Sudanese president orders investigation into suspended inauguration of sugar factory
April 3, 2012 (KHARTOUM) – The Sudanese president Omer Hassan al-Bashir on Tuesday ordered the establishment of a committee to look into circumstances surrounding the postponement of the inauguration of a $1 billion sugar plant that was originally scheduled to open on Thursday.
“It was decided to delay the opening of the White Nile Sugar Factory on Thursday the 5th of April 2012 to a later date due to the non-availability of the operating [software] system because of the American sanctions” the minister said in his resignation letter seen by Sudan Tribune.
“And because of the embarrassment we caused to the people and the state I submitted my resignation to the President of the Republic taking responsibility for this embarrassment”.
But Sudan official news agency (SUNA) reported that Bashir refused to accept Osman’s resignation.
Sudan has been under comprehensive economic US sanctions since 1997, and remains on the US list of state sponsors of terror. At the time, the country provided safe haven to Al-Qaeda chief Osama bin Laden and others Washington listed as terrorists.
After 2003 sanctions were tightened over the conflict in the Darfur region and human rights violations.
The Sudanese leader was to formally open the state-of-the-art factory in the White Nile State before an international audience from the Islamic Development Bank (IDB), which has been meeting in the Sudanese capital Khartoum this week.
Slick green invitation packets had already been sent out for a large number of local and international dignitaries.
The mysterious last minute postponement is a huge public image blow to Bashir’s government amid eroding faith in public institutions as a result of heightened perceptions of corruption and a severe economic crisis.
This is not the first time the White Nile Factory opening has been suspended after missed deadlines in November 2009 and November 2010 under two former industry ministers Jalal al-Digair and Awad al-Jaz.
Osman, the current minister, took on the industry portfolio during a cabinet reshuffle in December last year.
The White Nile Sugar factory is reported to have the capability of producing up to 450,000 tonnes of sugar annually within the next three years and 60 million litres (13 million gallons) of ethanol.
The Sudanese government has a 9.4% share in the facility while the Kenana Sugar Company owns a 30% stake. Other owners include the Arab Authority for Agriculture Investment and Development, National Social Insurance Fund and Central Bank of Sudan.
Boosting sugar production is a top priority as it is the most important food item for the 32 million Sudanese. Like other food items the cost of sugar has increased since oil revenues, the main source for hard currency, has dried up since July when South Sudan seceded. Much of the sugar consumed in Sudan is imported which is straining the already low levels of foreign currency reserves.
(ST)