Jamaica

Jamaica

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Country Information

The agricultural sector

The agricultural sector employs approximately 182,400 persons, although that number is decreasing in favour of tourism and associated services. The sector, however, continues to make an important contribution to the Jamaican economy. According to the Economic and Social Survey, published by the Planning Institute of Jamaica (PIOJ) in April of this year, agriculture contributed J$22.8 billion to the gross domestic product (GDP) in 2002.

The sector is divided between large-scale plantations, located in the fertile coastal lowlands, and small-scale subsistent farms in the mountainous areas of the central highlands. This dichotomy is the legacy of the country's colonial past, when sugar and coffee were planted for export to the U.K. Later other plants, including banana, citrus and hot peppers were also added to the list of cash crops. However, the new demands of the global market, coupled with the potential comparative advantage of a number of Jamaican products, have prompted a shift in focus at the policy level, from traditional subsistence agriculture to efficient and competitive commercial farming.

Traditional Export Crops
Sugar is the main agricultural export, followed by bananas, coffee, and citrus. Jamaica's sugar and banana enjoys preferential access to the EU under the Lomé/Cotonou trade agreements, but this arrangement is threatened by the trend towards international market liberalisation. Faced with the additional challenges of outdated technology and downward trends in international coffee prices, this export sub-sector continues to reshape itself, in an effort to improve its competitiveness. For instance, the recent introduction of the centre pivot irrigation system on estates operated by the Sugar Company of Jamaica Limited, has already doubled yields from newly plant cane.

Agro-processing
The main products of agro-processing are canned ackees and calloo, fruit juices, jams and a variety of condiments for domestic and export markets. One of the major constraints to the rapid growth of this sub-sector is the inconsistent supply of raw material, as a result of a lack of co-ordination between the agro-processors and primary producers. This is being addressed by the implementation of an Agricultural Business Information System, which will link buyers to the supply chain, islandwide.

Domestic production
About 80 percent of agricultural land is owned by small holders, farming less than two hectares, while the remainder is farmed by large land owners. Small farmers practise mixed agriculture, with the majority operating on small, marginal and hilly plots that are vulnerable to soil erosion. The Government has spearheaded a public education programme targeting farmers, as part of the national effort to promote sustainable agricultural development.

Livestock
This sub-sector, which mainly comprises poultry, beef, pork and fish, produced a total of 110,156 kilogrammes of meat for 2002, with the poultry industry, which accounted for 83,839 tonnes of meat, leading in production.

Agricultural Credit
The Development Bank of Jamaica wholesales agricultural credit, which is made available for on-lending to approved financial institutions and the Peoples' Cooperative banks. But notwithstanding the availability of credit, insecure land tenure makes it difficult for many small farmers to access loan financing. A National Land Agency has been established to reform the process of land ownership.

For more information on the Jamaican agricultural sector, please visit the Ministry of Agriculture's website at: www.moa.gov.jm.