The Guyana Rice Development Board (GRDB) is considering taking action against Mahaicony Rice Mills (MRM) even as several farmers are yet to uplift monies owed to them by the company.
General Secretary of the Rice Producers Association (RPA), Dharamkumar Seeraj told Stabroek News yesterday that the GRDB is considering the move and he added that while MRM made some payments recently to the farmers, he could not say how much money is owed to them.
Farmers along the northern section of the Essequibo Coast told Stabroek News yesterday that the Vilvoorden-based MRM and the Hack Rice Mill, located at La Resource on the Essequibo coast owe them millions of dollars and the former had not paid them over the past four months.
One farmer, who chose to remain anonymous, said when he contacted the offices of MRM recently, officials at the company noted that several farmers, who had sold paddy to the company via another miller on the Essequibo Coast, received payments.
He said the company could not say when the affected farmers, who sold their paddy directly to MRM will be paid. A staff member at the Vilvoorden office of MRM confirmed this when contacted by Stabroek News, but the company could not state how much money was owed to the farmers.
Officials at Hack Rice Mills refused to comment when contacted yesterday. But according to Seeraj, the company owes the farmers approximately $9 million.
He said officials at Hack Rice Mills assured him that the farmers will be paid sums owed to them by Friday and he was aware that the MRM had promised to pay sums owed this week.
Meanwhile, during a meeting yesterday between officials of the GRDB and the RPA at Anna Regina, the issue of storage, milling and transportation of paddy as part of the Venezuelan rice deal was discussed. Seeraj urged the farmers to produce paddy of high quality before same is shipped to the market. He said that the Venezuela market caters for 20,000 tonnes of white rice as well as 50,000 tonnes of paddy.
Farmers raised the issue of payments with the officials and Seeraj said the GRDB will ensure that the farmers are paid for their paddy/white rice noting that provisions are made under the contract with the Venezuelans for the farmers to be paid sums owed on delivery.
During a meeting with the Essequibo farmers recently, Seeraj and General Secretary of the GRDB, Jagnarine Singh had commented on the issue of MRM defaulting on payment for paddy.
Singh said that his office would help farmers prepare invoices to give to the millers and he told farmers that it would cost nothing to give the millers an invoice at the end of 24 days.
He added that officers of the GRDB went into Mahaicony Rice Mills to check the books and discuss payment.
He said that it was discovered that it would take at least a month to go through the records by the company but he noted then, that the company had planned to settle its arrears some time last week.
