Agroprocessors need assistance

THE EDITOR, Sir:

Governments past and present consistently speak of the importance of the agroprocessing sector to the Jamaican economy.

As an agroprocessor, the main challenges the sector faces are as follows:

1. Inconsistent supply of agricultural products at affordable prices.

2. High energy cost.

3. Unrealistically high financing rates.

The Government and stakeholders are currently working on various initiatives to deal with these challenges in the long term.

The sector might not survive, however, to reap the benefits from these initiatives, so urgent action is needed.

We import more than 70 per cent of processed foods that are on our local shelves.

To be fair to our local distributors, they are not averse to supporting local processors.

The fact is, they import these products at a lower cost compared to locally produced products.

What can we do to correct this imbalance?

I suggest the Government implement incentives where goods produced by local agroprocessors attract a lower GCT rate according to input of local raw material.

I know that there are trade agreements, but other countries have found creative ways to get around these accords to assist their productive sector.

I am, etc.,

MIKE MING

islandpackers@mail.infochan.com

Lionel Town

Clarendon