The Ministry of Agriculture is intensifying efforts to increase land rates and to recoup billions of dollars outstanding for land rates and irrigation fees owed to the Mahaica, Mahaicony, Abary- Agriculture Development Authority (MMA-ADA).
According to a GINA press release, information from the Ministry of Agriculture indicates that a white paper seeking Cabinet’s approval to increase the cost of land rentals in the Region 5 agricultural scheme has been submitted by Minister of Agriculture, Noel Holder.
Holder has said that the rates being paid by rice farmers for the services provided by the agricultural scheme are archaic and should be adjusted to real terms if the scheme is to be expanded, the release stated.
“There has been no attempt to keep the rates of land rent and the cost of drainage and irrigation or the pay for the cost of drainage and irrigation in line with inflation. The result of that is where MMA used to be a source of income to the government, it’s now taking money out of the government to survive; $237M out of the budget for this year. We have to look at raising rates to the proper levels,” the release quoted the Minister as saying.
The release stated that there continues to be reports of lessees sub-letting lands at a rate that is more than 16 times what is being charged by the MMA, and according to Holder, this is a breach of their agreement.
“Some of these people are also renting that land for $40000 a year, $20000 per crop and that money is going not into the kitty. That is ridiculous and also illegal by the way. The Act doesn’t allow that, and the leases they have don’t allow sub-letting,” the release quoted him as explaining.
According to MMA-ADA General Manager Aubrey Charles, plans are in train to ensure farmers in the Mahaica, Mahaicony area pay for the use of MMA lands and drainage and irrigation fees as required by law since much work has been done in those areas by the agricultural authority, the release said.