Forestry sector earns US$31M
Natural Resources Minister Vickram Bharrat
Natural Resources Minister Vickram Bharrat

— from exports in 2021, Minister Bharrat reports

IN 2021, Guyana’s forestry sector managed to rake in export earnings of more than US$31 million, according to figures provided by the Minister of Natural Resources, Vickram Bharrat.

The exported products include logs, lumber and round wood, derived from 377,838 cubic metres of production. The production numbers represent a 16 per cent increase when compared to the previous year.

Although securing notable revenues, the forestry sector still has much more scope for development, particularly in the area of added value.

It was only recently that Public Works Minister Juan Edghill lamented the fact that even though Guyana is the producer of world-class timber, much more can be done to boost manufacturing, particularly in the area of furniture-making.

As it relates to the ministry’s plans for the forestry sector, it was noted that while production, exports and value-added products would not be able to reach capacity this year, 2022 investments are likely to initiate growth and inspire upward trends.

Already, even amid a global pandemic and months of devastating and unprecedented floods, the sector is well on its way to making a drastic turnaround, especially with the governing body, the Guyana Forestry Commission (GFC) being brought back from the brink of bankruptcy, with a monthly income revenue of $90 million – a notable increase when compared to a pre-pandemic period in 2019, when the commission’s revenue collection stood at $70 million.

Minister Bharrat had said that improvements in the sector can be attributed to the implementation of specific policies.

He noted that upon assuming office in August 2020, he met with staff and stakeholders of the forestry sector to devise and enact strategies that could “boost the financial performance and management capabilities of the Guyana Forestry Commission.”

POSITIVE CHANGES
It was noted that, following the engagement, a new policy direction was taken and the forestry sector soon began recording positive changes that demonstrate the GFC’s ability to function effectively and independently.

A significant achievement, as outlined by the minister, was the ministry’s ability to convince small-scale loggers to return to their operations as a means of supporting the construction boom that has taken effect across the country.

Minister Bharrat has said that currently, the local forestry sector has much, much room for increased production, especially since Guyana’s log production remains well below what is prescribed.

As Guyana’s logging production remains well below what is prescribed, the Natural Resources Ministry is currently undertaking a forest inventory to “take stock” of its forestry resources

Last year, during a programme aired on the National Communications Network (NCN), Minister Bharrat said that, unfortunately, the forestry industry’s production is 35 per cent less than what is nationally prescribed. He noted that in addition to boosting production, significant work will also go towards driving value-added initiatives. “When we have value-added industries, it means that you’re creating jobs there again; you’re building that Guyana brand, and that is what we want to encourage,” Minister Bharrat said.

He reasoned that significant investments will have to be made to boost the extractive sectors, because even though the petroleum industry will become a major income earner, it will not be as labour intensive as other critical productive industries.

“Oil is lucrative; we will make a lot of money as a country, from oil and gas, but our traditional productive sectors are the sectors that create the bulk of the employment, especially agriculture, logging, mining,” Bharrat said.

TAKE STOCK
He noted, too, that the forestry sector also stands to benefit significantly from an ongoing Forest Inventory Programme, which seeks to “take stock” of the forest resources.

This multi-year project, according to the Guyana Forestry Commission, will see the “updating of forest resource information that is essential for national and concession-level planning and scientific research and referencing to support the modern outlook of the National Forest Policy and the Low Carbon Development Strategy.” The last time that a National Forest Inventory was executed was some 50 years ago.

Nonetheless, the ongoing implementation of the inventory will see field-data collection on state forests by administrative regions – all except for Regions Four and Five, where no state forests occur. In 2021, the GFC targeted clusters in Regions 10, Two and Three, before moving onto Regions Six and Nine.

Minister Bharrat said that the new effort will allow for the “mapping out” of various sections of the forest, to ascertain the number of trees that it holds, the sizes of those trees, and the species to which they belong.

According to information released by the forestry commission, the inventory is also expected to provide several key benefits at the national level, including, but not limited to, the “stratification of Guyana’s forests” based on the quantity and quality of forest resources in different areas, resulting in efficient zonation of forests based on intended use; identification of areas for conservation and protection; and providing baseline data for understanding the forest dynamics in these areas; allow for efficient biological and ecological research by providing preliminary baseline data on forest species, composition and distribution; integration of forest inventories with GIS/Remote Sensing technology, using empirical national forest data to design specific technologies for the monitoring of Guyana’s forests; and provide a reference dataset on forest resources for long-term monitoring and decision-making, including creating historical records of forest use for future generations.

Further, Minister Bharrat noted that the coming years would see all extractive sectors benefitting from a number of infrastructural projects, including the much-anticipated Orealla to Moleson Creek Road. “What we are doing is to spend a lot on public infrastructure…when you spend government funds on public infrastructure, it creates jobs. It means that you would have to purchase your materials from local businesses, so you find that everyone will do well once there is public spending,” Minister Bharrat reasoned.

Meanwhile, the expected passage of Budget 2022 is expected to see notable investments in forestry.

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