An attempt to mislead the public by distorting the real facts

An attempt to mislead the public by distorting the real facts
Guyana Chronicle, 31 January 2008
THE Guyana Forestry Commission (GFC) notes with concern, a letter by
Anthony Lim that has been published on pages 4 and 5 of the Saturday
26th January 2008 edition of Kaieteur News and captioned “The Guyana
Forestry Commission is crippling the forestry sector”.

This letter appears one week after a press briefing on Forestry by the
Hon. Minister of Agriculture ( 19-1-2008 ) to review the performance of
the sector in 2007 and outline priority activities for 2008. This event
was publicized extensively in both the print and electronic media.

In his briefing, the Hon. Minister emphasized the fact that all
operators in the sector were required to submit essential information
to the GFC by a well publicized deadline of November 30, 2007.He
further advised that compliance with this timeline would have allowed
the GFC to conduct the necessary field inspection and verification
exercises, and operators who satisfied that review process would have
been approved to commence business activities from January 2, 2008.

The Minister then informed that in excess of 90 % of the operators did
not meet that deadline, with the result that inspection and
verification activities are still ongoing for those who have made late
submissions. A large number of operators are still to provide the GFC
with all of the required information.

As such, the delay in giving 2008 approvals for sawmills, lumber yards
and forest concessions can in no way be attributed to the GFC.

GFC views this correspondence as an attempt to mislead the public by
distorting the real facts and discrediting the continuing strategic
actions by the Government of Guyana to promote good governance of the
Forestry sector. It is also seen as a malicious attack on the Hon.
Minister who provides excellent policy guidance and support to the
sector through his regular interactions with the Forest Products
Association (FPA), the Guyana Manufacturing and Services Association
(GMSA), other Industry groups, the GFC Board of Directors and GFC
management.

To apprise Mr Lim of the real facts, the GFC would like to make the
following direct comments on his letter:

Puruni Wood Products, and Timber Traders were only granted Timber Sales
Agreements in the latter half of 2007. Prior to that they were State
Forest Exploratory Permits, and no commercial harvesting was allowed.
These companies are now in the ongoing process of conducting 100 %
inventory of the blocks to be harvested in 2008 and onwards.

Unamco has expired and the company has made a request for renewal which
is currently being reviewed by the Government.

Jaling was suspended for some time because the Government of Guyana was
not satisfied with the overall management aspects of the company. This
has now been resolved and the company has been given approval to
re-commence operations. The company is in the process of constructing
its sawmilling and wood processing operations at Port Kaituma.

The activities of Garner Forest Industries were also put on hold
because of unclear management issues within the company. These have now
been resolved and logging activities will commence in 2008.

Baishanlin has made a request to the GFC to establish a wood processing
facility. The GFC is currently reviewing the documentation submitted,
and conducting a due diligence of the Company. After these activities
have been completed, the GFC will then make a recommendation to the
Government of Guyana.

These facts highlight that activities in the forestry sector are not
carried out in an unregulated manner; rather, the ability of companies
to carry out proposed operations are investigated, and if companies
default in some way, appropriate action including suspension or
repossession is taken.

Neither the Minister nor the GFC have any displayed any threatening or
abrasive attitude in their dealings with stakeholders. On the contrary,
the Minister and GFC have both worked with stakeholders to find
acceptable solutions that do not in any way compromise the requirements
of the GFC and other Government guidelines.

The Minister and the GFC have also reminded stakeholders that these
requirements are guidelines that are not new, but have been in
existence for several years now. They are absolutely necessary to
promote and encourage sustainable management and utilization of the
resource, as well as increase the efficiency and profitability of
stakeholder companies.

As mentioned before, the fact that most forestry operations have not
been approved for 2008 is no fault of the GFC. Companies that manage
sawmill /lumber yard operations were advised that they had to have
approvals/no objections from several agencies including the
Environmental Protection Agency, the Central and Housing Planning
Authority, the Neighbourhood Democratic Council before the GFC could
issue a licence for 2008. These operators were advised that this
documentation was essential and that it would take some time to acquire
all. However, most companies have not provided the GFC with all of the
required documentation, even though applications for renewals should
have been submitted since 2007.

With specific reference to the Timber Sales Agreements and wood Cutting
Leases (TSA’s and WCL’s), nine of these expired on December 31, 2007 .
The GFC held a meeting with these TSA and WCL’s holders on August 31,
2007 to advise them on the requirements to be fulfilled on or before
November 30, 2007 if there was to be any consideration of renewal. A
formal communication was sent to these companies on September 3, 2007
reminding them of the requirements to be satisfied. None of these nine
(9) companies met all of the requirements, and even at today’s date,
only two (2) companies have recently satisfied all of the requirements.

