Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698075171976.pdf (Guyana)
REPORT OF THE GUYANA MARKETING CORPORATION FOR 1HE PERIOD 1 ST. JANUARY TO 31 ST. DECEMBER, 1967 Corporatio Guyana Marketing ns Ordinance, Corporation, increased established its operations significantly in 1967. by Order No.

97 of 1963 under the Public 2.The Corporation remained responsible for the following unit enterprises : a)Central Produce Depot (Georgetown and the P r o d u ce Depot (New Amsterdam Branch).
Centre b) Fish Marketing c)Processing Factory d) Ham and Bacon Factory e)Milk Pasteurisation Plant f)Edible Oil Distribution.

3.On 26th April 1967, the following Board was appointed by Order gazetted on Saturday 29th April, 1967.

Messrs : Sydney King B.

A. Fernandes Rabindranauth Ralph Van Sluytman R.Tang Beharry and Mrs. Jane Phillips Gay (Chairman) (Deputy Chairman) Members ) ) ) ) ) 4.
The Board having carried out detailed consultatio on the grievances ns with employees at all levels at a.11 of the people manning the enterprise the GeneTal the Chairman, tion were set up involving consulta the' Secretary/ Accountant that systems of consultation and Foremen of by all should be introduced and Supervisors Systems of Management became rather well informed levels.

Manager, the Chief Accountant, various units.

It was requested Supervisors poration might be improved.
with their ;:;taffs, so that the internal communications me.chanism of the Cor­ 5.In response to complaints supply districts received from which Guyana Marketing the Chairman and other members visited the bulk of its As a result of these visits conferences outlying supplies.

ers' representatives Islands conferences also agreed to extend the list of items which it would buy and for which it would offer support prices from 19 items to a total of 32 items.
and Parika in the Board Room at Lot 1, Lombard Street.

The upshot of these was an accord between farmers and the Corporation from Pomeiroon and the North West District, were held in August 1967, between farm­ Corporation Essequibo obtains Coast, Essequibo on prices.

The Corporation the to further 6.As a resu]t of the Minister, the Current mum Guaranteed downward list with the current Prices.
a month's prices unless of the recommendations of the conference the Board agreed, with the approval develop the pricing policy of the Corporation Buying List, the incentives It was agreed notice of which to the farmer were greater with the farmers had been given by the Corporat10n that the P!ices should not be varied The agreed to the farmers.

by cre�ting a new �is!, than m the 1964 Mllll­ as agreed is set out below.

Oranges Plantains CURRENT PRICE LIST G.M.C.


agrees Some sampling Corporation 3 and 2. in principle on 5c.

per lb.

to be done within to continue buying the next 2 weeks.

- at two grades Should be picked full rather than Grade A -4tc.

per lb. "

B -3c. "

,, green.

Grapefruit Eddoes Hard Yams·· Bell Yams Buck Yams Sweet Potatoes Corn Blackeye Peas Bananas Cayenne l Apple � Sour Fig_ & Dwarf J Tannias Sweet Cass�va Bitter Pepper Coffee Beans Cassava· Peanuts Starch Dasheen Pumpkins Tomatoes Squash.
Cucumbers Pears Tangerines Golden Apples Lemons Limes Cocoa Beans Water Melons Pine Apples 2 Grade A -3c.

per lb.

Grade B -2c. "

" 6c.

per lb.

6c. "

'' 9c. "

" 9c.

8c.

6-!

22c. "

" " " " 4c.

3-!-c. ,, 3c.

,.

,,.

7c.

3c.

,, ,, 2c.

,, ,, Price to be fixed later 52c.

per lb ( clean and ungraded) 34c.

per lb.

15c.

,, 4c.

,, ,, 4c.

per lb.

20c.

,, 6c.

· ,,.

1 Oc.

,, ,, from 4c.

to 6c.

Ranging according to size.

$1.05 per hundred 4c.

per lb.

$1.05 per hundred 8c.

per lb.

24c.


per lb.

4c.

,, ,, Price to be fixed later.

As against this is se:t out the list of minimum guaranteed prices authorised in · 1964.

