Latest update March 20th, 2025 5:10 AM
Jan 08, 2024 News
…to meet with suppliers
Kaieteur News – During his address at the sod turning for the US$161 million modern hospital in New Amsterdam, Region Six (East Berbice-Corentyne), President Irfaan Ali, underscored the rapid pace of development in the region and acknowledged the challenge posed by the intense growth in construction outpacing available supplies, a situation which has led to the shortage of materials such as sand.
“We recognize the challenge that the pace of development is so intense in this region, no one would have estimated the growth of construction and the pace of development in this region to be where it is and as a result, the demand is outstripping the supply,” Ali said. Among the challenges highlighted is a shortage of sand in the Ancient County.
He highlighted the imbalance between soaring demand and inadequate supply, further exacerbated by certain suppliers aiming to capitalize on the situation.
“And then you have some of the suppliers who believe this is a time to cash in, we will cash you out,” he noted.
Speaking about the need for a collective effort, President Ali emphasized the importance of a unified approach among stakeholders to mitigate artificial inflation. He stressed the necessity of normalizing costs and essential components required for sustained development.
The President underscored the government’s pivotal role in achieving this equilibrium. Ali outlined plans for specific mechanisms, drawing a parallel with the successful intervention in the stone shortage upon assuming office, where government intervention helped lower costs from $15,000 per tonne to $10,000 or even $9,500 in some instances.
Directing attention to the pressing issue of sand shortages in the region, President Ali pledged forthcoming action within the next three weeks. He announced forthcoming consultations with the private sector and suppliers, seeking innovative ways to leverage government assets for restoring stability amid the rapid expansion.
Ali stressed that the current situation goes beyond surface concerns and requires immediate attention to prevent further disruptions in the region’s development trajectory.
The President’s commitment to proactively engage with stakeholders and implement strategic measures signals a concerted effort to ensure sustainable growth while tackling the challenges posed by the escalating demand for construction materials.
At his December 28, 2023 press conference, Vice President Bharrat Jagdeo, disclosed that the government is actively addressing the fluctuating prices of sand and stone.
Jagdeo said the government intervened in the sand sector by opening various sandpits to bolster the nation’s infrastructure. He emphasized the need to stabilize sand prices, which currently stand at roughly $4,000 per tonne in Berbice. However, due to limited transport capabilities for larger volumes of the material, purchasing 30 cubic tons in Berbice amounts to $120,000. To address this, he said the government plans to license more sandpit operators, encourage larger barges, and facilitate landing points across the Berbice coast to mitigate transport constraints.
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