Minister of Agriculture, Roger Clarke has said that in terms of production, there had been a significant improvement in the sugar industry crop of 2003/04 over the previous crop, with some predictions that the final price of this crop would be closer to the $30,000 per tonne sugar mark.

He was making his presentation to the 2004/05 Sectoral Debate in Gordon House on Tuesday (May 18).

Remarking that the 2003/04 crop was heading for the “last furlong” with grinding operations scheduled to close no later that the end of May or early June, Mr. Clarke pointed out that “a fortunate set of circumstances” regarding the rate of exchange of the United States dollar as against the Euro, had resulted in improved earnings last year. The same circumstances, he said, were likely to have a similar, or even better effect this year.

“This is good, but we must not fool ourselves into thinking that these prices are related to increased price for our sugar but it is as a consequence of favourable
exchange rate movement,” he cautioned, adding that the sector was still short of the efficiencies that should be achieved if Jamaica was to prepare itself for the stiffer competition, which was inevitable with the new European trade regime.

Mr. Clarke further stated: “The Government of Jamaica supports our sugar industry. We recognize its vital importance and it is our intention to ensure that there is a holistic and sustainable approach to the growth and development of this vital sub-sector”.

Pointing out that plans for the sugar industry would be based on the realities of future markets and trading relationships, he made note of Prime Minister P.J. Patterson’s recent announcement of plans to explore the possibilities of an ethanol project as government sought to actively pursue initiatives to identify alternative sources of energy.

This, Mr. Clarke said, together with the potential for co-generation and the refining of sugar, was “opening up tremendous possibilities for the sugar cane industry, and could relieve much of our dependence on certain markets for the viability of the industry. These are exciting times, and the potential for a rebirth of the industry is becoming clear”.

The Agriculture Minister said replanting had started again in earnest and that farmers were becoming more aware of proper agronomic practices. The Sugar Company of Jamaica, he continued, was not to be outdone by the private estates and had been moving rapidly to “put their house in order”.

Centre pivot and hose reel irrigation systems were being installed and the target for the next crop included more upgrading of factories, he informed. “We are on track to really improve efficiency and overall competitiveness in the sugar industry. The prospects for value added are real and are being pursued vigorously,” Mr. Clarke stressed.