Holiday shipping woes: PSC Chairman says regional logistic hub is solution

For decades, some cargo destined for Guyana from international destinations is lodged in other countries before being transported to Guyana because of the lack of a deepwater port here.

This causes delays and with the holiday season, many companies have raised concerns over the issue. Private Sector Commission Chairman Komal Singh says the solution is to establish a regional logistics hub.

Singh during a telephone interview with the News Room on Monday said that issue has become more pressing as more cargo is being shipped and the turnover time is longer.

“Guyana right now, and not just Guyana, the region needs to establish a logistics hub and Guyana needs to make sure that we work on having a 24/7 channel to allow deep draft vessels.

“Guyana’s economy is growing rapidly we all know that. We’ve seen how many cars are coming on our roadways and the amount of investment taking place in the private sector and the amount of investment taking place in the public sector.

“We have to put some effort in making sure that we have a proper draft in our basin, in our channel.

“…(and) we have to work aggressively from a regional standpoint to have a regional logistic hub which allows us to move cargo within the region easily,” the Private Sector Commission’s Chairman said.

He explained that Guyana does not have a deep water harbor which means in most cases the vessels are offloaded at ports in Trinidad and Jamaica then it is transshipped to Guyana. Because of this and the growing amount of cargo coming to Guyana, the need for operators to be able to transit the waterway bringing larger cargo tonnage with deeper draft is direly needed.

The COVID-19 pandemic was a clear indication of the need for logistics operations to be established and ensuring that Guyana’s supply chain procedures are secure. More shipments are expected as the holiday season approaches and again, the long turnover time can affect many persons as they wait for the freight to arrive.

Singh said the PSC is elated over President Dr Irfaan Ali’s recent announcement that government is working to get the channel deepened. The President said that the cost of transportation is a massive impediment that is being addressed by the Maritime Administration Department (MARAD) and the shipping association.

Additionally, President Ali said Guyana is looking to Barbados to set aside a special area on their port where containers can be lodged before coming to Guyana.