Sugar industry gets one-year lifeline as BSI and cane farmers extend agreement

Belize’s northern sugar industry has been given a temporary reprieve following the signing of an addendum extending the existing Commercial Agreement between the Belize Sugar Cane Farmers Association (BSCFA) and Belize Sugar Industries Limited.  The addendum was signed earlier today, and extends the current agreement for an additional year, paving the way for a smoother start to the 2026 sugar crop, which is expected to begin later this month.  In a statement issued by BSI, the company acknowledged that the industry is facing what it described as an existential crisis, driven by a combination of climate-related pressures, declining cane yields, and the spread of plant diseases such as fusarium, all of which have significantly reduced cane supply in northern Belize.  According to BSI, both parties have committed to using the extended agreement as a bridge period, allowing time to consider amendments to the Commercial Agreement based on the findings and recommendations of the COI. The goal, the company says, is to ensure the long-term viability of the sugar sector, which remains a major employer and economic driver in northern Belize, particularly in Orange Walk and Corozal districts.  The extension comes against the backdrop of years of strained relations between cane farmers and the miller, marked by repeated disputes over revenue sharing, transparency, and governance within the industry. Those tensions led to the establishment of a Commission of Inquiry (COI), which examined the structure of the industry and made recommendations aimed at improving accountability, efficiency, and long-term sustainability.  Looking beyond the upcoming crop, BSI stated that it, the BSCFA, and other stakeholders are committed to deeper collaboration and partnership to stabilize and strengthen the industry.  For now, the one-year extension provides short-term certainty for farmers and millers alike, as the sector continues to navigate structural reform and environmental challenges in an effort to secure its future.