Agriculture Minister outlines Government’s assistance for rice industry


…on CNS Channel Six’s ‘Voice of the People’ programme
Minister of Agriculture, Robert Persaud, was a guest on the ‘Voice of the People’ television programme Saturday, hosted by political commentator, C. N. Sharma, to outline Government’s plans to provide assistance to the rice industry, and especially to the farmers who are the industry’s backbone.

The Minister explained that the rice industry has come a very long way over the years, moving from producing just over 100,000 tonnes of rice in the early 1990s from 76,000 hectares cultivated to a projected production target of 369,000 tonnes from 120,000 cultivated hectares for 2009.

This, Minister Persaud pointed out, also highlights Government’s efforts, not only to boost rice production, but also to improve productivity, which has increased to 4.7 tonnes of rice per hectare from 3.6 tonnes per hectare in the early 1990s.

Also, Government has been working diligently to reduce or eliminate the constraints that farmers face by improving water management, building infrastructure to support the industry and passing regulations to prevent them from being defrauded by millers.

The issue of ensuring that farmers are treated fairly by millers is currently the emphasis of Government action plan Minister Persaud noted, explaining that every effort is being made to make the industry viable and vibrant.

He explained that the rice industry earned more export receipts than sugar in 2008, taking in US$180-$185M compared to US$135-$140M.

Interventions
The Agriculture Minister, along with the General Manager of the Guyana Rice Development Board (GRDB), Jagnarine Singh, outlined some of the interventions that Government has been taking to provide assistance and relief for rice farmers.

Noting complaints from farmers about millers tampering with scales, Singh explained that his organisation has been working to remedy this situation.

He explained that regulations (the Rice Factories Act) now prohibit millers from using mechanical scales which are more easily manipulated, requiring them to use scales that have electronic displays instead.

Also, the GRDB works closely with the Guyana National Bureau of Standards which, before the start of each buying season, visits buying points and checks, stamps and seals all scales to prevent tampering. The miller is also provided with a certificate of compliance which must be displayed prominently at the buying point.

Singh encouraged all farmers to request to see the seal attached by the GNBS personnel.

To further deter millers from tampering with the scales, the GNBS will be conducting surprise inspections during the buying season to ensure no tampering of scales is effected after the initial inspection at the start of the season.

Any miller who is caught tampering with their scales will be severely penalised, Minister Persaud warned.

Another step being taken to ensure that farmers receive a fair price, Minister Persaud highlighted, is that the GRDB will be placing staffers at various buying points will be looking at the scales and the grade of paddy, and ensuring the purchase of paddy confirms with the regulations. Farmers’ representatives will also be at some locations.

Other actions to provide assistance to farmers include having the Transport and Harbours Department (THD) provide free river transportation, from Adventure to Parika, to farmers on the Essequibo Coast who wish to bring their paddy to Demerara to obtain a better price. This assistance, the Minister outlined, should commence today.

Also, there is a special arrangement between the GRDB and the Guyana Revenue Authority (GRA) to provide farmers with duty-free concessions to purchase spares for their agricultural machinery.

Minister Persaud stated that farmers wishing to access the facility need to visit the GRDB to uplift a letter to be taken to the GRA to obtain the duty-free concession.

$400M assistance package
The Agriculture Minister also discussed the $400M assistance package that President Bharrat Jagdeo had announced recently for the industry.

He explained that the assistance will be looking at supporting farmers with the low prices with which they are faced, and will be dependent on what type of assistance farmers indicate that they need.

Minister Persaud stated that the GRDB will be holding several consultations with farmers to find out what kind of assistance Government can render and will also speak to other stakeholders in the industry. The feedback obtained will be forwarded to the Ministry which will rely on those suggestions to design the package.

However, the Minister indicated that Government does have some ideas of how to help the industry, including supporting the costs of inputs such as fuel, fertilizer and paddy.

He indicated that his Ministry will be attempting to break the monopoly/cartel situation that exists for fertiliser in Guyana by buying it in bulk and reselling to farmers at the cost price.

He explained that Government would be able to obtain a better price by buying in large quantities and would therefore be able to pass on those savings to farmers.

The Minister said that the advertisements should be placed in the daily newspapers this weekend.

Other ideas include a production stabilisation fund which will provide assistance to farmers when prices fall below a pre-determined level and which farmers will be expected to contribute towards when the prices rise above that level.

Also, Government will continue to invest in developing and maintaining the infrastructure that supports the rice industry.

“Our rice industry today has also gone very far from a level where we focus on satisfying only internal consumption to one where we are considered to be a player; not a big player, but a player or a participant in international trade,” the Agriculture Minister stated. (GINA)

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