pesticide items of protectiv workers continued, with and as yet only partially to the need to identify which is comfortable the required has proved acceptable a form of eye to wear while at the protection.
The to chemical on Conventional proved too hot This apart, it appears past three years to identify Field studies clothing particular, attention protection same time providing full face shield mixers but is not comfortable cambered goggles, for use by mid-morning.

the efforts of the superior equipment equipment workers for people walking drains.

even with ventilation holes, and worker-acceptable protective have proved successf generally accepted alike.

ul.
ul.

The new by beds and crossing and managers has been that Weed control particular problem weeds.
standards continued attention paid to the management to improve with of in 1992 and has reduced ghaesembellafrom coupled with the use of Ally the total area infested with At Enmore the programme established based on flood fallowing herbicide Antldesma acres heavily acres (162 acres heavily There will be no easing of this effective and the techniques prevent the spread identified at this estate will be employed of this noxious in 1994 .
to weed which was at the start of 1992 to 1,693 infested) by the end of 1994. infested) programme at Blairmont 5,755 acres (3,696 The programme to reduce stock-holdings of obsolete and ought to be satisfactorily of 1995. stocks continued by the end and unwanted completed pesticide AGRONOMY DEPARTMENT Central Laboratory: Laboratory power outages, tional operations were interrupted of water and dysfunc­ equipment.
These resulted fume exhaust by frequent shortages in 15 Operat1ions Agricultural rt1e Manager of the perform an analysis L"cntrnl utilising Anal) 11,al the H 1gh Prc-�surcd Monitoring and f..n\'lronmental Chromatograph.

L1qu1d Ser, 1,cs Unit.

Dr. Faye Homer.

prepares to reductions in work rate and occasionally in damage lo equipment.

Despite Central Laboratory analysed during 1994 yielding 56,622 analyses.

Corresponding 66,565 respectively.


13,094 samples these problems values in 1993 were 16.000 and A long term programme variations irrigation the factory environs in composition waters, commenced and drainage and quality as well as water in during the year.

for monitoring the of estate Environmental Analyses rate.

of 1.

95 tons low grade phosphate were made for 16,692 acres Lime recommendations at an average lime per acFe.
Supplementary nitrogen recommendations 11,146 acres compared were made for with 5,624 in 1993.

Samples were taken and analysed September.

Analyses levels of inorganic a few notable however.
revealed generally safe s. There were observations: constituent in June and lonal Plant AnalY,ical on a bimonthly started in 1993. of the lnternat samples were analysed the programme results Six batches Exchange basis, continuing Central Laboratory with those of the other laboratories There was also good agreement and certified Laboratory analyses sugar.

showed good agreement values for shipped in the scheme.
between Central b) by Chromaspec Liquid a High Pressure was installed ltd., who also provided acquired (HPLC) and a Freeze Dryer.

The The laboratory Chromatograph HPLC equipment (Trinidad) technical staff.

Conductivity meters were distributed Berbice to the studies and Agronomists and Laboratory Technicians use of these instruments by the Chief Analyst.
from these estates in the were tirained for all training estates for water salinity c) a) at Enmore, Rose were high at both lron (Fe) concentrations Hall, Albion and Skeldon sampling dates.

These elevated Fe concentrations soil composition.

may be related to natural locations in excess of the Lead (Pb) levels greatly United Kingdom limit were recorded at specific Bla1rmont sugar solutions laboratories elevated at field may have contributed of leaded and factory to these within and Skeldon.
Uitvlugt, Enmore, Disposal Pb levels.

in the June (P) concentrations within the UK limit.

samples from four generally September Phosphorus samples were However, ,estates of this limit.

yielded in excess P concentrations Good qua1lity surplus donated to Queen's College College.
laboratory chemicals and St. Stanislaus were d} The ammonium (NH4·N) and nitrate ion recorded for the June (N03 -N} nitrogen levels t,6 Agricultural Operations but these exceeded the UK limits NH4-N and N03-N concentrations in the September with a few exceptions, waters, 20% higher than in irrigation samples were within were greatly samples.

in drainage were about water over the two samplings.
N03-N levels of the September were unexpected not used in the industry Guyana soils has been demonstrated occur at a slow rate.

samples are in to since N03 fertilisers and nitrification The high Iron, lead, phosphorus will be closely and nitrogen in future.

monitored levels practices have had and management have on the more sensitive conjunction the mineralogica properties initiated.

with this project a study to l, physical and chemical in the industry continue soil properties.
to In determine of bench mark soils was of filter mud trials was planned only one at Skeldon, During 1994 a series although The trials particular objective the most manner.

A recently spreader the filter are planned to be conducted soil series on each estate.

is to obtain data for utilizing and cost useful agronomic was established.

on a The major mud in effective muck mechanical will enhance the efficiency mud infield.
acquired of distributing filter Cane Nutrition interaction trial was by variety as first ratoons A small plot nitrogen reaped at Blairmont trial at LBI was reaped as plant canes.

The data fo!iar critical supported values as varieties.

relevant the established to the newer commercial while a similar Towards the end of 1994 a legume fallow experiment was established Enmore.

It is planned to evaluate this practice as a long term strategy the fertility as well as an ecological frog hopper.
on a reef sand at the impact of for improving control system for of difficult and physical condition soils, at LBI.

Fertilizer will evaluate the potential study commenced A Biochemical The trial Cropmax to enhance sugar yields singularly combination There were no significant the number of tillers and 6 months atter planting.

of Agrispon and or in nitrogenous in with inorganic for the different treatments (P > 0.05) differences at 3 fertilizers.
Land Management Plant Physiology with Ripener Sugar Technologists in Guyana from 1991 at the Belize meeting A paper entitled "Experiences Chemical Applications 1993" was presented West Indies and subsequent potential improve juice quality Guyana.

Work in 1994 focused scale evaluation varietal experimentation and Fusilade of glyphosate responses.

Super to in of the This work and sugar recoveries of new ripener chemicals on commercial and also in April.

demonstrated the block at MT6 in October 1994.


The Castnlomera and during the The ridge and furrow management 16A at En more was harvested fells rad teen 9.Jbj;::;tEd ID hgh infestation growing season the ground water tables were within 15" inches of the soil surface 1994 and from late May 1994 to late August 1994. to Sideline much faster water.

This is drainage than did the subsoil of the indicative of the very low permeability Whittaker and yield variations soils.
appeared from November 1993 were depressed insensitive to bed width.

to respond appeared Yields series levers to mid February Reference Blocks were Soil Management established cane soils acrc·,s project will evaluate and on the major sugar the industry.
This long term the impact that land at all estates of around Sp., Azosplri//um the presence of the BNF bacteria; stage of a study to assess and optimise dlazotrophicus and the rhizosphere Fixing (BNF) capabilities grown in Guyana centered Investigations The initial the Biological Nitrogen the major sugar cane varieties has been completed.

confirming Herbasp/ril/um Acelobacter tissues varieties.
distinct commercial indicated "wild cane" from West Demerara also prolific of future work will tocu s on the contributions of nitrogen-fixation and determine whether there is potential for exploiti Sp.

and the in leaf, stem and root of 18 commercial the presence species nitrogen-fixing varieties.

bacterial A subsequent ng this commercially.

growth of these bacteria.


to sugar cane nutrition The emphasis indicated The results screening in Guyana within all of three of a 17 Agricultural Operations CROPS DIVERSIFIED With the Liliendaal redeploying sugar operations maintaining basis.
pending divestment Dairy operations, attention of Versailles and was given to as as many of the dairy employees activities could absorb, while still on a current at the dairies Livestock Operations of 12.7% among the mortality level on cows during 1 994 showed a reduction in level of 22.7%.

