EU approves 11.7M euros for Guyana's rice industry
Guyana Chronicle
September 29, 2003
GUYANA is set to benefit from approximately 11.7M euros from a 24M-euro programme that the European Union has approved to help improve the competitiveness of the Caribbean's (CARIFORUM) rice industry.
Minister of Foreign Trade and International Cooperation, Clement Rohee, who made the disclosure at a news conference Saturday, said Suriname is to receive about 9.3M euros.
Minister Rohee pointed out that EU confirmation of the financial assistance to Guyana came after more than two years of preparatory studies and assessments of the country's rice sector.
Guyana and Suriname will be the main beneficiaries, since they are the only two exporters of rice within the CARIFORUM member states. The rest of the region should be able to access 3M euros.
The assistance has its genesis in a Joint Declaration on Rice signed in June 2002 between the EU and African, Caribbean and Pacific (ACP) countries. The document reaffirmed the EU's "commitment to enhance the competitiveness of the ACP rice sector in order to maintain a viable and sustainable industry and thereby contribute to the smooth integration of the ACP countries into the world economy."
A number of activities took place in Guyana to identify the needs of the rice industry before the final proposal for funding was approved. Among them was a study in May to July 2001 to define the contents of a sector-specific programme.
Also, a detailed feasibility study was conducted to identify specific projects for funding. In addition, the Ministry of Foreign Trade and International Cooperation established a project review team that included representatives from the Ministry of Agriculture; Guyana Rice Development Board (GRDB); Guyana Rice Producers' Association (GRPA); and Guyana Rice Marketing and Export Development Agency. The team sought to assist and monitor the progress of the feasibility study.
The final proposal outlined several activities to improve the competitiveness of the rice industry, including the "introduction of more appropriate credit facilities, research into new markets and products, institution and capacity building, research and development and assistance to drainage and irrigation," Minister Rohee said Saturday.
Since November 2002, when the feasibility study was finalized, Minister Rohee and his counterpart Ministers of CARIFORUM had been lobbying for the speedy approval and disbursement of funds.
According to Minister Rohee, "the long awaited approval of funds by the European Commission is an extremely positive step for the rice industry in Guyana at a time when its future in the global trading environment is extremely vulnerable."
"The approval of the 24M euros is the beginning of a challenging process of project approval and implementation," he said, adding that much more "work has to be done to ensure that the necessary institutions are in place to manage, distribute and monitor the funds as efficiently and effectively as possible.
Once all the institutional arrangements are in place, including an implementing body in Guyana, comprising representatives of the rice sector, and CARIFORUM members, Guyana can start drawing down by year end or early next year, Minister Rohee assured.(GINA)