- reaffirms gov’t commitment to rice industry
Agriculture Minister, Hon. Zulfikar Mustapha, has reaffirmed the government’s unwavering commitment to ensuring the continued growth and resilience of Guyana’s rice industry.
Speaking during a meeting with rice farmers along the Essequibo Coast on Saturday, Minister Mustapha highlighted the significant progress being made in rice production under the People’s Progressive Party/Civic (PPP/C) administration.
“Our rice farmers will never be neglected by this government. You play a very critical role in our country’s development and food security agenda. You’ve contributed to the progress we have achieved over the last five years, because while we’ve invested in the technology and research to ensure better yields and new varieties, your hard work and dedication to the sector have allowed us to get to where we are today. We will continue to stand with you every step of the way. This partnership has resulted in national production moving from 500,000 tonnes to 725,000 tonnes in 2024. That growth is a direct result of the policies and investments made by President Dr. Irfaan Ali’s administration to strengthen the sector, support farmers, and modernize production,” Minister Mustapha explained.
He acknowledged that while global rice markets have recently faced downward price pressures due to an influx of rice from major producing nations, the government remains focused on implementing policies to cushion the impact on local farmers.
“Large producers are dumping more rice on the world market, and that has influenced the price. But we’ve been working to assist you. Through initiatives such as the fertilizer programme, which many of you have benefited from, we’ve helped farmers offset one of their biggest costs. Last crop, we contributed $300 per bag of paddy. So, rice farmers cannot say that this government has not been making valuable contributions to assist with lowering the cost of production. Overall, for Region Two alone, we invested over $838 million in fertilizer, seed paddy, and other key inputs and infrastructure,” he stated.
Minister Mustapha told the farmers that he has been actively engaging millers to ensure they offer better prices to farmers.
“I’ve been meeting with the millers, pushing for them to increase their prices, and because of those constant engagements, we’ve already seen some upward movement, with some millers now paying up to $2,500 per bag,” he said.
The Minister announced that, as a long-term intervention to assist with storage, the government will soon commence construction of a modern drying and storage facility at Onderneeming on the Essequibo Coast. The new facility, which is expected to cost approximately two billion dollars, will have the capacity to store significant amounts of paddy, ultimately reducing post-harvest losses while improving quality control and price competitiveness.
Minister Mustapha also reminded farmers of the administration’s plan to establish a zero-interest investment bank, which will allow farmers to access zero-interest loans to expand and upgrade their operations.
“I know some farmers have outstanding debt and arrangements with millers, so when they harvest their paddy, they have to take it there regardless of the price being offered at other mills. Before the elections, we said that we would build a zero-interest bank for Guyanese to access financing. Once fully operational, farmers will be able to access zero-interest loans. You wouldn’t have to take money from millers to fund your operations because you’ll be able to access a loan from that bank,” he explained.
He further disclosed that Guyana is pursuing new export markets for rice, as he recently engaged the Mexican Ambassador on the matter. He also said that Saudi Arabia was another market being explored, as samples were sent to the Middle Eastern country for evaluation. These new markets, he explained, will create additional opportunities for farmers and strengthen the country’s position as a leading rice producer in the region.
While speaking specifically to increases in production costs, Minister Mustapha also pointed to the steady increases in land rentals as one of the factors affecting profitability, noting that farmers are competing with one another for access to prime lands and, in some cases, offering higher prices to landowners.
Minister Mustapha told farmers that President Dr. Mohamed Irfaan Ali is expected to make an official announcement in the coming days regarding additional measures to further support rice farmers, reinforcing the government’s commitment to ensuring that the rice industry continues to thrive and that every farmer benefits from the sector’s ongoing transformation.
