The first shipment of local paddy to neighbouring Venezuela yesterday departed the John Fernandes Wharf, Georgetown, and is expected to arrive at its destination in another four to five days.

Early yesterday morning the Venezuelan vessel transporting the cargo was being loaded in the presence of officials from the Guyana Rice Development Board (GRDB) and the buying country.

Agriculture Minister Robert Persaud, who was there, told the media that some 5,000 tonnes of paddy, valued US$1.5M, is being shipped to Guyana’s northwestern neighbour.

He acknowledged that there was some delay in the shipment, pointing out that this was caused by the time the Venezuelan vessel took getting here, as well as some problems docking in the local harbour.

The minister also pointed out that communication from the Venezuelan end was a bit slow, but noted that the delay was not a big worry as it aided the local authorities to perfect the arrangements.

Persaud said that the arrangements for the shipment are not being done by the GRDB or the Government. These two , he noted, were the facilitators of the market.

The export of the staple is being done by a private company, working with several others.

The minister said that rice production has been on the increase and local suppliers will have no difficulty in satisfying the Venezuelan demand along with other market commitments.

The Venezuelan market is important to Guyana on several fronts. It is in keeping with the Government’s plan to diversify export and secure new markets, to enable farmers to receive timely payment from millers and better prices for their paddy, as well as to secure new market in the long term.

On the issue of better prices for farmers, Persaud appealed to millers to pay farmers in a timely manner, and on that point, said that he has received reports to the contrary from some millers.

Guyana in late October sealed a US$ 18.8 M ($3.7 B) deal with Venezuela for that country to import some 50,000 tonnes of local rice.

Forty thousand of the total amount will consist of paddy while the remainder will be white rice.

Persaud, speaking at the signing of that agreement at his Vlissengen Road headquarters, had said that the export price for paddy will be US$ 330 per metric tonne for both commodity and freight and white rice five per cent broken at US$ 560.

“These two prices represent a very substantial per centage above that what we see taking place in the market from export; and if we look at the trend, I must say that we are very appreciative of President Hugo Chavez for entering into this agreement.

It is the first agreement we have of this kind and perhaps the first time we will be exporting rice to Venezuela,” he mentioned.