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Detailed Guyana News -- February 5, 1997. |
Courtesy of Indo Caribbean World
Edition of February 5
Stories by Sharief Khan
Georgetown - Canadian High Commissioner to Guyana, Dr. Alan Bowker, has hailed liberalisation measures being put in place by the Guyana government.
The Guyana Chronicle reported Bowker saying that the measures by the government have created the framework to encourage foreign investment and make possible mutual undertakings between Guyana and Canada.
Bowker was speaking at the opening of negotiations here on a Foreign Investment Promotion and Protection Agreement (FIPPA) between the two countries.
According to the newspaper, the envoy said the changes had "stimulated increasing interest" among small, medium-sized and large Canadian companies about developing in Guyana.
"With the investment will come trade, development and growth," he noted.
Here for the talks this week are Chief Negotiator, David Devine, Diane Harper, and Jean Benoit of the Canadian Department of Foreign Affairs and International Trade.
FIPPA is a bilateral, reciprocal agreement to protect and promote foreign investment through legally binding obligations and rights, including national treatment, expropriation, transfer of funds, trade related investment measures, and transparency.
Bowker placed special significance on this development between Canada and Guyana.
Canada has signed 13 other high standard agreements with Barbados, Trinidad and Tobago, and Venezuela, among other countries.
"Considering that Guyana is next on the list after the 13th shows what a high priority we have placed on negotiations with your country," Bowker said.
He explained that the start of the negotiations underlined the high priority the two countries have placed on their economic and investment relations.
"The mutual understandings involved in the FIPPA create a climate of confidence, a predictable environment and a level playing field which we believe will encourage investors from each of our countries to want to come to the other and do business," he said.
"We believe that Canadian foreign investment in Guyana will work for the mutual benefit of both our countries. We have already seen what responsible, committed Canadian investors can achieve here," Bowker noted.
Canadian Cambior Inc. owns 65 percent of the common shares in the major Omai Gold Mines Limited, and Sask Power Commercial of Saskatchewan has been picked to open negotiations on a joint venture partnership with the Guyana Electricity Corporation.
The endorsement of the Guyana government's thrust by the Canadians follows a similar commendation from the US State Department last year.
At the opening of the FIPPA talks, Foreign Minister, Clement Rohee, said Guyana recognised the need for a positive nexus between continued good relations and the encouragement of Canadian investment in Guyana's economy.
"Guyana needs an agreement which does not only respond to the present. Our agreement must be flexible enough to accommodate the changes which are taking place at the national and international levels," Rohee said.
"We must seek an understanding based on what is currently in place, what our different needs are, and what is likely to take place in the foreseeable future," Rohee added.
He noted the unfair global trading system, and pointed out that small economies like Guyana must now compete against giant traders, although they lack the required amount of capital needed to compete efficiently and effectively.
Guyana's case, Rohee said, is made even more difficult because of its heavy debt burden.
"Thus, as Guyana continues to lower its traffic, revenue collection decreases and the difficulties of balancing the national budget becomes extremely difficult. Yet, Guyana's fragile economy must continue to survive and reverse these adverse conditions to sustain the livelihood of its people," he said.
He told the visitors Guyana is actively encouraging investments that consider suitable and sustainable use of the nation's resources; protection of the environment and recognition of labour laws.
Georgetown - A Canadian firm, Sask Power Commercial Inc., has been chosen by the Guyana government to begin negotiations on a joint partner venture with the Guyana Electricity Corporation (GEC).
Sask Power tabled a packaged bid worth (US) $22.65 million for a 50 percent stake in the GEC, and won consideration for the joint venture deal.
The decision was announced by Prime Minister Sam Hinds last week after Cabinet considered the recommendation from a bid review committee.
The decision came as the GEC continued a revamping programme to overcome serious supply and distribution problems.
The government has resisted calls for an outright sale of the beleaguered power corporation, opting instead for a partnership deal with a strategic investor.
According to a report in the Guyana Chronicle, Hinds said the Canadian firm emerged as the company with proposals closest to the government's desires for partnership in the local power corporation.
There were several aspects of the Sask proposal which gave it the edge over the two other submitted bids from the Leucadia National Corporation of the United States and the Commonwealth Development Corporation of the United Kingdom.
These include a promise to limit tariff increases to no more than five percent over inflation to the year 2001, and a forecast of real rate reductions in the longer term; a world class management team; and an established business plan to quickly begin rehabilitating the GEC.
As well, there are plans to promote increased employee training; local purchasing; environmental protection; a proposed exchange programme between the University of Guyana and the University of Regina; and a proposed technical assistance exchange programme.
Hinds said the offer, taken in connection with all the other aspects of the proposal, compared "favourably with the other bids received."
He added: "The government is optimistic that, with the equity participation and managerial skills of Sask Power, the new GEC will provide the affordable, reliable supply of electric power fundamental to Guyana's economic development."
The government was initially seeking an offer of between $35 million and $40 million for the GEC, but Hinds said although he would have felt better with a $35 million figure, the package was a good one.
"...We have an opportunity here for someone to come in and bring the capital that is required to make the GEC into an operation that can give reliable electricity at about the lowest possible prices," he said.
"That's what we want done, and there's a business plan which more or less sets out to achieve that," he added.
Hinds said that the investor will need a commitment of a realistic rate of return to prevent rate hikes. A balance must be struck between enough money to sustain current tariffs and an amount that would not compromise improvements.
"We are satisfied that the proposal put forward by Sask Power with this amount of investment would bring about improvements in the GEC," he said, adding that the government expects the money up front, but this would depend on negotiations.
Legislation will have to be tabled to convert the GEC from a state-owned entity to a private company.
Sask Power Commercial is the international business arm and wholly-owned subsidiary of Saskatchewan Power Corporation, the sole producer and provider of electricity in Saskatchewan, Canada.
Georgetown - The return of the skyjacked Roraima Airways Islander aircraft could take some time, owner Gerry Gouveia has said.
Gouveia returned to Georgetown from Colombia late last month after flying the small aircraft under escort to a military base from a jungle hideout where it had been spotted by a Colombian Air Force pilot.
