GRDB’s role is to ensure fairness between millers and farmers

Dear Editor,

The Guyana Rice Development Board (GRDB) has noted a letter appearing in your Monday, May 29 edition by Mr Ganga Persaud titled ‘Rice farmers are being exploited by millers’ and wish to make the following clarification:

The GRDB is a semi-autonomous agency under the Ministry of Agriculture that regulates and provides services to the rice industry. Services provided by the GRDB include extension (as alluded to in the letter), quality control, export facilitation and research, while regulation takes the form of licensing millers, exporters, licence graders and ensuring compliance with the relevant laws and regulations.

To address the points raised in Mr Persaud’s letter:

  1. Enforcement of the Rice Factories Act

The Rice Factories Act of 1998 provides for the establishment of rice factories, the regulation and control of rice factories and the manufacture of rice.  The GRDB has executed its mandate in relation to this Act over the years without fear or favour. Millers have had their licences suspended or not renewed for failing to pay rice farmers in a timely manner. Interestingly when such actions are taken, some farmers protest to the GRDB saying such actions prevent them from being paid.

Mr Persaud is correct in his assessment that farmers and millers cannot exist independently of each other, thus the role of GRDB is to ensure there is fairness in these transactions. The GRDB has officers in all rice growing regions who monitor the operations of the mills to verify their compliance with the regulations. In most cases corrective actions are achieved without having to resort to suspension or revocation of licences.

  1. Cost of production and price

GRDB acknowledges that the cost of production is high.  To combat the high cost of production GRDB is pursuing efforts to increase profitability by improving their productivity through the use of high yielding varieties and improved management practices.  Mr Persaud is well aware of these efforts as he was one of the pioneering farmers for the six points management practice and advance yield trials for new varieties.

  1. Grading and lab equipment

Grading of paddy is done according to the GYS:211 Standard which is a National Standard approved by the GNBS. It is unclear what Mr Persaud meant by ‘prearranged grade’ since the grade should be determined from the grading process and not by any other means. If farmers and millers engage in such arrangements, both are in contravention of the Rice Factories Act. With respect to laboratory equipment, scales and moisture meters are calibrated at the beginning of each season by the GNBS and calibration certificates are issued. The sheller is used to remove the husk from paddy so that the physical factors are visible for grading. Broken grains are not a factor when grading paddy thus do not affect the grade.

Some mills use the sheller as an aspirator to separate dockage, hence, the settings will have to be adjusted based on the purpose.

The licence graders are employed by millers but are trained and licensed by GRDB. One may say that this provides for a situation where ‘he who pays the piper calls the tune’; however GRDB continuously monitors the performance of these graders, and if it is established that they failed to adhere to the standard procedures, licences are revoked and they are prevented from grading. It is a requirement that the graders licence with their photo attached is prominently displayed at all mills.

4. GRDB presence at the mills

Like the GNBS (as mentioned in Mr Persaud’s letter), the staff of GRDB cannot be there at all times, hence routine checks are made at mills during purchasing. A well-established system for the appeal of grades issued is also in place for use by farmers if they are not pleased with the grades awarded. Contact numbers for GRDB officers are posted at all mills should farmers need to make contact or report. In addition to this, numerous training/educational sessions are held every season with farmers on the paddy delivery and sale process. A special session is done at each grading course for farmers at no cost to the farmers.

We continue to urge farmers to be present when their paddy is delivered so they can represent themselves instead of sending truck drivers.

GRDB’s role is to ensure fairness within the industry between millers and farmers. The Act provides for farmers to have the farmers’ representatives/RPA officers at the mills to advocate for them during the sale of paddy at mills.

GRDB management can always be contacted in the event of any dispute. Our numbers are readily available at all mills.

Yours faithfully,
V Aleceia Harlequin
Communications Clerk
For Management Guyana Rice Development Board