December, Commodity Minimum Commodity Minimum Price Plaintains Grade A 4c.

per lb, Grapefruit Grade A " " B " " B 3c.

,, ,, Cabbages 2!c, ,, " Onions 4c. "

,, Blackeye Peas 4c.

,, " Dholl Castor Beans 2c.

each Peanuts He. "

£c.


,, Sweet Cassava lk " Eddoes Tannias Yams Sweet Potatoes 4c� " " Oranges Grade' A ,, ,, B ,, " C 7.

It could be argued that the Current Com Price 2c.

each le. "

17c.

per lb.

8c. "

" 16c. "

" 14c. "

" 9c. "

24c. "

,, 6c. "

" Buying List was not specifically provided in administering for !n the Current the.
Board felt justified the Farmers and the Board took note of certain market forces this agreement the Board, while being limited were in no case lower and in most cases higher than those in the list prices and the crops so guaran.teed were greater Order No.

91 of 1�63.
91 of 1�63.

However, Buying List as the prices of minimum guaranteed establishing and allowed price, to offer the farmer in fact a higher price which would be varied downwards, and at no time below the minimum guaranteed prices, In order to defeat the excesses of the huckster, possible in the rriarke�-i-; to major wholesale Georgetown at more competiti as a serious a also.
The Corporation and needed to ensure that much of the supplies reaching Corporation so as to reach the consumer Guyana Markelting the index of food prices only in the case of extraordinary the highest a free market operator enjoying be allowed and retail seller should pass through ve prices, thus influencing for Guyana Marketing by a firm floor price, some flexibility it was· -hecessa.cy Corpora�ion flexioilitY,"; in number.

In downwards the old minimum guaranteed supplies.

transator .
transator .

was moreover becoming 8.The re,sults the introduction justified to sell a larger number of items to Guyana Marketin 31, 1967, there was no reason to reduce any of the prices on the current g Corporatio n. See table.

Up to DecembeT buying list.

of the current buying list Farmers we,re able \ Secondly, the iva;1ne as shown by the following of produce re1ceived hr Georgetown figures: and New Amsterdam increased 1966-· .

.-.,..=.

:-• ?
.-.,..=.

:-• ?

1967 Georgetown New Amsterdam $881,597.�8 162,140.65 Georgetown New Amsterdam $1,343, 487.04 192,838.03 $1,043,737.93 or by a total combined value of $492,?87 .14.

9.

The Milk Pasteurisation it� ''processed and wages from $514,870.10/$575,538.73 rose from $365,829.89.

prices iri 1967.

Purchases of raw materials prices.

Net· trading 1967, but the loss per gallon fell marginally.

and its sales from $376,002.59 to $442;859:46 at'l�'i (1969).
in 196Eho .$257,249·in loss on the Milk Plant incre·ased from $253,84!f Plant increased raw materfaJ yalue'J.

to ·$439,�80_J5 �t .il�!J 10.The Ham and Bacon Factory incr�d its _operatiol).. · · · ·· · ·,� a.Ad.

i� st_or:ag�·res�u'i·�- --,-� "· ·· ·· .,,.. .

·;,-1 .

· · · . '

� • ·: • ' • faxed to the utmost.

Pigs slaughtered at your Marketing Cotpora,tion.

.

.

; ', .,.

.

.

No.

of.r.Jeads lb� 1964: 1965 1966 1967 .

1,911 1,789 1,,836 2,797 189,941 175,981 198,710 340,319. v�u� $ 92,12'8l'SO.
93,�7.00.

109,Q�3.0Q ;.

_ 183;38;1.00:\ .

It.

is obvious that price disincentives in 1964 had their effect in 1965. '

The bulk of the supplies lbs, at carcass weight as against came from the Essequibo 38,246 Coast, that r�gion supplyihg 108,768 ip.

1%7.

as against $60,475,01 in 1966 ata total value of $21,264.78 11.Fish Market purchases increased as a result of more deUveries by fishermen- 1965 1968 1967 lb.

390,881 576,295 968,170 vaiue:· $ 146,265 3,987· ··· 17 :2.3�,'260 Factory 12.
The· Processing began the year 1966 with carry over stocks of $15,202�� carry over stocks of $20,193.88.

