The sugar crop is officially over, but regional producers say targets were missed by 8,000 tonnes, and that they were denied extra earnings from the appreciating euro due to timing.

"Relentless rainfall dictated early closure of the crop in Belize and reduced production in Jamaica," said the five-member Sugar Association of the Caribbean.

The final tally was 591,523 tonnes of sugar, or 98.6 per cent of the target 600,000 tonnes.

The largest producer for the year was Guyana with 270,247 tonnes, followed by Jamaica with 163,708 tonnes, Belize 98,720 tonnes, Barbados 33,507 tonnes and Trinidad 25,341 tonnes.

Jamaica was the sole producer for August mopping up 473 tonnes.

During August the euro reached its highest value to-date against the American dollar - €1:US$1.40.

However, Caribbean exporters were not able to benefit fully, said the SAC, adding that most deliveries of protocol and cumulative quota sugar had already been made.

SAC chairman Karl James, also points out that sector earnings for the next year is likely to be worse than this year's out-turn. The next EU sugar cut will slice 12 per cent off the price paid to producers.

"The price will then be €434.1 per tonne CIF," said James.

"This means we will have to show marked reduction in the cost of production in each country if we are going to be able to profitably supply bulk sugar to the EU market as of 2008/2009 crop."

business@gleanerjm.com

SAC sugar exports July 2006-August 2007 (Tonnes)

EU Protocol 409,114 tonnes

Cumulative Quota 52,429 tonnes

US Quota 35,825 tonnes

World Market 81 tonnes

CARICOM 41,673 tonnes

Total 539,122 tonnes

Source: Financial Gleaner, Friday, October 5, 2007