Exploring markets: Guyana to send 120 pre-fab wooden houses to Ghana

…Wood Expo planned for later this year
With the aim of promoting and expanding the local value chain for the country’s wood products and securing long term markets, the Guyana Government is planning to export 120 prefabricated (pre-fab) timber houses to the West African nation of Ghana.
This was announced by Finance Minister Dr Ashni Singh during his presentation of the whopping $552.9 billion Budget 2022 on Wednesday.
According to Dr Singh, Government has been exploring markets for pre-fab houses to Ghana and other countries. Pre-fab are houses built in parts and then shipped to a final destination to be assembled.

“For [this] initiative, 120 pre-fab houses will be manufactured using local wood and exported to Ghana this year, in an effort to secure a long-term relationship with this potential market,” the Finance Minister explained.
This idea of pre-fab houses was first floated by President Dr Irfaan Ali last year when he announced his Administration’s plans to create 1000 model houses in Silica City – his brain-child initiative to establish a modern city in Guyana – using mostly local productions and labour.
He had noted that this would enhance the forestry and manufacturing sectors’ ability to produce products that meet not only local but regional and international demands and standards.
However, during the visit of the high-level Ghanian team of Vice President Dr Mahamudu Bawumia and private sector representatives, President Ali had urged the two countries to capitalise on new business opportunities such as this.
Addressing the multisectoral meeting between the Ghanian delegation, Guyana’s Cabinet Members and private sector representatives from the two countries, the Head of State disclosed that Government is working with the Guyana Manufacturing Service Association (GMSA) to produce pre-fab, flat-pack, kiln dried timber houses.
These 700 square feet buildings will be listed at US$25,000 – a cost that is very difficult to beat anywhere else around the world, according to President Ali.
“Imagine if we combine our efforts in the housing needs, even in our two markets, and then sharing the experience, sharing the market and the capital, what we can achieve out there,” the Guyanese Leader had stated.
Meanwhile, in addition to the pre-fab houses, Dr Singh revealed that Government has also been exploring market opportunities for export of sawn lumber to Barbados, and other countries.
“Government will also work to resuscitate three kiln drying facilities at Essequibo, Berbice and Linden, which will support the supply of sawn lumber to the Barbados market, among many others,” he disclosed during his budget presentation on Wednesday.

Wood Expo
Moreover, a Wood Expo is planned for the second half of this year to promote value-added opportunities in Guyana.
According to the Finance Minister, this event will benefit the over 100 licenced sawmillers and 25 higher-end value producers. It is also slated to attract over 80 overseas buyers and several value-added experts from Europe and North America.
To this end, Government will be working this year on finalising the Guyana’s Timber Legality Assurance System which is required for the implementation of the European Union Forest Law Enforcement Governance and Trade programme in order to be licenced to access the EU and other markets.
Reflecting on the forestry sector’s performance last year, Minister Singh disclosed that the unprecedented floods in May-June last year impacted the industry.
He went on to note, however, that the revised National Log Export Policy had allowed for the rebound of timber exports including in the medium range species such as Wamara logs. Additionally, Phase II of the National Forest Inventory (NFI) was successfully completed for Regions Two, Three, Six and 10, at a cost of $250 million. This, the Minister said, will allow improved cost effectiveness in the resource extraction and more efficient management of the concessions.
Nevertheless, to support the forestry sector’s growth in 2022, Government anticipates the conversion of three large concessions, equivalent to 1.5 million acres which will result in an additional 30,000 cubic metres of logs, and approximately 50,000 cubic metres of logs, annually, for the next 4 years.
Another 50 new small concessions of a combined 150,000 acres will be allocated resulting in a further 20,000 cubic metres of logs. In 2023, Government is projected to allocate 500,000 acres more, with an estimated production output of 30,000-40,000 cubic metres of logs, annually.
To further support the sector’s efficiency and improve access, expanded rehabilitation works will be carried out on Puruni Road in Region Seven, thus resulting in substantially improved ingress and egress for operators. In addition, Government is looking to bridge the Puruni River.
The Natural Resources Ministry late last year had invited Expressions of Interest (EOI) for a Design-Build (D-B) or Build-Operate-Transfer (BOT) or any other suitable model for the project.
According to the Finance Minister during Wednesday’s budget presentation, these works, along with regular monitoring of benchmark targets, are expected to redound to improved performance of the forestry sector.
In the same vein, Dr Singh reiterated Government’s committed to ensuring the sustainability of the forestry sector in keeping with Guyana’s new Low Carbon Development Strategy (LCDS) 2030. In the context of sustainable forestry management, Government said it is resolved to extract forest resources at a pace that does not jeopardise the country’s rate of deforestation. (G8)