Rice dispute…

May 15, 2008 News

Guyana approves CET waiver for Jamaica

The rice dispute between Guyana and Jamaica ended on Tuesday with President Bharrat Jagdeo agreeing for the Caribbean island to import a limited amount of rice from an outside source.

President Jagdeo and Jamaican Prime Minister Bruce Golding both agreed that the country be granted a waiver of the Common External Tariff (CET) on 9,000 tonnes of rice.

This, however, was done with a guarantee that Jamaica purchases 60,000 tonnes of rice at market price from Guyana.
Jamaican Industry and Commerce Minister, Karl Samuda, said this is good news for Jamaican consumers since it means that there would be no shortage of rice in the country.

“I had the discussion later with President Jagdeo, who says he will not oppose our application for the suspension of the CET on 9,000 tonnes, which are on the way and due to arrive on May 20, and that in turn we would give a guarantee to purchase from Guyana 60,000 tonnes per annum,” he told the Jamaican Parliament.

However, Guyana is still maintaining that it could supply Jamaica its full quota of rice.
Guyana has also committed to supplying Jamaica with 14,000 tonnes of rice in two weeks in addition to the 3,000 tonnes that has already been shipped but yet to arrive in that country.

Just under a week ago, Jamaica’s application for a rice waiver granted at the Twenty-sixth Special Meeting of the Council for Trade and Economic Development (COTED) was not granted.

However, COTED agreed that the two countries instead continue bilateral discussions on the issue.
Some weeks ago, Jamaica had requested a suspension of the (CET) to import rice from extra-regional sources.
Suriname, which also produces and exports rice, indicated its ability to supply to Jamaica, but is prepared to agree to the suspension of the CET as a special consideration of Jamaica’s emergency needs.
Minister of Agriculture, Minister Robert Persaud, however said that Guyana can meet Jamaica’s need for an estimated 50,000 tons of rice.
Two large Jamaican importers recently signed agreements to import rice from the United States.