Agricultural diversification project may be finalised shortly

Georgetown, GINA, November 19, 2007.

The US$22M Agricultural Diversification Project, being negotiated between the Government of Guyana and the Inter-American Development Bank (IADB), is expected to be approved early next month.
This is according to Resident Representative of IADB Marco Nicola, who made the remarks at the launching of the Small Farmers Livelihood Project (SFLP) today at the IADB Main Office, High Street, Kingston, Georgetown.
Minister of Agriculture Robert Persaud, who was also at the event, noted that this is one of two major projects being pursued by Government to encourage advanced agricultural diversification with focus on promotion of non-traditional crops and livestock activities that have great potential to increase contributions to the national economy.
He disclosed that final negotiations for the US$6.8M Rural Enterprise and Agricultural Development Project are scheduled to start next week with the International Fund for Agricultural Development (IFAD) in Rome, Italy.
Both initiatives are focused on the need to tackle poverty and improve the living standard of farming and rural communities and to develop a market/export driven production.
These projects form part of Government’s commitment to advance agricultural development in Guyana by developing the non-traditional industries and diversifying within the traditional sectors.    
Guyana’s agricultural diversification thrust is focused on the production of fruits, vegetables, livestock and fisheries. Production of value-added products from these commodities and agro-industrial development are also targeted in the diversification drive. 
Four crops – pumpkins, peppers, pineapples and plantains, and one livestock activity – beef, have been identified to lead the country’s diversification initiative while other potential industries are being explored. These include soya beans in the Intermediate Savannahs, ethanol and bio-fuel.
Earlier this year, Government established a Ministerial Advisory Group to ensure that diversification remains at the top of the agenda and that the momentum to encourage the activity is maintained. The group consists of 17 members from both the private and public sectors.
            Last December, an Agriculture Diversification Summit was hosted by the Ministry of Agriculture and the IADB. Representatives from several countries made presentations relating to their respective diversification experiences. Various international agencies’ representatives also made presentations as they advised on models and approaches for Guyana to have a successful agriculture diversification programme.
Increasing globalisation and changing global trade regimes that resulted in suspension of preferential markets, previously enjoyed by small developing countries including Guyana, have placed considerable pressure on agricultural exports from these States. It is therefore, imperative that these economies effectively and efficiently diversify their agricultural base to achieve sustainable development.

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