The reduction At Versailles breeding the previous year's mortality incidence Breeding in 1994 compared disease tolerance, p articularly to be established.
continued was accounted of Tick Fever in the herd during the year.

cow mortality with 5.7% in 1993, indicating to Tick fever, at Liliendaal was just 4.0% that for mainly by the low stock at Liliendaal gallons was significa of 88,303 Imperial where milking Consequently the to Versailles were concentrated.

During Apnl 1 994 all breeding was transferred operations 1994 production at Versailles 58,198 gallons produced period January to April.
breeding animals 10.688 Imperial production therefore gallons in 1993. for Versailles 98,991 gallons to Versailles.

gallons recorded the year.

In the the previous before the transfer of the Liliendaal produced of milk.
Combined rnilk and Liliendaal with 108.957 compared in 1994 was ntly greater than y at Versaill being the category with the pre-weaned The construction with 17.0% in 1993, persisted es of 16.6% in 1994 as an area Calf mortalit compared of concern, design of one of most affected the pens 1n which these calves were housed was found to be a predisposing factor to animal succumbing.

This morbidity and subsequent detect was corrected during the year.
At Liliendaal calf mortality was down to 7.8%, compared 19.0% in 1993 with at indicating when compared improvement was 1.19 gals/cow/day a slight with levels recorded For the period under review animal productivity Versailles and at L1liendaal 1 .60 gals/cow/day., at Versailles a for the reduction cows number of breeding from 508 head in 1993 to 445 in 1994, but was adversely productivity forage, adequate level in 1994 production affected all contributing to the lower year.
than in the previous past two years.

Not only was there in the overall by lack of and 25 at Lilrendaal.

327 at Versailles A total of 362 calves were born during the year at both locations - This calf crop from a breeding a significant represented level when compared conception breeding produced was clearly management indicative of better reproduction in 1994. with 24 1 calves head in 1993.
The trend herd of 445 head in births and increase from 508 Stock level tor the two locations cattle close of 1994. was 1,017 head of of the year.

and 1.018 at the at the beginning No pasture Versailles transporting Demerara as a means of supplementing the stock at Versaill out at work was carried rehabilitation in 1994, and the operation of across the during 1994 to grass from Liliendaal was continued Harbour bridge es.
forage supplies from various a total of 111 head of breeding parts of Guyana stock, young heifers cows were sold to butchers.

while 40 culled A small and bulls, During the year farmers purchased including breeding number of old breeding utilized animal consumption.

by butchers cows which could not be were donated to the Zoo for was further exacerbated by the from arising Feed adequacy excess of young stock at Liliendaal the slow movement in sales of these animals.
This resulted competing Availability affordable the quality of animals large number for a very limited supply of forage.

at reasonably of feed concentrates prices also placed a severe limitation of nutrition on the animals.

in a relatively provided Sheep to terminate The earlier decision activity at Liliendaal and it was thereafter unit of ewes until divestment.
was reviewed agreed to maintain a nucleus At the beginning during the year, sheep rearing of 18 the context operation s. of pending divestment of the dairy Other Div,ersified Crops Activities and Rose Hall estates continued modest dairy units, Uitvlugt/Le-onora operating workers and staff at market prices, Leonora and Albion estates beef to employees small beef units.
providing milk to while Uitvlugt/ have been supplying basis from their on a regular a social The citrus activities although deemed to be need on these locations, are being at a level that minimises their effect on at UitvlugV at Blairmont also These liveistock satisfying maintained sugar operations.

Leonora and the tilapia ponds provide for It is expected that these activities the immediate they are located cane expansion.
will continue into the land on which or suited for sugar future provided is not required market on a similar basis.

the domestic orchard Agricultural Operations 143 animals, the year, the flock comprised which was reduced to 69 animals at the end of 1994.

During 1994 a total of 169 lambs were born, whereas sales for the year accounted including ewes and lambs.

breeding for 126 animals, Dairy Processing at the Versailles for 1994 was 26,220.0 kg.
to produce Cheddar of milk at a conversion from rate of 1.17 milk/lb cheese.

During the previous year The Cheese and Butter Factory Dairy Complex continued Cheese and Butter during the period under review.

Cheese production 67,680 gallons gallons 42,357 kg of cheese was produced gallons of milk at a conversion milk/lb.

cheese.

The reduced cheese in 1994 was due mainly to the cessation supply from the UitvlugVLeonora processed and Versailles rate of 1.18 gallons production in milk Dairy.
All milk during the locations.

from 110,377.5 year arose from the Liliendaal Of the total cheese production, of Full Fat Cheddar and 946.0 kg.

Low Fat Cheddar.

25,342 kg.

consisted cheese processing of the year a decision was to milk with a Towards the last quarter taken to restrict 3.5% maximum fat.

Milk with a higher was found to be giving rise to cheese with a relatively soft texture.

skimmed from milk containing 3.5%, and processed for the year amounted 416 kg.
produced Cream was therefore tat above the level of into butter.

Butter production fat content in 1993. to 683 kg.

compared with Educational Tours and Visits were made for, and to, primary and secondary school students educational the year requests Throughout granted to undertake The three tertiary University Potter College facilities practical and material exposure and training of Education continued to utilise the at the two farms to provide for students.

tours of the dairy locations.


educational institutions of the of Guyana, REPAHA and the Cyril Several visits various w�re made during the year by the interests to view and assess the assets in 19 Factory Operations Factory cane supplies during 1994 were marginally lower than 1993 (-0.7%).

However, this was more than offset by improvements in quality.

The average polarisation of cane received by the Corporation's eight factories in 1994 increased by 2.8% compared with the previous year.
A contributing factor to this improvement 1n pol % cane was a better in-crop weather pattern allowing the cane to ripen, also causing less factory 'out of cane ' stoppages and a less interrupted grinding pattern .

It will be noted that the mean crop weeks were reduced by two compared with 1993.

Production time lost for industrial disputes during 1994 was dramatically reduced compared with 1993.

921 hours compared with 1,821 hours in 1993.

The worst affected estate in 1994 was Uitvlugt with 190 hours.
The production time lost for non factory stoppages 1n 1994 totalled 5,230 hours compared with 5,987 hours in 1994.

Sufficient funds were available to cover high cost mill and boiler spare parts.

However, funds for a major rehabilitation of factories were still not in place.

Factory reliability therefore still gives cause for concern.

The 1994 Factory Capital Budget could not be started due to problems in accessing World Bank Funds .
This will place further strain on ageing factory machinery and delay modifications to improve factory recoveries.

STAFF Management attrition rates during 1994 continued at much the same rate as 1993, 5 in 1994 vs 7 in 1993.

Once again losses of senior experienced staff is a worry.

Included in the 5 lost in 1994 were 1 - Factory Manager, 1 - Engineering Manager, 1 - Engineering Shift Manager and 2 - Chemist Shift Managers.

There are currently 15 vacancies in the Factory Senior Staff organisation .
Once again no senior factory staff could be recruited to offset this attrition .

However, 10 Management Trainees were recruited , but will not be ready for line responsibilities until completion of their 18 month training period.

The total number of trainees is 15 and the first trainees to complete his/her training will be in November 1995.

