A mid-year report on Guyana's economy indicates that it has remained resilient, despite the poor performance of the traditional industries, especially sugar, in the first half of 2009, and the ongoing global financial and economic crisis.
It announced a 1.1 per cent GDP increase in the non-sugar sectors, crediting government's efforts to diversify the productive base of the Guyanese economy, with the non-traditional sectors of livestock production, other crops, distribution, and transportation and communication leading the way.
And it's predicted that growth will continue.
"Given the strength of the non-sugar sector of the economy, and the expected increase in sugar production in the second half of 2009, it is expected that the Guyanese economy will grow by 2.5 per cent for the year," the report stated.
A growth rate of three per cent had been projected for the livestock sector for 2009, primarily based on the facts that the industry was poised to benefit from the improved breeds of cattle and the number of swine distributed in 2008, increased production of poultry meat and reduced levels of grain prices.
At the end of June, poultry meat, beef and pork production had all increased over the previous year's levels for the same period. As a result, livestock production grew by 4.4 per cent in the first half of 2009 and the budget target for the year of three per cent has been revised to four per cent.
The performance of other crops is estimated to have grown significantly above the path that was required for an annualized two per cent growth rate, recording a five per cent growth rate for the half-year. Initiatives like the 'Grow More Food' campaign were all reported to have converged to ensure a boost in supply of vegetables and fruits to households. Apture™
The production performance is projected to be sustained throughout the second half, with overall output for the year being revised upwards to five per cent," the report said.
The distribution sector recorded three per cent growth at the end of the first half of the year, reflecting increased imports of consumer goods and fuel and increased agricultural produce which served to bolster distributive activities.
"The sector has the platform to remain on its growth path, and is expected to exceed the projected annual growth target of 3.5 per cent, and is estimated to grow by four per cent by the end of the year. The transportation and communication sector was projected to grow by four per cent in 2009 reflecting the greater level of activities between the coastland and interior areas," it added.
In the transportation sub-sector, the opening of the Berbice Bridge last December reflected in a definitive shift from the use of the ferry service to speed-boat service and road travel via the Bridge. At the half-year, it is estimated that the sector has achieved a 3.3 per cent growth rate and will directly benefit from the predicted higher level of economic activity in the second half, which will put the sector on the path to achieve a growth rate of six per cent.
Source: newsroom - meattradenewsdaily.co.uk
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