Cuba’s sugar industry is struggling to survive government blunders and financial problems that forced it to close half its mills last year, according to local analysts.
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Raw sugar production in Cuba is expected to amount to no more than 2 million tonnes this year, 40% less than the previous harvest of 3.61 million tonnes, and the lowest output since 1912, reported Reuters.
Once the world’s largest sugar exporter, Cuba produced 8.1 million tonnes at its peak in 1988/1989, but output has declined since the loss of Soviet subsidies and markets a decade ago.
Blaming low world prices, Cuba’s government closed 71 out of 156 state-run sugar mills last May, relegating a further 14 mills to the production of by-products, and reduced plantations by 62%.
Cuba had hoped this year’s crop would be similar to last year’s, but targets were scaled back to 2.7 million tonnes by December when the harvest began.
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By GlobalDataOrganisational problems and low worker morale resulting from restructuring, as well as shortages of fuel, power and other inputs, have left even the revised target out of reach, reported Reuters, citing industry sources.