There was also a greater $126,834.87 1965 ushered in a period of greater stock) by the Guyana Marketing Corporation, showed a higher volume of activity in 1967 than in · 1006, but · wnereas it biegan the yei.r.

'19'67 ;1Vith value· of raw materials �inrting of (crops'.

:.�rtd It is clear from the data tha.i:tne'be.

producers, · table shows: · · · 1 in 1967, than in 1966 $95,427.2't.
to the agricultural as the following service [··:': ·, · _-, intake live':.

Crops Pigs ,Fish 1965 1964 1�61 $ 222,531 $ 401,175.10 $ 397,567 $638,089 93,497 ·109,0�3 92,064 135,85�·.

.14:6,265 173,987 ,..,, ,;.

-�.83,3S1 237,260 .,.

·.,:·,J 1966 '• 13.The Blast Freezer, a gift from FreedomFrom Hw:iger (Ult) in.1967 was, .iris�.,in the fish Market Building during the course of the year) It: added')�-Ohiei M3:l'k�iug Oo �r:i ti�on's storag� capacity f�r fish.

The fin.a!
The fin.a!

cost � cleani i;ig, buildi� a _blast .freezer room, budding a holding room·.adJacent to the 0blasf ·tieezer a!l'd in'.sta1ling the' blast · , , .

, i , freezer was $34:,854.

77.

$'40;000 , lb.

-{c{titiyaiia 14.

The Ham and Bacon Factory, to operate.

Durin� the_year it made·· a· strong thrust towards national self-sufficiency .

.

.

.

.

.

.

.

.

.

• .

.

.

.

r ,.

� � pi19t · · fa�tory estab�hed.

· · iµ the ye1ar.

1955 'continued .

in hams.

I 1985 1966 196'1 4 Ham· lb.


12,058 14,137' 46,289 Bacon lb.

46,011 56,279 84,726 The country continued to be self-sufficient in bacon not in airtight containers.

15.From 1966 the Annual Subsidy to Guyana Marketing Corporation was effectively e received operations from Government in 1967.

The net The main amounted to $414,502.30.

appears to have been increased efficiency in sales and a pricing policy geared to the .
Whereas in 1966 tremendous losses were said to occur due to in 1967, when the volume bought was double that of pegged at $500,000 the amount which therefor loss covered by subsidy in the Corporation's influence lack of storag e facilities.

spoilag e of produce, especially 1966, there was a great reduction of peak supply to distribute along the coast at cheap prices.

By this means th(2 aaual loss on purchases was reduced, as part of the purchase price was recovered from sales.
Residents of urban, suburban priced vegetables.

sugar estate and village districts benefited from cheap because moto r lorries were engaged at periods in spoilage, widely plant.a.ins, fooddtuffs 16.

The audited stateme nt.a show a trading loss on Edible Oil distribution, rising to $47,936.73 in 1967 from $40,783.60 extended by Guyana MarkeVing Agreement from member countries, and the cost of administration.

Corporation refined edible oil were .294,000 gallons valued at $182,306 in 1966.
Domestic crude oil amounted to 14,097 gallons including in 1966.

The baBic reason for these results is the subsidy Corp oration to oil and copra imported under the Oils and Fats Guyana Marketing extended the subsidy of crude oil t.o domestic producers of crude oil.

llmports of valued a.t $658,485 in 1967 as ag ainst 72,550 gallons a production valued at $34,530 bonus.

Overall activity.
17.The total level of activity for all units as shown by cost of goods sold in the years 1965 to 1967 atood a.s follows : 1987 $ 5,602,576.74 1966 ' 4,727,197.22 1965 $ 4, 794,070.14 As shown by the record the total volume of sales .of produce including edible oil, some of which is imPorted was: 1987 $5,879,637.20 1968 1965 $4,759,555.66 $4,430,6 95.21 Deficit The net trading loss covered by subsidy of the Corporation was at the lowest figure of the four years of the life of the Corporation.
196'1 $ ,u,502.30 1968 1965 $ 442,887.40 $ 904,428.22 1964 $ 666,751.92 18.The main problems of Guyana Marketing Corporation at the end of 1967, were already very familiar.

