Positive response to food assistance exercise 

Georgetown, GINA, May 10, 2008.

The ongoing sale of subsidised flour at various locations countrywide as part of Government’s interventions to cushion the impact of rising cost of food for Guyanese is progressing smoothly with positive response from consumers.
            Earlier in the week, President Bharrat Jagdeo announced several additional measures to help citizens particularly the vulnerable groups deal with the current food price situation.
These include an arrangement with several bakeries to prevent the increasing cost of wheat from passing on to consumers and the sale of flour at the old price through a distribution exercise being conducted by the Guyana Marketing Corporation (GMC).
            Minister of Agriculture Robert Persaud today witnessed the distributing exercise at Diamond/Grove, East Bank Demerara, where it was observed that the initiative is receiving significant responses.
            Minister Persaud explained that the initiative is a temporary arrangement that seeks to reach out to those most vulnerable and represents a significant investment by Government. It is estimated that approximately $1.8M is being invested to carry out the exercise taking into account the cost of transportation and staff along with supplies.

The mobile unit selling subsidised flour at Diamond/Grove, East Bank Demerara

The exercise is targeting distribution of close to 150, 000 of the one kilogramme packets in areas in Georgetown, East and West Bank Demerara, East and West Coast Demerara, Berbice, Linden and Essequibo. To guard against reselling the flour only two packets are allowed for each consumer.
               Beneficiaries from the East Bank Demerara expressed satisfaction with the interventions being made by Government particularly since the price increases are caused by global factors.   
                Earlier this year a similar exercise was initiated for rice supplies and this is continuing through the GMC.
              Some of Government’s earlier interventions to help citizens deal with the current food price situation included the removal of the Value Added Tax (VAT) on basic food items and zero-rating of the Excise Tax on diesel and reduction on gasoline.
There has been strict monitoring of rice to ensure an adequate supply for the local market and non-restriction on the importation of flour to stabilize prices and attract quality flour in the domestic market.
            In addition, a Ministerial Task Force chaired by Minister Persaud has been established to further analyse the effects of the rising cost for fuel on the international market.   
The Grow More campaign is another effort to ease the rising cost of food and encourages farmers to increase crop cultivation and livestock rearing to ensure adequate food supplies for themselves and the country and to help satisfy the demand in the Caribbean Region and internationally.
One of the new measures recently announced is the distribution of approximately 600, 000 packets of seeds and planting materials to support increased agricultural activities countrywide.

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