—crop insurance, $3B rice industry package among measures to cushion impact of heavy rainfall

MINISTER of Agriculture Zulfikar Mustapha says the government is assessing losses suffered by farmers following weeks of heavy rainfall, while reaffirming support measures, including crop insurance and financial assistance for rice farmers.
Speaking recently on the Guyana Dialogue, Mustapha acknowledged that recent weather conditions have affected agricultural activities, particularly as rice farmers are currently in the harvesting period.
“We have witnessed heavy, heavy rainfall over the last few weeks and you know for a fact that about three weeks ago, we witnessed unprecedented rainfall in the agricultural area, and we are in the midst of the harvesting period for rice,” the agriculture minister said.
According to Mustapha, while some farmers may have suffered losses, the Guyana Rice Development Board (GRDB) is already carrying out assessments to determine the extent of the damage. Following this, he said the government, through the Ministry of Agriculture, will determine what assistance can be provided to affected farmers.
The minister highlighted that Guyana is among the first countries in the Caribbean to introduce crop insurance for farmers, a move intended to cushion the impact of agricultural losses resulting from adverse weather conditions.
“Guyana is one of the first country in the Caribbean that we have now crop insurance… a crop insurance with the UPL Group in India and the President would have negotiated that,” Mustapha said.
He explained that under the arrangement, farmers are not required to pay premiums but will still be eligible to receive partial compensation if their crops are damaged.
He stated that farmers are not required to pay premiums under the crop insurance arrangement, but those who suffer losses will still be eligible to receive partial compensation from the UPL insurance company.
The government provides a landmark premium-free crop insurance scheme for over 6,000 rice farmers across Regions Two, Three, Five, and Six. The three-year initiative safeguards farmers against extreme weather events like flooding and drought.
Minister Mustapha also pointed to additional government support being rolled out to rice farmers amid rising production costs linked to international conflicts and higher input prices.
The minister also referenced President Dr. Irfaan Ali’s announcement of a $3 billion support package for the rice industry, aimed at helping farmers offset operational costs amid rising fertiliser prices and other agricultural inputs linked to the ongoing conflict in the Middle East.
“The President announced a three-billion-dollar funding package for the rice industry, where farmers planting 50 acres and less will receive $15,000 per acre, and those planting more than 50 acres will receive $10,000 per acre,” Mustapha explained.
He described the intervention as a major boost for rice farmers, while noting that efforts are also underway to improve market opportunities to ensure better prices for paddy.
“That will be a good boost also for the rice industry, and at the same time, we are looking to see all the markets so that farmers can get better prices for their paddy.”
The agriculture minister stressed that the government remains committed to supporting the sector and ensuring farmers receive the necessary assistance to sustain production.
“So generally, we are working around the clock to ensure that we support the industry and support agriculture,” he said.