ORDER NO. 5 - BARBADOS AGRICULTURAL MANAGEMENT CO. LTD. (SUGAR BONDS GUARANTEE) ACT, 1994…OCTOBER 25, 1994
Friday, May 7th, 2010Mr. D. St. E. KELLMAN: I must congratulate the
Honourable Member for St. Peter for being consistent
because while he was speaking I remembered his speech in
1985 when a grant of $10 million was given to the sugar
industry and the quote is exact. At that time I thought that
there was a conflict between himself and the Prime
Minister of the day and I strongly believe that his approach
is right.
I honestly believe that if money is to be given to
sugar it must be given to an industry that belongs to the
people of Barbados. The reason why I am saying that is
because we have a situation now where we have formed a
company in this country called the Barbados Agricultural
Management Company and we are giving that company
support. Now we have the private plantation growers
asking for support and I have a particular problem with
that. I am saying that if you cannot influence the policy of
the private growers you cannot influence their finances.
The Agricultural Management Company was formed
to look after the interest of the Government and thereby the
people of Barbados and I do not have a problem with the
Government supporting that company. But at the same time
that company must understand that once it is getting the
support of the citizens of Barbados that its policy must
reflect the support that has been given to it by the people
of Barbados. Even though there are some managers who
might be complaining now, if they had listened to advice
that was given to them since 1977 they would not have
been complaining today.
In 1977 they were told to get involved in the Sugar
Industry Supervisors’ Association and those managers on
those plantations felt they were managers and they needed
no support. The factory side of it, when you check with the
Sugar Industry Supervisors’ Association nearly every
member - supervisor, manager, etc. - were members of the
Sugar Industry Supervisors’ Association and the plantation
managers felt that they could not pay dues. But now in
1994 when they have not strengthened the hand of the
Sugar Industry Supervisors’ Association, they now are
calling for support from that Association.
I am not saying that the Sugar Industry Supervisors’
Association is blameless because in 1977 that same group
felt that they could not offend management at the time
either. At one stage there was an impression that if you
wanted promotion in the industry all you had to do was to
go and run, be elected as the President, and you were
guaranteed that you would be a manager, etc. These are the
facts, Sir.
Aside.
Mr. D. St. E. KELLMAN: I know, Sir, that the
Honourable Member for Christ Church South might be
aware of that also.
Mr. Speaker, the sugar industry in this country will
never be profitable but the agriculture industry in this
country will be profitable. Once we can get our hands on
the land where we can dictate a total agriculture policy, the
Government will not have to worry about the funds that
they are placing in the agriculture industry but if they are
going to be putting this money into the sugar industry, then
I cannot vote for it. If they are putting it into the
agriculture industry they have my total support.
Sir, when you look at what the Barbados Agricultural
Management Company is supposed to do, they are
supposed to have 32 500 acres for sugar cane, 2 000 for
cotton, 500 for cut flowers, 2 000 for fruits, 1 500 for
vegetables and 6 500 for pasture land. I am saying if they
can follow the chart that has been laid out for them we will
not have a problem and provided we can also put our
hands on other lands that will be asking us for additional
support, I am not saying that we control those lands the
same way that we are controlling the HIP estates.
I am saying that the Barbados Agricultural
Management Company should be given the necessary
management, and even if they have to form another
subsidiary so that they would not mix up the finances, etc.
that nobody will be able to question the costings, that we
should find a way where we can ask them to manage those
other estates so that we would not necessarily have to give
them a direct subsidy because in 1982 - I heard the name
called in here by the Honourable Member for St. Peter -
that same gentleman introduced a policy in this country and
I still maintain up to today that that was the destruction of
agriculture in this country called the Ecological Groupings.
That policy, Sir, was a policy if you had the worst
lands in Barbados you got the best price. What happened
with that policy was that the best estates started to become
rab land and started to be subdivided and the land that
could not produce properly continued to grow sugar cane.
If we did not have the Ecological Grouping then the worst
sugar lands would have been out of sugar and the best
sugar lands would have been still in sugar today.
Aside.
