Citrus industry to expand to Guyana

Wednesday, June 4th 2008


Prime Minister Patrick Manning on Monday gave support to a plan by the Co-operative Citrus Growers Association of Trinidad and Tobago to expand the industry in Guyana. According to a release from Whitehall, Port of Spain, the association, led by president Felix Clark, shared a long list of plans with Manning for the expansion and sophistication of the citrus industry.

The release stated that Clark told the Prime Minister that the association was interested in expanding its operations into Guyana, in order to take advantage of unused acreage in that country and as a result increase its operations to service an export market.

"The Prime Minister indicated that the Government would be interested in supporting such an initiative and would consider a partnership with the citrus growers towards achieving this end," the release stated.

Some of the other plans of the association included enhanced use of the cooperative arrangement, which, according to the citrus growers, has proven to be a very successful method for increasing production.

Manning encouraged the citrus growers to continue an already started diversification plan, where the by-products of various agricultural and commercial processes are used to make feed for animals and the formation of service company to support the citrus industry.

http://www.trinidadexpress.com/index.pl/article_news?id=161333342

And some people say that Guyana should leave Caricom!

quote:

Originally posted by caribj:
And some people say that Guyana should leave Caricom!

This is not a bout Caricom, it is about an asset that Guyana have and Trinidad want. Basic supply and demand. Trinidad ain't doing Guyana any favor, its merely a business proposition based on competetive advantage.

quote:

Originally posted by caribj:
And some people say that Guyana should leave Caricom!

What does that have to do with Caricom? What does being in Caricom bring extra for Guyana? Is there any Caricom preferential rule that oil rich TT invoked for this investment? Please enlighten us.

They see a large potential given Guyana's land mass and given their wealth, and the potential for Agro recently, they thought is was a good investment. Barring that, they would just be contented with the status quo.

quote:

Originally posted by caribj:
And some people say that Guyana should leave Caricom!

If all the Caricom countries invest in Guyana then there will room for real integration..

quote:

If all the Caricom countries invest in Guyana then there will room for real integration..

careful wuh yuh wish fuh ...they might plant more then citrus fruit seeds in Guyana .

yuh know is sad how the GOG cannot create conducive conditions for guyanese to invest at this level in guyana . but is all good ! the more the agri based economy can expand the better .

quote:

Originally posted by kidmost:

quote:

If all the Caricom countries invest in Guyana then there will room for real integration..

careful wuh yuh wish fuh ...they might plant more then citrus fruit seeds in Guyana .

yuh know is sad how the GOG cannot create conducive conditions for guyanese to invest at this level in guyana . but is all good ! the more the agri based economy can expand the better .

The atmostspere is there for Guyanese to invest in their country but the thing is they all want the Government to kiss their asses before they do..

quote:

Originally posted by caribj:
And some people say that Guyana should leave Caricom!

Note to self!

Ignore Idiots!!!!

quote:

Originally posted by Ramakant_p:

yuh know is sad how the GOG cannot create conducive conditions for guyanese to invest at this level in guyana . but is all good ! the more the agri based economy can expand the better .

The atmostspere is there for Guyanese to invest in their country but the thing is they all want the Government to kiss their asses before they do..[/QUOTE]


You really think that's where the problem lies??

quote:

Originally posted by baseman:

quote:

Originally posted by Ramakant_p:

yuh know is sad how the GOG cannot create conducive conditions for guyanese to invest at this level in guyana . but is all good ! the more the agri based economy can expand the better .

The atmostspere is there for Guyanese to invest in their country but the thing is they all want the Government to kiss their asses before they do..

You really think that's where the problem lies??[/QUOTE] No that's only a part of of the problem. The other part is that the expatriates are not educated enough about starting a business. How to go about getting a licence, obtaining rental permit or purchasing lands, etc,,

This is not just another seminar, not just another paper producing conference. You're not going to see a document published at the end lauding the success of this conference. We will be successful if we just create the contact with the investors and the bankers. We see this as a networking forum centrally," President Bharrat Jagdeo, who spearheaded the event, told reporters at a press conference on Wednesday. (File photo)

GEORGETOWN, Guyana, June 5, 2008 - As government representatives from across the Caribbean meet in Guyana on Friday for the much anticipated Regional Agriculture Investment Forum to boost food production and private investment in the region's agriculture, the host Prime Minister has made it clear that only serious investors will be admitted.

"This is not just another seminar, not just another paper producing conference. You're not going to see a document published at the end lauding the success of this conference. We will be successful if we just create the contact with the investors and the bankers. We see this as a networking forum centrally," President Bharrat Jagdeo, who spearheaded the event, told reporters at a press conference on Wednesday.

"Subsequently, hopefully there'd be follow up action to do the necessary technical work from both sides with due diligence and hopefully these will result in concrete projects," he added.

The Caribbean Community (CARICOM) Secretary-General Dr Edwin Carrington also pointed to the seriousness of the meeting, saying that it was a case of "getting down to practical brass tacks".

"It will receive the full support from not only our governments but the business community, our banking sector," he said.

