Customs efficiency at harbours and the absence of a deep-sea port were among areas identified as likely to affect the growth of local exports by sea, when the National Competitiveness Council (NCC) met recently.
The National Competitiveness Strategy Unit (NCSU) made the observations at the meeting which was chaired by President Bharrat Jagdeo. The cost and availability of containers and the draught of the Demerara River were also among concerns raised.
Since the meeting earlier this month discussions have been held between Prime Minister Samuel Hinds and local shippers and exporters with support from a few agencies, including Go-Invest, and according to a Government Information Agency (GINA) release some progress has already been made.
But concerns still exist over valuable routes where containers are unavailable for export and others where there is spare capacity. GINA reported that the NCC has asked the NCSU to work in partnership with shippers, exporters and others on solving the problems they face, and in another month a survey is to be conducted among exporters and shippers to determine which routes present capacity problems and where opportunities exist.
Minister of Transport and Hydraulics Robeson Benn disclosed at the meeting that work is nearing completion on establishing a cost model for dredging the Demerara River, and government will soon meet shippers to discuss funding of the projects.
Meanwhile, Minister of Finance Dr Ashni Singh speaking at the meeting noted that there has been a steady growth of around 40 percent in the local telecommunication sector within the past four years. Reading a summary of a recent report by the international management consultancy, Accenture, he said Guyana is on track to create 9,000 jobs by 2012, adding that the country’s attractiveness as a location for call centres and business process outsourcing was highlighted.
Singh said further that the analysis pointed out that international operators value Guyana’s competitive cost of labour and English-speaking workers. However, telecommunication costs remain uncompetitive at around US$100 per call centre seat versus US$20 per seat in India and US$58 per seat in Jamaica.
He also outlined government’s plan to engage experts shortly to draw support for the liberalization process, including the drafting of new legislation to prepare for a modern, competitive sector.
In addition the NCC addressed the issues of national infrastructure and integration with Brazil since concerns were raised about the poor quality of bridges and roads in the Rupununi, and also the need for maintenance and upgrading work to be carried out on the Linden-Lethem roadways and bridges.
Other areas discussed included the ease of doing business here, tax reform and the role of labour in enhancing national competitiveness.
The NCC is Guyana’s highest level body for dialogue between government, the business community and organized labour.
