$8.4B GuySuCo allocation to fund wages; Mechanisation to protect jobs
February 10, 2026
More than 80 per cent of the $8.4 billion allocated to the Guyana Sugar Corporation (GuySuCo) in the 2026 National Budget will be used to pay wages and salaries, as the government moves to stabilise the struggling sugar industry while modernising its operations.
During the consideration of the 2026 estimates in the Parliamentary Committee of Supply, Minister of Agriculture Zulfikar Mustapha explained that GuySuCo’s total wages and salaries bill stands at approximately $20 billion, with the bulk of the subvention directed toward meeting payroll obligations.
The remaining balance is expected to be covered through revenue generated from sugar and molasses sales.
A breakdown of the allocation shows that eight per cent will be spent on fuel, two per cent on lubricants, four per cent on essential materials and supplies, and five per cent on payments to contractors.
The minister also noted that no portion of the subvention has been specifically earmarked for National Insurance Scheme (NIS) contributions, which are expected to be funded through GuySuCo’s own earnings.
As part of its long-term recovery strategy, GuySuCo has projected sugar production of 100,000 tonnes in 2026 under a five-year plan aimed at returning the corporation to profitability.
Key pillars of this strategy include increased mechanisation, factory recapitalisation, and improved field management.
Addressing concerns over potential job losses due to mechanisation, Minister Mustapha assured that workers will not be dismissed as operations become more modernised.
He explained that the move toward mechanisation is intended to address labour shortages that continue to affect GuySuCo and other sectors across the country, rather than displace employees.
The minister highlighted ongoing training and upskilling initiatives, including programmes at the GuySuCo Training School and the Board of Industrial Training (BIT), which equip workers with skills to operate heavy-duty machinery and expand their employment opportunities. While many trained workers transition into other industries, Mustapha said mechanisation will help GuySuCo maintain stable production levels despite workforce shifts.
The $8.4 billion subvention forms part of the government’s continued financial backing of the sugar industry, which remains a major employer and an economic lifeline for several rural communities across Guyana.
