In view of the fact that brown sugar is what is exported in greater quantity to the EU, this news has caused much anxiety to the sector in Mauritius. The secretary general of the Chamber of Agriculture, Jean-Noël Humbert, is worried, “If these leaks are right, the impact on Mauritius and the ACP producers will be much more severe. It would be catastrophic.”

A 37% drop would have already been severe for the Mauritian economy. Mauritius, as the representative of the ACP countries, is continuing its fight to try and get this percentage down. No real solution has been found to compensate for the losses incurred by the 37% drop so there is no need to highlight what a 42% would mean for our economy. “There is still one month to go before the European Commission states its official proposals and we hope that it will take the difficulties of the ACP countries into account before this date and make a more reasonable proposal,” Jean-Noël Humbert adds.

The reform should be done in two stages. The first 25% drop should occur in October 2007 and the second one – 14% – should take place in 2008. According to specialists, the European Commission chose to apply the first drop in October because the European beet producers would have to think twice before starting new production. October is the time when they plant out after the harvest.

The European Commission may want in fact to dissuade beet producers from continuing. This may be why, according to some sources, the EC may propose to set up a restructuring fund of 3 billion euros for those wishing to give up their beet production and their sugar quotas at the same time. They would then receive some 700 euros per ton of sugar.

With such a programme extended over four years, these producers will most probably prefer to turn to other typs of production rather than to go on with beet. They will thus abandon it and will have no reason to side with ACP countries in their campaign. The latter, which rely on their support to delay the implementation of the reform or to have a lower decrease, may finally feel alone as Mauritian producers will not have the chance to turn towards other types of production like the Europeans…

<B>A future ahead of us</B>

However, people employed by the sugar industry do not admit defeat. They want to believe that the efforts made by the sector and the government could help to change the EU’s mind. The Public Relations Officers of the industry organized the meeting with a thousand employees of all the country’s factories where they discussed the future. “We have a future ahead of us,” seemed to be their motto during this gathering.

Leaders of factories still trust in EU politicians. “We do not think that responsible people can ratify this proposal if the Commission decides to make such a proposal. We trust in the wisdom of the European politicians,” says Patrice Legris.

The director of Mon-Désert-Alma, Jean-Claude Hoareau, and the director of the Mauritius Sugar Producers Association (MSPA) are of the same opinion, as they believe politicians will soon be bound to react soon.

And, if ever this proposal finally turns out to be applied, they still refuse to throw in the towel. Their priority will be to centralize all factories to obtain six chimneys. They all agree that the European Union will also have to provide for quite an important compensation. In this context, a team from the European Commission is arriving on 7th July to discuss a support plan.