The Mauritian government has revoked the board of the State Trading Corporation (STC), a decision announced by Minister of Commerce Michaël Sik Yuen on a private radio station. The move has taken the board members by surprise, with some stating they had not received official notification of their dismissal. According to sources, the decision was made due to the board's handling of food importation, specifically the importation of canned goods.
The board members claim they are unaware of the specific reasons behind their dismissal. However, sources close to the ministry suggest that the minister had expressed dissatisfaction with the board's progress in importing canned goods at competitive prices. Despite directives to launch tenders, no bids were accepted, resulting in a shortage of imported canned goods in local markets. Other traders have been selling canned goods at higher prices, prompting complaints from households.
Some board members dispute the characterization of their performance, citing challenges posed by tender conditions, particularly price requirements. They argue that these conditions deterred potential bidders and that the ministry was aware of the situation. The board members point to several achievements during their tenure, including managing fuel supplies during the Middle East conflict and securing an agreement with IndianOil Corporation for petroleum product imports.
The STC has accomplished several key objectives under the revoked board, including the acquisition of Petredec's storage facilities, which has increased the country's liquefied petroleum gas storage capacity. The corporation also renegotiated a contract for white product imports, saving over Rs 1 billion in costs. Additionally, the STC secured fuel oil supplies in February 2026 to prevent shortages.
In the food sector, the STC revised the supply chain for Smatch-branded basmati rice, repositioning it as an affordable option for households. The corporation also finalized tenders for importing various food items, including tomato and tuna cans, which are currently undergoing quality testing. These products are expected to be marketed under the Smatch brand once the testing is complete.
The revoked board was composed of several high-ranking officials and independent members, including Dr. Takesh Luckho, president, and Latanraj Ghoorah, Ag. Director (Economic and Finance) at the Ministry of Finance. Other members represented various government ministries and departments. The board's dismissal has raised questions about the future management of the STC and its ongoing projects.
The STC's achievements under the revoked board highlight the complexities of managing state-owned enterprises and the challenges of balancing commercial objectives with social and economic goals. The government's decision to revoke the board may have significant implications for the corporation's operations and its role in Mauritius' economy. The STC's future direction and leadership will be closely watched by stakeholders and the general public.
Key points
- The Mauritian government revoked the STC board due to disagreements over the management of food importation, specifically the importation of canned goods.
- The board members disputed the characterization of their performance, citing challenges posed by tender conditions.
- The STC achieved several key objectives under the revoked board, including managing fuel supplies and securing agreements for petroleum product imports.
