Farmers could benefit from lower borrowing costs as Government negotiates with commercial banks on incentives to support the expansion of agricultural production, President Irfaan Ali has announced.
Speaking at the Farmers’ Conference earlier this week, Ali said the proposed arrangements would follow a similar approach to incentives used for low-income housing loans, with financing targeting medium- and large-scale farming.
Republic Bank has committed to allocating funds for agriculture at a preferential interest rate, although the rate remains under negotiation. Demerara Bank, meanwhile, is offering poultry loans at five per cent, with Government seeking to bring that rate down further through the proposed incentives.
The President said agriculture also accounts for almost 30 per cent of applications to the newly launched Development Bank. He pointed to interest from young people, women and persons entering farming as signs of growing confidence in the sector.
Access to financing forms part of a wider push to increase local food production, cut dependence on imports and expand overseas sales.
Among the targets outlined by Ali is the local production of half of Guyana’s poultry hatching egg requirements by the end of 2027, rising to nearly all by the end of 2028.
He also said successful onion production in Region Nine could put Guyana in a position to meet its domestic requirements for the first three months of 2027 without imports. A separate proposal for a 30-acre coconut seedling facility is intended to support the expansion and renewal of coconut farms.
The President reported that, since 2020, rice production has risen by 18 per cent, coconut production by almost 250 per cent and poultry production by more than 110 per cent. He attributed the increases to farmers’ efforts, infrastructure spending and Government policies, while noting that growing local demand requires further gains.
Beyond production, Government is pursuing arrangements with regional distributors Massy and ANSA McAL to get more Guyanese agro-processed goods into overseas markets. Approximately five containers of products are expected to be shipped by year-end under those arrangements.
Ali also pointed to pepper products from a Black Bush Polder business reaching supermarket shelves in Qatar, highlighting the opportunities available to local processors.
To support that expansion, storage projects include rice facilities in Regions Two and Three, a national honey storage facility, additional cold storage and a regional hub for fresh produce.
These investments are intended to help establish a three-month food supply buffer and strengthen Guyana’s role in supplying the Caribbean, with closer links to northern Brazil.
Ali also encouraged long-term purchasing agreements to give farmers greater certainty over prices and processors a more reliable supply of produce.
He stressed, however, that spending on roads and drainage must be accompanied by measurable improvements on farms, including more land under cultivation, better yields and stronger access to markets.
“So, every farm, every single farm, we should have a productivity plan.”
