THE Ministry of Natural Resources yesterday hit back at a news report which appeared in the Guyana Times on March 4, 2018 and which attributes what it called inaccurate statements to Leader of the Opposition Bharrat Jagdeo.

The purported comments by Jagdeo attempted to impugn the integrity of a recently announced initiative to develop the forest sector.
The report in question called the dimension stock yard as proposed by the Government “shady” and that the details surrounding it were murky. Jagdeo questioned the proposed $50 million investment with regards to who the Government’s partners were and how that partnership was arrived at.

However, the MNR in its release, made it clear that the stock yard was proposed by the private sector whose members in the forestry subsector, recognised the shortcomings and the need to up their game to tap into local and international markets.

“It is important to note that it was the private sector that proposed this facility as an initiative to improve growth in the sector. In 2017, the Minister of Finance took the initiative of engaging the forestry sector representatives in conjunction with the Ministry of Natural Resources to assess and better understand the challenges, and to find ways of stimulating growth within the sector. Technical input was provided by the Guyana Manufacturers and Services Association (GMSA) and the Guyana Forestry Commission (GFC),” said the release.

According to the Ministry, the stakeholders agreed on a menu of measures “which included – a reduction of the VAT on lumber, the conducting of a vitally-needed National Forest Inventory and the establishment of a Dimension Stock Yard.”
The Ministry said the Government allocated $50 million in Budget 2018 and that will be used “to set up the regulatory framework of the facility, the governance and administrative structure, conduct site preparation activities inclusive of minimal capital equipment and marketing efforts.”

The Ministry said it was observed that it was difficult to find quality lumber in sufficient quantity and dimensions and as such the Consolidated or Dimension Stock Yard will bridge this gap. “It is believed that the quality of locally produced lumber is not at the level to make it very competitive both locally and internationally, as only a few operators are producing lumber at the desired quality level,” the Ministry’s press release pointed out.
It said too that an oversight body will manage the facility, which will work with the operators “so that orders can be consolidated to meet a particular demand or market in accordance with set quality standards.”

The Ministry, however, assured that the facility will not undercut business for the private sector entities as there will be no price disadvantage or compulsory requirements.
The Ministry is asking the public not to be misled by the comments in the press regarding the initiative which has the potential to raise standards and secure markets and called for the media reporting to be facts-based.