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The Voice

Rice on the way
published: Thursday | July 8, 2004

Erica James-King, Staff Reporter

WESTERN BUREAU:

THE ISLAND'S retailers, distributors and consumers of rice have been grappling with a shortage since June, but Phillip Paulwell, Minister of Commerce, Science and Techno-logy, says the scarcity should be eased within two weeks.

Checks made by The Gleaner reveal that the parishes hardest hit are St. Ann, St. James, St. Elizabeth and St. Catherine.

The shortage has been sparked by a shortfall in supplies to Jamaica by Guyana and Suriname, its CARICOM suppliers.

In confirming the shortage, the Consumer Affairs Commission, the consumer watchdog agency, and Jamaica Rice Milling Co., Newport West, Kingston, the island's chief importer of rice, explained that the shortage was caused by the negligence of regional suppliers in honouring their contractual obligations to Jamaica.

"Based on discussions with a representative of the Jamaica Rice Milling Company (JRM), at a meeting of the Distributive Trades Committee ... the commission was advised of shortages in supplies of rice to the local market," said Anieta Banton, the CAC's research/communications officer.

"It was further brought to our attention that contracts signed between the Jamaica Flour Milling Company and its CARICOM suppliers in Guyana and Suriname had gone unfulfilled," Ms. Banton told The Gleaner.

James Gill, managing director of Jamaica Flour Mills Ltd., Windward Road, Kingston 2, said the company was unable to get a shipment of rice into the island this week, because of difficulties it has been having in getting Suriname and Guyana to fill its orders.

However, Mr. Gill is optimistic that a shipment from one of its CARICOM suppliers should reach Jamaica by next week.

In the interim, JRM is seeking to source rice from extra-regional sources and has enlisted the help of the Commerce Minister in this effort.

DUTY FREE

Under trading arrangements in CARICOM, the importation of rice from regional suppliers is duty free but attracts a duty in excess of 20 per cent if it is sourced from outside the region.

Mr. Paulwell told The Gleaner yesterday that the JRM had requested his intervention in securing a waiver on rice imports from the United States, in a bid to fill the urgent local demand.

"The problem was brought to my attention during June and I applied to the CARICOM Secretariat seeking a waiver on a shipment of rice from the United States. Approval was given last week," the Commerce Minister said.

"Usually it would take two months for proceedings concerning the waiver to be granted, but it has been wrapped up very fast ... in about three weeks."

Mr. Paulwell is predicting that the "rice shortage won't last beyond two weeks", as a shipment of 3,000 tonnes from the United States and 1,000 tonnes from Guyana are expected in the island soon.

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