FACTORY PRODUCTION PERFORMANCE During 1994 , 3 ,148,912 tons of cane were processed compared with 3,172,077 tons in 1993.

This is a reduction of 0.7%.


Sugar production for the year was 252,615 tons compared with 242,640 tons in 1993.

This increase in sugar from slightly less cane is due to improvements in both cane quality and factory performances.
It will be seen that all the main factory control The consolidated Factory Recoveries for 1994 compared with 1993 are listed below: Cane Ground (tons} Sugar Made (tons} TC/TS Pol% Cane Fibre% Cane Mixed Juice Purity Final Molasses Purity Grinding Rate TCH Mill Extraction Boiling House Recovery Overall Recovery Factory Time Efficiency Overall Time Efficiency 1994 3,148.912 252,615 12.47 10.08 17.12 78.19 30.89 106.34 90.16 86.79 78.24 88.41 76.47 1993 3,172.077 242,640 12.75 9.81 17.57 77.77 32.56 104.58 90.00 85.24 76.69 87 .06 74.29 %Change (0.70} 4.10 2.20 2.80 2.60 0.50 5.10 1.68 0.20 1.80 2.00 1.06 2.90 20 I I I J Factory Operations parameters showed a positive variation The improvement in factory Overall Recovery was mainly due to the improvements in Boiling House Recovery and is reflected in the drop in final molasses purity by 5.1 for the year.
% Steam Receiver Boiler F�eplacement of Power House roof at Blairmont at Albion Boiler Water Management Controls at Albion, Blairmont and Enmore Time Efficiencies Time Efficienc of lower weather improved y improved related by 1 .6%, while by 2.6% as a and industrial Factory Overall result relations lost time.

with 4,510 hours The total lost time due to factory breakdowns was 3,883 hours compared in 1993.

Total grinding hours for the year was 29,611 hours for 1994 and 30,331 hours for 1993.
The increase in throughput was a major factor cropping weeks.

in the reduction of DEVELOPMENT AND ENGINEERING to lowering to improve and standards Further "On the job" training atives from Thorne Internat continued the lost time due to factory was given ional from Conutrol training Ltd. and Instrument Ltd. and Eurotherm Maintenance contributed breakdowns.

by Represent Boilers Engineering training seminars an important at all levels.
continued during 1994 and played of factory staff role in the development Ltd.

In house some major planned due to problems Although Projects were deferred World Bank Funds, other Capital and commissioned during the year included the following: Capital accessing Works undertaken Boiler retubes at Rose Hall and Wales 700 KW Diesel Alternator at Enmore Various pumps replacements at six factories.
for the Equipment was identified A new location Conservation Centre together with the LBI Electrical Workshop to become part of the nBw Coldingen Complex.

Planning was started during the year to relocate the ECC and the Electrical Workshop at Coldingen.

and Instrument Both ECC and the Electrical to ongoinig locations.. projects Maintenance Inputs were Workshop and Training also made to the capital at all factory listed above.
contributed Energy !Production and Fuel Utilisation power houses A total of 58,226 MW hours of energy was produced by estate!

in 1994.

This compares with 59,953 MW hours in 1993.

Of the total power produced!

42,029 MW hours was produced by Turbo Alternat e>rs, this represents 5.17% in 1993 {40,505 an improvement MW hours).

of Punt Dumpers at Blairmont and Uitvlugt Upgrading Carrier at Uitvlugt No.
5 Boiler and Bagasse dropped Energy from Diesel Engines from 19,248 MW hours in 1993 to 16,197 MW hours in 1994.
The cormsponding drop in diesel 1,219,33:2 drop in fuel oil costs of 1.69% compared oil usage was from and represents to 1,198,719 gallons, with 1993. a Renewal of factory cold water inlet flume, at Uitvlugt The use of diesel problems Steam Turbine fuel would have been lower but for experienced with some of the Corporation's Generators: 2.0 MW Turbo Alternator at Rose Hall 1.4 MW Turbo Alternator at Wales Foundations Chimney at Wales for Molasses Tank and 21 LBI bearing problem of 2.5 MW Alternator Uitvlugt bagasse shortage with low throughput causing Factory Operations Blairmont T/A Set (1MW).
with severe downtime on Weir Enmore with downtime (1MW).

on Elliott T/A Set of fuel also contributed to a higher The utilisation fuel usage than would normally and was recorded 63.35 Gins/MW Hr.

in 1993. have been expected at 74 Gins/MW Hr.

compared to indicate that while efforts are being more cheap power are being These results made on estates to generate with steam, power house diesel used lightly loaded during periods alternator engines in support of steam generators of low steam pressure breakdowns.
and turbo 22 Finance Department COLDINGEN COMPLEX Expectations for 1994: Achievements during 1994: On acquisition of this eighteen point eight (18.8) acres property in March 1994, the following were envisaged:- The following were achieved during 1994:- The rehabilitation of the Central Store and other buildings.

The movement of Stocks from Central Depot - Ogle and CAMS - Enmore to Coldingen and full operation of one (1) Central Store.
The movement of stocks from Central Depot was scheduled for completion by 1994-11- 30.

The movement of stocks from CAMS was scheduled for completion by 1995-02-15.

The Central Stores Building, Agro-Chemical Stores Building and Administration Buildings were rehabilitated.

Two (2) Electrical Power generating sets were rehabilitated.

Approximately eighty percent (80%) of items were moved from Central Depot to Central Stores.
Several employees were transferred from CAMS - Enmore and Central Depot - Ogle to the Complex while others were employed. '

Directors observe the progress in transforming Coldingen Complex into a modem central store.

23 Sugar Marketing movements in exchange Because of favourable revenue in 1994 rates, GUY SUCO's Guyana dollar was exceptionally buoyant.
In the EU the pound weakened, leading to devaluation of the Green the pnce the effect of pound and having received sales At the for Sugar Protocol 1n sterling same time the pound strengthened against m the second half of the year.

bringing in US$ revenue.


125 to over 140 to the US$ dunng 1994 an increase the Guyana$ moved from 1ncreas1ng Finally, the US$ through w1ndfall 1n revenue This substantial movements does not represent a fundamental improvement in GUYSuco·s marketing At the same time with no improvement of sugar sold locally.

market declined in the pnce 1n the domestic real earnings currency situation.

in 1 994 s upplier and one indeed ready to supply !he of others should these arise.
shortfalls annually m this price again frozen 1n 1n 1994 the pound the Sugar Protocol The basic EU price in ECUs, negotiated to take effect from 1st July, was 1 994 There has been no increase since 1986.

However.

because weakened against the Deutschmark 1n the EU monetary system.

ton price strengthened Since the pound simultaneously strengthened the Guyana resulting substantially 1 994 It has to be stressed providential.
underlying Protocol In 1993 to $86.61 7 in was that this increase It should not be allowed to mask the price stagnation 1 n the basic the USS and $ weakened against the USS the average pnce per ton 1n Guyana $ increased prrcP.

which continued from $76,600 c1gamst pound per 1n 1994 Sugar thus further entrenc...h1ng US MARKET of access which incorporated On the other hand.

