Guyana scores another first Local recycled paper plant begins rolling By William Walker Stabroek News October 26, 2000 The first roll of recycled paper ever made in CARICOM was finally produced by Caribbean Container Incorporated's plant at 9.05 pm on Tuesday. It took 11 years, but the plant could soon be earning Guyana $1.2 billion per year in export revenues. What a long, strange journey it has been, was probably the sentiment felt by many involved in the project over the years and who attended the opening ceremony held yesterday at CCI's headquarters on the East Bank Demerara. CCI's parent company, American-based Rand Whitney, spent US$10 million to complete the project after buying the company from Seals and Packaging Industries Limited (SAPIL) two years ago. The paper recycling plant which will now feed CCI's corrugated box factory was the dream in 1988 of Demerara Distillers Ltd Chairman Yesu Persaud who said he "was kicked out of the plant in 1990 because I called for free and fair elections." Returning for the first time yesterday, he described the virtues of an operation that substituted imported paper, helped clean up old cardboard boxes and turned them into a valuable export commodity. CCI will buy old cardboard containers (OCC) at US$30 per tonne and turn them into recycled paper with a world price of US$450 per tonne. Robert Scogin, CCI vice-chairman, said the company planned to produce 50 tonnes of paper per day. He said commitments have been given by companies in Trinidad to supply OCC, and other Caribbean countries could become part of a network serviced by a collection boat. Secure markets for the final product already exist with Rand Whitney's present customers in the region. Scogin also revealed that he was working on plans to establish a tissue plant that could produce ten to 15 tonnes per day. Ron Webster, CCI president who replaced Persaud at SAPIL in 1990, said the mill will lower the cost of raw material to the container factory making it more competitive. The factory currently supplies many regional companies including DDL and Banks DIH locally and Mount Gay Rum in Barbados. Speaking at the ceremony, President Bharrat Jagdeo said: "My government will continue to create an environment conducive to investment. We have always said the key to progress was the creation of jobs through investments both foreign and local." Investments such as CCI's could only come with macroeconomic stability and he cited various decreased debt servicing ratios and low levels of inflation. "We will continue to responsibly manage the resources of this country," he assured investors. However, he warned that decisions currently being made by the European Commission could seriously marginalise developing countries such as Guyana, which rely on preferential markets for their commodities. The eight-year transition period from these sheltered markets to a free trade system could be jeopardized by these decisions. James Cobery, chairman of CCI, thanked all those who had made the mill a reality; from the bankers for having faith, the government for making concessions and the 243 employees who worked hard to achieve yesterday's success. Following the speeches President Jagdeo unveiled a plaque and toured the mill which takes old cardboard, soaks it in water till it becomes broken down and then slowly dries out the new brown paper on giant, steaming rollers. The technology was imported from India and representatives of the manufacturers were present yesterday, including D. Singh, chief general manager of PEC Ltd New Delhi who had signed the original MOU with Persaud. Follow the goings-on in Guyana in Guyana Today