Mr. D. St. E. KELLMAN: That is not true. The
Honourable Member for St. Peter knows better than that.
They had plantations in St. John, Ashford, et cetera, that
went out of sugar production because of the Ecological
Groupings and I can give you an example of what I am
talking about. They were forced to go into subdivision.
In 1986 when Ashford went out it went out because
they were only getting something like $53 per tonne of
cane while places down in St. Andrew, no disrespect to the
Honourable Member for St. Andrew, were getting $72 per
tonne for rolling canes down the hill, then asking a truck
to charge them exorbitant prices for growing sugar when
they should have probably been growing cotton and places
all over Barbados which would have been more suited for
growing sugar cane had to go out of sugar cane because
they were only getting between $45 to $55.
The Honourable Member for Christ Church South will
agree with me. There were good estates like Malvern,
Eastmonte, et cetera, that were producing and producing
properly but they could not grow sugar cane because of the
Ecological Groupings.
Aside.
Mr. D. St. E. KELLMAN: No. it lasted long. It lasted
over five years so it was a long time.
Mr. SPEAKER: Please continue.
Mr. D. St. E. KELLMAN: I am also saying, Sir, that
because of the same Ecological Groupings in two years’
time a former Prime Minister criticised his own Chairman
of the National Bank because what happened is that the
sugar industry ran out of funds, the Minister of Finance
who had appointed the Chairman lambasted the sugar
industry, the Barbados National Bank, and everybody. If
we today are going to continue to support the sugar
industry we must not have a Minister of Finance willing to
give support on one hand appointing someone to do the job
and prepared to pull down the same person because of the
policies dictated to that person by the Minister of Finance,
or the Minister of Agriculture.
I am also saying that bonds are funny things to be
issued. The Barbados Labour Party also introduced some
bonds and I believe today they are still outstanding. Am I
right, Sir?
Aside.
Mr. D. St. E. KELLMAN: The bonds to the Barbados
Sugar Industry Ltd. I believe there are still a set of bonds
out there to be redeemed, $36 million. Unlike the $36
million…
Aside.
Mr. D. St. E. KELLMAN: It is a gift? You cannot get
vex with the Honourable Member for Christ Church South
because I honestly believe that if he had his own way it
would have been a grant and not a bond because in 1985,
I admit, then he gave them $10 million.
I am saying, Sir, that this $45 million that we are
guaranteeing today, we are guaranteeing it to a company
that belongs to us. We must be sure that we tell all those
who have to look after this money that they must stick to
the plans that have been given to them and once they stick
to those plans we do not have a problem because we have
an agricultural policy and that policy once it is followed,
Barbados will be able to gain by it.
I also believe, Sir, that as I said earlier we cannot
only look at sugar cane. We must be able now to take
the agro industry and I honestly feel that this is a good
time for the agro processing plant to come under the
Barbados Agricultural Management Company.
I will tell you why I think so, Sir. I believe, Sir, that
the Barbados Agricultural Management Company should
not be producing vegetables for Barbados.
Mr. SPEAKER: Let us hear the Honourable Member
for St. Lucy, please. I have given him permission to speak,
let us hear him in silence, please.
Mr. D. St E. KELLMAN: I will repeat that point,
Sir, that the Barbados Agricultural Management Company
should not be producing vegetables for Barbados. That
company should be producing vegetables for the export
market. The small farmers of the Spring Hall Land lease
and in St Peter also should be producing vegetables for the
local market. If we can encourage the Barbados
Agricultural Management Company to produce for the
export market and we can expand the small farmer and
then we can have more people employed in agriculture.
I have just given you all a couple jobs. But I am not
talking about employment in agriculture where someone is
going to work for someone else, I am saying we can give
them some land and they can work that land like they are
doing right now at Spring Hall but all I am asking for is
for you to expand it.
If you put the Agro-processing plant under the B AMC
and mandate that company to buy the surplus vegetables
from the small farmers we would not have to import
canned vegetables in this country and it is not a new idea.