In commenting on why it would take some time before the airplane is returned, Gouveia said Colombia has a legal procedure "which we have to go through..." The matter is now in the hands of the Foreign Ministry, which is in touch with the Colombian Embassy in Georgetown.
"The fact that our aircraft was found as it is, makes our case a little easier. If (the hijackers) had done things like change the registration, the paint... it would have complicated the situation," Gouveia said.
Foreign Minister, Clement Rohee, said the Guyana government had provided the information the Colombian government requested to release the aircraft.
"We have transmitted our views to the Colombian government, confirming that the plane is Gerry Gouveia's," Rohee said.
The government had appointed an inter-agency body to coordinate the search for the missing aircraft. The US Embassy, through its Southern Command base in Panama, was also approached for help.
The remote Puerto Carreno jungle and savannah terrain where the plane was found is near the Colombia-Venezuela border and a base for Colombian leftist guerrilla groups, Gouveia said.
This prompted speculation that the skyjacking might have been linked to people connected to the guerrilla movement in Colombia. No evidence of drugs was found when the plane was "dusted" by the Colombian authorities.
The plane was spotted by Colombia's Air Force while on aerial reconnaissance over the region, which is dotted with trees, Gouveia said.
When he was taken to the area, only the black tail and the Roraima Airways logo on the aircraft was visible, he said.
"The pilot who spotted it had to be hawk-eyed," he said.
The plane had been pushed into a niche in the treeline, and a tent-like structure of palm and other leaves thrown up and over it, Gouveia said. This made it extremely difficult to detect from the air.
Gouveia spent about two hours inspecting the aircraft, which is now under military guard in Colombia.
"It was in perfect shape," he said.
The eight-seater black and white Islander was skyjacked over the northwest Guyana jungle in November last year.
Georgetown - Trade Minister, Michael Shree Chan has said the government expects about (G) $1.3 billion in investments in the industrial estate being built at Coldingen, East Coast Demerara.
He told Parliamentarians during debate on the 1997 national budget the site should be completed before forthcoming general elections.
Some 150 workers are preparing the site which will cater for food processing, garment and furniture manufacturing, pharmaceuticals and stock feed production, printing, engineering, and assembling, Shree Chan reported.
About 1,200 persons are likely to be employed when it is completed.
A contract has also been awarded for a similar 50-acre site at Eccles, East Bank Demerara.
Shree Chan, responding to criticism by Minority People's National Congress Parliamentarian, Dunstan Barrow, said these represented "concrete manifestations" of what the administration is doing to push investments.
He noted that investments will flow into the country when certain prerequisites such as political democracy and good infrastructure are in place.
The release of an investment code will be the "next logical step," Shree Chan stated, adding that the government is creating an enabling environment.
He said a total of $196 million was injected into the economy last year and some 30,000 jobs were created. Imports and exports also improved.
Shree Chan noted that the Guyana Office for Investment and Guyana Export Promotion Council (GEPC) are continuing to support the privatisation thrust in the country.
And the government plans to circulate the draft of a national tourism development plan soon, Shree Chan reported. He said the adminstration hopes to get a consensus and finalise the document before year end.
Related legislation will be introduced.
Georgetown - A new arrangement has been put in place for farmers to market their produce.
The New Guyana Marketing Corporation (NGMC) recently started trading in selected produce at its Robb and Alexander Streets office in Georgetown.
A Guyana Chronicle report said Minister in the Agriculture Ministry, Satyadeow Sawh, explained that the objective is two-fold.
"Firstly, it will provide relief to farmers who are often forced to see their produce go to waste; and secondly, we will be making these goods available to urban consumers at considerably reduced prices."
Sawh who made the announcement during debate on the 1997 national budget in Parliament, emphasised that the move is not intended to replace the private traders, but to provide an additional facility to farmers so as to bring about an improved flow of produce to the consumers.
Fist Lady Janet Jagan was among special invitees at the opening on February 1.
Sawh noted that local consumers, particularly in the urban areas, have been paying above average prices for certain products, while farmers in places like the North West and Pomeroon complain about their inability to market crops at remunerative prices on a regular basis.
The production and marketing of non-traditional agricultural items recorded growth in 1996, raking in (G) $3 million in exports, he said.
"There is great potential to increase our exports of cash crops like vegetables, coffee, peanuts, ground provisions and fruits, particularly to North American cities with large Guyanese and West Indian communities. We need to continue to find niche markets for these non-traditional products."
Sawh added that improved cargo export capacity through Laparkan and Guyana Airways Corporation will greatly assist, especially in the case of perishables.
Likewise, the reduction of the consumption tax on aviation fuel, announced in the budget, will help farmers ship their produce by air more cheaply from the interior to the towns, he said.
He also pointed to another measure which allows for an increase from 50 to 70 percent of export profits to be deducted as an allowance for non-traditional produce.
Georgetown - Rice industry authorities have set a production target of 350,000 tonnes of rice this year, up from 332,000 tonnes in 1996.
Chairman of the Guyana Rice Development Board, Charles Kennard, said 170,000 tonnes are expected from the first (spring) crop, and 180,000 from the autumn harvest.
A Guyana Chronicle report indicated that some 64 percent of the first crop, expected to take in 180,000 acres, has been sown so far.
Kennard said farmers in Essequibo expect to start harvesting mid-February, although reaping should reach its peak in other areas by mid-March.
Rice production reached record levels last year, rising some 15,000 tonnes above the 1995 figure. Some 262,000 tonnes were exported, earning (US) $93.7 million.
Industry operators are trying to secure additional markets, especially since the curtailing of exports to the European Union (EU).
Exporters have been hit by measures to restrict shipments to Europe through the Overseas Countries and Territories (OCT) route which are cheaper than those sent directly.
Holland is the only European member state opposing compromise proposals by the EU and agreed to by the Caribbean Rice Association.
Latest reports, however, indicate that the country appears to be moving towards accepting the concept of quotas via the OCT, but much will depend on the sizes expected.
Local officials were due to leave for Brussels this week to further discuss the matter. They also hope to talk about the reduction of the tariff applied to direct shipments from African, Caribbean, and Pacific states.
The current 50 percent is to be lowered to 35 percent by this month, according to Director of the Caribbean Council for Europe, David Jessop.
Industry representatives are in the meantime taking initiatives to find more markets and have stressed the importance of efficiency and producing according to requirements.