The GFC currently has twenty four (24) active TSA’s and WCL’s. These
companies were advised since 2006 that it was compulsory for them to
submit an Annual Operation Plan (AOP) for the next calendar year; this
AOP must include all of the proposed hundred (100) hectare blocks for
harvesting, inventoried at 100 % for all commercial species. Many
companies breached this regulation in 2007 and were penalized by the
GFC.

In September 2007, the GFC again sent notices to concessionaires
reminding them of their obligation to submit AOP’s by November 30, 2007
, inclusive of the 100 % inventory information for the blocks proposed
for harvesting in 2008. Companies were again offered technical
assistance by the GFC, based on written requests.

The facts are most revealing. Of the 24 active companies, only 17
submitted their AOP’s (70.8 %). However, only 5 companies (20.8 %)
provided partial 100 % information. Further, these 5 companies should
have submitted 100 % inventory for 302 blocks, but 100 % inventory data
was submitted for only 144 blocks. Of the 144 blocks, the inventory
information for 133 was submitted only in January, 2008.

The GFC has to do field verification of the inventory information
before it gives approval for harvesting to commence. It is therefore
unreasonable to expect the GFC to give approval for companies to begin
operations in the absence of this 100 % inventory information.

As part of his ongoing meetings with stakeholders, the Hon. Minister of
Agriculture invited the FPA to a meeting on January 8, 2008 . The
Commissioner of Forests was also in attendance. At that meeting, the
FPA members accepted that they were delinquent in their inventory
submissions, and requested additional time to submit this 100 %
inventory information. The Minister and the GFC agreed to facilitate
this request on the conditions that:

All 100 % inventory information must be submitted on or before May 31,
2008
No harvesting would occur in any block unless the 100 % inventory
information was submitted to, and approved by the GFC.

At that meeting, the FPA also made representation on behalf of the TSA
and WCL holders whose concessions had expired on December 31, 2007 and
who had not paid off all indebtedness to the GFC as per one of the
requirements for consideration of renewal.

The Minister and the GFC clarified again, that whilst concessionaires
had previously agreed on repayment plans with the GFC, these were
constantly being breached, and they were now null and void, as
indicated to all at the August 31, 2007 meeting, and by formal
communication of September 3, 2007 .

The FPA agreed to write on behalf of the delinquent companies,
requesting a very short term time period to liquidate all outstanding
amounts. Unfortunately, the GFC was in receipt of a letter from the FPA
the same week, indicating that they had obtained legal advice that
previous repayment plans with the GFC were binding.

The above facts clearly show that the GFC is in no way culpable for the
lateness of renewals and for the inactivity in the forestry sector
during January 2008. Rather, it is tardiness and complacency on the
part of some of the operators who chose not to submit their required
documentation by the specified time. The GFC in the interest of the
sector commits itself to processing the documentation as soon as it is
received. The GFC, however, in keeping with its motto of “Ensuring
Sustainable Forestry”, must ensure that it applies all of its
procedures in a consistent, transparent and credible manner. It must be
stressed too, that these are not new rules being imposed overnight on
the sector; these guidelines were developed in a consultative manner
with all stakeholders several years ago. The GFC has spent considerable
time and resources to publicize these guidelines, and also train
stakeholders on how to interpret and implement same. Constant reminders
were sent out in 2007, in addition to the outreach meetings. To state
then that “The GFC is busy trying to implement new rules and
regulations for forestry operators to comply with, utilizing the big
stick method of threats and intimidation fully aided by the Minister”
is a most uninformed and ridiculous position.

In closing, the attack on the competence of the GFC staff is both
unfortunate and infantile. GFC staff has not only been recognized at
the local and regional levels for their competence and ability, but
also at the International level. The remarkable strides made in the
forestry sector over the past decade, as well as the f

act that Guyanese forest produce has almost unrestricted access to the
very demanding international markets is testimony to the high esteem in
which the forestry practices and the GFC is held.
JAMES SINGH
Commissioner of Forests

Amerindian communities now own 14% of Guyana’s landmass

Amerindian communities now own 14% of Guyana’s landmass
Guyana Chronicle, 31 January 2008
THE continuous process of issuing land titles to Amerindian communities
throughout the country has resulted in Amerindians now being the owners
of 14% of Guyana’s landmass.

At his weekly post-Cabinet press briefing yesterday, Head of the
Presidential Secretariat, Dr. Roger Luncheon made this disclosure,
pointing out that over the last three years, some 22 land titles have
been granted, bringing the total number of communities which have
received land titles to 96.

Cabinet recently granted land titles to Rupunau, Katoka and
Parikwarnawa in Region 9 (Upper Takutu/Upper Essequibo), while there
has been extension of titling lands to Massara and Yakarinta, also in
Region 9. (Chamanlall Naipaul)

Guyana, Indonesia sign MOU on trade, investments

Guyana, Indonesia sign MOU on trade, investments
Guyana Chronicle, 31 January 2008
THE Government of Guyana yesterday signed a Memorandum of Understanding
(MOU) with its Indonesia counterpart, to promote and protect trade
investments between the two countries.