This idea goes back to 1967 when Mr. Barrow made the
‘no cane blade’ speech and it was taken out of context and
some Members of the Opposition at the time, for political
reasons, joined with people and they should have known
better because when he made the speech it was a speech
with the interest of Barbados at heart and now, Sir, you
will have people criticising us, talking about when you go
into the supermarket all you can see is canned vegetables
from Trinidad etc. I am saying, Sir, if we had joined with
Mr. Barrow and we had implemented the policy he had we
would have been exporting vegetables to Trinidad and not
importing them from Trinidad and Jamaica.
Sir, we have a golden opportunity now and it is
fortunate for the Honourable Member for St Peter. We
have left a wicket for you, Sir, where you can now have
the agro-processing plant and you can start canning your
vegetables and 10 years from now you can tell everybody
that you have implemented that policy. But, Sir, I am
saying on the serious side of it that we in Barbados must
stop criticising everything because we have not
implemented it first.
When I drive through Barbados now, Sir, I am seeing
something that I like. Previously, Sir, when you drove
through Barbados you could see 4 or 5 plantations planting
cotton but now I am seeing a situation that whenever you
pass through Barbados you are seeing a situation that
nearly every plantation is growing cotton. I am saying that
if you have a structure like that, Barbados will go forward
because the management on each plantation now will be
able to look after a manageable acreage.
That also brings me to another point. Previously we
could not do that because cotton was grown by other
farmers and we had no control over them and when we
said that we wanted to grow 2 000 acres of cotton they
agreed with us but yet still they would not That is why the
Government of the day had to grow all the cotton at Spring
Hall.
Sir, now that we have the Barbados Agricultural
Management Company, the Minister of Finance and also
the Minister of Agriculture can now tell the Barbados
Agricultural Management Company, I want 2 000 acres of
cotton because I am financing that project It is in the
interest of my people of Barbados and they will have to
deliver the goods. But previously, Sir, we were financing
the agricultural sector and we had no control but now
under the Barbados Agricultural Management Company we
have control, Sir, and that is why I am saying to the
Minister of Finance that if they are making representations
to him for financing he must tie that representation to the
finance and to the control on behalf of the taxpayers.
We cannot in this country continue to give away
money without control and it has been our problem all the
time and I am happy now that in a sense I am feeling a
oneness in this Parliament when it comes to agriculture.
The Democratic Labour Party does not have to worry now
about being criticised.
Aside.
Mr. D. St. E. KELLMAN: No, you will have to come
over here. We have always been strong on that point so I
am glad to see that you agree with us and you are prepared
to join us on that. Although if you want to cross the floor
I cannot stop you.
Mr. Speaker, I am not asking you to cross, Sir, you
are independent. I am also saying, Sir, that previously the
sugar industry has been very fortunate. They have been
able to get financing for their bonds and they were able to
encourage the Minister of the day to increase the price of
local sugar to prop up the sinking fund. It so happens now,
Sir, that there is no local aspect of the sugar so I would
like to find out from the Minister of Finance if he is
prepared to support his own company the same way they
have supported the other companies.
Mr. Speaker, the reason why I ask that is that you are
going to hear a lot of people accusing myself and probably
the Honourable Member for St. Peter for having something
against the sugar industry or the agricultural industry but
we as citizens, Sir, growing up in a rural constituency we
cannot be against the agricultural industry. We have a
special bond to the agricultural industry but our bond to
this situation is that we understand the significance of
having ownership of something where you can control it.
We understand that in the same way some people have a
problem with cotton, even though some people would want
us to have a problem with sugar cane agriculture, we do
not have a problem. We have moved from that stage where
we strongly feel that it is time that we know how to plant
and we know how to manage. It is time that we get an
opportunity to show people how the agricultural industry
must go. When I say the agricultural industry, Sir, I am not
just talking about the sugar industry. 6.05 p.m.
Sir, if you have a weekend, you can take a drive in
the nice constituency of St. Lucy and you can see two
processing plants. The Honourable Member of St. Peter
knows that. You can see small farmers growing vegetables
and you name it I can argue, Sir, that the most vegetables
produced in Barbados are coming from the nice
constituency of St. Lucy. Is that not true, Sir? Well, you
have not had the opportunity to travel through St. Lucy.
