Spike in construction, development puts pressure on supply chains

The content originally appeared on: News Americas Now

Black Immigrant Daily News

The content originally appeared on: INews Guyana
Public Works Minister Juan Edghill

…efforts being taken to ensure materials are available – Edghill

Due to the escalation of construction and other private sector developments, the demand for materials has been skyrocketing, but the Government is making strides in ensuring there are adequate supplies.

This was according to Public Works Minister Juan Edghill, who on Friday stated that while some may refer to this occurrence as a shortage, in actuality, it is a measure of success for the country. Despite importers bringing more and production ramping up, there is still great demand.

“There are hundreds of roads that are being executed. That is why we would have gone the full distance and you have seen the public call to acquire aggregates. The Ministry is going out to get materials because even though the quarries are producing more, the importers are bringing in more, but there is still not enough. Some people will call that a shortage but I will call it being a victim of our own success,” Edghill explained.

With this pressure to support the market, he noted that contractors have to adapt and work smarter to ensure smooth flow with little disturbance.

“The hundreds of homes under construction, the hundreds of roads under construction, the private sector development taking place has put pressure on the market…We have to be able to increase capacity but in doing so, we must act sensibly, where work could be done offsite and then we bring it onsite. I’ve seen some contractors taking those necessary steps.”

For 2021, the Government was working with the Guyana Geology and Mines Commission (GGMC) to up production of construction aggregates to over one million tonnes. The production rate for quarriable substances had been much lower than the demand over the last few years.

For 2020, just about 650,000 tonnes of materials were produced.

President Dr Irfaan Ali had also revealed last year that as many as 20 companies are vying to establish concrete plants, a service that is in demand with the People’s Progressive Party (PPP) Government’s housing drive and ambitious construction goals.

A massive housing drive is also underway that targets thousands of new homes. The Government also intends to allocate some 50,000 house lots within five years – adding to the demand.

This year, Hadi’s World Incorporated, a subsidiary of Mohamed’s Enterprise, partnered with China Harbour Engineering Company (CHEC) Guyana Inc to pursue its US$25 million quarry project to cater to the needs of the country’s booming construction sector.

Only recently, equipment was deployed to the area and the production of stones is expected to commence in the first quarter in the new year.

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