Dr Carrington said that Latin American countries have also expressed interest in coming on board and will be attending the forum. Among them are Argentina and Brazil.

At least 150 persons have registered for the event and representatives of the World Bank and the International Monetary Fund are also expected to attend.

Meantime, Dr Carrington has indicated that aside from the main forum the Community Council will also be meeting simultaneously.

"The participants at that meeting of the Council we hope would be able to participate in the opening session of this (investment forum) and interact with them, so we are looking forward to a very productive and creative interchange and exchange over the next couple of days in Guyana as the foundation for enhancing our agricultural production," he said.

http://www.caribbean360.com/News/Business/Stories/2008/.../NEWS0000005917.html

Once upon a time in a country named Guyana, there was so much citrus fruit that they used to have to sell it off cheap cheap cheap.

Now poor little Trinidad is going to show them hold to mass produce and market citrus, and little Jamaica is going to teach them how to grow and sell rice.

All together now,

Dear land of Guyana of killers and pain, made rich by the bribery and lush with cocain.

The rate of return will be higher for Guyana if they use the land for ethanol. Ethanol is the best opportunity to kick start Guayna's industrialization.

It is a bad idea for Guyana to grow the fruits and then process it in Trinidad. T&T gets the value added and not Guyana. At the end of the day, manufacturing have a lot more Shumpeterian kick than only agriculture. Agriculture by itself is not good enough.

I find it strange they cannot find Guyanese to do these farming.

quote:

Originally posted by Ramakant_p:

quote:

Originally posted by baseman:

quote:

Originally posted by Ramakant_p:

yuh know is sad how the GOG cannot create conducive conditions for guyanese to invest at this level in guyana . but is all good ! the more the agri based economy can expand the better .

The atmostspere is there for Guyanese to invest in their country but the thing is they all want the Government to kiss their asses before they do..

You really think that's where the problem lies??

No that's only a part of of the problem. The other part is that the expatriates are not educated enough about starting a business. How to go about getting a licence, obtaining rental permit or purchasing lands, etc,,[/QUOTE]


That's BS, to do this you hire the local experts. These are legal and admin aspects of setting it up and you hire local firms, Legal, Tax, and other consulting. I doubt this is the issue. How does a foreign firm do it??

quote:

Originally posted by Ramakant_p:

quote:

Originally posted by baseman:

quote:

Originally posted by Ramakant_p:

yuh know is sad how the GOG cannot create conducive conditions for guyanese to invest at this level in guyana . but is all good ! the more the agri based economy can expand the better .

The atmostspere is there for Guyanese to invest in their country but the thing is they all want the Government to kiss their asses before they do..

You really think that's where the problem lies??

No that's only a part of of the problem. The other part is that the expatriates are not educated enough about starting a business. How to go about getting a licence, obtaining rental permit or purchasing lands, etc,,[/QUOTE]

Isn't this the job for Go-Invest to make it seamless for expats?

quote:

Originally posted by TK:
The rate of return will be higher for Guyana if they use the land for ethanol. Ethanol is the best opportunity to kick start Guayna's industrialization.

It is a bad idea for Guyana to grow the fruits and then process it in Trinidad. T&T gets the value added and not Guyana. At the end of the day, manufacturing have a lot more Shumpeterian kick than only agriculture. Agriculture by itself is not good enough.

I find it strange they cannot find Guyanese to do these farming.

This is not a guyanese project.. There is enough land for citus fruits and enough for ethanol. They can do both.. trinidad and jamaica need citus fruits and they are using Guyana to make themslves self sufficient.. Guyana will receive lots of revenue for the project..

Guyanese can go to the west indian islans and work. Why should the west Indians Islans be allowed to invest in Guyana?

quote:

Originally posted by TK:
The rate of return will be higher for Guyana if they use the land for ethanol. Ethanol is the best opportunity to kick start Guayna's industrialization.

It is a bad idea for Guyana to grow the fruits and then process it in Trinidad. T&T gets the value added and not Guyana. At the end of the day, manufacturing have a lot more Shumpeterian kick than only agriculture. Agriculture by itself is not good enough.

I find it strange they cannot find Guyanese to do these farming.

That is risky. If/when oil drops below $80, these all become not viable. To do this, investors might want some return guarantees from the Govt which they probably won't want to give. In the end, fossils are here to stay.

quote:

RAMA:This is not a guyanese project.. There is enough land for citus fruits and enough for ethanol. They can do both.. trinidad and jamaica need citus fruits and they are using Guyana to make themslves self sufficient.. Guyana will receive lots of revenue for the project..

I'm still waiting for them to do both.

quote:

You really think that's where the problem lies??

No that's only a part of of the problem. The other part is that the expatriates are not educated enough about starting a business. How to go about getting a licence, obtaining rental permit or purchasing lands, etc,,[/QUOTE]

We would become educated if the government had the information published, and one could then go to the various agencies and simply apply and pay the required fees. Instead trying to get information is preceived as wanting to break into Forth Knox, one has to take a clerk to lunch or pass a lunch money for the simply act of obtaining an application form. And you are tax depending on who you are and how much the officer like your head. There is no standard for anything in Guyana. That my friend is the problem.

