Log traders who do not have concessions have been banned from exporting timber as Guyana takes steps to ensure there is adequate supply of timber on the local market.
Minister Persaud meeting with the Guyana Forestry Commission, the Forest Products Association, the Private Sector Commission and the Guyana Manufacturers Association in the Agriculture Ministry’s boardroom
This announcement was made by Agriculture Minister Robert Persaud during a meeting with the Guyana Forestry Commission, the Forest Products Association, the Guyana Manufacturers Association, and the Private Sector Commission to discuss a local shortage of building materials. That meeting was held at the ministry’s boardroom on Monday, August 22.
According to the minister, this non-export policy has always been in place, but it was relaxed following lobbying efforts by the Forest Products Association. A team comprising members of participating organisations will be meeting on a weekly basis to come up with ways of improving production to meet local demand.
“A number of the private as well as public government contracts are on hold due to inadequate supply (of timber), and we have problems, too, where not only these projects are on hold, but they can affect employment and economic activities in the country,” the agriculture minister pointed out, while explaining the gravity of the situation.
A troubling issue is the underproduction of some large concessions. The minister disclosed that 61 per cent of lumber produced is exported, and 89 per cent of these exports comprise logs which are badly needed here.
“If we look at the amount of people that are sitting on concessions, I’m not sure how we can manage and run our operations if we are sitting on this vital resource and not utilising it,” Persaud lamented.
He explained that this situation is not being treated lightly, and it will be rectified. “We are in the process of reallocating close to four TSAs (Timber Sales Agreements)… We will be reallocating those and a further 100 SFPs (State Forest Permits) before the end of the year/early next year, where we have non- performers. So we are taking action against those who are just sitting around, or, for some reason, have been unable to provide…,” the minister declared in addressing the poorly attended meeting.
According to Persaud, government has allocated 100 SFPs, and is examining another three for allocation this year.
Emergency situation
Describing the situation as an “emergency”, the minister with responsibility for forestry said it is not the government’s intention to ban the exportation of timber, but satisfying local demand is the priority.
FPA President Hilbertus Cort explained that the association was shocked to hear of the shortage, since there are members who have timber available for sale locally.
“Most of our members have in stock lumber which they are willing to make available for the local market. For instance, Toolsie Persaud has been advertising on the local market,” he pointed out.
However, some loggers explained that people steadfastly choose certain types of wood, such as greenheart, which is in fact limited in many concessions.
“We have not been able to get people to move away from greenheart. And when you look at these concessions, especially new ones, and you look at the percentage of greenheart in these concessions, it’s somewhere between three and five per cent. How can we meet that demand? And therefore you got to get people to start using other species,” explained Kim Kissoon, of Kurunduni Logging. He disclosed that he has been trying to explain to consumers that there are good alternatives to the types of wood they desire, and he believes that a campaign should be initiated to address the matter of informing the public.
He and other loggers requested information on how much lumber is needed, so that they could work towards fulfilling the demands.
Persaud indicated that this information would be forthcoming in another few days. He also said the PSC and government would collaborate in staging a sensitisation workshop with contractors, including those working with government, and with architects and other stakeholders.
Meanwhile, PSC Vice Chairman Yog Mahadeo, in his contribution, questioned the minister on whether the country may be close to its deforestation limit, in keeping with international obligations. Minister Persaud replied that the situation is quite the contrary. In fact, only about 16 per cent of the country’s capacity has been utilised. “We have spare capacity to move by as much as 84 per cent, anyone who suggests that the LCDS is constraining output is seriously out of touch,” he stated.
