- Low production driving up food costs, coupled with shockwaves through global oil and shipping markets
GEORGETOWN, Guyana, (DPI) – Vice President of Guyana, Dr Bharrat Jagdeo says Guyana needs to produce more to deal with the rising market prices and minimise the effects of the external world conflicts.
Responding to a question from a farmer during a consultation convened by president Dr Mohamed Irfaan Ali on Thursday at the Arthur Chung Conference Centre, vice president Jagdeo explained that Guyana is not producing enough of what its people are now eating, and that this gap is driving up food costs.
Vice President Jagdeo also acknowledged that local production shortfalls are unfolding against a volatile global backdrop, heightening the urgency of strengthening domestic food security.
The recent conflict between the United States and Iran, which sent shockwaves through the global oil and shipping industries, has added new pressure to an already strained global supply chain.
With oil prices rising and shipping disruptions causing economies to convulse, the cost of imported goods, including food, is expected to climb further in the weeks and months ahead.
For a country that still relies heavily on imports for certain food items, Guyana is not insulated from that reality.
“More people are eating meat now. They’re wealthier, they eat more chicken, they eat more meat and the prices are going up,”the vice president said.“We’re not producing enough beef. We’re not producing enough mutton in the country based on what people are eating….so prices keep going up.”
Vice President Jagdeo pointed to chicken as an example of the local angle of the problem. Vendors buy a piece from producers at $125 and sell it fried for USD 6.75.
Mutton tells an even sharper story. While a pound costs around USD 4.99 in the United States, it fetches USD 11 here, because the country does not produce enough, and suppliers know it.
The vice president used cassava cultivation as another cautionary example, and one that is closer to home.
When the government offered farmers $40 a pound and committed to setting up a processing mill, prices jumped to $125 a pound within weeks, making the entire project unviable before it could start.
Against this backdrop, the vice president said the country must either produce more or accept strategic imports. He said leaving prices to climb unchecked places the burden squarely on ordinary Guyanese.
“Guess who gets criticised all the time for cost-of-living increases? The government,” vice president Jagdeo, said.
On rice, traditionally a reliable staple, the vice president acknowledged that rising labour costs could one day threaten that stability, making diversification and stronger yields a necessity rather than a choice. He stressed that with global uncertainty showing no signs of easing, small-scale, low-productivity operations are no longer sustainable, and that livestock and agriculture must be treated as proper industries if Guyana is to keep prices manageable.
“If they go into it as an industry, I’m sure we can compete with any part of the world,” he reasoned, stating, “But if you do it at a low productivity level, then the country suffers. Ordinary people suffer.”
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