1994 marked the conclusion a new GATI agreement for Sugar Protocol quotas this most important of all markets for Guyana s sugar Also.
by year"s end.

dn important new market for Guyana's sugar had come closer n.s for establishing discussion preferent1a arrangement 1n the EU for ACP sugar oy 1st July 1 995 entered the f1na1 stage These developments marketing century.
promise to stabilise significantly of proposals for the rest of the prospects a special GUYSUCO s LOCAL MARKET Sales of brown sugar for domestic use were 21,457 tons 1n 1994 compared with 21,172 tons in 1993. pnce of brown sugar sold locally The producer's at since $21.91 per lb has remained unchanged February 1991.

The value of sales in this market.

therefore, has significantly eroded over this penod.

n 1 q94 Guyana shipped its 1 �94.


95 US quota ,t 1 4 128 tons This com pa rec; w1tr 11 21..1 tuns �h1�peo 1n 1993 The pnce received 3f.2.

1 ?6 per :on l 1Jmp�red 1993 ..,,th $5f.

144 per tun n in • Y94 was CARICOM MARKET In 1994 sales to Cancom markets rand Suriname.
due to become a member of Car1com 1n 1995J to 20.377 tons compared with 1.747 tons increased 1n 1992 and 15,433 tons m 1993 A CET of 40°-'o on sugar imported from outside m Cancom countries efforts average price received compared with $38,714 per ton m 1993.

Guyana's sugar sales in the regional market are now approaching markets m the region The per ton 1n 1994 was $44,617 arid ,s a factor in Guyana's $1 bilhon annually.
to increase the region is applicable GUY SU CO sold 2 .395 tons of refined price for industrial sugar in their manufacturing compares with 1,852 tons sold in 1993. users who used this grade of sugar at world p rocesses.

This WORLD MARKET EU MARKET Guyana met its full commitment 163,000 tons under the Sugar protocol period ending 30th June, 1994.
After shortfalls meeting this vital commitment 1991, Guyana is again recognised in in the period 1988 to of approximately for the quota as a reliable with 39,745 tons in an average price of $34,970 per In 1994 sales to Canada at world market pnces were 46, 159 tons compared 1993 and realised ton 1n 1994 compared with $28,815 per ton in 1993.

The world market price 1s extremely volatile even though prices were higher in 1994 they remained considerably production cost of .
GUYSUCO cannot plan to market more below the and 24 Sugar Marketing than a relatively residual small proportion prices.

and unstable of its sugar at these PROSPECTS of six years, ACP From 1st July, 1995 for a period access in the EU for will enjoy additional countries sugar.

For Guyana this will mean a new market for 30,000 to 40,000 tons of sugar at a preferential well above world market prices.
enhanced security entrenchment recent GAAT agreement, this considerably strengthens GUYSUCOs marketing immediate with the which stems from the quotas in the of Sugar Protocol Combined future.

outlook price in the U111like the the is not assured.

in agriculture, Further, which which is of i1ndefinite, duration, arrangement in the EU lasts for 6 price poli'cy A note ()f cauti1on must be sounded.
Sugar Protocol, new pre1ferential years and its e,xtensio111 the EU's restrictive has frozen sugar prices operate Sugar Protocol new preferential years.

As a result they will not be balanced will simply translate ity as the years progress since 1986,, .

and will tend to reduce both the gu1aranteed price and the price obtained in the !
arrangement over the 111ext te,w if costs are all'owed to escalate ,s and by pri,ce increase into lower and lower profitabil­ continues to Loading sugar for overseas markets .
• 25 Personnel HUMAN RESOURCE MANAGEMENT: HUMAN RESOURCE DEVELOPMENT: Total Managerial Statt in the Organisation 31 is as follows.- at 94-12- Apprentice Training 1994 Entrants Executive Senior Statt & Estate 419 422 Statt Movement: Appointments Promotions Res1gnat1ons Retirements 35 19 11 7 32 10 20 7 YEAR FEMALE MALE TOTAL 1994 1993 6 2 55 61 67 69 1994 Graduates Seventy-four females graduated (7 4) Apprentices including eleven ( 11) in July 1994 as follows:- Junior Staff · Estate SUBJECT FEMALE MALE TOTAL The following Junior Staff movements were approved· Appointments Promotions 1994 52 84 1993 52 21 Medical Discharges Senior Staff Junior Staff 20 20 11 10 FITIING AND MACHINING 11 17 AUTOMOTIVE ELECTRICITY 1 8 9 AGRICULTURAL MECHANICS 23 23 INSTRUMENT REPAIR MECHANICS 3 6 g INDUSTRIAL ELECTRICITY 7 g 16 TOTAL 11 63 74 Other Training Ex-gratia pensions Senior Technical Trainees 31 O awards were made 396 1n 1993.
1n 1994 as compared with Honours Roll Scheme In 1994 eight 181 Champion Workers were elected.

and along with their spouses.

week holiday Visits were and the hinterland in Georgetown were awarded a one arranged National Awards Mr Kenneth Oeonarayan Dispenser of Service Pariaug, Wales Estate.
was awarded on 94-05-25 the Medal retired Senior 26 Trainees 121) Management Twenty-one were 1n training 1n 1994. ten ( 10) of whom were recruited during the year Six (6) have successfully completed their training and were posted.

while one (1) tendered his res1gnat1on Sugar Boiler Training Vacancies advertised and on Estates.
(14)applicants selection for Sugar Boiler within the National apprentices were Newspapers Ten ( 10) of the fourteen were shortlisted for Personnel Junior Sugar Boller Certificate of Competence Exam Seventeen who successfully Sugar Boiler Training graduated (17) of twenty (20) employees completed the two-year during 1989 to 1993 in 1994.
Bursary Awards • (55) Awards were distributed contribution Fifty-five in 1994 to the value of $275,000 as the Company's of the employees' children at the Secondary School level.

Ninety-one awards were made in 1993 to the value of $574,442.
(91) to the education Training Awards Cadetshlps were awarded in 1994. the total number of Cadets in Five (5) Cadetships This brought training disciplines: Sugar Technology 2; Mechanical Engineering Engineering 4; Agricultu re 3: to fourteen (14) in the following 5; Electrical Guyana School of Agriculture were Seven (7) GUYSUCO Employees granted School of Agriculture nine (9) graduated The total number of awardees (11) as against fourteen Year 7; Second Year 4: awards for entry to the Guyana (GSA) in 1994 while during the same year.
was eleven (14) in 1993: First December 1994 under GUYSUCOs sponsorship.

were recorded.

To date, fifteen (15) passes Secretarial Staff Training ( 17} Secretarial staff to the Head Office successfully a GUYSUCO-sponsored A group of seventeen attached completed Business Course at the I.A.C.E which was of ten (10) weeks duration.
English Sugar Boller Symposium Symposia and two (102) Sugar Boilers, One hundred process Foremen and Assistant Factory Managers -Production participated in Sugar Boiler held in each region.

A manual detailing the current procedures to process sugar in the reintroduced three boiling system was consequently developed.

Factory Operations Training Training of four-day Programmes A series was conducted on unit Factory Operations Procedures and Shift Management Techniques.
115 Shift Managers, Foremen, process Foremen and Chargehands attended Seminars Berbice and Demerara.

in both Plant Field Safety Training (197) Field and ninety-seven One hundred Superintendents and Field Supervisors attended two-day Seminars for Field Staff on safe work methods and practices in Cane Haivesting.

