The Dominican Republic and the Sugar Industry.

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The history of America registers that the sugar cane was introduced to the Dominican Republic, in the second voyage of Christopher Columbus from the Canary Islands. Since then it has prospered without major difficulties.

By the late nineteenth century, specifically from 1870, the modern sugar industry was introduced in the Dominican Republic, and in 1970 it ranked among the top ten global sugar economy in 16 sugar mills with activity, sugar production exceeding 1 million tons, of which the United States demanded the most part. Sugar exports to the United States came to mean about 80% of production. When that market collapsed in the 80’s, the industry entered a crisis from which the has not yet recovered.

Current prospects are bright for the island, it shows a world sugar market recovered and an opened European Union , with trade privileges. In the area of energy, the Dominican Republic is a high consumer of oil and increased dependency on imports makes it mandatory to get to the replacement of a portion of the gasoline consumed by ethanol. In the short term 4 million tons of cane would be necessary for a 20% ethanol blend in gasoline. Also the use of bagasse for cogeneration by the high price of kwh in the energy chain makes its implementation feasible.

Today we are struggling in an election campaign that will happen on May 20 and one of the major candidates announced the construction of new units. We believe that returning to the production of 14 million tons of sugarcane would be enough to help generate employment, foreign exchange and development of sugar cane communities mired in poverty today. Brazil is a good reference.


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