— to cut food import bill

WITH a growing food import bill which was last recorded at US$62 billion for 10 commodities in 2016, Minister of Agriculture Noel Holder said government is working to establish a modern agro-processing plant to cut costs.
According to government statistics, the bill for the importation of the commodities which include milk and cream, cheese, spices, potatoes, peas, beans and flour had risen from US$32 billion in 2011 to US$62 billion in 2016.
Holder pointed out government’s intention after vice chairman of the Guyana Manufacturing and Services Association, Ramsay Ali, stressed the need for an agro-processing facility on the second day of the two-day business summit on Thursday, held at the Marriott Hotel.

Stakeholders at the summit stuck to the theme “challenges and opportunities for business growth and expansion”, pointing to the many challenges they face, particularly in the agriculture sector.
Minister Holder mentioned one of those challenges is the “exorbitant” food important bill, which he said has to be decreased.
According to the breakdown of information in 2016, the bill for dairy products was US$31million, spices US$2 million, potatoes US$120,000 and onions US$1.5 million.
“We need to promote import substitutions if we are going to reduce the bill… farmers need to plant diverse crops such as spices, potatoes and onions,” said the minister.
Government has even given its commitment to building roads and developing the infrastructure in Regions Nine and Region 10 so that investors can establish mega farms like the Santa Fe ranch in Region Nine and NF Agriculture operation in Region 10.

In addition to just producing the raw product, Minister Holder urged stakeholders to expand commercial agriculture so that they can take advantage of the demand for local products.
After noticing the need for agro-processing facilities, the government has embarked on securing a modern agro-processing plant that will facilitate the processing of fresh milk, butter and other dairy products.
The modern facility will add to some of the smaller facilities such as the Rising Sun Agro-Processing Facility at St. Denny Village, Tapakuma, Region Two, which focuses on the production of garlic-flavoured cassava bread and cassareep, and the recently-commissioned turmeric factory in Region One.

Ali, however, challenged the government to construct the modern facility in three years because it will start the process of diversification which was touted throughout the business summit.
Finance Controller/Company Secretary of Sterling Products Limited, Deodat Indar, had told the summit the company had attempted to construct an agro-processing plant but during the research stage, it was discovered that there was a high cost burden and logistical guidance from the government was needed.
On the first day of the summit, former Chairman of the Private Sector Commission (PSC), Major General (rt’d) Norman Mclean pointed out that one of the cost burdens for an agro-processing plant is electricity.