PRESIDENT Dr Irfaan Ali has defended his government’s heavy spending on agriculture and push for farmers’ markets as central pillars of Guyana’s response to global economic shocks, highlighting that the initiatives are designed to keep food prices stable while building a more resilient and diversified sector.

In a recent interview, President Ali framed Guyana’s current policy choices squarely within a world economy shaken by wars, climate extremes and supply chain disruptions.

He noted that while Guyana is enjoying rapid economic growth, it remains heavily import-dependent for key inputs, particularly refined fuel and agricultural supplies, leaving domestic producers and consumers exposed to external price shocks.

He pointed to the ongoing conflicts in Ukraine and the Middle East, which have driven up the global cost of fertiliser, grains and natural gas all critical to agriculture, agro‑processing and pharmaceuticals as well as maritime and aviation disruptions that have pushed up transportation and insurance costs.

On top of that, droughts and flooding worldwide have affected food production, while Guyana itself has faced excessive rainfall followed by extended dry spells, hurting local output.

“Whilst our economy is growing at a rapid pace we are also importing a lot of what we consume. Still, we still rely on imported refined products to drive this expansion. The entire trade arrangement and trade system has been uprooted globally,” he said adding:
“We see more countries moving towards nationalistic actions to protect their own economy. We see the challenge of global conflict, wars affecting supply chain, disrupting transport and resistive routes, uprooting the maritime transportation sector, the aviation sector, driving costs up globally, driving inflation up globally, and increasing substantially the input costs of goods, material, even services.”

At the same time, the President argued that agriculture policy must go beyond subsidies and short‑term relief to structural reforms that increase production, storage and market efficiency.

A major plank of this strategy is the rollout of farmers’ markets across the country, which he said are aimed at narrowing the spread between wholesale and retail prices.

Through the Guyana Marketing Corporation, the government has already intervened to supply chicken at around $380 and eggs at lower prices, but the new farmers’ markets are intended to provide a more structured and permanent mechanism.

According to President Ali, these markets will focus on key commodities that are central to household consumption, ensuring that producers receive fair prices while consumers benefit from reduced mark‑ups.
He stressed that such initiatives are critical at a time when global food prices are not expected to ease in the short term, warning that “the global conditions… are not projected to improve” for the rest of the year.

DIVERSIFICATION

Beyond market interventions, the Head of State laid out an ambitious diversification agenda designed to lessen Guyana’s dependence on imports and build buffers against future shocks.
The Government is pushing domestic production of potatoes, red beans, black eye peas and soya beans, with plans to move up the value chain into products such as soy oil. Investment in poultry is being stepped up, including a project to produce all hatching eggs locally and expand overall chicken production.

Crucially, President Ali highlighted the need for modern storage facilities to handle surplus poultry and other products, allowing the country to maintain a buffer stock that can be released in times of shortage. This, he said, is essential for price stability, if consumption is at a certain level but production falls short, the gap quickly translates into scarcity and higher prices, a pattern every country faces. Proper storage and excess capacity, he argued, give Guyana the ability to “withstand short‑term shocks” while keeping food affordable.

The President also outlined measures targeting the livestock industry, especially in hinterland communities.

Presently, the government is working to support farmers in transporting their animals to the abattoir at Anna Regina, in an effort to increase the supply of beef on the coastland and push prices back towards levels seen “two, three years ago,” despite regional price pressures.

By widening sources of supply and encouraging farmers to increase their herds, the administration hopes to tilt the demand‑supply balance more in favour of consumers.

These agricultural interventions sit alongside broader investments in drainage and irrigation.

While acknowledging that the first half of the year had been “challenging”, President Ali maintained that Guyana’s economic management and policy mix have kept inflation and food prices relatively contained in the face of extraordinary external pressures.