E’bo farmers call for better paddy pricing system

Aug 14, 2014 News

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…promise legal action over delayed registration of Association

By Zena Henry
The Essequibo Paddy Farmers’ Association is calling on the government to

revisit the country’s Rice Factories Act and to put in place systems that ensure better rice paddy pricing systems and a smooth running of the sector’s operations.
Executive members of the association, during a press conference at the Sidewalk Café in Georgetown yesterday, stated that they will also be seeking legal intervention to ensure that an application tendered since June 2013 to have the association registered, is approved.
President of the association, Naith Ram, told media operatives that currently the organization is not registered and since last year the body had sought that recognition. When the organization inquired about their application from the Labour Ministry, they were told that it could not be located.
The association had to re-apply to be registered, but on this occasion, they claimed that they were told by staffers that unless the Minister gives them approval, they are unable to say when the registration will be completed. With that, the association members related that they are unable to effectively represent the workers, who are at the mercy of rice millers. They vow that should the situation persist, the body would seek legal intervention to force the Ministry’s recognition.
The rice farmers on a few occasions in past months have staged major protests; burning tires and even seeing the intervention of police ranks. The farmers are especially upset over the extremely late payments for paddy from millers who not only determine the price and grade of the paddy they purchase, but also determine how and when the payments would be made.
Naith Ram, along with his Vice President Tage Charan, and other members, Alex George and Basant Mohan, explained that of some 4000 Essequibo rice farmers, 20 to 25 percent of the producers are owed money by millers for several months now.
The executives claim that the situation exists because of the poor systems that are in place. They say for one thing, the Guyana Rice Development Board (GRDB), the oversight body which is supposed to represent the farmers, is failing, because its officials seem to be colluding with the millers.
“They (GRDB reps) are just occupying space, because they are not doing their job,” Naith Ram said. He opined also that the representatives are young and inexperienced, “and as soon as the millers say something, dem pull in dem corner.”
Charan said farmers are virtually giving their paddy to the millers, since they decide the quality of their paddy and determine how much they are paying for it. He added that the millers are currently pricing a bag of paddy at $2,500, but that cannot work, since to produce a bag of rice is some $2,300 without manpower. These same millers, the association said, are delaying payments and owing farmers, but they are selling fertilizers and other rice farming items.
The executives claimed also, that the brunt of the burden to grow rice is left on the farmers who have to take bank loans to conduct their business, pay the various workers and transport the paddy to millers etc. The millers take no risks, the farmers claim, yet they are owing. Debt continues to mount with the delay of payments from the millers.
When asked, the association said indeed, Essequibo farmers seem to have this issue with the millers, since 90 percent of the community depends on rice for a living, despite them not being the largest rice-producing location.
Ram, who is a member of the Alliance for Change (AFC), told the media that Essequibo has been asleep for too long and they can no longer take the treatment. He said that the issues of Berbice could not persist since they (Berbicians) would not tolerate it.
Ram said that currently “cronies” of the ruling Administration, are the ones benefiting from what is happening in Essequibo.
The Rice Factories (Amendment) Act was designed to enhance the industry. It was said to be necessary to protect farmers from being exploited by millers. It was also enabled to prevent the existing issue of farmers being owed by millers. The Bill allows millers to withhold payment from the farmers for a certain period, but the association is calling for penalties to be put in place to deter the deliberate withholding of farmers’ money for more than the stated period.
The association’s president was stripped naked last month when he led his colleagues in protest against the delayed paddy payments. The farmers said they have to live like normal citizens with bills to pay and families to feed. The delay of payments contributes to mounting debt.

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