Production Of Rice And Sugar Slashed By Half In First Quarter – Bank of Guyana

• Despite claims that there is no sugar shortage, the Bank of Guyana (BoG) quarterly report has documented quite the opposite recording a fall in production not only for sugar but rice as well – two of the country’s largest export commodities.
• Guyana reported decreases in the production of rice and sugar by 53.1% and 47.7% respectively. The country’s central bank noted that the substantial decline in rice production was attributed to the adverse effects of flooding in the previous year, which meant farmers were prevented from sowing all available lands for the first crop of 2022.
• When it comes to sugar, it was explained that the 47.7% drop in production was as a result of the halt on grinding at the Uitvlugt sugar estate, caused by mechanical issues. These challenges, the BoG revealed, had a major impact on the country’s total production as the estate was responsible for 25% of the output.
• Of note, the bank explained that the Guyanese economy recorded a mixed output performance from its major sectors during the first three months of 2022. According to the report, “As oil and gas activities continued, the non-oil economy experienced moderate growth on account of economic activities regaining momentum from the full reopening of the economy coupled with fiscal measures to alleviate the rising costs of production and services.”
• Importantly, despite the decline in Q1 2022, strong exports from the oil sector will lead to significant GDP growth in 2022

(Source:  Kaieteur News)