Panama, Portugal will replace Venezuelan rice market- Holder
-discussions being held with Mexico, Haiti and Bahamas
Minister of Agriculture Noel Holder is assuring those involved in the rice industry that all is not lost with the loss of the Venezuelan market and that Guyana is doing business with other nations on a larger scale.
Minister of Agriculture Noel Holder
Commenting on the issue yesterday to GINA, Holder noted that Guyana currently sells rice to 50 countries around the world, and too much of an issue is now being made out of the collapse of the Venezuelan market.
“As a matter of fact, currently, the Portugal market is as big as the Venezuelan market, about 30 percent or so (of rice exports), I think too much of a big thing is being made out of the lapse in the Venezuelan market,” the Minister said.
He noted that currently the Government of Guyana was pursuing the Panama market, in addition to discussions with Mexico, Haiti and the Bahamas being held.
Recently, President David Granger had announced that the government will be stepping up its efforts in finding markets for Guyana’s rice as he lobbied the international community on his various overseas engagements, with increased emphasis placed on the role of the Foreign Service.
“When I was at the United Nations (UN) in September, I met some Heads of Government and I raised the possibility of rice sales to those countries. That is the task that I have given to the Ministry of Foreign Affairs, to go and seek new markets for our products including rice,” Granger had said in a recent interview with Kaieteur News.
“Venezuela only took 35-40 percent of our rice,” Granger continued. “Guyana has never been wholly dependent on Venezuela’s market. So we continue to search.”
“I am looking for markets for rice…the main focus of Guyana’s Foreign Affairs Ministry is for economic diplomacy, I want to sell rice, I want to sell rum, I want to sell plantain chips, I want to sell (other produce)” he had also said.
Kaieteur News understands that Guyana’s negotiations with Panama bore fruit and an increased market arrangement with Panama was brokered, for which shipments have begun. The shipment has been increased from 4000 to 7,200 tonnes.
On October 16th Venezuelan President Nicolas Maduro held meetings with Suriname President Desi Bouterse during an official visit and considering that the rice silos (bulk storage facilities) in Nickerie, Suriname were full, an intensification of their rice deal was determined.
Noting that Venezuela is a major rice market, questions were raised about Suriname’s capacity for supplying the total rice requirement of Caracas. President Bouterse had however noted that those concerns were irrelevant and that as much rice as possible would be sold.
Similar to Guyana’s case, Suriname would be hoping that Venezuela would pay for the rice under the PetroCaribe arrangements.
Guyana has been actively seeking new markets but there are also concerns about the excess rice. Kaieteur News understands that more than 800 containers of Guyana rice were stuck at the congested wharves in Venezuela.
Under this year’s agreement, some 120,000 metric tonnes (Mt) of paddy along with 84,000 Mt of white rice have to be supplied to Venezuela. The deal was worth around US$113M.
Reportedly, Suriname is agreeing to take half of what Guyana was getting for the rice and paddy shipments.
Venezuela itself is facing food shortages with Maduro’s refusal to renew the deal seen as placing pressure on the recently sworn-in Granger administration.