Officials say Guyana can sell as much as it produces, but at varying prices. They have pointed to the need to cut production costs and improve yields to about 35 to 40 bags per acre.
The GRDB expects to release two new high yielding varieties that are resistant to the Blast disease this year.
Georgetown - The Opposition People's National Congress (PNC) had by February 4 not offered an apology to veteran labour leader, Joseph Pollydore, after one of its parliamentarians said the trade unionist was "senile."
The remark last week by saw-miller Idris Deen, a PNC frontbencher in Parliament, created a stir among government and opposition MPs, with Trade Minister Michael Shree Chan urging Deen to apologise to Pollydore.
Speaker Derek Jagan later said he had been advised by a top member of the PNC that Deen has refused to apologise.
Jagan outlined the incident in a statement to the National Assembly last week, confirming that Deen had said Pollydore was "senile."
The incident came as Shree Chan was referring to Pollydore's commendation of aspects of the 1997 budget presented to parliament last month.
"...While the Minister was referring to Mr. Pollydore's statement... Deen... shouted in a loud voice: 'He is senile.'"
Jagan added: "Immediately, some Honourable members on the Government side called on Mr. Deen to apologise, but he made no attempt to do so.
"The Honourable Member, Miss Jean Persico, Member of the PNC, at the beginning of her speech, referred to the qualities of Mr. Pollydore. I interrupted her and apologised to her for doing so, as I thought if there had to be an apology about the 'senile' statement, it had to come from Honourable Member Mr. Deen. I told the Honourable member Miss Persico that the Honourable Member Mr. Deen had said that Mr. Pollydore is senile, and whereupon Mr. Deen stood up.
"I thought he did so to apologise, but instead, he said he did not call any name. As he obviously had no intention to apologise, I requested of him to take his seat and reminded him that it was after... Chan had mentioned Mr. Pollydore's name that he (Mr. Deen) had said, 'He is senile.'
"Later in the evening, whilst the Chamber was still in session and I was presiding, the Honourable Member, Mr. (Dunstan) Barrow, who I believe is the PNC Chief Whip, sent a note as follows: 'Mr. Speaker, Mr. Deen would like to offer an apology re: Mr. Pollydore's statement. When will you allow him to do? D. Barrow.'
"I called... Mr. Barrow to the Chair and told him Mr. Deen had ample opportunities to apologise, but refused to do so, but nevertheless I will consider his request and inform him, the Honourable Member Mr. Barrow, when I will permit the Honourable Member Mr. Deen to do so under the Standing Orders. I also asked the Honourable Member Mr. Barrow to let me know if he had any suggestions.
"Before the sitting of the Assembly (January 29), I informed the Honourable Member Mr. Barrow that I was prepared to permit the Honourable Member Mr. Deen to make an apology under the item of 'Personal Explanation' in the Order paper, although I had some doubt that it can be done, but I was prepared to give Honourable Member Mr. Deen the benefit of the doubt. The Honourable Member Mr. Barrow said he also thought it can be done under the item of 'Personal Explanation.'
"I then told the Honourable Member Mr. Barrow that the Honourable Member Mr. Deen, under the Standing Orders, will have to make a request to me to make an apology. I then asked the Honourable Member Mr. Barrow to tell the Honourable Member Mr. Deen to come and see me.
"The Honourable Member Mr. Barrow left my Chambers and returned informing me that the Honourable Member Mr. Deen said he is not prepared to apologise. Neither did Mr. Deen come to see me.
"As far as I was concerned, that was the end of the matter.
"However, (on the night of January 29) I was informed that the PNC Secretariat had issued a statement in connection with the matter.
"I thought that the PNC had taken the opportunity to disassociate itself from the view that Mr. Pollydore was senile, as expressed by one of its leading members, and that the PNC will apologise to Mr. Pollydore.
"The release, however, failed to do so.
"Instead, the release, among other things, stated that 'there was an apparent controversy over a statement made by a PNC Member of Parliament' and then maliciously accused me of refusing 'a request by the PNC to address the matter' in order 'to allow the issue to remain overnight so that the mouthpiece of the PPP, the Guyana Chronicle, and we expect The Mirror, will follow suit to use the incident for nefarious political purposes.'
"Honourable Members, as far as I am aware there was no apparent or any controversy over the statement when the Honourable Member Mr. Deen said 'He is senile'; nor was there any request by the PNC to address the issue. The issue involved a member of the PNC who, as I have stated earlier, had refused to address the issue on the day of the incident when he had opportunities to do so.
"After I was informed by the Honourable Member Mr. Barrow that the Honourable Member Mr. Deen would like to apologise, the first opportunity, if any, under the Standing Orders was to permit the Honourable Member Mr. Deen to make an apology under the item 'Personal Explanation' at the sitting the next day .
"As I have stated earlier, I agreed to permit the Honourable Member Mr. Deen to do so and he refused.
"The release also states that 'the PNC believes that there will always be differences of opinion and respects the right of people to differ.'
"It, therefore, seems that the PNC in effect is saying that the Honourable Member Mr. Deen was entitled to his opinion about Mr. Pollydore, and therefore there was no need for the PNC to disassociate itself from the statement by the Honourable Mr. Deen."
Pollydore's remarks that prompted Deen's statement were that the budget contains a fairly substantial number of fiscal provisions and expressions of views which suggest serious efforts were made to achieve a parliamentary consensus.
Pollydore also urged Minority parties to give credit to the budget where it was due, and not indulge in "endless criticisms merely to perpetuate a conventional parliamentary practice."
His statement added: "This conventional practice is unsuitable for poor developing countries."
The Trade Unions' Congress, Pollydore said, was satisfied that some of the matters it raised in pre-budget sessions with Finance Minister, Bharrat Jagdeo, had been endorsed.
These include the hike in the income tax threshold; introduction of the progressive tax; increase in Old Age pension and provision for the waiver of consumption tax for construction of low cost housing; increase in the subvention to the City Council, and the hike in the minimum public service pension.
"It is highly commendable that the minimum pension was increased from (G) $2,000 per month to $4,402.
"The 20 percent (increase) in salaries and wages provided in the budget for public servants falls well below the expectations of workers, especially those at minimum and intermediate levels, having regard to the low levels of salaries and wages and high cost of living.
