Government not impressed by milk processing factory LR Group
The government is not impressed by the plan of the LR Group Ltd to establish a milk processing factory with 500 cows in Suriname. The agreement was signed in 2018 by the previous government but the current administration has different policy ideas. “It is not that I have no faith in production. We need milk but I do not like the manner in which it will happen and the manner in which things were arranged with the LR Group,” said Agriculture, Stock Breeding and Fisheries Minister Parmanand Sewdien. The LR Group wants to establish a company with 500 dairy cows that will produce 4.2 million liters of milk annually. It will also establish a company to produce various dairy products. All of this will be part of the Agro Industrial Park (AIP) that will be established by the Israeli company. As state guarantee for AIP a sum of 67 million Euro’s is expected for the loan that the LR Group will take. The new policy does not make it possible to hand over Landsboerderij to the LR Group for the construction of a mega stable. The plan to run this factory as a state company also seems weird. Minister Sewdien is puzzled by the plans and finds them non feasible. He has already made it clear to Joseph Haim Harrosh, director Business Development at the LR Group. “I immediately told him that this minister does not believe in running such a mega company as a semi governmental company.” The government’s position has been made clear to the LR Group several times but the company keeps sticking to its plans.
“I am in favor of dividing the 500 cows among a number of farmers who will be selected according to local criteria. A model company could be established at Landsboerderij where farmers could receive training in developing better production methods. I have made this clear to him every time. We have had three to four conversations but he keeps sticking to the mega stable,” said the minister who added that he has made it clear that he will not change his mind regarding this matter.