You are not aware that in each backyard people are
growing vegetables.
Aside.
Mr. D. St. E. KELLMAN: I am speaking to the
Honourable Member for Christ Church South. If St. Philip
and Christ Church are joining on the bandwagon, I do not
have a problem with that because that is why you agree
with me that we need to have an agro-processing plant
under the BAMC. He is also agreeing that we need to can
vegetables.
Sir, even though the sugar industry will not be
profitable, I am not sure that we will ever be able to get rid
of it because the industry complements the other sectors of
the agricultural industry. I am saying that it also provides
a very valuable source of foreign exchange and, even
though we may feel that we are getting enough foreign
exchange from the tourism industry and informatics
industry, Sir, if we are to keep a stable dollar we need as
much as possible. I am saying that, even though the sugar
industry cannot maintain itself, I am saying that agriculture
in total can maintain the sugar industry.
Proven that, whenever you close a factory, you close out
small farmers and you close down some plantations. I am
saying that, if the BAMC is serious about bringing the
sugar production up to 75 000 tonnes of sugar per year, I
cannot see how they can realistically close down Bulkeley.
But we have to ask ourselves a serious question. Is
Bulkeley in condition to continue much longer? That is a
serious question.
Aside.
Mr. SPEAKER: Could you address the Chair and stop
taking on the Asides please.
Mr. D. St. E. KELLMAN: Mr. Speaker, you call that
honest debating. I honestly believe, Mr. President, that
Bulkeley should be in sugar production and I honestly feel
that instead of criticising me that the Honourable Members
on the other side should make sure to bring in equipment
to put Bulkeley in condition to be able to reap some cane
and grind some cane next year, especially now that it is in
St. George. You see, Mr. Speaker…
Aside.
Mr. SPEAKER: Order please.
Mr. D. St. E. KELLMAN: Let me explain something.
There are some people who might feel that closing
Bulkeley would not have an affect on them, Sir. But let me
educate them on another matter. The closure of Bulkeley
can have an affect on the Honourable Members for St.
Peter, St. Lucy, St. James North, St. James South, etcetera.
Previously, when you close a factory, you got rid of all the
workers. But now with the Barbados Agricultural
Management Company running the industry, Sir, you do
not necessarily sever all the people working at that
particular factory. What you can do is to sever the workers
that you want to get rid of and transfer the workers to the
other factories. I know that I have to educate some
Members and I will continue to do that because when it
comes to agriculture, I have spent all of my life in
agriculture. I was born in an agricultural district and I
know exactly of what I am speaking. I can tell you exactly
when sugar cane is ready. When I speak about the closure
of Bulkeley even though it is not in my constituency, I am
quite aware that it might have an effect on the northerners.
It is my role also to help look at the northerners because I
expect them to look after me too.
Aside.
Mr. D. St. E. KELLMAN: Sir, if we are to look after
our rum industry…
On the question of Bulkeley, Sir, I have a strong
opinion on Bulkeley also. I have always had a strong
opinion on closing down a factory because history has
Mr. SPEAKER: Do not mind the Asides. You
continue please.
Mr. D. St. E. KELLMAN: We must also look after
our sugar industry, Sir. There is a lot of interlocking when
it comes to the sugar industry. That is why we in the
Democratic Labour Party took a stand to restructure the
sugar industry. It is true that we got a lot of criticism but
we had to do it. The Honourable Member for St Peter said
that that is the last time. I do not have a problem with that,
Sir, because I do not want to hear in this House anymore
that the agricultural industry or the sugar industry has been
neglected by any Government. Because in 1982, Sir, they
gave them support. In 1992, we gave them support. So I
am saying that they cannot complain that they have not
been taken care of. But I will put out one last challenge to
the Minister of Finance and that is to make sure that if he
is to give budget support to the private owners that that
support must be tied to control.
Thank you very much, Sir.