Centrally Organised Courses/Programmes Training attachments to GTC/PM T he Association of Accounting Technicians (AAT) Five (5) Management from a six (6) month orientation Basic Craft areas.
Trainees benefitted stint in the 1994, thirty-two (32) employees for the Level II classes, In January were registered while thirteen (13) persons for Level Ill. Twenty (20) participants the Levels II and 111 examinations in wrote were registered was trained One (1} group of four (4) Foremen/ Chargehands (6)months residential compared 1993. in the annual six programme as with two groups of eight (8) in 27 Personnel Evening Classes: Two (2) courses were held in the fol­ Adult Technical eighteen-week lowing areas: Agricultural Electrical chining.
pated as against 104 in 1993.

Engineering; A total of 98 persons partici- Fitting and Ma- Mechanics; Orientation to Estate Operations (Junior Staff) A total of 68 (sixty-eight) Uitvlugt.

benefitted from grammes organised employees and Enmore Estates Orientation pro­ Unit.

by the Training LBI/D1amond 3 four-day from HEALTH SERVICES All Estates ambulances.
were serviced by fully equipped -Contribut Maternity ory Hospltallsatlon Scheme and of the Scheme was The total membership 4,713 at the end of 1994 as against in 1993 reflecting an eleven percent increase.

4,239 ( 11 %) Centre and Primary The Ogle Oiagnostrc to be active Health Care Centre continued and productive during 1994, the despite shortage of Nursing Staff.
Towards year­ end: Estate Medical at U1tvlugt and Wales Estates were appointed Officers Ogle Diagnostic Centre Ogle Diagnostic Centre achieved of 1994 complement of staff by the end its full departments and in-patient The out-patient attended to three thousand, six hundred and three hundred and seventeen (3,617) and thirty-eight while the Nursing Care Plan was fully rmplemented 1n the in-patient (338) patients department.
respectively, OCCUPATIONAL HEALTH, SAFETY & ENVIRONMENT headed at Head of the Department of Occupational was underlined as a priority with the m February Manag�r located Improving Health Safety and Environmental standards establishment Health Safety and Environment by a Senior Administrative Office and supported Officers.
The Safety Support of Estate's saw a fall 1n the total number of accidents Mandays Lost dunng production Factory totally for an Environmental contract Limited of with Ecologistlcs procedure.

International tender for five (5) months in the year free.

By the end of the year the by Regional Programme Management Health and Safety with the instituted and Blairmont Canada following Audit had been signed and Employees accident periods.
operated COMMUNITY PROGRAMME Two hundred and fourteen (214) Senior Staff were examined at the Annuat Medical Exam1nat1ons.

Service Estate Health an Olympic Gold Coach 1n the Sugar During 1994, Mr. McDonald Bailey, and former Athletic Medalist Industry.

visited where he held coaching periences staff on the respective Bailey's a number of Community clinics working with Community Centres and visit was sponsored locations.

by GUYSUCO.
by GUYSUCO.

and shared his ex­ Centres Mr. McDonald increase in attendance at the Primary Health Care Community Centres There was a general by patients Centres clinics: 245,915 in 1993. and to the special 275,226 1n 1994 as compared with chronic diseases seven (7) Community Centres The following contmued to be managed by the respective Management -Skeldon, Albion/Port M ourant, Blairmont, Leonora.
Enmore, LBl/Diamond, and Uitvlugt­ Estate Forty million d ollars w orth of were issued in 1994 as Pharmaceuticals compared with 39.5 millton worth in 1993. dollars 28 ,.

J Personnel Rehabilitation completed Wales will continue of Uitvlugt's Centre was late 1994 while work at LSI/Diamond and Community during 1995.

Sports In sports, Demerara dethroned Corporation's Games.
Championship Berbice in the Seven (7) of GUYSUCO's cricketers Guyana in the 1994 Northern Telecom under-19 competition while three (3) other players Guyana in the Red Stripe and Geddes Grant Competitions.

represented represented The Corporation Agriculture Sector won the Agricult consecutive year.

retained Cricket ural Sector Games for the sixth the cricket matches in 1994 and also trophy in the The level of Athletic high a s the Corporation excellent the "Independ performances ence Half Marathon" .
involvement continued to be 's athletes returned in the "Go Guyana Run" and GUYSUCOs HOUSING PROGRAMME significantly to by sponsoring to contribute one (1) Red Stripe match GUYSUCO continued cricket between Guyana and the Leeward Islands Blairmont Geddes Grant one-day match between Trinidad Centre ground.
at the and one ( 1) Guyana and Centre ground, Community and Tobago at the Enmore Community embarked on a In June 1994 the Corporation programme to provide Workers in nine (9) areas of fifty (50) lots Two thousand, eight hundred and seventy applications arrangements successful applicants.

housing lots for Sugar in each.


(2,870) were received from all Estates and are in place to finalise the list of 29 Industrial Relations WAGES-SALARIES STRIKES ANO MANDAYS LOST by 15% with were increased from 1st March, 1994, and by a further 5% were 1994.

Both increases 1994.

Wages/Salaries etfect from 1st August, based on Wages/Salaries as at February, The total increase was therefore 20%.

The minimum wage was increased per day.


from $300 to $360 INCENTIVES The following explanatory viz:- comparable statistics are self­ 1994 1993 NO.

of stpgs.

Mandays Lost 71,984 126,233 Wages Lost $48,804,508 $71,967,307 446 445 Employees earned an aggregate of 192 days' pay under the Corporation's Weekly Production Incentive Scheme.
An Annual Production Incentive of 17 days' pay was paid for the pro­ of 252,615 tons sugar, and 19 days in duction the case of the Berbice Estates which bore the brunt of the productive effort.

which excelled in its etfort day's pay i.e.

20 days' pay.

Labour requirements were met in both Field and Factory.

Estate Blairmont was awarded an extra were almost the same.
there in both years that inasmuch as the number of It is significant strikes were improvements in Mandays and wages lost in 1994 vis-a-vis 126,233 against as 1993 i.e.

71,984 mandays as against mandc1ys and wages lost $48,804,508 $71,967,307, respectively.

This trend of dialogue stoppages is a step in the right direction and should augur well for improved in preference to prolonged efficiency and benefits.

community development A revitalised Daman Persaud.


having rededicated of the ribbon with the Chairman of the Board, Mr. Vickram Mr. Aubrey Sylvester.

programme has industry the Sl3M rehabilitated Oditt.

Uitvlugt and national Estate Chief Executive Senior benefits: the Minister Community Development Centre.

Mr. Recpu the cutting Manager.

Hilary.

and Administrative of Agriculture.

