What has happened to the Venezuela rice deal?

Nov 10, 2009 Letters

Dear Editor,
When President Bharrat Jagdeo attended the recent Climate Change Conference at the United Nations here in New York, it was gleefully announced back home that a deal was struck with Venezuela for Guyana to supply rice to its western neighbour.
A contract was said to have been signed and the Kaieteur News internet edition reported that rice shipments will commence in a matter of days.
We were told that the deal was finalised between Mr. Jagdeo and his Venezuelan counterpart Hugo Chavez on the sidelines of the September 22 Climate Summit.
These announcements were all made at the height of farm protests by Guyana rice farmers demanding an end to exploitatively low paddy prices being offered them by millers.
That announcement seems to have worked in quieting the farmers and many see it as a big breakthrough for the rice industry, which is overly dependent on the EU and CARICOM markets. Many expect higher prices for their paddy.
More than a month later in late October, we were told that a technical team from Caracas visited Georgetown and that a contract for the supply of both paddy (rough rice) and rice was signed. No reference was made to the ‘contract’ signed in New York because there was none and the announcement of the ‘deal’ then was timed to appease the protesting farmers in Guyana who were at the time reaping their crop.
But exactly what has become of this deal?
At the time of writing this letter, the protesters seem to have ended their demonstrations and the deal with Venezuela may have fallen through.
There has been no shipment from Guyana against this contract and my enquiries reveal that there are no activities in the rice belt to indicate preparation for an imminent shipment of paddy or rice to Venezuelan.
The patience of the farmers who were promised higher prices for their paddy with this Venezuelan deal is now wearing thin and it will be most insulting if Government continues to keep them in the dark.
Government must immediately tell the farmers the truth about this Venezuelan contract.
Lenny Sumair Singh

Editor’s Note:
The first shipment in the multi-million dollar Guyana/Venezuela rice deal was scheduled to leave for Venezuela last week, however, this did not materialise.
A source close to the rice industry said that this shipment is now likely to leave these shores sometime this week.

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What has happened to the Venezuela rice deal?

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