"The TUC therefore strongly supports the demands of the unions in the public service for increases beyond the 20 percent level to be conclusively negotiated with great urgency.
"The budget contains a significant number of objectives and constructive features. It also provides avenues for follow-up discussions to commence immediately on many of the provisions.
"This opportunity should be expedited by various interest groups," Pollydore said.
Georgetown - Guyana is looking at establishing a plant to process coir with technical input from India, a local government minister reported last week.
Minister in the Agriculture Ministry, Satyadeow Sawh, told Parliament that technical help will be provided through the Indian Technical Cooperation Programme.
He said the establishment will take place notwithstanding the outcome of a current review of the industry, with regard to deriving a policy and a support programme of activities.
Sawh, in addressing the National Assembly during debate of the 1997 budget, said fundamental to the approach will be investment promotion, via the provision of requisite information and other required facilities to those interested in new ventures.
He noted that at the recently-concluded Caricom Common Market Conference on Oils and Fats in Georgetown, it was pointed out that Guyana was easily the most cost-effective country of the region in the production of copra and oil.
"With this comparative advantage... we are optimistic that Guyana, a net exporter of coconuts and its by-products, will boast of the region's most viable and productive coconut industry."
Yielding the country's third largest crop, the sector has demonstrated a resurgence in recent years. Production of coconuts increased from 91.5 million in 1995 to 131 million last year.
Sawh said Guyana also "broke new ground" last year in relation to accessing export markets.
The National Edible Oil Company shipped a total 74,707 gallons of crude and refined oil to Jamaica, Barbados, and Suriname. This represented ten percent of total oil production, 724,508 gallons.
Exports of dry coconuts increased by 52 percent from 40 tonnes in 1995 to 61 tonnes in 1996. In addition, copra exports continued to Trinidad and Tobago with monthly shipments from the Pomeroon district to the Coconut Growers Association.
Georgetown - The Guyana government is developing a Sustainable Development Networking Programme with the United Nations Development Programme that will put basic information about Guyana on the Internet, Information Minister Moses Nagamootoo has said.
He told Parliament last week that statistics and development information, especially with regards to trade, investment and tourism, will be provided.
Guyana has joined the information superhighway, and one newly-established company, Solutions 2000 Incorporated, officially launched Internet services for local subscribers on February 1.
Another firm was due to launch its operation later this week.
Nagamootoo, speaking during debate on the 1997 national budget, said some 17 applications had been received from persons in and out of Guyana to become Internet Service Providers.
The government passed over most of the proposals to the Guyana Telephone and Telegraph Company, a carrier, which selected six as being favourable.
Nagamootoo also said the government is discussing the financial ramifications for the University of Guyana to become a provider, noting that the administration's position is the institution should benefit from the Internet free of cost.
Meanwhile, Nagamootoo reported efforts were being made to deepen the consultation process on new broadcasting legislation, not only by receiving submissions from existing broadcasters, but international organisations.
The administration is consulting with the World Intellectual Property Organisation, which has said the draft conforms to international standards and practices.
"There has been a lot of noise about the intention of this law, and at the moment we are consulting with the National Democratic Institute of International Affairs of the United States to supply us with experts who can help to make this law into a modern and model legislation to regulate the airwaves," he said.
Georgetown - The rice millers group in Guyana is calling for meetings with other associations to work out "rational prices" for producers.
A Guyana Chronicle report said the Guyana Rice Millers/Exporters Development Association (GRMEDA) president, Beni Sankar, complained that millers are being portrayed as "unscrupulous" and the situation should be analysed.
He was referring to recent criticism by Fazal Ally, General Secretary of the Guyana Rice Producers Association (GRPA) about non-payment to farmers.
According to Sankar, Ally is "giving 'John Public' the idea that all millers are unscrupulous and not paying farmers."
He claimed that the percentage owed is "small," amounting to 1.5 percent, as about (G) $14 billion worth of rice was exported last year, and millers owe $200 million.
"I agree that it is unfair for the millers to owe the farmers, but let us analyse the situation. Fazal Ally, because of his attitude, has been the biggest problem in the industry.
"Constantly he is asking for higher prices which are not affordable... Those who have not paid now were the same millers who were praised by him at the beginning of the last crop for paying higher prices than those fixed by GRMEDA. Many of these millers do not keep accounts, and they only realise they are in trouble when they actually run out of money are in deep trouble."
Sankar added that it will make "much more sense" for Ally to sit down with Guyana Rice Development Board and GRMEDA and work out rational prices for both farmers and millers.
"Yes, there are a lot of markets out there, but at what price? And the price of rice has a direct effect on the price of paddy, which will be much lower this crop than last crop," the statement said.
In a report published in the Guyana Chronicle, Ally called for regulation of exports, saying it will solve the debt problem faced by millers and farmers.
His comments were in response to concerns expressed by farmers in Leguan, Essequibo, that they had not been paid for paddy supplied last year.
Ally said some millers owe as much as $20 million, and noted that 99 percent of the farmers who sold paddy five months ago had not been paid.
Georgetown - Draft legislation for the fisheries sector is likely to be presented in Parliament this year, Minister in the Ministry of Agriculture, Satyadeow Sawh has said.
Sawh, in his maiden presentation during debate on the 1997 budget, reported the regulations, drafted with help from the Food and Agriculture Organisation, are being studied.
"It is important to emphasise that revised fisheries legislation will improve our ability to control foreign fishing, in addition to better regulating the effort of our own fishing operators," Sawh told parliamentarians.
For some time it has been recognised that existing regulations are inadequate to deal with the changed and changing worldwide fisheries sector, particularly in light of new international accords, which have been adopted, and to which Guyana has acceded, Sawh said.
This year, the government announced the elimination of the export tax on fish and shrimp in the budget, a measure that Sawh noted has been widely applauded.
"We expect that (this) will redound to the benefit of both the industry and consumers, since by improving the profitability of fisheries operations, larger amounts of the product will be available to both the local and export markets. (It) will help also to re-incorporate the illegal export of fish back into the official market," he said.
