Senate Divided Over Sugar Industry Tax Exemptions

The Senate engaged in a heated debate today over a proposed amendment to the Sugar Industry Act that would extend tax and duty exemptions for Belize Sugar Industries (BSI).

Senator for Government Business Eamon Courtenay made the case that without the breaks, the factory’s financial viability would be at risk. “The purpose is to ensure we can give support to the factory, the sole factory in the country that is currently grinding cane, producing molasses, producing sugar and bagasse, all of which are vital for the economy of Belize,” he said.

But the proposal faced strong resistance from both union and opposition representatives.

Union Senator Glenfield Dennison raised a pointed question about who actually benefits, noting that BSI is a multinational company and that its profits are not being shared with cane farmers in line with Fairtrade premium obligations. “I have to ask the question whether or not we are fighting for multinationals over farmers’ rights,” Dennison asked.

UDP Senator Patrick Faber was even more direct, urging every senator in the chamber to vote against the bill. Faber argued that the amendment would grant sweeping concessions for another decade, including the removal of withholding taxes on dividends and interest, as well as customs, excise, and stamp duties.

“I don’t think any senator in this chamber should support this bill,” Faber said. “Let me begin there.”

Eight senators voted yes to the bill, 4 senators voted against it, and one senator was absent.