Minister of Foreign Trade and International Cooperation, Dr. Henry
Jeffrey, (left), and Indonesia Ambassador, Mr. Suprijanto Muhadi
appending their signatures to the agreement yesterday.

Minister of Foreign Trade and International Cooperation, Dr. Henry
Jeffrey, officiated at the simple ceremony in Takuba Lodge, on South
Road, Georgetown.


He told the Indonesian delegation that Guyana is open for trade,
particularly in the timber industry.

Jeffrey disclosed that this country has entered into an economic
partnership agreement with Europe and is negotiating another business
venture with Canada to open new market opportunities.

The Indonesian Ambassador, Mr. Suprijanto Muhadi, remarked that the
signing was an historic occasion, because it will strengthen bilateral
relations and serve as a catalyst for similar arrangements between the
two countries.

Guyana and Indonesia established diplomatic relations in 1999 and began
negotiating the promotion and protection investments deal in 2004.

Permanent Secretary in the Ministry of Foreign Trade and International
Cooperation, Mr. John Isaacs, expressed satisfaction with the level of
understanding and mutual respect shared by the two nations.

The Republic of Indonesia is the fourth most populous country in the
world, with a population of 241,974,000 and about 1,903,650 square
kilometres being the total size of the 13,000 islands chain.

Cabinet approves more lands for Amerindians

Cabinet approves more lands for Amerindians
Kaieteur News, 31 January 2008
The total acreage of local landmass possessed by Amerindians
communities was upped to 14 per cent following a decision by cabinet on
Tuesday to grant land titles to another three communities.
This is according to Cabinet Secretary Dr Luncheon, who revealed that
among the communities which became eligible for titles were Rupanau,
Katoka and Parikwarunawa, all located in Region Nine.
Cabinet also approved the extension of land titles to the communities
of Massara and Yakarinta, which are also in Region Nine.
According to the Cabinet Secretary, the land titles continue to be of
absolute grants forever and confer ownership to the Amerindian
communities. He noted that within the last three years, 22 such grants
were approved, contributing to a total of 96 Amerindian communities now
having absolute ownership of land in Guyana.
Several contracts were also approved at Cabinet’s last meeting,
according to Dr Luncheon.
With regards to Regional Development, he noted that Cabinet offered no
objection for rehabilitation works for the industrial incubator at Kara
Kara, Linden to the tune of G$44.3M.
Dr Luncheon informed that in the infrastructure, road transport
sector, Cabinet again approved the supply and installation of fixed
vehicle platform scales to aid the Mahaica/Rosignol road rehabilitation
project, valued at US$780,900.
He disclosed also that in the road transport sector, the
rehabilitation of the Enmore Estate road, East Coast Demerara, was
allotted G$60M.

Forestry regulations must be reviewed

Forestry regulations must be reviewed
Kaieteur News, 29 January 2008

Dear Editor,
The Guyana Forestry Commission (GFC) is trying to destablise the
entire forestry sector with the new regulations.
The stakeholders will accept the regulations, but the prices for
lumber will escalate to approx $300 for kabukalli, and maybe more. The
building sector will fall if the President does not step in and review
these regulations. These new regulations in all the different
government departments are helping government officials to get more
bribes, be it forestry officers, policemen, customs officers etc.
The safety, separation of species, and packing regulations can be
considered, but not grading for local marketing.
Grading for every piece of lumber is unacceptable. Mr James Singh, I
am wondering if you ever went to a sawmill. Come James, think.

A.Tahal

The Guyana Forestry Commission is crippling the forestry sector

The Guyana Forestry Commission is crippling the forestry sector
Kaieteur News, 26 January 2008