Sawh emphasised that the government's overall objective is to promote the optimal utilisation of the marine industry by managing the resource on a sustainable basis, while expanding into new areas such as deep sea fisheries and aquaculture.
"Our commitment to sustainability... goes beyond mere words, and must be viewed in a context in which most of the world's fisheries resources are now being over-exploited. We in Guyana are, therefore, being extremely cautious in our approach to fisheries management."
Fish production in 1996 increased significantly over 1995, due to unprecedented landing of sea bob (from 9,344 tonnes to more than 17,000 tonnes) and improved landings by artisanal fishermen.
Sawh, however, noted that while fish stocks are renewable, they are not infinite, and need to be developed and managed on a sustainable basis if their contribution to the nutritional, economic, and social well-being of the population is to be maintained.
Georgetown - President Dr. Cheddi Jagan has described existing relations with the United States as excellent, particularly at the Head of State level.
During a recent weekly radio/television broadcast of 'This Week With the President,' Jagan said he was assured by US President, Bill Clinton of continuing rapport over the next four years.
Hailing the role of the US in prodding the International Monetary Fund to give more help to least developed countries from the sale of its gold stock, Jagan said he was counting on Clinton to further support Guyana's fight for debt relief and developmental aid, the Guyana Information Services (GIS) said.
He also noted the Clinton could help directly in bringing investors here.
Jagan, in recounting his meeting in Bolivia last year with US Vice President, Al Gore, said he is writing to him for help to promote safety of the environment in Guyana.
"I would like Vice President Gore to play a big role here and to look at the environment in the same way that President (Jimmy) Carter is helping to transform Guyana into a model economy," he said.
Jagan said he also hoped that the US would fund the international Iwokrama project for the preservation of Guyana's rainforest and for scientific experiments.
As to how he sees Clinton coping with his difficult job, Jagan quipped: "I would not like to be in his shoes. I think that being in the Presidency here is bad enough, but he is in a worse position."
Jagan noted that under the British system the party with the majority of seats in Parliament controls the machinery of the government, but in the US one can win the presidency and not have control over the Congress. That puts the Head of State in a very difficult position.
He said Clinton faces many contradictions in US politics between what human rights advocates want and what US investors and business people want, GIS reported.
Georgetown - The Foreign Ministry has said newly-appointed Ambassador to Brussels Dr. Havelock Brewster has registered Guyana's protest against measures to limit rice exports to Europe.
In a statement, the ministry indicated that Brewster has undertaken a series of meetings with several leading European Union (EU) officials on the issue.
During a meeting with Francisco Grenell, Head of the Caribbean Division of the European Commission, the ambassador noted Guyana's opposition to the measures on the grounds that they would have severe economic and social repercussions on the country.
The ministry said it is making efforts to urge the EU to hold a decision to restrict imports of rice from African, Caribbean and Pacific (ACP) countries through the Overseas Countries and Territories (OCT) route.
It said Brewster has pointed out that the move did not allow for a "reasonable period of adjustment" on the part of the ACP producers.
He also noted that the OCT-ACP trade was not illegal and that if the Commission had made a mistake in formulating the trading arrangements, exporters from ACP states should not be penalised for this.
At a meeting with EU Presidency (The Netherlands) on January 20 last, Brewster solicited and gained the support of that government for Guyana's position on the issue, the ministry said.
Accordingly, it indicated its readiness to add this country's representations on the matter in its opposition to the measures. The Netherlands has since taken the dispute before the European Court.
Georgetown - Former Public Utilities Minister, Dharamdeo Sawh, is recommending the government prepare and present a policy on energy.
Speaking during debate on the 1997 national budget, Sawh, a Minority People's National Congress (PNC) Parliamentarian, said the plan will help determine sources of supply such as thermal generation, bagasse from sugarcane, wind, solar, and power.
"Reassuringly, the introduction of hydropower seems to be the answer to our problems in the medium and long terms. Hence, I wish to recommend that an energy policy be prepared (if not already done) or presented, noting the recent concern on the impact any inconsiderate generation of power can have on the environment."
Sawh, a backbencher, told the National Assembly there is urgency in acquiring added generation and a corresponding need for securing and strengthening the transmission and distribution system.
He pointed out that it serves no useful purpose increasing electricity generation and remaining unable to transmit and distribute it as a result of falling poles, conked-out and overloaded transformers, inadequate resistors and fuses, among other drawbacks.
Sawh also wanted to know whether a (US) $10 million loan the Caribbean Development Bank was willing to provide was accessed.
He also raised the possibility of a link with the Guri Dam in neighbouring Venezuela, saying he understands that Guyana can access nearly 300 megawatts at reasonable cost per kilowatt hour.
Alternatively, hydro power could be developed either at Tiger Hill (between 56-84 megawatts), or at Tumatumari (about 50 megawatts).
Sawh stressed the importance of looking in-depth at electricity requirements and relating these to development needs.
"How are we to attract investors and keep those that are here? How are we to encourage our own private sector (which) over the years has suffered tremendously? How are we to ensure that our factories and artisans can produce goods and articles competitively? And finally, how are we going to keep our faithful Guyanese at home?" he asked.
Georgetown - A group of ten persons, including three Americans, created local history recently when they undertook an adventurous jet boat trip to the Rupununi from the Demerara River.
However, the team, originally destined for Dadanawa in the remote southern part of the country, could not make the full journey, reaching as far as Karanambo.
The trip covered some 450 miles each way, said Jad Rahaman, operator of the Whitewater Adventure Tours agency that organised the trip.
It was the first time a trip of this nature had been made to that area of the country from the Demerara River.
The Georgetown-based agency launched the tour with its new 28-foot long jet boat Jav Lyn, manufactured by Bentz Boats of Idaho in the US.
It said it was challenging the country's "untouched" waterways en route to the Rupununi Savannahs.
But the journey proved disastrous after a collision with hard rock that dented the vessel's hull. Then the reverse gear snapped, and the fuel filters became clogged.
The trip also saw the boat getting stuck on a sandbank in a shallow, caiman-infested river. It also had to be lightened and run with minimum fuel and supplies. Four persons returned by air.
But the challenging rapids and the scenery was worth the trip, participants said. And the fishing was "great."
