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Belize’s sugar industry could be on the brink of a historic transformation as Santander Sugar Group moves forward with plans to invest millions of dollars to establish the country’s first-ever sugar refinery. It is an initiative that would also make Belize home to the only sugar refinery within the CARICOM region. The proposed project is expected to give Santander a significant competitive advantage while positioning Belize as a regional hub for refined sugar production. Currently, Belize primarily exports raw sugar, but a domestic refinery would allow for greater value-added processing and improved access to regional markets. Director General in the Ministry of Agriculture, Dr. Osmond Martinez, confirmed that discussions on the proposed refinery have been ongoing between Belize Sugar Industries/ASR and Santander. He indicated that the talks form part of a broader strategy to strengthen Belize’s sugar production capacity and regional trade footprint.
Dr. Osmond Martinez, Minister of State Ministry of Economic Development: “What is being produced right now in Belize is not refined sugar. So you have the plant, plantation white and the brown sugar. So now what we will have is the refined sugar which is at a different category, different level and that one has a better price in the market and it has high consumption in CARICOM because most of the factories that manufacture sodas or juices they will always prefer or one of the requirements will be refined sugar. Belize is a little bit ahead and Guyana is establishing one now. I know the investors from Santander and Sucro approached me back in July and then thereafter we set up a meeting with the Prime Minister. So all the shareholders of Sucro and Santander came to meet with the Prime Minister. And thereafter in September at the Belize Investment Summit in San Pedro an MOU was signed. And now the month after the MOU was signed, Santander and Sucro started to make their investments to the point that the refinery plant might start to work by June or August of this year. So the investment was on record time and the experience that the investors are having on this venture is unprecedented because it has been smooth and easy.”
Importantly, becoming the only sugar refinery in the region would give Belize a strategic edge in supplying refined sugar across the Caribbean Community. Dr. Martinez further explained that Belize’s sugar production and its role in regional trade will be among the matters Prime Minister John Briceño is expected to raise during meetings at the ongoing CARICOM Heads of Government Summit in St. Kitts and Nevis.
Dr. Osmond Martinez, Minister of State Ministry of Economic Development: “So Santander is becoming an important player within the sugar industry. They are currently, as we speak they are investing a couple million US dollars, and I believe it’s over 10 million US dollars in developing the first sugar refinery in Belize which then will give them a comparative advantage to them to export into the CARICOM market. I know that they have been in close conversations with BSI and ASR to see and to explore the options for BSI ASR to sell their products to them as well so that they can refine the sugar, sell it at the prime prices in the CARICOM market. But before all of that is done the government, you know, as we speak, the prime minister is at the CARICOM Heads of State meeting in St. Kitts and Nevis and one of the points that he has in the agenda is for the CARICOM head of states to be able to support Belize and Guyana in terms of being able to put the refined sugar that is being produced between both countries to be included in the CET so as to enjoy that protection, product protection, within the CARICOM market. Belize and Guyana will easily satisfy the 75% of the total amount which is one of the minimum criteria that is required by COTED. In addition to regional approval it’s also regional lobbying. And that is what the government is doing at the moment at all levels through the Ministry, through the Office of the Prime Minister, Ministry of Economic Transformation, Foreign Affairs and Foreign Trade. So it’s a collective effort so that Belize can be well positioned within the CARICOM market. And Santander will be the key player since they will be the first one to produce refined sugar.”
Stakeholders say the refinery could deliver major economic benefits, including higher export earnings, job creation, and increased resilience within the sugar industry. Love News understands that the refinery being developed by Santander is moving steadily toward completion and could be up and running as early as June of this year. That update comes from Minister of State for Economic Transformation, Dr. Osmond Martinez, who says the project is progressing on schedule. He explained that construction on the refinery began last year and has continued without major setbacks. According to him, the facility is expected to significantly strengthen Belize’s sugar industry by expanding local refining capacity.
Dr. Osmond Martinez, Minister of State Ministry of Economic Development: “The building of the, they started to build the refinery or to do the construction of the refinery in September of last year. Not necessary because there is a market in CARICOM. So even if we don’t get the CET approvals, they can still export to the market just that it won’t be protected. Remember that Belize is part of the CARICOM Single Market Economy. So once they are protected then it’s almost like having a monopoly within the system because within the CSMEs is that whatever is producing CARICOM should be consumed in CARICOM. And there are other markets such as the US, Europe, Taiwan, you know, so there are other markets. So it’s not only CARICOM but CARICOM is where Belize can, where you can get the best prices.”
The Santander refinery project is being closely watched by industry stakeholders, as it is expected to add value to Belize’s sugar production and potentially open new market opportunities. Government officials say they will continue to monitor the development as the projected mid-year operational date approaches.
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