2000 To 2005
As Minister of Agriculture from 7 September 2000 to 7 October 2003, Jugnauth presented the Sugar Sector Strategic Plan and led a reform process in the sugar sector to ensure its long-term viability and competitiveness. He initiated a process to convert the sugar industry from relying almost exclusively on the production of sugar into a fully diversified sugar cane industry with emphasis on the production of ethanol, agricultural rhum, special sugars, electricity generation from bagasse and other high value added products. After these reforms, the sugar sector has been able to bring down its production costs significantly and better face the challenges stemming from the reduction in the guaranteed sugar price under the Sugar Protocol with the European Union.
While working on the reforms in the sugar sector, he negotiated a package for workers under the Voluntary Retirement Scheme. Some 8,000 workers who opted for voluntary retirement received cash compensation exceeding 2.5 billion rupees and some 825 arpents of land worth 3 billion rupees.
Jugnauth also made reforms in the non-sugar agricultural sector by placing non-sugar agriculture on the path of modernisation and sophistication. He encouraged hydroponics and other modern methods of production while at the same time strived for excellence in agricultural biotechnology research and expertise in the field. He initiated actions to set up a National Agricultural Biotechnology Institute and Food Technology Laboratory in Mauritius; he later launched the Small Planters Welfare Fund. The fund caters to the welfare of planters and their families and provides crop insurance schemes designed to financially support planters whose crops are affected by unfavourable weather conditions.
As Minister of Finance from 7 October 2003 to 5 July 2005, Jugnauth reduced taxes on thousands of commodities. He increased subsidies on basic commodities and gave salary compensations well above inflation rates in two successive years. He launched a project to make Mauritius a Duty Free Island.
Pravind Jugnauth had some clashes with his then Prime Minister Paul Berenger however stayed and supported the coalition government.
eaders said the alliance MSM / MMM, Rama Sithanen insult himself and makes demagogy when it's a failure of government economic policy. In 2004 Pravind Jugnauth mentioned that from 1995 and 2000, the unemployment rate rose from 5.5% to 8.8% with 45,000 unemployed, while in the last three years, 32,000 jobs were created. He also mentioned that despite this heavy legacy, the government MSM / MMM kept the budget deficit to 6% and hopes to return to 5.5% in 2004/2005 and 4% in 2005/2006.
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