Sudan slams US embargo, says China to send financial aid

April 6, 2012 (KHARTOUM) – The Sudanese finance and national minister Ali Mahmood Abdel-Rasool lambasted the comprehensive sanctions imposed by the United States on his country saying it is responsible for the recent delay in opening a sugar plant.

This week the Sudanese government was forced to suspend the launching of the White Nile Sugar Factory at the last minute citing the lack of operating software which is barred by US sanctions.

The Sudanese president Omer Hassan al-Bashir ordered an investigation into the matter and refused to accept the resignation of the industry minister Abdel-Wahab Mohammed Osman who apologised for “the embarrassment we caused to the people and the state”.

Abdel-Rasool said that calling off the event embarrassed the government which planned it to coincide with meetings of the Islamic Development Bank (IDB) in Khartoum.

The Sudanese official nonetheless blamed the factory’s management for not verifying readiness before sending out invitations. Abdel-Rasool revealed that he received two letters from the White Nile Sugar Factory saying that they are on track for the inauguration day.

But later the sugar facility came back to say that they will no longer be able to meet the deadline.

The finance minister said that as far as he knows that the factory’s management subcontracted administration to a group which later got sold to a US based company that refused to get the needed software in compliance with the decades- long sanctions imposed by Washington.

He criticised the US sanctions policy saying that it has impacted the country’s ability to import spare parts for several industries and questioned how a sugar factory could pose a threat to US national security.

INFLATION

Abdel-Rasool acknowledged the rising food prices and soaring inflation in Sudan but attributed it to the deteriorating value of the Sudanese pound against the dollar. He said that they are working on encouraging exporters to repatriate their profits home in hard currency.

Along with other measures, he said that China and other friendly nations will provide cash in the coming days which would help bring down prices.

Sudan’s economy has taken a downward plunge after South Sudan took with it two-thirds of the country’s oil production when it seceded in July. Since then, Sudan’s oil revenues, which used to make up 90 percent of the country’s exports and were the main source of hard currency inflows, have largely dried up.

HISTORY OF SANCTIONS

In October 1997, the US imposed comprehensive economic, trade and financial sanctions against Sudan in response to its alleged connection to terror networks and human rights abuses. Further sanctions, particularly on weapons, have been imposed since the 2003 outbreak of violence in the western Darfur region.

Khartoum has lobbied the US administration intensively to lift sanctions particularly as a reward for facilitating the South Sudan referendum and recognising its results.

But US officials say that the new conflicts that erupted last year in Abyei, South Kordofan and Blue Nile are preventing any favourable decision on easing sanctions.

(ST)