At present I'm willing to send in a tractor to help out on a farm, I spoke to customs and no-one knows how I should be taxed and what my taxes would be. So why should I bother with the hassle?

quote:

No that's only a part of of the problem. The other part is that the expatriates are not educated enough about starting a business. How to go about getting a licence, obtaining rental permit or purchasing lands, etc,,

Isn't this the job for Go-Invest to make it seamless for expats[/quote]

Mitwah, the below piece by Peeping Tom speaks to the heart of your very question.

Kaieteur Newspapers 6/4/08

Peeping Tom
SIXTEEN YEARS AFTER
Investment incentives in Guyana are so clouded in uncertainty that entrepreneurs interested in investing here are better off rolling a dice than trying to determine what incentives they are entitled to. Heads, you are lucky; tails, you had better take your money and look elsewhere.
There is no single document available outlining the general principles that guide investment incentives in Guyana. There is no single document that assures there will be parity between local and foreign investments of the same size, type, and in the same sector. There is no single document that indicates what an investor injecting X dollars into a sector and creating Y jobs will be entitled to. There is no single document detailing the preferred sectors for investment, and what incentives will be offered for investments in that sector.
We may have an investment code that provides comfort and assurances against nationalization, and safeguards about compensation at market values; but we do not have an investment code that an investor can pick up and decide what Guyana needs and what it is offering in the form of fiscal concessions.
The lack of such basics as a fair and transparent system of investment incentives will only encourage certain forms of predatory investments. Guyana does not need these types of investment that plunder the resources of our country, exploit our labour force, and ships all the profits out of our country without any meaningful benefits to show the Guyanese people.
When there are no clear rules, everything is left to the goodwill of the Government and the negotiating skills of the investor, a combination that does not always ensure the best deal for the country.
When there are no clear rules for offering investment incentives, investors are left at the mercy of the Government. Investors are forced to line up and go through the hassles of individually negotiating concessions for their investments, a situation that is not conducive to attracting investments.
In such an environment, characterized by uncertainty and unpredictability, it is no wonder that there is so much controversy over investment incentives offered by the Government to companies wishing to invest in Guyana. This, ultimately, will also spur criticisms of an uneven playing field in the granting of concessions.
This is precisely what is happening in relation to the concessions offered to the companies that are being established at the former Sanata Textiles Mill complex. We were initially told that what we are dealing with was a US$27M investment, and that the concessions were in support of this investment. Then it was clarified that the wide-ranging concessions, which included the waiver of taxes and five-year renewable tax holidays, were only for two companies.
Now, since there are supposed to be six companies operating, and since only two companies will enjoy the tax holidays and waivers, then what we have are wide-ranging incentives for an investment far less than the US$27M.
The question, therefore, is what happens to other investors who may wish to invest in the manufacturing sector? How are they to know what they will be entitled to?
What must they do, come up with their investment proposals, then take them to the Government, who will decide what concessions will be offered? Is this how it works? Is this how it should work?
The viability of investment proposals is in part dependent on the benefits accrued from the incentive stream. If you do not know what incentives you are entitled to, how could you develop a proper investment proposal, which I should mention is not a cheap exercise? It costs millions of dollars to simply produce an investment proposal.
Now, why would anyone wish to produce an investment proposal for Guyana when they are not certain what concessions they will enjoy or what relief they will benefit from under the In Aid of Industries Tax Act?
Guyana is competing with hundreds of countries for investments, and therefore we need a fair, transparent investment incentive code that sets out the guidelines governing investment incentives for various levels of investment for various sectors.
What we do not need is a situation where investors have to sit and hammer out tax waivers and holidays on a case-by-case basis. This will ultimately, as it no doubt has, discourage investors and lead to all manner of accusations concerning the granting of concessions.
We must, in developing such a code, give greater encouragement to those investors who reinvest their profits in Guyana, rather than taking it aboard. Countries like Tunisia, for example, provide tax breaks for this form of reinvestment.
We must not, also, forget local investors who, over the years, have been sustaining this economy, who pay their taxes and who may need retooling concessions. What are being offered to our local investors to allow them to compete with other investors who may have enjoyed generous tax concessions? How are we levelling the playing field?
At Sanata, we are told that a denim factory will be established. Can the Peeper establish a garment factory and enjoy a five-year tax holiday and a waiver on all imports? Or do I have to go and negotiate these concessions?
These are fundamental questions that need addressing in this country, because, unless they are addressed, then investment incentives in Guyana will continue to be clouded in uncertainty and controversy. And for this to be happening sixteen years after the PPP assailed the deals made by the Desmond Hoyte Government is a sure sign that we are retrograding.

quote:

RAMA: Guyanese can go to the west indian islans and work. Why should the west Indians Islans be allowed to invest in Guyana?

Was that the key point I was making? Man, why dont you just enjoy your old days?

I find it strange they cannot find Guyanese to do these farming.[/QUOTE]

It's not strange. Throughout the caribbean people have turned away from the land, and big farmers are having a hard time recruiting labor.