Queens Atlantic Investment Inc’s (QAII) Biotechnology Plant will in the medium term manufacture anti-cancer preparations, one of the diverse applications and opportunities that the facility will provide.
Executive Chairman of QAII Dr Ranjisinghi Ramroop stated this in a press release on the status of the facility on Saturday.
According to Dr Ramroop, the facility will also be manufacturing injectables, a first for Guyana and the Caribbean, as is the plant itself.
He said that work has begun to clear and prepare the foundation for the construction of what he referred to as the state-of-the-art facility at the Sanata Complex, now branded the Queens Atlantic Industrial Estate, Ruimveldt.
A public debate has been ongoing since Government’s announcement of a number of tax concessions afforded to two of the five QAII businesses. Columnist Christopher Ram in an article pointed out that the two ventures – pharmaceutical and textiles – did not qualify under the current laws as being eligible for the investment incentives. Government in a recent statement subsequently said that the related pieces of legislation – in this case the Income Tax (In Aid Of Industry) Act and the Fiscal Enactments (Amendment) Act 2003 – will have to be amended to correct the omissions and allow for the concessions. Opposition parties have voiced their disapproval of this process.
“This project has been in the pipeline for several years and is a collaborative effort between New GPC Inc and a leading multinational pharmaceutical company,” Dr Ramroop said.
He said that the plant will manufacture a new range of antibiotic products in various dosage forms.
“With the high demand for third generation antibiotics which are comparatively more marketable than other products in its class, the Group will be able to take advantage of a niche market that already exists in this part of the world,” Dr Ramroop said.
He said that along with the Biotechnology Plant, the company is setting up a modern research and development facility at this location with a fully equipped laboratory with the latest technology. “One of the first priorities of this facility is to research the medicinal benefits of Guyana’s rainforest herbs and indigenous plants,” Dr Ramroop declared.
He said that the Group is excited about the benefits, including the creation of 280 jobs, this investment will bring to the economy and the investor is particularly pleased about the new capabilities Guyana will possess in its ability to respond to medical emergencies.
Inaccuracies
Dr Ramroop contended that recently, there have been inaccurate statements in the press with regard to the leasing of the Sanata Textiles Complex by Privatisation Unit/ National Industrial and Commercial Investments Limited (NICIL) to QAII.
“This complex, abandoned for 15 years, was seriously deteriorated and the textile equipment was beyond resuscitation and salvaging. The Group, however, subscribe to the belief that the engine of growth must emanate from the private sector, preferably by Guyanese, and the main focus should be in areas that promote real development using modern technology within the manufacturing sector,” Dr Ramroop said.
He noted the references made to the lease rental and the devaluation of the Guyana dollar in relation to the US dollar, which would have a negative financial effect to the Lessor. “In a competitive environment, it is not prudent for the company to give full details of its activities and strategies, but it is pertinent to state here that the lease rental is denominated in US dollar and subjected to a periodic escalation clause which is linked to changes in the US Consumer Price Index. The information on the currency of the rent and the periodic increases based on US CPI is being conveniently and constantly overlooked by some persons. In fact one columnist presented an analysis in the media discounting the current Guyana dollars equivalent of the rent, a fixed figure, over 99 years. This was done even though information on the rent was presented to the media on a number of occasions. It was therefore no surprise that the analysis and interpretations were misleading,” Dr Ramroop stated.
“It must be pointed out that there are companies in Guyana paying rent as low as G$1 per square foot in industrial zones. By comparison these companies are paying a mere decimal of QAII’s rent and they will pay even less if the Guyana Dollar depreciates. It is also relevant to point out that the company is responsible for the payment of rate and taxes,” he said.
The proposed investment of the company is of the order of US$30M over a 3 year period. Later this year, the QAII Group will phase into operation its textile production unit slated for opening in September with the creation of 400 jobs, a pharmaceutical export processing facility, its hardware manufacturing division and its antibiotics plant and R&D facility.
“The export processing facility will consolidate the export of the New GPC’s products to the Caribbean and North America. The Group’s hardware division will produce dimensional stones and tubing to replace copper pipes used in various industries whilst the antibiotics plant with see the production of third generation antibiotics,” he said.
Earlier this month the Group launched its modern printery and the new daily newspaper, the Guyana Times.