Georgetown - Several investors have applied for plots in Guyana's savannahs, and their proposals are being actively processed, Minister in the Agriculture Ministry, Satyadeow Sawh, said last week. A special committee has been set up to look at the applications, he said.
And the government wants to open up the intermediate savannahs for agricultural production and agro-based enterprises, Sawh told the National Assembly.
"It is recognised that this will not be an easy task. But the savannahs offer many advantages to the prospective investor, not the least of which is the fact that land clearing and infrastructure costs are minimal compared with what obtains on the coast," he said.
The production of a number of crops and livestock is feasible in these areas. These include citrus, avocado, mangoes, pineapples, legumes, and other row crops; and cattle. Efforts will also be made to promote agro-processing operations, Sawh said.
"We have been examining the extent to which the facilities at Kimbia can be salvaged to serve as a base for support services to new settlers, whether these be in the area of health, education, or basic utilities.
"We already have in place an agricultural research and development facility at Ebini, which can be improved upon so as to provide the technical services, which will be so crucial to agricultural enterprises located in the area. In addition, assistance is being sought from the Israeli government (which) has undertaken to provide an agricultural advisor in tree crops," he reported.
Technical studies have been done in areas such as transportation, social services, environment, institutional and land planning.
In addition, an inter-ministerial committee has been meeting to define the responsibilities of various agencies.
Assistance is also being arranged with the Organisation of American States to establish a project execution unit and to fund certain key positions for the first year of operations, Sawh said.
He pointed out that the scheme is expected to contribute to the diversification of the agricultural economy, while providing a substantial amount of new land for cultivation.
Drowned NRC staff had no life jackets report says
Georgetown - The two National Registration Centre (NRC) staffers who drowned on January 29 could not swim, and they were not provided with life jackets, Stabroek News reported on Monday.
Sharon Proctor, 33, and Nicole Smith, 28, were on a 90-minute trip to Butakari to complete registration exercises, when the boat they were in reportedly capsized in turbulent waters near Anarika.
Smith's body was recovered the next day near the scene of the mishap, and was taken to the Wismar Hospital mortuary. Proctor's body was recovered on Friday afternoon.
Randolph Edwards, captain of the 40-foot, 65-horsepower engine vessel was the sole survivor. He has been questioned by police, but was not placed in custody.
A police spokesman said earlier this week that the vessel was not normally used as a transporting service, and was, therefore, not necessarily required to be equipped with life jackets. He also ruled out reports of foul play, and said the women had clearly drowned.
The boat is owned by Toolsie Persaud Ltd. (TPL). A company spokesman who described the craft as "unsinkable," confirmed that it was not equipped with life-jackets.
National Elections Commission Chairman, Doodnauth Singh, said that the centre had its own life-preserving equipment, which was given to staff travelling by river. However, none was issued to Nicole Smith and Sharon Proctor, who Singh and other officials said could not swim.
Singh explained that there were no life-jackets at the Linden branch of the centre, where the two women were based. He said he had received reports that the life-jackets had been left at Kwakwani.
"I find this (report) very disturbing," Singh said. "The commission provides life-jackets for riverain journeys. Unfortunately, they did not provide any for this trip, and neither did the boat have any."
An official said it was the first tragedy of this nature for the centre since it was established 30 years ago.
Last week the Elections Commission was awaiting a report from a police team which had travelled to Anarika to conduct investigations.
Singh has promised that a separate probe would be made into the circumstances of the tragedy, and which will focus on "why no life jackets were available to the two young ladies, since they were going in a riverain area."
Whether the commission will bear the funeral expenses depends on the findings of the autopsies, he added.
He confirmed there were reports that Proctor's body showed evidence of severe head injuries.
On Sunday, Proctor's bereaved father questioned why the Commission sent his daughter on the riverain journey without ensuring adequate safety measures were in place.
"My daughter should not have been allowed to travel under those circumstances. Security personnel, or a male, should have been with them," he said.
A police report said that the boat was near the left bank of Butakari, which is 48 miles from Bartica, when it began to rain. The craft was then hit by heavy breeze, and capsized.
Reports said that Edwards, the captain, was rescued by workers in an area called Water's Gauge.
A bag containing a camera, and a diary, were recovered and handed over to Proctor's relatives, reports said.
Proctor, of Amelia's Ward, Linden, was a permanent employee of the NRC, which on January 31 wrapped up its photographic exercise in preparation for the forthcoming general elections. She was the mother of two.
Smith was employed with the NRC as a clerical assistant. A TPL spokesman explained that the company offered the NRC the services of a truck and a boat to transport the women free of charge to Anarika, where the logging firm has a concession. He was at a loss to say how the tragedy occurred, since the captain had over 20 years experience in his field, and the vessel was seaworthy and equipped with a new Yamaha engine.
Georgetown - Minority leader, Desmond Hoyte, last week said the 1997 budget lacks an underlying philosophy to inform policies and move Guyana forward, Stabroek News reported on Monday.
"There is nothing in the budget which shows us how we are going to move forward next year and the year ahead. The budget is now for now," Hoyte argued in his approximately 95-minute presentation on the evening of January 31.
He also said the budget lacked a conceptual framework and seemed to be made up of a random selection of projects which show no sign of correlation.
Hoyte contended that the government needed to have a clear developmental policy, and said the People's National Congress (PNC) was in no doubt about its policy and what it wanted for Guyana.
The PNC wanted to move Guyana forward to a stage of rapid development so that it could enter the 21st century with all the foundations in place to become a viable, prosperous, and modern state, he said.
To achieve this, the party had to build a free and open society, one with democratic values, and have an economic system based on a market economy, in which private investment was given full scope to be the agent of development and modernisation.
Hoyte added that these concepts will be buttressed by social policies to protect the poor, the weak, and the disadvantaged.
"I can find in the budget no such clarity. No unequivocal commitment to these concepts I have been talking about," Hoyte said.
He added he felt there was latent hostility on the part of the government towards the private sector.
Hoyte was also critical of the tax policy, contending that the government has only been "tinkering" with it and has not adopted a bold and imaginative stand.
Growth of the economy has been lopsided, he declared, as it was only coming from gold, forestry, and bauxite. This was because there has not been any major new investment since the PNC demitted office in 1992.
