THE Guyana Marketing Corporation (GMC) is committed to increasing non-sugar, non-rice produce by 25% in 2020, but in the meantime Guyana needs to evolve from subsistence survival to high-return commercial investments, according to Agriculture Minister Noel Holder.He was speaking at the GMC export-facilitation workshop on Tuesday, at the Arthur Chung Convention Centre at Liliendaal,Greater Georgetown, to an audience of exporters, farmers and stakeholders.
Under the theme, ‘Exploiting our Strengths, Advancing Agriculture and Social Protection,’ Minister Holder, who gave the feature address said that agriculture will continue to be a catalyst for Guyana’s export portfolio, as almost 40% of Guyana’s export earnings come from agriculture.
Pointing out that agriculture in Guyana is the foundation through which Guyana has built an export-oriented economy as part of CARICOM, and being a part of the CARICOM Single Market and Economy (CSME), Minister Holder said, “We will make full use of the fact that CARICOM countries import more than $4.5 billion in food from outside of the Region. Guyana has its eyes firmly fixed on the opportunities that CARICOM provides as a net importer of food.”
In this context, he said Guyana looks to the trade arrangements in CARICOM to be more trade-friendly among member states.
He said agricultural development involves shifts and “we need to move from subsistence survival level to high-return commercial investments. However, changing market conditions, price and policy requirements contribute to the success or failure of the agriculture policy, specifically marketing.
SOCIAL PROTECTION
Minister Holder said, however, in order to make a lasting impact, the complimentary roles of social protection should be looked at in agricultural development. He said the support services provided by the Ministry of Agriculture work to assist and maintain farmers in taking risks and stepping up, thereby providing social protection in agriculture.
Underscoring that Agriculture Month will focus on advancing the sector’s strengths and promoting social protection, the Agriculture Minister noted that the GMC provides assistance and support to boost exports through trade facilitation for exporters and potential exporters.
“GMC delivers and commits to increase non-sugar, non-rice produce by 25% in 2020. The Ministry of Agriculture and government as a whole are mindful of the critical role in the creation of employment directly and indirectly, and in the economic growth of a nation whereby growth in exports can also have a knock-on effect to related service industries,” Holder noted.
In keeping with the GMC’s mandate, through facilitation and coordinating the development of quality non-traditional produce for exports, Holder said that the corporation held its inaugural workshop in October, 2014 as there was a need to bring awareness and to encourage individuals to embark on export agricultural activities.
He recalled that at the first export workshop, both exporters and importers, including farmers and agro-processors, were told of the sanitary requirements of the national protection organisation. However, for 2015 there is great involvement of critical service providers who play an integral role along the supply-value chain.
“This is an opportunity for the GMC to promote its services and create linkage between the stakeholders, educate and encourage exporters and potential exporters to export agricultural commodities.This end result will increase the exportation of non-traditional commodities, both regionally and extra-regionally, while promoting the adoption of proper post-harvesting and handling with the use of crates, refrigerated containers and refrigerated trucks,” Holder said.
He also indicated that the Agriculture Ministry advocates the promotion of both fresh and processed products and the need to export different models such as bulk shipments, consolidated shipping and less than container shipping as is usually the case of agro-processors.
He said the GMC has engaged a free-freight provider who will export semi-processed commodities. This is one option to exporters and potential exporters since this service can be used for raw materials to supply overseas industries.
“In fact, the government has seen the need for increased production, transformation and economic diversification of the sector… We are aware at the ministry of the challenges exporters face, such as the difficulty in accessing credit to venture into large-scale exportation. In fact, the Government of Guyana has catered for access to affordable credit for persons like these and will investigate, in consultation with all relevant stakeholders, the re-establishing of an agricultural development bank to meet the financing needs of the agriculture sector,” Holder said.
In addition, the ministry will continue to offer support to any individual or group wishing to export agricultural commodities regionally and internationally, Holder said.
He said interested parties will continue to make use of subsidised prices to ensure commodities are transported and stored at the required temperature through the use of refrigerators and refrigerated trucks, thereby maintaining the cool chain in post-harvest.
“This collaboration will be strengthened with other government agencies such as Go-Invest and the GRA to expedite export documents. Advice will be given continuously on the kind of produce being exported,” he stated.
Additionally, Holder said market information will be provided on agricultural commodities to exporters and producers.
At the regional level, he said government will lobby counterparts in CARICOM for trade and economic development to ensure that conditions outlined in Article 15 of the Revised Treaty of Chaguaramas are adhered to, which includes the operation of the CSME and enhanced marketing of industrial and agricultural commodities so as to ensure their international competitiveness, accelerated structural diversification of agricultural production, measures for accelerated marketing of services and to promote and develop policy programmes to facilitate the transportation of people and goods.
AGGRESSIVE LOBBYING
He contended that the Ministry of Agriculture will aggressively lobby at the regional and international levels to resolve the non-tariff barriers that affect the exportation of agricultural produce which will be done at a bilateral level, individual trading partners and also at the CARICOM level.
“As a CARICOM member state, we strongly believe that a level playing field must be in place…We will not be supportive of exporters who tarnish the reputation of agricultural exports by engaging in activities which are illegal. We would advocate for ethical business practices among members of the supply chain,” Holder asserted.
The facilitation services of GMC, he noted, are for all to benefit and by utilising these services, the clients are expected to reduce their trade costs.
By Rabindra Rooplall