Cane Farmers Association wants in on B.S.I. buyout

On Friday afternoon, Prime Minister Dean Barrow along with officials from the Belize Sugar Cane Farmers Association met with a delegation from Banco Atlantida to discuss the purchase of the financially embattled B.S.I.  The Honduras based bank has an interest in acquiring majority shares in the company which is owned by the employees’ trust that controls eighty-one percent shares. But B.S.I. currently owes as much as seventy-million U.S. dollars to its creditors. In light of government’s recent acquisition of Telemedia and B.E.L., the prospect of giving control of B.S.I. to foreign investors is being opposed by cane farmers in the north.  Caneros insist that they should be given the opportunity to own controlling shares; but the hitch is that they don’t readily have capital to invest in the company.  Present at the meeting on Friday was Alfredo Ortega, Chairman of the Committee of Management of the BSCFA, who told News Five today that while an agreement has not been reached, the proposal to have B.S.I. remain in the hands of sugarcane farmers did not go over too well with P.M. Barrow.

Via Phone: Alfredo Ortega, Chairman, BSCFA

“We listened to them—nothing written only verbal. We didn’t agree to anything at that point, but we laid out to the Prime Minister that we the cane farmers are interested in becoming the major shareholders in regards to the mill.”

Isani Cayetano

“What was the reception of that proposal? In terms of the Prime Minister being able to listen to what you guys brought to the table, what was his immediate reaction or his response to what you had?”

Via Phone: Alfredo Ortega

“Well really it was very poor, but he said he had to analyze the issue to see where it goes because according to him, you yourself asked him and he mentioned that he cannot find that amount of money that is needed, but I think we need to do our due diligence and to see how we can work towards that goal.”

Isani Cayetano

“Is Banco Atlantida, by way of this meeting that was held on Friday, prepared to work with the sugar cane farmers association in either splitting owners of B.S.I.?”

Via Phone: Alfredo Ortega

“Well, they said that they are prepared, but what they want it to be is that they control the majority shares of B.S.I.”

Isani Cayetano

“In terms of the assets that the sugar cane farmers association would be bringing to the table in expressing this interest in wanting to own the operations and the factory of B.S.I., what do you guys bring to the table?”

Via Phone: Alfredo Ortega

“Well presently we have five million that of course we have to do a general assembly to ask the farmers permission for that. But I do believe we can bring that forward and from there after seek funding with other sources because this need to be a long term issue for us.”

Isani Cayetano

“Finally; if indeed the Prime Minister goes ahead to work out a situation with Banco Atlantida where it would assume control over majority shares in B.S.I., what could the cane farmers then be prepared to do?”

Via Phone: Alfredo Ortega

“Well really it’s something very difficult to answer at this point in time. We will have to go and see what our farmers will be accepting with and with what we can work and from thereafter then we can make a decision based on what the response of the farmers will be to us.”

Isani Cayetano

“In terms of a deadline to reach an agreement, I know the fate of B.S.I. hangs in the balance, did you guys come to that agreement?”

Via Phone: Alfredo Ortega

“No, not as yet.”

As Ortega said, the Prime Minister was not in the mood to entertain the proposal by the farmers. Word to News Five is that the employees trust is also objecting to the sale of the factory to the Honduran bank.  The issue was also discussed at a special meeting of the P.U.P. Northern Caucus on Saturday. Today, the party issued a release calling on Prime Minister Dean Barrow to keep majority control of the factory and the industry in the hands of the Belizeans. The P.U.P. northern caucus proclaims its solidarity with the B.S.I. employees, in their attempt to collect the five million dollars owed to them in unpaid dividends. It also raises concern about the possible legislative changes to the Sugar Cane Industry Act, which is said to be a precondition to the Banco Atlantida buyout. The release ends by saying that the government needs to find a Belizean solution to the crisis since it affects the livelihood hood of over forty-eight thousand residents.