Guyana and the Wider World

Introduction The columns I have written so far on the sugar industry, starting on May 29, 2011 are intended to conclude with a broad appraisal of its prospects and suggestions for the way forward. 

As planned, last week I completed the examination of GuySuCo’s key performance indicators.

Necessary questions Today’s column begins with my response to two questions, which several readers have raised with me, privately.

Introduction In last week’s column I had presented time series information pertaining to GuySuCo’s factory performance for the two decades of the 1990s and 2000s.

In last week’s column I continued the discussion of GuySuCo’s performance indicators and also dealt with several other items related to the pattern of yields of sugar cane on GuySuCo’s estates. 

In last week’s column I had indicated that GuySuCo’s Report for 2009 stated that there was no payment of dividends for that year, as in many previous years.

Introduction In last week’s column on the sugar industry I had ended with the presentation of a table on GuySuCo’s expenditure on two key items, namely, “employment costs” and “materials and services” for the years, 1990, 1995 and the decade of the 2000s.

Introduction In last week’s column I had indicated that Guyana’s sugar production, similar to the situation in the rest of Caricom, has been so high cost that it could not survive commercially without the special external marketing arrangements which the region had negotiated under the Commonwealth Sugar Agreement (CSA) and its successor the European Commission – African, Caribbean, Pacific (EC-ACP) Sugar Protocol.

Introduction The detailed figures presented in last Sunday’s column on Guyana’s sugar production for the years 1961 to 2010 (on the basis of 3-year averages) and the accompanying chart reveal three notable features.

Per unit cost/price of gold As we saw last week, despite Guyana’s long historical association with gold discovery and exploration it is ironic to name as an upside potential/achievement that is facing the economy over the near-to-medium term, the prospects of large-scale gold production coming on-stream by 2014.

In the present series of columns I had introduced oil and natural gas exploration and development as the first upside potential/achievement for consideration.

Features This week I start a discussion on the upside potential/opportunities facing the Guyana economy.

This week I shall consider the remainder of the downside risks facing the economy over the short-to-medium term.

Last week I had briefly assessed the downside risks of significant interruptions to capital and remittance flows into Guyana’s economy. 

Introduction In this and the coming weeks, I shall continue my assessment of the short-to-medium term prospects for the Guyana economy.

Recently a number of readers have asked me to offer an opinion on the prospects for the Guyana economy over the short-to-medium term. 

Introduction Last Sunday’s column sought to make the argument that, despite the fact government activity in the economy is so huge and  it operates as a drag, impeding economic performance and growth, there are at least eight economic functions that the government is best situated to accomplish. 

Introduction In last Sunday’s column I argued that government activity is operating as a drag on the national economy.

Introduction In last week’s column I discussed two concepts which readers should find useful as we proceed to evaluate the impact of government activity on the economy of Guyana.

Introduction Last week I demonstrated how huge government activity is in Guyana’s national economy.