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Suriname improves banana production with EU funding

Friday, January 19, 2007

by Ivan Cairo
Caribbean Net News Suriname Correspondent
Email:
ivan@caribbeannetnews.com

PARAMARIBO, Suriname: Since 2004, banana production in Suriname has increased dramatically with funding assistance from the European Union (EU). Restructuring of the banana industry has led to the export of 80 to 90 containers weekly, thus doubling the production of the now defunct state-owned company Surland.

Banana operations are currently being conducted by the Foundation for Preservation of the Banana Sector (SBBS).

According to European Commission’s representative for Suriname, Helena Laakso, and Minister of Development Cooperation, Rick van Ravenswaay, the EC so far has provided about 20 million euros for the restructuring of the banana industry.

On Thursday the EC, the Ministry of Development Cooperation and a contractor signed an agreement to improve the drainage at the two banana plantations in Suriname. Within eight months Surinamese contractor BROCAD/Van Dijk who won the contract worth 331,000 euros, should supply and install 11 pumps at the two plantations.

At the signing ceremony Laakso noted that, in 2006, several contracts had been signed for cableway, fertilizers and boxes worth 6 million euros, to support the development of the SBBS.

“In my view the signing of all these contracts is a sign of the dynamism of SBBS under its present management; of the good cooperation between the government, European Commission and SBBS and the success of the on-going restructuring of the company,” said Laakso.

She further stated that currently Suriname is producing bananas in a competitive way and the country can compete with the rest of the world’s banana producers.

Minister Van Ravenswaay disclosed that the privatisation of the banana industry is still on the agenda of the government. All the activities and projects to restructure the sector are aimed at improving the viability of the sector in order to offer the operations in an international bidding round.

He further added that, since the restructuring started in 2004, production has increased, while more jobs were created. With almost 3,000 workers the banana company is the largest individual employer after the government.

In parliament, Minister of Agriculture, Kermechend Raghoebarsing, disclosed earlier that salaries have also increased and that better wages are being paid since banana production resumed mid-2004.

The development minister also noted that the new management cut back production costs significantly resulting in banana production in Suriname being very competitive in comparison with production elsewhere in the region and Latin America.

“With regard to production per hectare, Suriname can compete with the better countries in the region and price-wise could also compete on the European market,” said the cabinet minister.

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