Guyana’s Private Sector outraged after T&T blocks milk imports from Guyanese company

…Guyana imported US$1.4B from T&T in 2023, but exported below US$200M

…local exporters have been subjected to unfair treatment by T&T for decades – GOGEC

A number of private sector organisations in Guyana have expressed outrage against the recent revelations that Trinidad and Tobago (T&T) had blocked the import of millions of dollars’ worth of milk products from Guyana, in addition to restricting the sale of water imports from Guyana.

The Georgetown Chamber of Commerce and Industry (GCCI) on Wednesday said that it recalled the previous times it highlighted Trinidad’s attitude towards Guyana. According to the chamber, the latest actions of Trinidad to block Demerara Distillers Limited (DDL) from exporting milk and water, adds to an already long list of ongoing issues.

Some of these issues, according to GCCI, include: “1. The rejection of containers of pineapples to T&T because the crowns were not removed; 2. The rejection of containers of peppers because the stems were not removed; 3. Instituting of a ban on poultry meat from Guyana though no trade is done between the two countries in poultry; 4. The requirement of agricultural products to be fumigated with methyl bromide – a substance banned under the Montreal Protocol.”
Additionally, the GCCI also said in other instances there were requirement to apply hypochlorous acid on eddoes, adding that there was “the denial, rejection and discarding of honey to be transshipped through T&T; the denial of importation of items already approved for importation. The GCCI can furnish the public with at least one dozen more of these specific types of issues.”

According to GCCI, Trinidad and Tobago’s continued adherence to non-tariff barriers, particularly those in the agriculture sub-sector, runs counter to the Caribbean Community’s (Caricom) efforts to achieve the “25 by 2025” goals, namely the reduction of the regional food import bill by 25 per cent by 2025.
Further, the GCCI sees this as an attempt to undermine the efforts of President Dr Irfaan Ali, who leads this initiative on behalf of Caricom and has personally led a high-level delegation to T&T with the specific intention of removing these NTBs.”
“Clearly, the continuation of these constitute flagrant violations of the ironically titled Treaty of Chaguaramas and an utter disrespect of the Council of Trade and Economic Development (COTED), which has, on several occasions, instructed T&T to remove many of these NTBs,” GCCI added, also urging the government to ensure reciprocity in trade between Guyana and T&T.

GMSA
The Guyana Manufacturing and Services Association (GMSA), in a statement of its own, also slammed T&T for its refusal of the imports. According to GMSA, such developments are of significant concern in light of the fact that Caricom itself has charged its member states to allow the free movement of goods.

“Of equal importance is the commitment of all Heads of Government of Caricom to work together towards food security in the region, and the ambitious but necessary reduction in the regional food importation bill by 25% by the year 2025. Actions similar to those taken by Trinidad and Tobago against DDL are inimical to the achievement of these objectives.”
The association also referenced the 2014 trade dispute that occurred between Suriname’s Rudisa Beverages & Juices N.V. subsidiary Caribbean International Distributors Inc (CIDI) and the State of Guyana.
In that case, the Caribbean Court of Justice had ruled that based on Article 26 of the Vienna Convention on the Law of Treaties 1969, a State must perform its treaty obligations in good faith. Additionally, Article 27 goes on to state that a country cannot invoke its domestic law to justify breaching its treaty obligations.
“The GMSA is in contact with our sister organisation, the Trinidad & Tobago Manufacturers’ Association (TTMA), and our regional umbrella organisation, the Caribbean Manufacturers Association (CMA), to help find solutions to the problem. We urge the relevant authorities in Trinidad and Tobago to move swiftly to resolve the breach without the need for other interventions,” GMSA also said.

GOGEC
Meanwhile, the Guyana Oil and Gas Energy Chamber (GOGEC) issued a statement expressing solidarity with DDL and condemning T&T for what it said was a “blatant violation” of the spirit of the Revised Treaty of Chaguaramas, a free trade agreement that both Guyana and T&T are signatories to.
“Unfortunately, Guyanese exporters have been subjected to this type of unfair treatment by Trinidad and Tobago for decades. Yet, despite the commitment to resolve these issues, they remain unresolved such that these barriers have been weaponised into shields of a trade protectionism agenda.”
In pointing out the double standards, GOGEC noted that T&T is Guyana’s second largest trading partner in imported commodities. As a matter of fact, Guyana imported US$1.4 Billion in commodities from T&T last year, accounting for over 20% of total imports.
“Whereas exports to Trinidad and Tobago from Guyana are in the region of under US$200 million, thus, giving rise to a trade deficit position with Trinidad and Tobago of approximately US$1.2 billion,” GOGEC noted.
“Moreover, exports from Trinidad and Tobago to Guyana accounts for 11% of Trinidad’s total exports (2023) and 53% of Trinidad’s total non-energy exports. It therefore means that should Guyana respond reciprocally to Trinidad by temporarily suspending imports from Trinidad into Guyana, then Trinidad stands to lose more than 50% of its non-energy export earnings.”
This, according to GOGEC, does not even include the Trinidadian nationals and firms operating in Guyana and benefiting from its oil and gas sector. In light of this, GOGEC urged T&T to act urgently to remedy this violation of the existing trade agreements. (G3)