In buying operations the Corporation faced competition from wholesale areas .

Their pricing policy tends to depress prices un­ ters, who buy in the surplus producti.on duly when the crop is in and to raise them un dully when ·the crop is out.
Hucksters have a responsibility the consumption of domestic vegetables· to Government or consumers to keep fOOd priices reasonable and thus encourage hucks­ .

19.It should be recognised that there are two markets for fresh foods, the state Guyana market and the open market.

Through the state market it was found trade that 60% of.

the consumer's dollar reached the farmer, whereaa Marketing Corporation in 1967 in the plantain in the open market ,only about 39-40% of the consumer's doillar reached him.
The jackin.g up of food prices can affect the "buy 19'Cal" or "buy Guyana" campaign and influence patronage in favour of imported foods.

consumer 20.The provisions of Order No.

97 of 1963, Paragraph 7 seems to have been intended to in the hands of the Corporation.

p]ace certain powers of market control '1 (i) "Notwithstandi poration may by notice pubUshed one newspaper circulating vision over the disposal of the produce of producers of this Order, the Cor­ in the Gazette and in at least gen.era!
super­ and may ng any other provision in Guyana exercise 5 by the like notice ,control the purchase, aale, distribution, pro­ produce.''

,cessing and export of such , (ii)"Any supervision or control as provided para­ for in the preceding graph may be exercised by the Corporation in respect of all or any of the aforesaid produce or in respect of any quantity or any grade of any such prc<luce and in respect of the whole of Guyana or any area therein .. '' (Order No.

97 of 1963).
97 of 1963).

20.It was found on examination that the Order provided no penal ty clause for non-compli­ ance with a notice under Paragraph 7 (i) and (ii).

The attention to this apparent omission.

of the Ministry was drawn 21.The other problems faced by the Corporation were recognised by Government.
They were lack of technfoal personnel, la.ck of sufficient space · for carrying out the m.arketing opera-, tions, la.ck of sufficient refrigerated storage, obsolescent ·machinery and .equipment and lack ot adequate premises.

The Central Government vot.ed $100.000 The gesture was appreciate<hbut for capital expenditure.

the sum was inadequate.

22.After devaluation in 1967, the Board received a directive from the Minister re­ food prices.

downward.
downward.

The Board was also requegt� to �et up questing it to influence marketing outlets in areas of deficit from supply to cushion the effects o�.

the devaluation the Guyana dollar.

The Guyana Marketing ject.

Local businessmen, preferably wholesale prices, the selling prices contribution was made by Guyana Marketing Corporation and the person operating the outlet receievd credit for 2 per cent of cash sales.

Corporation began the implementation of this pro­ being fixed by the Corporation.
to the rental of the premises used on credit with produce at Whenever appropriate co-operatives were supplied Qf .

a 23.The Corporation has consequently to keep farm incomes up and consumer prices down.

rangements attempted by the use of various marketing ar­ 6 .GUYANA MARKETING CORPORATION FINAL ACCOUNTS FOR 1967 AUDITOR'S REPORT We have obtained alll the· information and explanations which to the best of our knowledge and belief wer:e necessary :for.

the purposes of have lllOt been kept.


by the Corporation and it waa necessary to make special adjustments.

We have examined the above Balance Sheet and annexed Profit and Loss .Aiooount which are in agreement with the adjustments !made by us.
In our opinion and to the best of our information and aecordin:g to the explanations given to us the Balance Sheet gives a reasonable picture of the state of the Corporation's·· aifairs as at 31st December, 1967 and the Profit and Loss Account shows a reason·able -state orf the los,s for the year ended 31st December, 1967. our audit.

