New food storage facilities to cushion global price swings – Pres Ali
The government is building storage facilities for rice, honey, poultry and fresh produce to store up to three months’ supply of food, helping to maintain stable prices when global markets are disrupted.
President Dr Mohamed Irfaan Ali shared the plan on Monday during his keynote address at the first-ever Farmers’ Conference at the Arthur Chung Conference Centre (ACCC).
He believes food security calls for the same planning strategy countries use for fuel.
“In today’s market, just like oil, if you have massive storage facility for oil and you buy when oil is cheap and you can store that oil, you have a longer security period in terms of stability in your market. It’s becoming the same for food because of climate-related events,” he said.
He futher explained that “When chicken price is stable, we load up our storage. So, when prices go up because of something that is happening globally…We have a three-month buffer of food supply to stabilise the market.“
The head of state also highlighted the volatility of the global rice market, which shifted from a glut in January to a shortage just nine months later.
“That’s the dynamism of the food market today. That is why we have to invest in the regional food hub,” he said.
Storage facilities for rice are being built in Regions Two and Three, along with a national storage facility for honey. Private poultry producers are investing more in storage, chill room capacity is being increased, and a regional food hub is being built for fresh crops and vegetables.
President Ali said the facilities will also strengthen Guyana’s role in food security for the Caribbean. The plan is being developed with Northern Brazil and the Caribbean as key partners.
“Just imagine if we can have the capacity in the country to hold three months of food supply for the Caribbean,” he said.
The International Monetary Fund’s latest assessment of Guyana found that food makes up one-third of the consumer price basket. That means changes in food prices are felt directly in household budgets.
The president noted that production has risen sharply since 2020, but demand is also growing as more workers come into the country. He said production, productivity and yields must keep rising for supply to keep up, adding that keeping food affordable is a shared responsibility.
“We have a responsibility together, the farmers, the government and the retailers, to work on keeping food prices affordable,” President Ali said. Together we will build a sector by 2030 that is unimaginable.”
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