He contended that the budget was just an exercise in delusion and that the theme, 'Strengthening Partnership for the Future,' was an exercise in deception.
Touching on other aspects of the budget, Hoyte said the beneficial impact of a 4.5 percent inflation rate was not visible and unemployment was still high.
In rebutting Hoyte's criticism, Leader of the House, Reepu Daman Persaud, said the PNC had no record on which to criticise the government.
Persaud read from reports published by the World Bank which were critical of the PNC's regime method of privatisation. He also cited statistics in the PNC budgets to show that the economy was on a downslide during that administration's days in office.
The PNC, he said, had a record of disaster, while the PPP/Civic had a record of growth and achievement.
Georgetown - There was a decrease in the number of reported crimes against remigrants to Guyana last year, Stabroek News reported Home Affairs Minister, Feroze Mohamed, as saying last week during his contribution to debate on the Budget for 1997.
At the time Mohamed was defending his People's Progressive Party/Civic government's crime-fighting record with statistics that showed reported crimes were on the decline.
He was also defending allocations for 1997 to the law enforcement agencies, saying money was being earmarked as could be afforded.
However, he gave the assurance that fighting crime was at the top of the list of priorities for police.
Mohamed said that while armed robberies had increased in Guyana, they were still below the figures for the years 1991 to 1993.
And the figures were favourable for remigrants, he pointed out. Last year there were seven reported crimes against returnees, of whom there were 1,269 since 1993. This debunked the perception that remigrants as a group were being targeted by criminal elements, he said.
However, according to Stabroek News, the figures were not in favour of the perception that visitors were preyed upon by criminals. The newspaper said last year's reported crimes against visitors were nine, which was 0.005 percent of the number of visitors to Guyana last year.
In other statistics, Mohamed noted that 117 unlicensed firearms had been seized.
And in commenting on the question of about criminal deportees to Guyana from other countries, Mohamed said the concern was understandable. He added it was a question which faced the entire region, and it was unfair that some countries were dumping criminals on the region's doorsteps.
Describing the problems related to drug trafficking, Mohamed said that because of the resources required to address the problems, the
government was working in collaboration with law enforcement agencies in the region. It was also working with the Royal Canadian Mounted Police and the United States Drug Enforcement Agency.
And the Joint Intelligence Committee had been revamped, not only to centralise information gathering, but also to facilitate better exchange of information with external agencies, he noted.
Mohamed said that Cabinet would soon be asked to approve a new Drug Master Plan which would encompass a comprehensive strategy for dealing with the problem, including legal and community education and drug rehabilitation programmes.
Part of this training would be carried out at the New Amsterdam Prison where a new building would house dormitories and classrooms
for drug education programmes.
Training programmes for police prosecutors were also being conducted, he said.
By Dwarka Lakhan
Toronto - 'Strengthening Partnerships For The Future' is central the theme of the (G) $49.9 billion 1997 budget presented in Guyana's Parliament last month.
According to the Ministry of Finance, the budget was prepared in consultation with a wide cross-section of the population, including the trade union movement, the private sector, non-government agencies, and community groups.
The main objectives of the budget are to improve the standard of living of the Guyanese population, rebuild and maintain the country's social and physical infrastructure, ensure equitable distribution of income and wealth, fight poverty through job creation and empowerment, and increase investments in the productive sector.
The 1997 budgetary allocations are 8.2 percent more than the 1996 budget, with a strong bias to social issues pertaining to community development, poverty reduction, housing, unemployment, wages, pensions, health care, education, the indigenous population, law enforcement, and personal income tax relief.
It is a budget designed to have an immediate impact on the welfare of the people of Guyana in the People's Progressive Party/Civic's final year of its current term in government. For this reason, some analysts see the budget as an election year budget, but careful analysis shows that in reality it focuses on a continuation of several programmes implemented earlier by the government. Election year sentiments among analysts are more or less driven by emotions.
In addition to socially related issues, the budget also tackles physical infrastructural works in areas such as roads, drainage, irrigation and sea defence, as well as broad-based development issues relating to private investments, industrial expansion, privatization and programme planning. Expenditure on rehabilitation and consolidation of the country's physical and social infrastructure will amount to $19.6 billion in 1997.
Some of the areas which will benefit include the Linden/Soesdyke Highway, the Railway Embankment road, the Georgetown-Mahaica highway and the Essequibo Coast road. The Berbice River will have a new ferry and the existing fleet of ferries will be rehabilitated. The drainage and irrigation system which supports agricultural development, will benefit from an expenditure of some $900 million, while almost 3,000 metres of new sea defence structures will be constructed, mostly on the East Coast of Demerara.
Under the country's Rural Water Programme, over 200 miles of pipelines will be laid, 76 rural water systems will completed and four new wells will be established at a cost of about $1.6 billion.
The Secondary Reform Programme will continue with rehabilitation works scheduled for 70 primary schools and the construction of 20 new nursery schools. A pilot project tackling curriculum reform will be established in 12 schools. Two new university campuses, one in Berbice and the other in Essequibo, will also be established to facilitate distance learning.
Almost $3.1 billion has been allocated to health care with the highlight in this area being the construction of a new dental school in Georgetown, while other projects emphasise upgrades and maintenance works. The City of Georgetown will benefit from both locally and IDB-funded projects aimed at improving its roads, water supply and living conditions.
On the social front, $440 million will be spent on poverty reduction, with emphasis on providing supplements to pregnant and lactating women, textbooks and uniforms for needy children, vitamins and food supplements for school children, and skills training for young school leavers, women, and unemployed persons.
This is a continuation of a three year programme, and is in addition to assistance for the poor provided by the foreign-funded Social Impact Amelioration Programme (SIMAP) and the Basic Needs Trust Fund. Pensions for retired public sector employees have been increased to 50 percent of current minimum wage while other pensioners will receive a 20 percent increase in pension payments.
Community level projects which also benefit from SIMAP assistance have received a $2 million boost in the budget to allow for the development of small projects and respond to minor emergencies. Funding has also been allocated for skills training for youths in their communities and at practical instruction centres. Youths can further benefit from the removal of the consumption of tax on sports equipment.
Amerindian communities are also major beneficiaries from the 1997 budget with $110 million set aside to fund support programmes. They will receive land titles, and undergo training programs in a number of areas, among them being teaching, surveying, and forestry. A program to promote Amerindian arts and crafts for the export market will also be implemented.
