Last Updated on Thursday, 3 August 2023, 23:21 by Denis Chabrol
The Inter-American Development Bank (CDB) is conducting a feasibility study on whether a glass bottle plant should be constructed in Guyana to satisfy demands by the two major beverage companies, amid lingering concerns that a Trinidad-based glass bottle manufacturer would be unable to satisfy regional demand, President of the Guyana Manufacturing and Services Association (GMSA), Ramsey Ali said Thursday night.
“I’m pleased to say that study has started and we have a timeline of about two months before we can get the results of that study,” he said. Mr Ali remarked that the GMSA approached the IDB which readily agreed to conduct the study.
The Western Hemispheric bank has since hired Ernst and Young to conduct the study.
He said that bottle manufacturer has already asked the Caribbean Community’s (CARICOM) trade ministerial council for trade and economic development to impose the Common External Tariff (CET) on bottles that would be imported from outside the regional bloc.
Mr Ali told the GMSA’s mid-year dinner at the Princess Ramada Hotel that in addition to the large bottlers- Banks DIH and Demerara Distillers Limited-there are other middle level companies and small agro-processors that use glass receptacles.
The GMSA CEO said Guyana would have significant energy capacity from the 300 megawatt natural gas-fired power plant at Wales, West Bank Demerara to satisfy electricity demand by a glass bottling plant. “Given what is going to take place with energy in this country in a very short while, that project would make much, much more sense than if we were to look at it 10 years ago because of the consumption of energy for such a facility,” he added.
Last year, the West Indian Rum and Spirits Association (WIRSPA) had asked Caribbean Community (CARICOM) stakeholders to reject an application for tariffs to be imposed on glass bottles produced extra-regionally on the grounds