Dear Editor,
Over the past few years the forestry sector of Guyana, especially the
timber sector, has shown significant growth both in local and export
revenues. The export figure moved from US$ 42 million in 2004 to US$ 62
million in 2007. This growth has been championed by the established
timber companies in Guyana, many of which came into being before this
Government came into office. It should be noted that this present
Government failed to attract any new major investment into the forestry
sector. A number of companies that were issued concessions and other
benefits amid much fanfare and public relations gimmicks have all been
failures to date. These include Unamco, Jaling, Bai Shan Lin, Puruni
Woods, Garner Forest Industries and Timber Traders.
What is also now becoming seriously worrying is the abrasive and
threatening attitude of Minister Robert Persaud, under whose ministry
the forestry sector falls, when dealing with stakeholders. Stakeholders
are becoming increasingly frustrated that he is supporting the
inefficiency at the GFC rather than stepping in and making radical
changes. This is particularly worrying posturing of a person that
supposedly harbours Presidential ambitions and hope to someday lead
this nation. This could spell disaster for Guyana if and when it
happens. The forestry sector is one of the few growth areas that falls
under Minister Persaud’s portfolio. Most of the other areas he oversees
are failing: the sugar sector is collapsing and a new factory is being
built with no cane to feed it; the fisheries sector is declined
significantly; the Hydromet Unit cannot supervise building a radar
tower and doesn’t know the difference between 85 inches of rainfall or
24 inches of rainfall; the Minister and the privileged children of the
ruling dynasty have failed to even get noticed or make any progress for
this nation to benefit from our forests for climate change.
To give clarity to what is the current situation, it is already coming
to the end of January and no forestry operations sawmill or lumber
yards have been given permission to operate.
This is especially sad when most of these licences and permissions are
routine renewals.
As a result, production for the entire month of January is going to be
lost and there is no way it can be made up for in the remainder of the
year. The result would be that the forestry sector would show a decline
at the end of 2008.
The licencing and renewal process should have been completed since
November and December 2007 to permit prompt resumption of businesses in
2008.
This lateness of the process is a retrograde step for the GFC as this
was what the situation was in the 1980’s and early 1990’s prior to the
massive DFID led restructuring from 1996 - 2002 to make the GFC more
efficient.
However, most of those good managers that entered the system during
this restructuring process have since left and the current crop of
managers are seriously lacking in technical and managerial capabilities
to maintain and enhance the system put in place during the
restructuring process.
The management team of the GFC has never worked anywhere else in
management positions in their lives and it would be good if they can
publish their working experience to prove otherwise.
As a result, they are oblivious to the sufferings of the private
sector and the negative economic consequences their actions are having.
Their actions would result in companies having to layoff workers and
as a matter of fact, some companies have not yet asked some of their
employees to resume work for this year.
It should be noted that the forestry sector (based on GFC literature)
employs over 20,000 persons.
People in the depressed forestry dependent communities of Ituni and
Kwakwani are now suffering because of the actions of the GFC.
The GFC is busy trying to implement new rules and regulations for
forestry operators to comply with, utilizing the big stick method of
threats and intimidation fully aided by the Minister.
They have no idea of how their rules will work or the disastrous
consequences it will have on the sector.
It is now time that the President steps in and launch a full
investigation into the workings of the GFC and make radical changes.
His failure to act now will result in catastrophe for the sector.
Anthony Lim

City Mayor applauds Brazil/Guyana road link

City Mayor applauds Brazil/Guyana road link

Kaieteur News, 26 January 2008

City Mayor Hamilton Green has applauded efforts by the government to
link Guyana and Brazil, this country's southern Portuguese-speaking
neighbour, via a road network.
“The government must be congratulated for advancing an initiative to
make the road a reality and so fulfill the dreams an
d aspirations of several generations of Guyanese,” the Mayor said in a
release yesterday.
He said that the idea of a road link to Brazil passing through one of
Guyana's ports has been toyed with for many years.
According to Green, the idea was born out of American carmaker Henry
Ford's dream of a road network linking North and South America.
Ford's notion to link the states was propelled by his desire to sell
many more cars if such a highway was constructed.
“We were told at that time that the British Government did not share
that enthusiasm and the project apparently foundered,” Mayor Green
recalled.
He noted, however, that the dream never faded and the 1970 Self Help
Hinterland Road Project, which attracted students from the Caribbean,
the National Service and elsewhere, attempted to bring it to reality.
Mayor Green recollected that after that effort, the European Union
supported the road to Brazil through Kurupupari and in 1961, two
possible routes were identified.
One of the proposed routes was through Mahdia using the Parika/Bartica
coastal link and the Linden/Mahdia route via Bartica and through the
Potaro Road.
Since then, Guyana has had the Transport Sector Road Report (1960-97)
which anticipated the modern highway through Lethem.
In 1989, there was the Tecnecon Report.
Later after surveys were done, two overland trips were made by Chief
Works Officer Phillip Allsop and J. Henry Thomas (Minister of Economics
Development).
“As we seek to realise what must be the expectation of every Guyanese
patriot, I hope that the Ministry of Information would prepare a
document giving a faithful resume of earlier efforts to this grand
idea,” the Mayor stated.
He recommended that road engineers of that era be consulted to prepare
a proper dossier not only for posterity but also that young people will
traverse the route with pride.
Mayor Green said although Guyana appreciates the financial assistance
of the international lending agencies for feasibility studies, enough
information and wisdom exist to hasten the consultancy process.
“This is so that funds available are directed more to the actual
construction of this road which will open up more our vast potential
for the development of Guyana,” Mayor Green suggested.