A fact-finding team from the Caribbean Export Development Agency (CEDA) commonly referred to as Caribbean Export has listed a litany of resource-related and operational deficiencies in the Guyana private sector which inhibits the ability of local enterprises to secure optimum access to international markets.
The Caribbean Export delegation cited weak production capacity arising out of severe supply side constraints; limited availability of trade information especially on markets; low levels of technology transfer; reliance on outdated technologies and manual labour inputs and poor access to development and export financing.
The report of the Caribbean Export team also pointed to what it said was weak institutional support for business advocacy, deficiencies in the acquisition and dissemination of trade information and a lack of capacity for writing strong business development proposals.
The Caribbean Export report comes amidst concerns local commercial banks have expressed about the quality of some of the proposals they have received for funding. A local bank official told this newspaper recently that the trend was reflective of “a low level of technical knowledge” of what the content of a business proposal is expected to be. Caribbean Export, which is funded by the European Union, has been providing grant funding to business enterprises in Guyana and elsewhere in the Caribbean based on, among other things, its assessment of the quality of the business proposals submitted to the agency.
In its report, Caribbean Export also cited “weak constituencies resulting from the inability to consistently deliver high quality services to members” as one of the deficiencies which needed to be corrected immediately.
Stabroek Business understands that the Guyana Manufacturing and Services Association (GMSA) has already reacted to the report by moving to place the issue of member apathy high on its agenda and is in the process of taking an initiative to compile more information about addressing member companies’ constraints, which will be included in its work plans.
The Caribbean Export team expressed concern over the difficulties which Guyana continues to face in its efforts to secure
development financing. Stabroek Business understands that Caribbean Export has developed a remedial work programme, which will be financed by funds from the 10th European Development Fund (EDF). This newspaper understands that the remedial plan will embrace mechanisms to strengthen communication links between Guyana’s business support organisations and the private sector as a whole that will effectively keep entrepreneurs abreast of Caribbean Export’s trade promotion and trade information services programmes.
The remedial programme will begin with the mapping of the institutional landscape within Guyana and will go on to facilitate training locally in the preparation of funding proposals. Communication linkages intended to facilitate the dissemination of trade information including market intelligence and export promotion from support organisations to their memberships is also part of the remedial programme.
The Caribbean Export-driven remedial programme will also identify “priority sectors” in manufacturing and services for various forms of technical assistance. Specifically, the apiculture sub-sector will attract support to enable fledgling honey production while attention will also be paid to the creative industries, particularly fashion and music, and agro-processing. Caribbean Export says it also intends to help resuscitate the Guyana Coalition of Services Industries and to advocate for its inclusion in the Caribbean Network of National Services Coalitions (CNSC).
