Coalition failed to address the shortage of construction aggregate

– Min. Bharrat

– gov’t will address issue to help construction sector

Minister of Natural Resources, Hon. Vickram Bharrat says the Coalition failed to effectively address Guyana low production of aggregates, which is necessary for the construction sector.

Guyana’s production of aggregates over the last few years has been between 500 and 600,000 tons. During Fridays’ budget debate, the Minister noted that the demand for aggregates last year was 850,000 tons, meaning the country is underproducing.

“The APNU realised that and instead of boosting production, instead of giving licences to who have the capacity and resources, what did they do? They import aggregates using foreign currency, which they were not generating to import aggregates when they could have boosted local production and create employment. Instead, what they did as to import aggregate and add VAT to it,”

In five years, the Minister pointed out that only three quarry licences were issued by the Coalition, one of which never produced anything. Nevertheless, the Natural Resources Minister said the PPP/C Administration removed VAT on aggregates to help the construction sector.

“We have not issued any quarry licence … what we would have issued is provisional permits pending environmental studies and the other requirements that are necessary. We would have issued that to companies that are capable and have the resources to produce,” the minister said.

Aggregates are an essential part of construction, and Guyana is set for a massive infrastructural boom over the next five years. The Government has committed to allocating 50,000 house lots in five years on an average of 10,000 per year.  Additionally, several major hotel chains have signalled their intention to establish to set up in Guyana, with the Hyatt Hotels Corporation, the Radisson Hotels, and the Hilton Hotels and Resorts among those interested. Memorandums of Understanding have already been signed for those investments.