EVEN as Guyana continues to benefit from new oil discoveries, the PPP/C Government is doing everything possible to create a more balanced and diversified economy. This is evident from the several new initiatives taken by the PPP/C administration to strengthen the agricultural sector and to create new opportunities for Guyanese to benefit from the growing demand for agricultural produce.

Only recently, a number of new coconut seedling nurseries were established by the Agriculture Ministry aimed at making planting material available to farmers and those desirous of establishing coconut plantations. Towards this end, four new coconut seedling nurseries were established with the capacity to produce approximately 48,000 coconut seedlings per annum.

Apart from sugar and rice, coconuts and coconut by-products is the third largest in terms of our agricultural export earnings. In 2021, the country exported over $2.5 billion worth of coconuts, an increase of $600 million compared to the previous year. Of that amount, virgin coconut oil exports amounted to $685 million while export earnings from dry coconuts totalled some $1.8 million. These are significant sums of money injected annually in the local economy and with the growing demand for coconut and coconut products globally, Guyana is expected to benefit considerably in terms of market share. Guyana has now become part of an international community of coconut-producing countries with a projected target of over one million coconut trees over the next three years.

According to Global Coconut Market Research, the global coconut market size was roughly US$1,200 million in 2020 and is expected to reach US$ 20,630 million by the end of 2027. That amount is shared among a variety of coconut products which include coconut water, coconut milk, coconut oil, coconut snacks and coconut fiber, among others. In Guyana, the most common use of coconut is that of extracting cooking oil which is an edible fatty oil widely used for cooking purposes. However, in the more developed countries, the product is also used for industrial applications such as in the manufacturing of soaps, hair care products and for cosmetic purposes.

The contribution of coconut and coconut products in Guyana go beyond economic considerations. In some respects, coconuts have been a part of the cultural life of people, especially those in rural, riverain and hinterland communities. The coconut plant is integrally linked to a subsistence way of life especially in the olden days when almost every part of the coconut plant was put into some use. Apart from the extraction of cooking oil, there is nothing more refreshing than water from a freshly cut young coconut, especially after a hard day’s work. The sale of young nuts has created employment for many people, in addition to money earned from the sale of nuts to farmers. The making and sale of brooms from coconut leaves have provided a living for many, not to mention the use of coconut fibers to make mattresses and dry shells to make beautiful pieces of artifacts.

The coconut industry is growing, thanks to the interventions by the PPP/C administration to restore life to the industry which, under the previous APNU+AFC administration, was neglected.  And even as the oil and gas industry has now become an economic game-changer, it will only play a complementary role in the overall economy, and certainly not at the expense of the agricultural sector. This point was repeatedly made by President Dr. Mohamed Irfaan Ali and his PPP/C administration, which has embraced the principles of balanced growth and development, one in which the agricultural sector has a central role to play. This is one sure way to avoid the dreaded ‘Dutch Disease’ which, as the experiences of some oil-producing nations have demonstrated, result from an over-reliance on oil.