‘No end in sight for drop in prices for greens’

Nov 21, 2023 News

– Pres. Ali blames dry weather, market forces

Kaieteur News – In response to citizens’ concerns over rising prices of basic food items, President Irfaan Ali discussed the complexities arising from a prolonged dry spell and other factors affecting agricultural production.

While uncertainty lingers on when ‘greens’ prices will normalise, President Ali highlighted that ongoing government interventions, including a recent $5 billion assistance are all aimed at alleviating farmers’ challenges.

President of Guyana, Irfaan Ali on the sidelines of an event speaking to reporters on Monday

Speaking to reporters on the sidelines of the European Union (EU) Global Gateway Economic Mission on Monday, President Ali explained how the dry spell, coupled with other variables beyond the government’s control has led to reduced yields and productivity. “Basic theories are that if there is a drop in supply and demands has not decreased, then price increases so that is primarily the main issue that we have here.”

Mohamed Haniff photos

Despite efforts to minimise these impacts through measures and policies, he acknowledged the persistent climatic conditions and their adverse effects on the upcoming second crop, particularly ‘greens’ expected in mid-December. Ali continued, “the crop will also be affected because the dry season continues…we expect the dry season to continue even into the first quarter of next year, so we are working on supporting the farmers so their input cost could come down but they are faced with a challenge that even with reducing input cost, the climatic condition is affecting severely their productivity which is yield, and also destroying their crops completely so there is a major problem with supply.”

When questioned about the timeline for a return to normal produce prices, President Ali likened it to being asked when rain will fall. Moreover, President Ali emphasised the multifaceted nature of the issue, detailing the challenges faced by farmers, from decreased supply to crop destruction due to extreme heat. He underscored the government’s focus on supporting farmers by reducing input costs and facilitating structured markets across the country to stabilise prices. He further stated, “We would love it to come down tomorrow, but what the government has to do is to implement measures that minimise the impact, we have done that, that is why you see the low inflation rate that is why you still see food available on the market.”