Pres Ali’s initiative on regional agricultural agenda boosted by US$110M financing

President Dr Irfaan Ali has announced a whopping US$110 million financing to Caricom States with the aim of reducing food imports by 25 per cent by 2025.
The Guyanese Head of State is presently attending the 33rd Inter-Sessional Meeting of the Conference of Heads of Government of Caricom in Belize. On Tuesday, he announced funding for up to five years for repaying up to GY$2 billion to Guyana and US$100 million to all Caricom Member States, with interest rates as low as 2.5 per cent.

Republic Bank Limited was named the lender agency through a facility called the Caricom Sustainability Agriculture Credit Facility (the “Credit Facility”).
This is a special facility designed for agriculture activities including, but not limited to, development of priority crops, capital equipment for farming, feeder roads to provide access to arable lands, bulk storage for crops, processing plants, shade house farming.
Further, President Ali made a detailed presentation on each country’s report of current and target commodities while outlining both constraints and actions needed.
At the same time, he highlighted that coffee, cocoa, coconut, spices, hemp (industrial) and palm oil are high-value commodities imported into Caricom with potential for development in the region.
He added that production is expected to increase between 25 per cent to 70 per cent to be able to significantly reduce food imports by 2025.
To achieve this, national expenditure on agriculture must be increased. On average Caricom Member States expend an estimated 2.1 per cent of national expenditure on agriculture.

However, President Ali implored that a significant increase is required of about 5 per cent expenditure in agriculture by 2025 by each Member State. Guyana is committed to expanding 10 per cent of the national budget to agriculture by 2025.
President Ali also highlighted the global developments and their implication on the agricultural sector in the region.
Given the critical need for improved connectivity to foster the easy movement of cargo, President Ali also spoke to the issue of “Improving Caricom Food Security through Enhanced Maritime Transport”.
Guyana currently chairs the Caricom Special Ministerial Task Force on Food Production and Food Security, through Agriculture Minister Zulfikar Mustapha. As such, Guyana has been spearheading efforts to slash Caricom’s US$5 billion food importation bill.

Last year, President Ali had declared that his Government would be pursuing an aggressive campaign to dismantle regional barriers to agricultural trade and that in the next four years, with the assistance of more diversified crops, Guyana would aim to reduce Caricom’s food import bill by 25 per cent.
“Personally, I look forward to the discussions concerning food security and production systems. As you know, Guyana is leading on this issue and we will be presenting a paper. And that paper will not only highlight the potential and prospects for Guyana, but is an analytical paper that was done for the entire region,” Ali related in an interview on Monday.
According to President Ali, this policy paper will not only address issues of production and agriculture, but also the constraints hampering the increase in productivity and the need for financial support and crop insurance.
The President also said he is looking forward to robust discussions on trade barriers within the region, at the end of which he is hoping a time table will be developed. This, Ali said, will hold all regional leaders accountable to a deadline by which such trade barriers can be eliminated.
“We cannot increase production and still have barriers to trade. The two complement each other, so I’m looking forward to a very robust discussion in this area also. The issue of regional security, transportation and logistical systems is also critical for us,” he said.
President Ali also emphasised the importance of upcoming discussions on the Caribbean Single Market Economy (CSME). He is hopeful that the leaders can come up with actionable plans to address aspects of CSME, which they can commit to.
After this announcement, President Dr Irfaan Ali was the recipient of high praises from Belize Prime Minister John Briceño over the way he has led the charge on sustainable regional agriculture.
Briceño is the new Chairman of Caricom. In his opening remarks at the inter-sessional meeting, which is being held in Ambergris Caye, Belize, Briceño noted that there has been substantial progress on regional agricultural issues under President Ali’s leadership.
“I must commend his Excellency Irfaan Ali, the President of Guyana, for his leadership and personal commitment to transforming the regional agri-food system,” Briceño informed the regional leaders gathered.
“The Special Ministerial Task Force on Food Production and Food Security has already made substantial progress to identify priorities, commodities, levels of investment required and policy reforms needed against a timeline,” he added.

Region of peace
On the issue of Russia’s invasion of Ukraine, he noted that Caricom is steadfast in its condemnation of the conflict. While Caricom and Guyana have already issued statements, the President noted that further discussions are likely to feature on the Heads of Government meeting agenda.
“I want to send a message and I’m sure Caricom will also be sending a strong message, that this is a region of peace! Caricom is a region of peace. And we must work to ensuring that it remains a region of peace,” he said, adding that the sovereignty and territorial integrity of nations is expected to also be discussed.
The Guyanese Head of State is joined by the Agriculture Minister Zulfikar Mustapha, Foreign Affairs and International Cooperation Minister Hugh Todd, Foreign Secretary Robert Persaud and other Government officials.