.
Mr. Neville witness 30 GUYANA SUGAR CORPORATION LIMITED SUMMARY 1985-1994 STATISTICAL Number of factories 10 10 8 8 8 8 8 8 8 8 Acreage harvested Tons Cane Milled ('000) Yield: Tons Cane/Acre Tons Cane/Tons Sugar Tons Sugar/Acre 2993 29.66 29.23 28.90 29.56 22.10 24.57 30.84 32.31 30.08 13.24 13.64 14.03 14.80 15.41 15.54 14.36 12.68 13.07 12.47 2.26 2.17 2.08 1.95 1.91 1.42 1.
71 2.43 2.47 2.41 Sugar production (Tons) 243,000 245,440 220,995 167,550 164,800 129.920 159,690 243,010 242,640 252,615 Molasses production ('000 gals) Home Consumption: Molasses ('000 gals.)
Exports: Sugar (Tons) 19,506 21,614 19,962 26,741 15,375 11,474 13,363 18,741 19.311 18,192 Sugar (Tons) Molasses ('000 gals) 7,266 10,234 6.757 4,181 1,214 906 657 1,326 914 - Sales: Local Sugar (G$M) Average Price/Ton (G$) Export Sugar (G$M) Average Pnce/Ton (G$) Molasses (G$) Average Price/Gallon (GS) Expenditure: 3B4.44 398.86 607.59 0.26 0.95 1.75 1.40 2.78 6.11 21.94 20.51 20.65 33.40 75.105.00 Employment Costs (G$M) 184.30 207.60 294.20 302.90 515.10 980.50 2,703.70 4,873.10 6,041.00 7,092.00 including Profit Share (G$M) 7.2 10.5 6.0 9 5 30.0 40.0 37.4 38.5 Materials and other (G$M) 171.30 186.50 348.00 395.00 1,225.7 2,062.91 6,071.34 6,954.94 6,415.94 6,732.57 Operating Results Before Interest (G$M) (22.10) 35.40 30 10 16.2 51.5 39.67 380.95 573.64 780.45 1,274.74 Interest Expense (G$M) 55.70 21.60 9.60 4.80 16.60 1.20 322.78 179.34 19.73 173.59 Surplus (Deficit) before tax (G$M) (77.80) 13.80 20.50 11.40 34.90
 38.47 58.17 394.30 760.72 1,101.15 Local Subsidy (G$M) 0.00 Avg Mid Market exchange rate G$/US$: 4 25 0.00 53.10 89.90 241.60 282.20 178.92 0.00 0.00 136.0 4.27 9.77 10.00 27.25 39.00 119.45 124.95 126.86 138.20 • GUYANA SUGAR CORPORATION LIMITED STATEMENT OF EMPLOYMENT AND COMMUNITY COSTS 1991 GSM 1992 1993 G$M GSM 1994 G$M DIRECT EMPLOYMENT BENEFITS Wages and Salaries Incentive Payments· Other Employment Benefits Labour Transport Costs 1.828 3 229 4 162 458 418 218 780 865 343 930 949 525 4 679 1.236 1.177
 464 2 922 5,217 6 566 7.556 COMMUNITY COSTS Government Levies Taxation and Local Government and Taxes Rates 4,264 5.049 3.591 3 438 Local Sugar t>ales Subsidy Sugar Industry Special Funds 18 19 Community Services 3 179 15 16 23 39 120 42 27 136 121 44 4.483 5.126 3.769 3 766 TOTAL 7,405 :::::.==:::::=== 10,343 10.335 11,322 ------- Number of employees 27.964 28 081 27.855 24 463 Tons sug;:ir µroduced 159.690 243.010 242,640 252.615 "Includes provision for profit share 30 40 3 7 38 32 ., REPORT OF CHARTERED ACCOUNTANTS DELOITTE AND TOUCHE TO THE AUDITOR GENERAL ON THE FINANCIAL STATEMENTS OF GUYANA SUGAR CORPORATION LIMITED FOR THE YEAR ENDED 31 DECEMBER 1994 the attached We have audited December Guyana Sugar Corporation our audit.
Limited.

1994 as set out on pages 2 to 13.

These financial statements are the responsibility Our responsibility is to express an opinion on these financial for the year ended 31 of the Management of statements based on financial statements of Guyana Sugar Corporation Limited with the Office of the Auditor General's auditing standards.
Our audit was conducted in accordance accepted auditing assurance about whether on a test basis, evidence assessing overall the financial supporting principles presentation.

the accounting statement financial Those standards statements that we plan and periorm require are free from material the amounts and disclosures used and significant estimates made by Management We believe that our audit provides a reasonable as well as evaluating basis for our opinion.

the misstatements.

statements.


examining, An audit also includes An audit includes on the financial standards and other generally the audit to obtain reasonable the financial In our opinion, Guyana Sugar Corporation in conformity statements referred Limited as at 31 December accounting with generally accepted principles.
to above present fairly, 1994 and its net surplus the state of affairs and cash flows for the year then ended, in all material respects, of qualifying our opinion, we wish to emphasise that the financial have been prepared using gener­ Without ally accepted liquidation decision completed.

accounting of liabilities to divest the non-sugar No adjustment principle s applicable to a going concern However, in the normal course of business.
activities of the Corporation to assets or liabilities has been made as a result statements which contemplate as explained but as at 31 December of this.
the realisation in Note 14, the directors 1994 this divestment of assets and have taken a was not yet DELOITTE & TOUCHE CHARTERED ACCOUNTANTS n Brlckdem, Stabroek, Georgetown, Guyana 8 May 1995 33 GUYANA SUGAR CORPORATION LIMITED PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 1994 G$000 1993 G$000 Sales Profit before taxation Taxation 2 3 4 15,099,310 :;:::::====== 13,237,045 1,101,1 48 760,716 409,995 231,580 Net profit after taxation 691.153 529,136 surplus Valuation assets transferred on disposal from reserves 5 of fixed Retained profit for the year 307 25 691,460 ==::=::::::::.== 529,161 ------ ------ STATEMENT OF ACCUMULATED EARNINGS At 1 January 515,618 (13.543) Retained profit for the year 691.460 529,161 At 31 December 1,207,078 515,618 34 - I 2.
GUYANA SUGAR CORPORATION LIMITED BALANCE SHEET AT 31 DECEMBER 1994 Notes 1993 G$000 G$000 Share capital Authorised Ordinary shares of $1.00 each 500,000 ===::::::::::::::::::::::: 500,000 --------- Issued and fully paid 498,536,775 $1.00 each Ordinary shares of Capital reserves Deposit on shares Accumulated earnings Shareholders' funds Debenture Loans Represented by: Fixed assets Investments 498,537 498,537 6,411,314 5,368,935 14,885 1,207,078 515,618 8,116,929 6,397.975 143,636 143,636 46,225 299,535 8,306,790 --------- ------------------ 6,841,146 6,658,266 5,799,291 304 304 assets Net current II 1,648,220 1,041,551 8,306,790 ------------------- 6,841,146 Vlckram H. Odltt Director G.N.
HIiary Director 35 3 GUYANA SUGAR CORPORATION LIMITED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 1994 G$000 G$000 1993 G$000 G$000 Net cash inflow from operating activitres !Note a} Returns on investments uf finance servicing and 849 727 1.027.747 Interest received 52.229 65,712 Interest paid i 225 816 , I 85.445 i Net cash outflow from returns on investments 'JI finance and serv1c1ng Taxation Taxes paid Investing act1v1t1es ( 173,587) l 19.733) \ 156,528 ( 170,210) Payments to acquire tangible fixed assets 1.660, 587 ) (2,281, 1061 Receipts fixed assets from sa!e of tangible 35,548 68.969 Net cash outflow from 1nvest1ng act1v1ties 1 .625,039 I I 2,212.137) Net cash outflow before financing (1,105.427) (1.374.333) F1nanc1ng Loan drawdown Repayment of loans 714.443 (1,059,666) 64,890 I 403.564) Rehabil1tat1on and Development Fund 1.027,801 1,209,197 Net cash inflow from financing 682.578 870.523 Decrease 1n cash and cash equivalents (Note b)) I 422,849) --------- (503,810) --------- 36 l. 4.
GUYANA SUGAR CORPORATION LIMITED NOTES TO CASH FLOW STATEMENT a.Reconciliation of operating profit to from operating activities: net cash inflow profit on disposal of fixed assets loss on exchange Operating Interest paid net Depreciation Unrealised Profit Increase (lncrease)/decrease (lncrease)/decrease (lncrease )/decrease (decrease) in creditors lncrease/ Decrease in export levy Decrease in accrued in inventories in cattle in unsold produce in debtors interest and prepayments and accruals ) (1,082.708 ( 380,672) ( 9,183) G$000 1,101,148 173,587 783,096 55,936 ( 17,032) ( 144,647) 1,912 368,290 1993 G$000 760,716 19,733 642,714 19,342 48,370) ( 434,331) ( 13,531) ( 131,807) 597,582 145.175 500,000) (29,476) Net cash inflow from operating activitie s 849,727 1,027,747 b.Analysis of changes in cash and cash equivalents during the year at I January Balance Net cash outflow 793,816 (422,849) 1,297,626 ( 503.810) Balance at 31 December 370,967 793,816 c.Analysis of cash and cash equivalents as shown in the balance sheet.
1994 � Change in the year Cash on hand and at bank Bank overdraft G$000 1,047,919 ( 676,952} G$000 793,816 G$000 254,103 ( 676,952) 793,816 370,967 --------- --------- ( 422,849) =======::::;;;: 37 5 GUYANA SUGAR CORPORATION LIMITED NOTES ON THE ACCOUNTS S1gn1f1cant accounting pol1c1es I al Accounting convention have been prepared The accounts tion of certain fixed assets and the accounting stated dards except where specifically under the historical cost convention conform wtth International as mod1f1ed Accounting Stan· for the revalua­ pol1c1es 1b1 Fixed assets and deprec1at1on Fixed assets vested on 26 May 1976 are stated at the book values of the previous were 1n excess of compensation on those values All fixed assets acquired depreciation owners !which computed atter that date are stated at cost less prov1s1on price I less provision and amort1sat1on.
for depreciation and amort1sat1on for The excess of book values over compensation reserve up as the opening balance of the valuation price referred to in the preceding paragraph was set No deprec1at1on 1s provided on freehold land.
capital work-in-progress and livestock State land 1s written oH as and when the titles are rel1nqu1shed Depreciation asset over its estimated useful life as follows:- on other assets 1s provided on the straight line method calculated lo write oH each Over 50 years Over the lives of the leases From 5 to 10 years Freehold buildings Leasehold properties l and expansion costs and Plant machinery equipment Motor vehicles Aircraft From 5 to 16 years Over 4 years Over 3 years No depreciation disposal 1s provided in the year of acqu1s1t1on while a full year's charge 1s taken 1n the year of The value of ratoon crop 1s recognised written oH at the balance sheet date only when reaped: thus all costs for this item have been (c) Inventories and unsold produce Inventories value.
are valued a!

