Agri. Ministry promises to clamp down on high ‘fresh food’ prices

Sep 25, 2022 News

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…says no shortage, middlemen driving up costs 

…Guyana ready to supply needs of Caribbean

By Davina Bagot

Kaieteur News – The Ministry of Agriculture, headed by Minister Zulfikar Mustapha is adamant that there is no shortage of fresh fruits and vegetables on the local market as claimed by vendors, seeking high prices for the sale of these goods.

In a recent interview with Kaieteur News, the subject Minister said that he is aware of the prevailing high costs for fresh food items, while assuring that the Ministry will be taking steps to address this.

He explained, “I know that local consumers have been complaining about the prices and you know one of the things we have started is the farmer’s market. When you look at the farm gate price, it is almost 300 percent less, the middlemen are driving up this price.”

Cognisant of this, the Minister said he is exploring ways to get the Guyana Manufacturing Corporation (GMC) involved to help regulate the prices. “I am looking at a way in which we can get GMC now to come up with a plan so that we can also buy these produce and take it around the market at a cheaper price to the retailers. They have these trucks and so,” he noted.

Mustapha is certain that the middlemen are responsible for the increased fresh food prices, adding pressure on the consumer, since the price per pound of plantain for example is merely $100 at the farm gate, whereas at the market some vendors are retailing at $200 or $210 per pound.

As such, he explained that this not only drives up the costs but creates the illusion of a shortage. According to him, “We are looking to bring this back in line once again. I am hoping that this is a temporary thing but we will continue the farmers market around the country.”

Meanwhile, the Agriculture Minister said he believes Guyana is on track to supply the needs of the Caribbean. He explained, “Well we are expanding production and more and more lands are being cultivated. When you look at the Half-Year Report, you would see how much increase in fresh fruits and vegetables we have increased over the last six months so we are continually increasing production to satisfy the demand locally and also regionally.”

Even with this ambitious programme being streamlined, Mustapha is also confident that Guyana’s prices will be competitive enough to supply the food baskets across the region. The Minister pointed out that since the necessary investments were made to increase the production of fruits and vegetables, local farmers will have more opportunities to retail their goods.

In underlining some of the steps taken to boost Guyana’s production in this regard, Mustapha shared, “In crops, we start diversifying. We started planting corn and soya – we gone into high value crops for young people too in broccoli, cauliflower and carrot. We are looking at the possibility now to start the trial for wheat…it’s all-round in agriculture because we are consolidating and expanding like the fresh fruits and vegetables.”

Already, he said that the local demand for produce has increased since President Irfaan Ali met with the Caribbean leaders earlier this year at the Agri-Investment Forum and Expo hosted in Guyana between May 19 and 21.

In the meantime, the Minister said the countries are working on the removal of non-tariff barriers to allow for the free movement of goods between CARICOM member states. Not only that, but Mustapha said, “The entire Eastern Caribbean is now looking to Guyana for importation of fresh fruits and vegetables so the demands are higher now for us. That means we have to increase production and if we are looking to reduce the food import bill by 25 percent in the next three years then we fall right in line with that programme.”

In the Ministry of Finance Half-Year Report, it was explained that some $651.9 million was invested into the ‘other crops’ sub-sector. In this year’s budget, a total of $1.3 billion was allocated to this stream. First half spending went towards the completion of 109 shade houses, and the construction of four green houses as part of Guyana’s implementation of climate-smart agriculture practices.

“In addition, preparation commenced for the expanded cultivation of turmeric, ginger, blackpepper, nutmeg and onions, which will allow self-sufficiency in the production of spices. It is expected that by the end of 2022, 62 acres of turmeric and 633 acres of ginger will be in cultivation. Further, Government will continue to provide shade house materials to farmers at a reduced cost, and increase the distribution of farm equipment, seeds and seedlings, chemicals, and fertilisers. Importantly, the delivery of extension services will be restructured, in order to provide improved services to farmers,” the government’s report details.

During the first six months of 2022, some 953 farmers were trained in sustainable agricultural practices. In addition, 83 farms were certified to produce wholesome foods and agricultural commodities for export. Another 3,602 cash crops farmers received $431.7 million in relief grants to assist with their recovery from the 2021 floods, the report said.

 

 

 

 

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