2003 was good year for rice despite huge drop in financing - Sawh
Caricom sugar sales projected at record 100,000 tonnes
Stabroek News
April 16, 2004

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Rice production in 2003 showed a 23% increase over 2002, while loans and advances to the rice sector were reduced by 46%.

Speaking at the opening of the National Budget debate on Tuesday, Minister of Fisheries, Crops and Livestock Satyadeow Sawh, said 2003 was a significant year for the rice industry. This was despite the Bank of Guyana report for October 2003, which showed that loans and advances for paddy production slumped from $4.4 billion in January 2003 to $1.8 billion by October 2003.

According to the minister, financing for rice milling was also reduced from $6.2 billion to $3.7 billion.

He said with 2004 being designated the year of rice, several activities have been planned, among them the garnering of Caricom markets and continued research and development of the seed-processing facilities in the Black Bush Polder area.

"… Research is ongoing with a view to getting two new varieties of higher-yielding paddy and higher milling yield out for the autumn crop," he said.

The minister said the industry would experience further growth through the disbursement of 11.7 million euros from the European Union to enhance the competitiveness of the sector.

Turning his attention to sugar, the minister said for 2003, production was below target because of the dry weather experienced in the latter half of 2002 and the first crop of 2003. He said that the second-crop yield was "close to budget" but the protracted rainy season resulted in very poor cane quality. According to Sawh, the total production for 2003 was 302,000 tonnes, which he said was well below the 2002 record production of 331,000 tonnes.

He said the number of employees at the state-owned Guyana Sugar Corporation (Guysuco) is to be reduced after a review of the entity's organisational structure.

"Sales showed a steady improvement, particularly into the Caricom countries exceeding 87,000 tonnes; the major growth being in bagged sugar sales," he said, adding that the Demerara Gold brand packaged sugar, launched in Guyana in April 2003 and released in the islands, has found steady acceptance as a quality product.

He projected that for this year the crop would yield 340,000 tonnes and sales to Caricom countries would top 100,000 tonnes for the first time.

He said the focus would be on cost reduction and the continuation of the Agriculture Improvement Plan (AIP), particularly the attainment of the replanting programme. He is of the opinion that the strength of the euro against the US dollar will ensure that Guysuco returns to profitability.

Reviewing the ministry's efforts in the fisheries sector, Sawh said the industry noted an overall increase in production of over 18% with 57,034 metric tonnes of fish and shrimp in 2003, compared to 48,193 metric tonnes for 2002. He mentioned the passage of the Fisheries Legislation last year that puts in place the legal framework for effective management and development of the sector.

He also said Guyana was able to export fish and fish products to the EU after the introduction of quality control mechanisms and strengthening of the Veterinary Public Health Unit as the competent authority.

According to Sawh, collaboration with the Caribbean Regional Fisheries Secretariat resulted in the implementation of a number of projects, including courses in fisheries data collection and species identification, a joint Guyana/ Suriname shrimp and ground fish stock assessment workshop and the updating of the fisheries plan for Guyana.

He said improved monitoring and surveillance last year resulted in a number of fines for illegal fishing in Guyana.

The minister said the Food and Agriculture Organisation (FAO) has agreed to finance and implement a project for aquaculture development, the general objective of which is to enhance food security and income through improved and diversified farming practices.

He added that during 2003, fresh water prawn farmers benefited from two training programmes.

"The fisheries department projects a 10% increase in fishing, based on the expansion of the deep slope/pelagic fishery," Sawh noted.

In the forestry sector this year, the government projects the passage of the Forestry Bill - a revision of the original 1953 legislation. "This bill aims to project the forest sector as a resource for multiple users, not just for logging. Other uses include conservation and other non-timber activities such as the harvesting of the Heart of Palm as well as eco-tourism," Sawh said.

He noted that better planning and management practices are included in the act, which is designed to put the industry on a more professional and sustainable footing. He said new investments in the industry for 2004 include the conversion of State Forest Exploratory Permits to Timber Sales Agreements.

It is hoped that these would lead to significant growth in the sector over the medium term.

Sawh said a major achievement in 2003 was the passing of the Veterinary Act, which provides a framework for that sector in terms of registration and professional conduct.

"While focus on development of rice and sugar has helped us to accomplish significant increase of production, our sector has recognised the need for agricultural diversification as a fundamental step in developing the full potential…," he said.

Sawh was one of several ministers who spoke at the opening. The main opposition PNCR is boycotting the debate.