the lower of cost and net realisable unsold produce 1s valued at the lower of cost of production deductions applicable.

for sugar industry Where markets are 1dent1fied funds contributions, for unsold produce.

special and estimated reahsable value less expenses, where shipping, and selling the net realisable value 1s used.

38 6.

GUYANA SUGAR CORPORATION NOTES ON THE ACCOUNTS LIMITED 1.
Significant accounting policies • cont'd (d) Livestock Livestock animals either is classified as current or fixed assets depending of the on the nature and purpose and taking into account the types of animal, age and market value.

( e) Research and development Research curred and development expenditure is charged against revenue in the year in which ii is in­ (f) Foreign currency transactions currency transactions Foreign date of such transactions.
translated at the rates of exchange in the profit and loss account.

ruling At the balance are recorded in Guyana dollars sheet dale, foreign at that date and resulting at the rates of exchange currency assets at the ruling are and liabilities gains and losses are recognised (g) Sales Sales represent net of sugar industry levy.
Sales also include the amounts earned from the sale of sugar and molasses shipping funds contributions, during the year, and export sales and selling expenses produced special amounts earned from the diversified crops division during the year.

(h) Pension Scheme i) The company participates are held in trustee contributions finances.

The last actuarial 1992 revealed .

respectively in two contributory administered pension funds which are separate schemes for its employees.
from the Company's The valuations done for the Pension Schemes as at 31 December that the Schemes were in deficit of $2.8 million and $233.7 million scheme, contributions were increased by 15% with effect from I Scheme, the Actuaries recommended that the partici­ For the former pension January 1993.
For the latter increase pating companies effect from I January until late in 1994. pension their contribution 1994 but this was not effected rate to 13.5% of members' total salaries with as the Actuarial report was not received The next actuarial valuations are due as at 31 December 1995. ii) Employees who have retired which are recoverable and are not members of the pension from the Sugar Industry schemes are paid ex­ Price Stabilisation Fund.
pensions gratia Amounts not considered to be recoverable are provided for in the profit and loss account.

(i) Deferred Taxation taxation is not provided Deferred future in the foreseeable crystallise cember 1994 the major timing differences vided for amounted to $684.4M.

for because there is a reasonable probability that a liability will not in view of the Company's expansion programme.

At 31 De­ arose from capital expenditure and the amount not pro­ 39 7.
GUYANA SUGAR CORPORATION LIMITED NOTES ON THE ACCOUNTS 2.

Sales and exports levy Sales Sugar and molasses Divers1f1ed crops Export sales levy G$000 1993 G$000 18.127,111 16,513,862 18,127.111 82,380 16,596,242 Amount payable (provisional) by Government Remitted 9,097,824 ( 6,070,023) 7,968.409 (4,609,212) - 3,027,801 3,359,197 15,099,310 13,237,045 ---------- ---------- 6 (I) of the Financial Under Section to remit G$ 6,070,023,000 (1993 of 1974 (as amended).

Admm1strat1on -G$4.609.212,262) and Audit Act.


the Government of the Sugar Levy payable under of Guyana has agreed the Sugar Levy Act 3.
Profit before taxation aher the following for stock obsolescence This amount is determined items have been dealt with:- Prov1sion Depreciation Audit tees Net loss on exchange expense Interest *Provision Interest mcome Management for ex-grat1a tees and expenses pensions G$000 1993 G$000 1,101.148 760,716 ======= 200,000 783,096 3,900 642,714 2,240 6.129 85.445 77,638 181.495 225,816 108,356 (52,229) 463.142 ======= Pnce Stab1hsat1on ( 65,712) 526,292 ======= of the Fund as the accounts 1n the Fund.
than the balance ·This amount 1s considered to be irrecoverable from the Sugar Industry Pnce Stab1hsat1on Fund revealed that the amount recoverable from the Fund was greater 4.

Taxation tax at 35% Corporation Capital Property tax gains tax Pnor years'underprov1s1on G$000 187.043 3.939 135,401 326.383 83,612 1993 G$000 22.723 9.674 120,460 152,857 78,723 409,995 ===::== 231,580 ====== 40 .. 8.

5.
Capital reserves GUYANA SUGAR CORPORATION LIMITED NOTES ON THE ACCOUNTS (a) (b) Rehabilitation (c) (d) and Sugar Industry Development Rehabilitation Fund G$000 4,393,845 Fund G$000 34,503 Valuation Other G$000 892,845 Total G$000 5,368,935 1,027,801 1994 during At I January Additions the year Valuation surplus on disposal of fixed assets transferred to the profit and loss account At 31 December 1994 5,421,646 34,503 G$000 47,742 ( 307) 47,435 14,885 1,042,686 ( 307) 907,730 ======= 6,411,314 (a) An agreement tation was reached and Development Fund from levies paid.
between the Ministry of Finance and the Company to set up a Rehabili­ (b) This represents amounts received by Guyana Sugar Corporation from the Sugar Industry Special Funds for rehabilitation work done on the Company's Limited factories.