The government has distributed more than 12,000 house lots over the past five years. In conjunction with this programme, tax concessions to reduce the interest rate on loans and make more credit available for constructing new homes have been made available in the 1997 budget. The ceiling on the loans is $1.5 million while the maximum value of the cost of construction cannot exceed $2 million.
This year's budget has once again provided tax relief to lower income individuals by increasing the income tax threshold from $15,000 to $18,000. According to the government, this means that a further 11,000 people will no longer be required to pay income tax. However, a new tax structure which favours the rich by placing a heavier burden on middle class has been introduced. Now, all income in excess of $35,000 annually will be taxed at the rate of 33.3 percent. Most Guyanese workers earn more than $35,000 per year.
The consumption tax on selected plants, machinery and equipment used by the mining, forestry and manufacturing industries has been removed, while it has been reduced on aviation fuel for the benefit of internal transportation to support tourism and mining. The export tax on fish and shrimp has been zero-rated to promote growth in these industries. The government also announced that it is examining tax incentives for the benefit of investors and that 75 percent of the income of non-traditional exporters will now
be tax-exempt.
Once again, public sector workers have received a wage increase, this time 20 percent. Since 1992, minimum wages in the public service has almost tripled, rising faster than the inflation rate. The government's wage bill will increase from $6.9 billion in 1996 to $9.1 billion in 1997, clearly showing the burden of a bloated public sector.
The budget also re-emphasized the government's commitment to develop the country's manufacturing and industrial base. Agro-industry and wood processing received special mention. These areas offer employment opportunities for youth, revenue for the government, and foreign exchange for the country.
According to the budget document, "it is for these reasons that (the government) will work closely with the local and international banks to provide long term pre-and post-shipment financing, venture capital, and other related financial businesses" that can play a crucial role in the development of these areas.
In addition to the development of the traditional productive base, the budget identified other areas which will be examined in 1997 with a view to achieving long term growth.
These areas include feasibility studies with respect to bridging the Berbice River, developing a deep water harbour, establishing a container port in the Soesdyke area, setting up a port service in the Corentyne, upgrading New Amsterdam into and entrepot, and expanding and/or constructing a new international airport.
Undoubtedly, these projects show that the government is looking at long term development.
By Peter Jailall
Toronto - The greatest exodus in the history of Guyana took place during the rule of the People's National Congress (PNC), especially in the late 1970s and early 1980s.
In those debilitating years, hundreds of thousands of Guyanese fled the country, running away from the political dictatorship, seeking a life of peace and safety.
The bosses ruled Guyana during those bitter days with an iron fist, removing anyone who dared to oppose them.
The PNC rulers didn't care what racial group you belonged to; they punished you; even killed you, if you dared to challenge them.
As a matter of fact, if you were Guyanese of African descent you should have known better, and the licks you received were even hotter.
Some smart Indo-Guyanese, and people from other racial groups caught on quickly, and to avoid the 'cutrass' quickly purchased a PNC party card. This card also gave them access to jobs, promotions, and business opportunities.
And even to this day there are many prosperous old-money ex-PNC Indian business people who would like to see them back in power again. During those dreadful days, these businesses donated generously to the PNC, and even paid protection money.
The rulers of the day humiliated ordinary Guyanese by making them line-up for food, soap, and oil.
Law and order broke down, and bandits roamed Georgetown, taking occasional joy rides into the country, kicking down doors and terrorizing peaceful citizens.
Decent-minded Guyanese of all races could not stand the humiliation and terror, and so they fled by air, by land, and by sea, abandoning home, property, and money.
They fled to any country that would give them shelter.
The exodus saw families being broken up. Today many still are in a state of disrepair. Senior citizens, instead of warming themselves in the Guyana sunshine and the land of their birth, are instead spending their golden years in the cold, having kissed their pensions goodbye.
Many Guyanese were humiliated abroad, unable to secure employment to match their experience and qualifications.
Many suffered racial discrimination at the hands of their new employers at their different workplaces.
Many women were abused during the exodus. Children were separated from their parents. The kids appeared in foreign schools with gaps in their education.
Youths experienced high unemployment and alienation abroad. This drove many of them into the underworld. Now, they are returning voluntarily, while others are being deported by foreign governments.
Many Guyanese are fed up with the hardships abroad. In 1996 alone, 1,053 Guyanese were deported by foreign governments, some for violent crimes, others for drug-related offences.
Do Guyanese at home have an obligation to welcome these criminals? Should Guyanese taxpayers contribute to their rehabilitation?
There is also another layer to this dilemma. How do we deal with these situations with the understanding that these people were pushed out of their own homes and country? How do we expect them to live? To whom should they turn?
And on the wider issue of remigrants. As we know, many Guyanese who stayed at home resent the returnees, these expatriates who have come back in better times.
Then there are some Guyanese never made it on the return trip. They died during the 'neo-Middle Passage.'
Days before last Christmas, six Guyanese drowned in the Atlantic off the coast of Venezuela as they were trying to reach Guyana on a sailing boat that sprang a leak and sank.
Then on January 7, three Guyanese drowned in the Gulf of Mexico.
A few years ago a young woman was travelling 'backtrack,' hidden in a secret compartment of a truck as the driver tried to smuggle her across the border from Canada to the United States. She asphyxiated from inhaling carbon monoxide gas.
There are many, many more horrible stories of Guyanese who suffered and died trying to escape the wrath of those dreadful rulers. Now, many Guyanese from all walks of life want to return to their homeland.
Some, though, are reluctant to return because of the negative reception they'll receive:
"Al' yu expatriates come back now, nah! Weh al' yu been w'en we bin tekking PNC blows? Yu al' run 'way."
Guyanese at home must learn to forgive and forget. They should welcome their prodigal brothers and sisters with open arms.
The above news items were all courtesy of:
Indo Caribbean World
312 Brownridge Drive, Thornhill,
Ontario. Canada. L4J 5X1
Voice: 905-738-7005; Fax: 905-738-3927.
E-mail: celels@globalserve.on.ca
Publisher: Harry Ramkhelawan
Editor: Romeo Kaseram