After exporting its last shipment of more than 400 tonnes of white rice to Cuba back in 1999, Guyana is ready to ship rice to that Caribbean island again. The shipment of approximately 7,500 tonnes is expected to leave the shores of Guyana today, and arrive in ALIMPORT, Cuba this weekend.
This action follows an announcement made by the Guyana Rice Development Board (GRDB) of possible exports to the country.
General Manager (ag) of the GRDB, Allison Peters, said it has been close to two decades since rice was exported to Cuba.
“This is the first shipment to Cuba since 1999, when the MARDS rice milling group sent about 400 tonnes of white rice to Cuba at a price of US5 per tonne”, Peters said.
White rice being loaded in the vessel’s hatch, for shipment to Cuba
Representatives of the Cuban firm ALIMPORT and the Guyana Rice Development Board (GRDB) were present to witness the loading of the rice, which was done at the Muneshwer’s Wharf in Georgetown on Monday
Reynaldo Aguirre Labora, who is purchasing the rice on behalf of the Government of Cuba, said there has always been the need for quality rice to be sourced. This is one of the main reasons for the purchase of Guyana’s rice.
“We always make tenders. We look for better conditions for rice, the better quality; so we found that with some Guyanese exporters, like Nand Persaud, we can have a good, reasonable relationship with Guyana itself. It’s a Caribbean country, it’s very close to Cuba, so it’s very convenient,” the representative said.
According to Peters, the GRDB plays an integral role in ensuring that product quality is maintained. “The Guyana Rice Development Board is responsible for the quality, and we will also do fumigation. And we are confident with our preparations, so we don’t expect any issues with the rice being loaded here or on arrival in Cuba.”
The ALIMPORT representative said more shipments to Cuba can be expected. “We are confident that this will be the beginning of a longstanding relationship. We trust also in the Guyana Rice Development Board, and they show they are very serious in handling the quality of this shipment,” Labora noted.
The GRDB Head concluded that the shipment deal is the first part of an existing contract between Guyana and Cuba for rice to be traded between the two countries.
“There is a contract with this company for rice to be sent to Cuba. So this is the first part of that contract, and we hope that another one will be sent soon… Not only the Government of Guyana would do contracts, but also private investors, who are constantly looking for buyers with good prices to purchase rice.”
This consignment follows the first shipment of rice to Mexico, in July 2017. More markets continue to be sought for the export of seed paddy and rice in the near future.
Paddy production for the first crop of 2017 was recorded at 518,667 metric tonnes. It is projected that local rice production will increase by 1.3 per cent for 2017.
Beleaguered rice farmers, are mostly eking out a living by cultivating plots less than 10 acres in size, after the rice industry declined following the 2015 elections. The loss of the Venezuelan market for 200,000+ tonnes of rice and paddy annually was a serious blow to Guyana’s rice industry and the nation as a whole for a number of reasons.
There was firstly the size of that market – absorbing fully one-third of our exports. Secondly, there was the price of US$780/tonne that was almost double that of the world market price. Third were the terms of payment which were tied to the PetroCaribe initiative, via which Guyana was receiving oil at extremely concessionary terms. The arrangement became fundamentally a barter arrangement that meant the Guyana Government did not have to pay for oil in foreign currency (US dollars) but to our own farmers in Guyana dollars.
The new market for Guyanese rice in Cuba evoked echoes of the conditions existing here during the PNC era when that Administration cancelled the market when that party assumed power.
