— As Public Call For Inclusion & Empowerment of Liberians for Rice Importation
IPNEWS: Public concerns are now mounting over the return of K&K Corporation Chief Executive Officer, Chuckle Kardoe, to Liberia, especially playing a leading part in the importation of Liberia’s staple food ‘rice’.
The public fear comes in the wake of recent comments by Commerce Minister Amin Modad that ‘Rice Cartel’ were controlling the rice market in Liberia resulting into the continued difficulties government encounter in the stabilization of the price of rice and other commodities in the country.
The authoritative Independent Probe understand that Mr. Chuckle Kardoe, K&K Corporation is currently the leading rice importer importing just in May 2024, 34,000 metric tons of rice.
While it remains unclear as to why Minister Modad used the term ‘rice cartel’, however, in July 2011, the chief Executive Officer of the K& K Corporation, Chuckle Kardoe, was found guilty by a Liberian court for “economic sabotage” but saw a mysterious return of Mr. Kardoe during the government of former President George Manneh Weah, without clearance of the court and is now conducting normal business of rice importation under the Joe Boakai’s government.
It can be recalled, K&K Corporation’s CEO, Chuckles Kardoe was banned from importation of rice and deported home (Lebanon).
According to an investigation report forward to the Criminal court B, the Liberian government through the Ministry of Justice requested the deportation of Mr. Chuckles Kardoe, on charges of his company K&K Corporation creating artificial rice shortage on the Liberian Market that nearly caused a demonstration here. The Justice Ministry then headed by Frances Johnson Morris, took K & K to court but after some delays, the company was rendered guilty.
At various market across Monrovia Saturday, Marketers expressed outrage over the delays by the government and other successive governments had refused to encourage Liberians into importation
Last month President Joseph N. Boakai averted a national crisis when he told rice importers majority of whom are Lebanese merchants that the government of Liberia will not tolerate any ‘increase in rice price’!!
President Boakai statement was contained in an update by Presidential Press Secretary, Kula Fofana, from a closed-door meeting held with major rice importers Tuesday, May 21, 2024, at the Executive Mansion.
The Ministry of Commerce had earlier announced that government had negotiated with a ‘rice cartel’ to dropped their demand of an increment of a 25kg bag of Indian rice previously sold at US$16.50 to US$20.
Hon. Amin Mondad Minister of Commerce and Industry, at a Ministry of Information press briefing told Journalist that the government had agreed in principle to increase the price of rice from US$16.50cents to US $18.50 cents.
However, President Boakai stance has now validated previous suspicion that the Hon. Amin Mondad Minister of Commerce and Industry, had yielded to demand by the ‘Rice Cartel’ without the general agreement of the Boakai’s administration.
Following a brief meeting between President Joseph Boakai and rice importers in Monrovia on Tuesday, President Boakai has mandated rice importers not to increase any price of rice, and that the price of a 25kg bag of rice remains the same.
Minutes after the Ministry of Commerce and Industry announced an increment of the commodity on Monday, May 20, prices of a 25kg bag of rice jumped from $16.75 to $20.050, in many parts of the city center, with reports of as high as US$ 22.00 in cities such as Kakata, Harel, Buchanan, Ganta, and Gbarnga.
The History of hike in prices of Liberia stable food rice remains fresh on the minds on many in 1979, when the Progressive Alliance of Liberia called for a peaceful demonstration in Monrovia to protest the proposed price increase. The peaceful demonstration on April 14, 1979, was carried out by at least 2,000 activists on the Executive Mansion which turned bloody settling the paste for Liberia’s ugly past of ten years of civil wars.
On Monday, May 20, 2024, the Government of Liberia (GOL), through the Minister of Commerce and Industry Amin Modad, announced that it has agreed to a request from importers to increase the price of a specific brand of rice on the local market, describing the rice industry as a “cartel.”
An investigation by the authoritative Independent Probe Newspaper uncovers how rice importers had earlier written to the Ministry of Commerce and Industry, proposing a minimum price of US$20 per 25kg bag of parboiled rice to offset the rising cost of importing rice to Liberia.
The importers claimed that a 20% surcharge is being levied on the commodity by the Indian government.
“India imposed a 20% surcharge on parboiled rice, which has impacted the price of rice. Additionally, they (rice importers) cited the war in Ukraine and issues in the Middle East that also impacted freight, insurance, and timing.”
Major importers of the commodity have been playing politics and threatening shortages if the government does not agree to a price hike due to the 20% export tax extended by India on parboiled rice even though the government of Liberia, continued to take steps to advert the hike by these rice importers by suspending import tariffed to offset export charges experienced by the importers.
To advert this increment in rice price, both former president George Weah and President Joseph N. Boakai issued three separates executive Orders suspending import tariff on rice is classified under tariff numbers 1006.30.00, in packing of more than 5kg or in the bulk; 1006.30.00, in packing of at least 5kg and 1006.40.00 (broken rice) under the Revenue Code of Liberia Act of 2000.
The issuance of Executive Orders by both presidents is intended to bring relief to the Liberian people, underscoring the government’s commitment to ensuring that prices of certain commodities on the market, including rice, remain affordable as not to impose unnecessary burden on the people, yet the rice cartel continued to roam at the detriment of the ordinary people who barely get ends meet at the close of day.
