The government has injected more than $7.2 billion into the rice industry this year to cushion farmers against a decline in global prices, improve yields, and reduce production costs.
Minister of Agriculture Zulfikar Mustapha spoke with rice farmers in Region Three on Friday and announced that the country is set to produce about nine million bags of paddy for the second crop of 2025.
Speaking at the Ministry’s Drainage Pump Station in Greenwich Park and Barnwell area, Minister Mustapha told farmers that the target had been achieved through increased investment in new rice varieties and strong government support.
Minister Mustapha reminded farmers that President Dr Mohamed Irfaan Ali announced an initiative of a $300 payment per bag of paddy sold, totalling $2.7 billion, to offset lower earnings caused by a global surplus. This comes on top of previous fertiliser distributions and cash support programs that brought total direct government contributions to over $7 billion for the year.
He stated that Guyana’s national rice yield has increased from 5.4 tons per hectare before 2020 to between 6.5 and 6.8 tons today, with the intention of reaching seven to eight tons per hectare in the coming years.
The minister emphasised that the next major focus will be on reducing the cost of production, which he described as the biggest threat to long-term survival in a competitive global market.
In addition to subsidies and support measures, the government is advancing major infrastructural works to modernise the drainage and irrigation (D&I) network, including the construction of a Hope-like Canal in Region Three, rehabilitation of 63 sluices, and the installation of new pump stations to reduce flood risks.
“We have a project that we call the CARes programme, that we are working now to rehabilitate 63 sluices, and you are in the first tranche, and your region will benefit from a number of those sluices,” the minister said.
“We want a modern DNI sector that you will not be flooded out when it rains heavily,” Minister Mustapha said.
Minister Mustapha also outlined initiatives to diversify production through expanded coconut cultivation and ongoing discussions to secure new export markets in Mexico, Qatar, and Saudi Arabia, alongside traditional buyers in Europe.
He further revealed that the Ministry of Agriculture is moving to address high land rental fees, especially from absentee leaseholders, under reforms guided by the Rice Act to make land access more affordable for active farmers.
Minister Mustapha stated that the People’s Progressive Party Civic’s (PPP/C) Administration has been the most supportive of the rice industry, mentioning that the previous government raised land rental and Drainage & Irrigation (D&I) fees and neglected maintenance.
He assured farmers that the government would continue to increase production, lower costs, and protect livelihoods while enhancing research through GRDB and the Burma Rice Research Station to support future growth.
