Following weeks of negotiations between H.E. President Dr. Irfaan Ali, the Ministry of Agriculture, the Guyana Rice Development (GRDB), and local rice millers, an official agreement was inked today that will see rice farmers receiving no less than $4,000 for a bag of paddy for the first crop of 2025.
This was disclosed by Agriculture Minister, Hon. Zulfikar Mustapha, during a meeting with rice farmers from Mahaica.
During the meeting, Minister Mustapha told the farmers that President Ali had engaged the rice millers on several occasions after farmers raised concerns about the prices being offered for paddy for the current crop.
“The President engaged the millers on several occasions to determine how we can work together to keep the price of paddy at a stable rate. The millers were a bit reluctant to maintain the last crop’s price because they said it is being influenced by the world market price. Today, we were finally able to reach an agreement where the millers will not purchase farmers’ paddy for less than $4,000 per bag. This means we’ll also have to make a contribution. We did it before, and we’ll do it again. Like any other responsible government, we are always ensuring that we bring relief to people. The farmers know that this government, under the leadership of His Excellency, President Irfaan Ali, has and will always ensure farmers get a fair deal,” he explained.
His Excellency, President Dr. Irfaan Ali, during his address at the 55th Republic Anniversary Flag Raising Ceremony, said rice production has increased significantly and that the government has been investing to upgrade the infrastructure to support enhanced production and ease the burdens on farmers.
“Guyana’s agricultural sector has achieved significant milestones. Rice production has expanded, with more than 227,000 acres under cultivation producing more than 600,000 metric tonnes annually, supported by high-yield seed varieties. Over $70 billion has been spent on improving infrastructure to support enhanced production, higher yield, and ease to the burdens of our farmers. As a government, we will continue to evaluate global situations, including price changes and price differentials, and you can be assured that this government will work towards making necessary adjustments so that our farmers will not be burdened and will not feel the weight of changes in the international trading and market conditions,” President Ali noted.
Minister Mustapha also disclosed that for the first crop of 2025, approximately 230,000 acres of land were cultivated, and approximately 9,000,000 bags of paddy are expected to be harvested. He also said that rice production for this year is projected to be 804,000 metric tonnes.
He told the farmers that the government has been making the necessary investments to transform the agriculture sector, adding that this PPP government has never abandoned or neglected farmers.
“Over the last four years, we’ve transformed the agriculture sector and the rice industry. You all can recall that when the price for paddy was down and the millers were reluctant to pay farmers a particular price, we abolished the sales commission. That was over $498 million. President Ali met with the millers, and instead of paying that money to the GRDB, it was paid to the farmers. On two occasions, we gave farmers almost $2 billion in fertilizer. We are making seed paddy available; we are building the infrastructure. We gave flood relief. This government has not abandoned you, so do not be tricked by those who want to take advantage of a global situation for political gain. This government never promised farmers $9,000 for a bag of paddy and then said rice was a private business. We never increased the cost of land rentals and D&I charges. These are the things we have to remember,” he noted.
In 2024, rice production surpassed its target and reached an all-time high of 725,282 metric tonnes, representing a record-breaking milestone in the country’s agriculture sector.
