Latest update April 23rd, 2024 12:59 AM
Sep 06, 2014 News
– Forestry Commissioner maintains GFC in on the ball
In the wake of the uproar over the failure of international timber companies here in Guyana to actually upkeep promises made, the Ministry of Natural Resources in association with the Guyana Forestry Commission and Forest Products Development and Marketing Council yesterday held a seminar on value-added forestry.
Over the last month or so, Indian based company Vaitarna and Chinese Logging company Bai Shan Lin have been exposed in media reports for not having lived up to years-old pledges for the establishment of wood processing facilities.
As the notion of “value- added” continues to be a pressing issue up for debate, Commissioner of the Guyana Forestry Commission, James Singh maintained that his agency continues to be on the “ball” when it comes to addressing the issue.
According to Singh, the GFC acts in an enabling environment in terms of legality. He explained that the entity helps link manufacturers to producers in many instances. Singh told investors and key stakeholders that the GFC would also facilitate direct access to State Exploratory Permits to a manufacturing group with the aim of providing a regular supply of raw materials for value-added entities.
He said that GFC has also demonstrated to the sector how to process logs even into rough sawn lumber which would increase probability and employment. Singh added that the GFC has a zero rating on machinery/equipment.
More so, the GFC head told participants that the Commission has coordinated the formulation of the National Log Export Policy, which the Government had proposed a total ban on. Singh disclosed that the stakeholders opted for a graduated export commission increase.
Further, Singh said that the public has to fully understand the National Log Export Policy if “value added” is to be understood. He explained that the National Log Export (NLE) places a graduated scale of export commission on key species of timber. He said that the policy is in its second phase of implementation, the first phase having been completed in 2012.
Moreover, Singh explained that the Guyana Forestry Commission, in an effort to ensure there is “value added,” has developed a Code of Practice (COP) for processing. Singh explained that the Code of Practice outlines a very systematic approach to improving the operation of processing facilities, and also that a check list has been developed to help in this regard for the implementation schedule.
Among the provisions of the COP are techniques to improve sawing, sawmill layout, stacking and storage of lumber, Singh told the participants.
He noted that the medium to long term impact of the code, will see the improvement in quality and standard of products being produced at the sawmill level and an overall higher level of efficiency and profitability in operations.
Further, Singh stressed that much “value added” is being done since the GFC has supported “kiln drying”. He explained that with the provision of three community kilns, which were established with the aim of small and medium scale enterprises to have easy, cost effective access to drying facilities, it is intended that the quality and range of forest products being produced at this scale of operations will be improved.
Singh said that the GFC has a sub-sector incentive for sawmilling and manufacturing. He said that while recognizing the importance of added value within the forest sector, there has been a zero-rating of manufacturing forest products.
In 2009, Singh had said that there was a national scale zero rating of all export of kiln dried wood products.
Singh said with the GFC pushing further for value added activities, it cannot happen once several pertinent steps are in place. He said that “value added” cannot happen in isolation, but there must be an enabling environment.
He said that there must be the appropriate skills base and labour. Secondly, there must be reliable and cheap electricity. There must also be access to affordable finances to retool and acquire appropriate low cost technology.
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