In our opinion proper books af account THOMAS STOLL & CO., ACCOUNTANTS ·-AUDITORS.
GUYANA MARKETING CORPORATION BALANCE SHEET AS AT 31ST DECEMBER, 1967 1966 CAPITAL $ 1006 r- FIXED ASSETS 1,102,108 .00 Guyana Government Account 1,102,108.00 441,712.56 Land and Buildin gs (to be satisfietd by an issue of 7% Debentures) 104,374.25 300,000.00 Advances by Government of Capital Reserve Guyana Surplus of Subsidy over Trad- 148,360.61 ing Loss for 1966 Add: Surplus for 1967 104,37 4,:25 31,668.17 Plant & Machinery 287,542.20 300,000.00 20,657.38 Furniture & Equipment 148,360.61 66,195.33 214,555.94 8,554.48 Sundry Equipment 60,830.11 Motor Vehicles $ 850,964.90 Launches CURRENT LIABILITIES 306,881.76 Sundry Creditors and Credit Balances 460,483.44 525,902.
47 CURRENT ASSETS Cost $ Accumulated Depreciation Net Book Value $ $ 487,994.32 47,625.54 440,368.78 413,678.19 65,840.65 347,837.54 41,982.34 8,974.0 7 33,008.27 )22,411.1 61,672.30 6 39,261.14 87,778.19 24,999.96 62,778.23 9,639.61 2,049.0 9 7,590.52 44.95 $171,900.
47 $930,844.48 $1,102,7 $1,961,724.62 - $2�181,521.63 $1�961, 724.62 Stock & Stores (as the lower of cost) and net realisable Stock of drums on hand value) 721,095.7 3 37,415.00 From: Suppliers To: Customers 299,012.81 (110,000.00) Sundry Debtors & Other Debit Balances 256,131.32 Less Provision Cash at Bank Cash in Hand 198,395.00 159,000.00 .39,395.00 74,565.81 181,565.51 294,886.37 13,734.54 308,620.9 344,092.33 14,337.11 for Bad Debts 1 1,250,677.15 .63 $2,181,521 Note (1) While the nominal value and the interest rate of the Debentures to be issued under Azticl� the Ministe repayment r of Finance and the Cor poration such agreement dates of the Debentures.
does not extend to the· (ll) 2 of the Guyana Marketing Order, 1963 have �en agreed by (2)The a�ove Debentures �ave not 1et been issued and though interest has not been paid thereon It has been provided for m the accounts.

l,_ c 'S17fth.

