Cane Farmers Call for Tax Cuts After BSI Incentives

Belize’s sugarcane producers are advocating for expanded fiscal support following the government’s approval of a decade-long incentive package for the Belize Sugar Industries (BSI). While applauding the initiative and improved stakeholder engagement under Dr. Osmond Martinez, the Junior Minister for the sugar industry, farmers contend that assistance must extend beyond the milling operations to ensure the entire sector’s viability.

The Progressive Sugar Cane Producers Association has formally requested tax exemptions and concessions on essential agricultural inputs. These include fuel, lubricants, tractor components, and truck parts, which have seen dramatic price increases since the COVID-19 pandemic.

Cosme Hernandez, General Manager of the Association, acknowledged the minister’s successful efforts in unifying the four major farming associations with the mill. However, he emphasized the severe financial strain on producers, noting that production costs have tripled in some cases since the pandemic. Hernandez revealed that the previous break-even point of fifty dollars per ton of cane has been rendered obsolete, pushing many farmers into operational losses despite the new incentives for the milling sector.

The Association has presented these concerns directly to Minister Martinez, initiating collaborative discussions to develop relief mechanisms that address the critical challenges facing agricultural producers. This development highlights the complex interdependencies within agricultural supply chains and the need for comprehensive policy approaches that support both processing industries and primary producers.