Ramsammy urges millers to reconsider current price paid to farmers
– harvesting of second rice crop continues
THE issue of timely payments and the rate of payments to rice farmers topped the agenda at a meeting Monday among rice farmers, millers, Agriculture Minister Dr. Leslie Ramsammy, and other sector stakeholders.
Dr. Ramsammy disclosed that the millers were asked to reconsider the current prices being paid per bag of paddy, which currently ranges between $2,900 and $3,000.
“There was an exchange of views and we left the meeting asking the millers to pay a better price than is currently being offered,” he said.
The Minister also stated that the rice millers committed to the timely payment to all rice farmers and adherence to the specified timeframe for payments, as set out in the Rice Factories Act. “We have that commitment from the millers,” Dr. Ramsammy assured.
Another sore point that was touched on was the need for the rice factories to be audited. “We agreed that we have to do audit relative to the grading and weighing. On this note, millers and farmers have agreed to work closer together,” he said.
“We all agreed that we must do what is necessary to keep the industry where it is, and not create an environment where farmers reduce cultivation,” he said.
Also present at the meeting were Guyana Rice Development Board (GRDB) and Guyana Rice Producers Association (RPA) representatives.
PANAMA DEAL
The Minister also disclosed that the shipment for Panama, where Guyana recently inked a major rice export deal, is ready.
“We are not shipping. It is a Free On Board (FOB) arrangement, so Panama is sending a ship. The ship was supposed to have arrived on Sunday, but it hasn’t arrived as yet. As soon as the vessel arrives, we will have the rice shipped,” he said.
This shipment represents the first monthly export of 5,000 tonnes of white rice to Panama.
Panama’s rice imports currently stand at 150,000 tonnes annually, an addition to their own rice production and the rice deal, which was signed by the Panama’s Vice-Minister of Agriculture, Estebana Giron Dias, and the GRDB General Manager, Mr. Jagnarine Singh, will see Guyana exporting 50,000 tonnes, of the 150,000 tonnes, to Panama.
The remaining 100,000 tonnes, according to Dr. Ramsammy, can be supplied by Guyana’s private sector, since the two Governments agreed on levelling the playing field for Guyanese companies to be able to bid to supply the remaining tonnage. At present, Panama’s private sector controls the local food market, making it an open market.
On this note, the Agriculture Minister stated that Guyana’s private sector has been successful in competing with USA suppliers in Panama. In totality, Guyana will see close to 30,000 tonnes of rice shipped to the Central American country.
WEST AFRICA TALKS
Additionally, asked for an update on the announcement that rice shipments will be made to countries in West Africa, Dr. Ramsammy stated that these arrangements are still being finalised.
“We will be shipping to Ghana and several other countries in West Africa…we are still finalising the shipping routes. What will happen is that we will have to ship through Brazil and there are some trade issues we have to work out there,” he said.
The Agriculture Minister, however, expressed optimism that Guyana will be able to make headway in these markets.
With the new export markets secured in 2014, Guyana is expected to export between 475,000 to 500,000 tons for 2014 and to reach about 550,000 tons in 2015. The actual export target for 2014 was 460,000 tons. The export in 2013 was 394,000 tons, from a production of 535,212 tonnes, which was far above the original target of 413,000 tonnes.
HARVESTING CONTINUES
Meanwhile, RPA’s General-Secretary told this newspaper that harvesting of the second crop for 2014 is progressing.
“Harvesting is ongoing and is 30 per cent complete in Region 2 (Pomeroon/Supenaam). It started in Region 3 (West Demerara/ Essequibo Islands) and Region 5 (Mahaica/Berbice). As for the other regions, harvesting is going full speed ahead in Region 4 (Demerara/Mahaica) and 6 (East Berbice/ Corentyne),” he said.
Seeraj added that the quality of rice harvested so far is better than that of the early rice harvested in the second crop.
The RPA Head added that the prevailing weather conditions are good and holding to allow the completion of the rice crop. “If you see, there are long lines at the rice mills already,” he said.
For 2014, production is expected to surpass last year’s 535,212 tonnes.
(By Vanessa Narine)