(c) (d) This amount represents acquisition of the Company's the surplus of the net book values over the consideration paid for the assets on nationalisation in 1976 less disposals.

i) G$15.76M projects in the Corporation's diversification programme.
represent monies received from the Guyana Government for the purpose of financing ii)G$37.87M represent Sugar Terminals Limited the value of the net assets of Demerara ceased trading in 1991 but continued Sugar Terminals as a department Limited.

of the Company.

Demerara iii)G$839.21M Guyana.


represent the value of loans and accrued interest assumed by the Government of iv)G$1.319M and G$13.566M Corporation and Demerara the assets transferred on shares represent Sugar Company Limited lo Guyana Sugar Corporation.

the value of the net assets of Guyana Agricultural Products by the Government and which were acquired 6.
Deposit Guyana Agricultural Demerara Sugar Company Limited Products Corporation Transferred to Other Capital Reserves 41 G$000 1993 G$000 1,319 13,556 14,885 (14,885) 1,319 13,566 14,885 ====:::;= 14,885 ====== 9.

7.

Debenture GUYANA SUGAR CORPORATION LIMITED NOTES ON THE ACCOUNTS 2°0 Government in the year 2000 of Guyana debenture redeemable 8 Loans (11 National L1m1ted Bank of Industry and Commerce the purchase of computer to modernise and inventory the Company's systems 1s charged at O.
75°0 below the A loan for equipment accounting Interest bank's prime rate and the loan 1s repayable over a 7 year period.
111) Inter American Fixed Assets loan Development Bank loan for the purchase A U.S. dollar assets to rehabilitate factories annum and the loan instalments Interest payable the Company's 1s now charged at 15°•0 per 1n 8 half yearly 1s repayable 1n April and October each year of fixed sugar Working Capital loan A U S dollar of 15°0 per annum which was repaid 1n 1994 loan with interest at the rate 1111 Resource credit · International Supplier's Corporation This ,oan oNas repaid 1n 1994 1v 1 C1t1b,rnk (Trinidad & fobago um1ted) This 1s a short term loan to finance working ..::ap1tal and was repaid 1n 1995 rate fluctuated between 6 25°0 Interest and 7 2:iJ, Loans repayable within one year G$000 1993 G$000 143,636 143,636 53,929 37,569 286,876 459.459 190,887 15.981 73,804 414.609 368.384 703,896 404.361 L,Jans r<c>payable after one year 46.225 299.535 A Development Credit Agreement with a subs1d1ary to finance was signed between the 3overnrnent of loan agreement capital Development investment Assoc1at1on and technical but could not assistance signed between the Corporation and the Government An amount of USS750.000 as certain by the Corporation be uhl1sed Guyana and the International of Association 'Jevelopment Guyana This loan was intended was disbursed prerequ1s1tes bank has been reflected by the International to the 1oan were not sat1sf1eC: as 111 these f1nanc1al statements at 31 December 1994.
Consequently.

neither the loan nor the cash at 42 GUYANA SUGAR CORPORATION LIMITED NOTES ON THE ACCOUNTS 9.

Fixed assets Land and buildings State land and land machinery expansion Plant, and Work-in- Freehold G$000 Leasehold cost G$000 G$000 eguiRment G$000 Uv�slock 12rQgress Tum!

G$000 G$000 G$000 1994 Cost or valuation At I January Additions Disposals Transfers 394,643 48,702 ( 50,241) 5§_.ZQ_Q At 31 December 1994 449.804 3,778 538 - -- � 32,590 5,231,453 55,921 1,309,120 ( 685) -- .
687,649 ( 91,229) 793,632 -- .
( 850,332) 7,027,505 923,698 1,660,587 ( 4,174) ( 146,329} 31.905 6,621.505 � 1,378,312 8,541,763 Depreciation .At 1 January 1994 Charge for the year Retired on disposals At 31 December 1994 Net book values: At 31 December 1994 11,184 15,572 1,350 1,564 10,744 1,204,936 301 765,659 � � - -- UZfil { 127.633) 2.914 !Q...6.§Z 1.842,962 1,228,214 783,096 ( 127.813) 1.883,497 423,050 ====== 1,402 ----- 21,038 4.778.543 ====== --------- 55.921 1,378,312 6,658,266 ====== --------- ======= At 31 December 1993 383,459 ======= 2.428 ----- 21,846 4,026,517 ====== --------- 5,799,291 55,921 1,309,120 ------ -----======== -------- , - 10 1 0 Investments GUYANA SUGAR CORPORATION LIMITED NOTES ON THE ACCOUNTS Lochaber Limited 1.280 Ordinary Note 1a1 shares of $20 00 each at cost Cane Farming Development 18.500 'B' Ordinary Company 1s 1n liquidation made for possible losses arising shares of $5 00 each (This has been and prov1s1on therefrom) Corporation L1m1ted Company Limited L1veslock 55 .000 Ordinary shares of $100 each · at cost Development Emile Woolf College of Accountancy L1m1ted (in L1qu1dat1on1 {Note (bli (Guyana) G$000 1993 G$000 23 23 31 50 31 50 Nat1orn1I 200 000 stock units of $100 each · at cost Bank of Industry and Commerce L1m1ted 200 200 Deposit on shares in National Edible 011 (Note ib)J Comp;rny L1m1ted 304 304 (ill The Company has a 36.8°0 holding in Lochaber L1m1ted As at 31 December t994 the reserves of Lochaber L1rrnted was $79 rrnll1on /bi fhe Company has written L1m1ted and National down to nominal
 amounts 1n E:m1le Woolf College of Accoun· Edible 01 Con1pany l1m1ted since they were considered investments to toncy \Guyana) h;ive suHererJ d1m1nut1on 1n value 11 f�et ,.
urrent assets lnvPntor1e:;; C;-ittlP unsold produce Trade debtors Othe1 d�btors and prepayments Cash on hc1nd and al bank Current l1abil1tres and accru,ils Trade c red1tors Other creditors Exporl sales levy Accrued interest Loans repayable Taxation Bank overdrafts 1 I unsecured w1th1n one year (Note 81 G$000 4 403 861 1..781 1993 G$00U 4.259 214 13_5g3 64i'.296 279 OOb 1,607.130 467.890 224.870 793,816 168,338 1,047.919 7 518.035 6.406.119 1.032,428 828.9 lO .. 346,229 2 000.000 I 930.359 2.000.000 44,058 368.384 4DI.
764 676.952 53.241 404.361 148.29 / 5.869 81 "i 5,365.228 1,648.220 -- ------- 1,041.551 ---�- ---- -U GUYANA SUGAR CORPORATION LIMITED NOTES ON THE ACCOUNTS 12.

Capital commitments and contingent liabilities Expenditure but not committed authorised by the Directors G$000 1993 G$000 5,545,000 2,333,000 -·-------- Letters of credit 196,348 13.

The Company is at present being managed by Booker Tate Limited.

14.
14.

As a result of a decision Dairy Complex and Liliendaal of the directors to divest Dairy Project assets of the company.

for the major non-sugar Versailles account the non-sugar activities of the C ompany, the assets of have been put up for divestment.

These two locations 15.

Pending litigations There were several actions for which the liability of the company, if any, has not been determined.

45