.
·o:· ... GUYANA MARKETING CORPORATION DEPARTMENTAL TRADING AND PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST DECEMBER, 1967. rl SALES Deduct Transferred from Processing Account Stocks at 1st January, 1967 Purchases· Loss-in-Transit Freight Inwards Carriage Inwards Refining Expenses Unabsorbed Fa,ctory Ex penses Oost of Raw Materials Sold Transferred from Raw Materials $ $ Depot Depot $ 212,300.25 1,401,636 13,502.31 144,714.73 5,649.72 9,209.99 2,802.85 198,950.48 Processing Fish & Market Edible Oil Centre $ N/A Produce G/Town Produce Pasteurisation Milk Plant Factory s $ .77 439,880.45 167,245.86 339,204.90 - - 575,538.73 57,613.40 - - 192,838.03 1,343,487.04 -- - 251,298.44 1.8.47 - - - - 1,517.34 ,_ - - - -- - - - 3,U7.18 - - - ·- - 'l,636.90 - - 28,122,97 - - - ··- - 88,892.50 - ··- - - - ·- - - - - 3,188,016.10 938.00 $ ··- 3,069,356.33 208,795.68 1,488,220.24 581,188.45 183,838.86 254,101.29 3,279,060.89 Ham & Bacon Total 1967 1966 1965 Factory 8 $ $ 131,352.87 5,879,637.20 4,759,555.66 4.430,695.21 11 3, 733,021.J 4.101.41 378,931.49 608,66f) 4,856,979.8 121,037.57 754,189.70 67',718.55 858,234.97 2() 256,091.04 3 4,007,257.8 956.47 4,774.19 ·14,941.16 1,517.34 1,574.40 1,324.30 3,117.18 6,147.64 3,817.59 7,636.90 7,228.50 15,965.56 28,122.97 19,562.36 21,707.30 72,373.06 161,265.56 103,800.59 110.621.45 - - 161,363.79 197,512.04 6,192, 717.45 5,159,490.56 1 5,451.324.97 Less, Stocks at 31st December , 1967 Transferred to Raw Materials Transferred to Processing Account - - 6,006.83 173,931.08 5,154.70
 5,543.88 3,338.30 29 3,293.12 - - - - - - - - -- -- 30,499.74 517,767.65 378,931.49 608,663.20 72,373.06 72,373.06 53,361.85 5,278.42 - - 43,313.21 6,006.83 173,931.08 5,154.70 5,543.88 3,338.30 293,293.12 102,872.80 590,140.71 432,293.34 657,254.83 202.788.85 1,314,28�.16 576,033.75 178,294.98 250,762.99 2,985,767.77 94,639.24 5,602,576.74 4,727,197.22 4,794,070.14 9,511.40 87,347.61 (136,153.30 ) (11,049.12) 88,441.91 202,248.33 36,713.63 277,060.46 32,358.44 (363,37·1.93) 492.
'58 758.62 1,028.86 1,037.78 1,077.4-1 9,336.85 24.16 13,756.26 14,594.81 14,589.90 -- 10,003.98 88,106.23 (135,124.44) (10,011.34) 89,519.32 211,585.18 36,737.79 290,816.72 46,953.25 (348,785.03) 27,397.91 181,634.40 - - 60,762.19 172,395.87 - - - - -- -� 82,891.87 - - - - - 442,190.37 262,887.3530'l,530.83 - - 5,439.31 ·82,891.8772,126.3.1 101,287.22 5,926.60 37,292.65 39.233.23 4,797.56 9,115.52 79,927.91 3,898.14 180,236.61 l.M,8.26.99 146,385.83 33,324.51 218,927.05 122,125.10 ·4,797.5669,877.71 252,368.78 3,898.14 705,318.85489,840.65 555,643.19 (23,320.53) (130,820.82) (257,249.54) (14,808.90) 19,641.61 (40,783.60) 32,839.65 ( 414,502.13) {442,887.40) (904,428.22) $ (23,320.53) $ (130,820.82) (257,249.54) $ (14,808.90) $ 19,641.61 $ (40,783.60) $ 32,839.65 $ (414,502.13) $ 442,887.40) $ (904,428.22) COST OF GOODS SOLD GROSS PROFIT (LOSS) Add: Sundry Revenue Deduct Overheads Operating Leakage & Samples Administration Distribution Total Overheads DEPARTMENTAL TRADING PROFIT (LOSS) NET TRADING PROFIT (LOSS) ,, �·� 9 GUYANA MARKET�NG CORPORATION GENERAL.
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST DECEMBER, 1967.

Departments NI A Produce Depot G/Town Produce Depot Milk Pasteurisation Plant Processing Factory Fish Market and Centre Edlible Oil Ham & Baoon Factory 1967 (23,320.53) ) (130.820.82 (257,249.54) .

(14;808.90) , 19,641.61 ( 40,783.60) 32,839.65 (22,298.06) (90,872.88) (253,842.23) (27,448.03) 17,217.70 (47,936.73) (17,713.98) lnJtfit & Loss before depreciation Add: Depreciation " Interes ,t on Govt.
debenwres (414,502.13) (442,894.21) ( 42,154.99) (77,147.55) (49,091.95) (77,147.55 ) ,.,,,:'' Less Subddies r.eceived from Govt. ''

Profit on Sa.le of Motor Vehicles Net Stmp}us/loss for year as· per Balance Sheet (533,804.67) 600,000.00 (569,133.71) 600.000.00 100.00 $.
66,195.33 (30,966.29) 10 GUYANA MARKETING CORPORATION GENERAL PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST DECEMBER, 1967 1911 $442,894.21 Operating Loss 1967 $414,502.13 Before - Charging 49,091.95 Depreciation $42,154.9 9 Interest on Capital to Indebtedness 77,147.55 $126,239.50 Guyana Government Debentures @ 7% 77,147.55 119,302.54 $569,133.71 Loss Net Operating $533,804.67 Less:- 600,000.00 Subsidies received from Government 600,000.00 100.00 $600,100.00 Profit on Sale of Vehicles $ 30,966.29 Surplus for the Year Add:- 117,394.32 Surplus brought forward 600,000.00 $ 66,195,33 148,360.61 $148,360.61 Balance being accumulated Surplus, carried forward $214,555.
94