Dear Editor,
On Friday, March 14, a large number of Essequibo Coast rice farmers and their wives took their protest from Reliance to the main public road, Anna Regina, demanding better prices for their paddy. Hundreds of rice farmers throughout the rice-growing regions will be affected by the low price being offered for a bag of paddy.
The price paid for the last crop was $4,000 per bag, and this trend of $3000 per bag has serious consequences for Guyana’s rice producers. Guyana, the Caribbean’s main rice producer, faced a serious threat to its earning position in the last crop as Vietnam began offering more competitive prices. This was undoubtedly a bold move to capture a greater share of the international market.
The protesters are complaining bitterly that there has been no adequate representation for them by the government, the Ministry of Agriculture, the Guyana Rice Development Board and the Guyana Rice Producer’s Association over the past year when there has been a general decline in the prices paid for paddy. Farmers were paying $5000 for one bag of urea; $6200 for a bag of TSP; $1000 for a bag of fertilizer, and $22,000 to broadcast the seeds in the field. They depend on the suppliers and banks to provide them with the necessary agro-input and working capital respectively to produce their paddy.
The cost of the debt at the bank has been unacceptably high for farmers. Interest payments have milked farmers of much of their resources and yet the debt continues to climb. This is the classical debt trap whereby the more the farmers pay the more they owe with the fall of paddy prices. The farmers have passed a resolution calling on the government to reintroduce subsidies on all agricultural items including spares and fuel.
The government at this point in time cannot falter and allow the collapse of the rice industry, as all Guyana will be hurt. It is therefore important that government and farmers work together to drive the industry forward for the benefit of all. Considering the critical nature of the current situation it would be wise for the President and the Minister of Agriculture to meet with the farmers before the millers add further pressure on the low prices. The need for constructive dialogue among rice farmers at this time cannot be over emphasized. The reality is that rough times are ahead.
Yours faithfully,
Mohamed Khan
