…says local exporters must lift standards
With Guyana’s Balance of Payment position showing a US$69.5 million deficit last year, Demerara Distillers Limited (DDL) Chairman Komal Samaroo made a charge for more emphasis to be placed on developing the manufacturing and export sector.
Samaroo was at the time addressing persons gathered for the launch of the Georgetown Chamber of Commerce and Industry’s business magazine. The business executive warned that, with the global market as competitive as it is, more needs to be done to lift local standards.
He noted that to do this, high levels of technical competence and discipline are needed; but, he said, there are challenges even with these lofty goals. Here he was referring to the bureaucracy some manufacturers must deal with when transacting their business.
Samaroo pointed to statistics that a quarter of the US economy is made up of manufacturing physical goods. This, he said, coupled with distribution and sales to retail outlets, means the superpower economy is built largely around manufacturing.
On the one hand, the Current Account shows a deficit of US$287.4 million for the year 2017. But in the previous fiscal year, the report notes, this was just US$12.4 million. The report admits that this is because of a negative balance on the merchandise trade account.
When Finance Minister Winston Jordan presented the 2018 budget last year, he had announced that merchandise imports were estimated to grow by 9.6 per cent. This had been attributed to increased imports of mining machinery, chemicals, fuel and lubricants. According to the report, imports exceeded the Government’s projections.
