Private sector body says Deepwater harbour a matter of priority

The Private Sector Commission (PSC) is calling for crucial infrastructural development, including a deep-water harbour to be addressed as a matter of absolute urgency. The commission believes that the broadening of the country’s economic base, the Brazil road, hydroelectricity and interior airstrips are critical to attracting valued-added investment and in order to reduce dependence on commodity price import and export.
According to PSC Chairman Ronald Webster, over the last six months, global commodity prices for rice, sugar, bauxite and gold have fallen dramatically, in addition to the rise in fuel cost, corn and soya products; placing a burden on the economy.
The PSC chairman said that the local economy has fortunately become more diverse, allowing for a certain amount of cushioning.
“However, these external pressures will have an impact, regardless, and we must find a way to mitigate this impact and guard against accusations being bandied about that it is the fault of government or the opposition,” he added.
Webster mentioned that if such a situation is improperly handled, it can lead to chaos and unrest.
He disclosed that 2012 was a flagship year for many businesses in the private sector, most of which achieved robust and unprecedented growth.
Although, there was a slowdown earlier in 2013, most businesses recorded some amount of progress and momentum which is projected to continue.
There was impressive fiscal performance of 4.8 per cent growth in Gross Domestic Product (GDP) and increases in all the productive sectors with the exception of sugar.
Webster said that had sugar broken even; the GDP growth rate would have been recorded at six per cent.
Faults
He faulted production downtime, poor yield and terrible prices as contributors to the ineffective functioning of the sugar sector.
Webster stressed how critical it is for the sugar industry to develop a high level of efficiency in the long-term.
Despite the slippages in commodity pricing, the World Bank has estimated that GDP growth will reach 5.1 per cent.
Webster revealed that the taxes remitted to the Guyana Revenue Authority (GRA) by private sector companies amounted to Gy$ 36.4 billion; which is 11 per cent more than 2012.
He said for this growth trend to continue into the future, along with private sector development, there has to be a very significant broadening of the economic base, increase in quality job creation, reduction in migration of skills and access to and from export markets.
Webster pointed out that this imperative, in turn, requires a quantum increase in infrastructural investments.
He noted that the commission will continue to collaborate with government as an equal partner in the implementation of the IDB-supported competitiveness programme, which was launched and conceptualised in 2006.
Key programmes currently being undertaken with the involvement of the National Competiveness Council are interior airstrips, extension and rehabilitation, road links, the Demerara Harbour Bridge Project, Port Georgetown, and hydroelectricity.