On opening day of the Energy Conference and Supply Chain Expo 2024 His Excellency President Irfaan Ali underscored the critical role that the transportation and logistics sector will play in the development of Guyana’s economic ecosystem.
The Transportation and Logistics sectors play a pivotal role in exportation by ensuring that the produce is delivered from the manufacturer to the consumers. The president stated that because of this, his administration has made significant investments in Guyana’s infrastructure development, guaranteeing the smooth movement of local produce.
Globally, investors have recognized the importance of these sectors in the supply chain as not just being “key and critical” but extremely profitable. This is evident as Guyana, Barbados and Trinidad and Tobago are set to establish an inter-country Shipping & Ferry service that will facilitate the movement of tourists and goods.
As the oil boom continues, the export of oil and gas products becomes critical to economic development. The President stated that phase one of the Whales pipeline will produce 4,000 barrels of propane and butane, or “cooking gas” each day, making the transportation and logistics sector critical because local consumption is only 800 barrels, leaving over 3,000 barrels available for export. Upon completion of this pipeline, 10,000 barrels per day will be produced, with an excess of 9,000 barrels for export.
President Ali justified the government’s investment in Guyana’s infrastructure, by stating that it will open the door to immediate markets. Projects like the bridge link to Suriname and the road to Northern Brazil will aid in the access to these markets. According to President Ali, the use of transportation and logistics services will have a rippling effect as they will generate a need for other services like mechanical, vehicular maintenance, and hospitality services.
Furthermore, improvements in transportation and logistics will make the “low hanging fruits” generated by Guyana’s Oil and Gas Sector easily accessible.