…MNR says coalition gov’t not wholly responsible for shortfalls at Forestry
REJECTING allegations that the Government is responsible for the financial difficulties facing the Guyana Forestry Commission (GFC), the Ministry of Natural Resources, on Monday, said it was under the People’s Progressive Party/Administration (PPP/C) that the Commission was raped of its financial resources.
“While it is said that the difficulties come as a direct result of the contraction of the forestry industry post-2016 by the removal of two million hectares from production forest, it should be known that the difficulties have stemmed prior to 2015, when the then administration appropriated $600M to construct a High Street building that was, on completion, deemed unsafe. To add to this, over $300M was then used to assist the Iwokrama Forest Conservation Project; the GFC has never fully recovered from this dent in its finances,” the Natural Resources Ministry explained.
As the commission struggles to keep its head above waters, the Natural Resources Ministry said it must be noted that the forestry subsector continues to grow, pointing to the Government’s half-year economic report. In that report, the forestry subsector, for the second consecutive year, recorded a growth rate of 8.6%.
“This specifically points out the production of timber and credits the growth to improvements in infrastructure in the latter half of 2018 and small-scale concessions and forest operators increasing their output, seeing many achieving higher production levels. Also, though there are claims that the fall in production and export levels within the forest sector have caused operators to struggle to make a profit, the report shows otherwise, with primary lumber producers recording gains of 32.4% in the first half, capitalising on increased local demand for construction,” the Natural Resources Ministry said.
It, however, acknowledged that though there was an increase in log production, there was a decline in international demand for Roundwood, resulting in contraction. “Regardless, the report shows the outlook for the remainder of the year remaining positive for this subsector, with log production expected to remain high and Roundwood to stabilise,” it noted.
Turning its attention to infrastructure development, the ministry said notwithstanding the inclement weather, it will soon commence works on various roads throughout the hinterland, in collaboration with the Ministry of Public Infrastructure.
It is assuring persons within the Forestry Sector that government will continue to explore avenues in an effort to resolve the issues facing the Guyana Forestry Commission. “A Task Force was appointed to examine the structure and functioning of the GFC and present a report for consideration. The Minister of Natural Resources has also committed to taking this to Cabinet with a view to seeking a subvention for the Commission as an immediate relief. The Minister would advise the divestment of the High Street property to repay the GFC its investment,” the Ministry said as it summed up its plan of action. The Natural Resources Ministry said despite attempts to mislead the public, it remains committed to its work plan and its agenda of bettering the lives of all Guyanese.