Latest update September 21st, 2026 10:02 AM
New Venezuela rice deal on agenda as Foreign Minister visits tomorrow
Guyana is expected to discuss a new rice deal with neighbouring Venezuela during a visit tomorrow by that country’s new Foreign Affairs Minister, Elías Jaua Milano.
Venezuela’s Foreign Minister, Elías Jaua Milano
The deal is badly needed at a time when prices paid by millers are at an alarmingly low $500 per bag of paddy despite a bumper crop.
Elections there recently had delayed a new agreement. With harvesting on currently, and crops especially in Essequibo Coast, Region Two, affected by a bug, farmers have suffered severe losses.
According to the government yesterday, Milano will pay a courtesy call on President Donald Ramotar and will hold bilateral talks with Minister of Foreign Affairs, Carolyn Rodrigues-Birkett.
“Included on their agenda will be discussions on the agreement for the sale of rice,” the release said.
Government has signed several lucrative multi-year agreements with Venezuela which started under the previous administration.
Under the oil-for-rice deal, Guyana will deduct payments scheduled for oil purchases to Venezuela. These deductions are used to pay the farmers who are participating in the programme.
Initially, there had been reluctance by farmers to enter into the arrangement brokered between the Guyana government and Venezuela’s former President, Hugo Chavez. But the prospects of a stable market proved an enticing one.
In late 2011, government signed a US$54M agreement with that neighbouring country to supply 50,000 metric tonnes of paddy at US$520 per metric tonne, and 20,000 metric tonnes of white rice at US$800 per metric tonne. It was the fourth one.
An updated rice deal will be discussed when the Venezuelan envoy visits Guyana tomorrow.
During the Minister’s visit tomorrow, the Hugo Chávez Centre for Rehabilitation and Reintegration at Onverwagt, West Coast Berbice will be opened.
The project was funded by the Government of the Bolivarian Republic of Venezuela to the tune of US$2M. Construction work commenced in January 2010.
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