Address by the Honourable Audley Shaw to the All-Island Jamaica Cane Farmers’ Association 69th AGM

Hon Audley Shaw, Minister of Industry, Commerce, Agriculture and Fisheries, presents trophy to the best female cane farmer Kenesha Gordon from Dukenfield, St. Thomas, at the All-Island Jamaica Cane Farmers’ Association 69th Annual General Meeting, held at the Spanish Court Hotel in New Kingston on November 14, 2018.

Today, we meet again for another AGM of the All-Island Jamaica Cane Farmers’ Association.
Your proud record shows that this is the 69th such meeting and, indeed, this is the 77th Anniversary of the Association.
This is an achievement. Embedded in your years of service are stories of commitment, perseverance and resilience. This is commendable and worthy of recognition.
I, as Minister and as a Jamaican, have very great respect for you, the cane farmers, small and large and, indeed, for all the farmers of Jamaica.
Your task is not an easy one. The road you travel is no easy road. And as we traverse this road, we take this opportunity to look back, take stock and look forward.

History (Looking Back)
The Jamaican sugar industry dates back to 1509 when the island was under Spanish rule. This means that all of us gathered today are a part of an industry that is over 500 years old.
As a colony of Britain, Jamaica became the major producer and leading exporter of sugar in the world. The industry achieved its highest level of production in 1965 when 516,825 tonnes of sugar were produced. At that time 18 factories were in operation across the island.
Looking back, we are aware that the sugar industry has contributed to our rural communities and the wider economy and even gave birth to our labour relations and trade union movement in Jamaica.
It is undeniable that our deep historical roots in sugar have largely shaped who we are as people today. The early plantation system, built on slavery, gave birth to a people who are fiercely independent and fiercely proud of their nation and its struggles for that independence.
The indentured labour system on the plantations gave birth to a people who celebrate their diversity.
The 500 years of growing and processing cane gave birth to a people skilled in the art and science of distillation and blending, earning us the reputation of a people who are known worldwide for our fine rums and spirits.
The value and contribution of the sugar cane industry in this country cannot be understated and so, today, I wish to commend you all, the immediate stakeholders, farmers and processors, who have sustained the economies of the sugar cane-dependent communities islandwide, through thick and thin.
Respect due!
Current Challenges (Taking Stock)
Having said that, I, like you, am aware of the current challenges of the industry in 2018. Some believe that this may be the most challenging period in the industry’s history.
The realities we face are significant and I am not here to sugar-coat those realities. Problems are not best solved by avoidance but by identifying the opportunities within and using those as a catalyst for change and adaptation.
We have lost our trade preferences in Europe and with that we have lost our preferential pricing. Our crutch has been removed and we must learn to walk together as an industry - proud and upright. We cannot replace the crutch of preferential pricing with another dependency model – a model predicated on perpetual government subsidies.
My friends, we are in a period of change. Change is not always easy and it is not always comfortable. But change is life, change is the pattern of history and change is constant. The sugar industry is now undergoing that change so that it can remain relevant and sustainable in the future. The world and markets around us are changing and we must adjust to remain relevant and profitable. Working together, we must manage that change and lay the foundation for the generations to come.
Years ago, we dumped sugar in a boat and sent it away to foreign shores. We got paid in short order. Based on our colonial past we continued the model of producing and selling a commodity.

Looking Forward
Today, in the 21st century, we cannot be commodity thinkers and dealers. Today, sugar is sold at the highest margins when sold directly to consumers in attractive retail packaging. It has to be marketed. Yes, the cash flow is more challenging, but the trade-off is the higher price.

We have a ready consumer market here in Jamaica for sugar cane and its by-products. Jamaica currently consumes about 50,000 tonnes of brown sugar annually. There is also the regional market.

Refined Sugar
We also continue to work with the local processors in a constructive way to secure a market for sugar in our local value-added industries where another 80,000 tonnes of sugar is consumed.

I use this opportunity to commend the JMEA for the constructive dialogue now under way between themselves, the SIA and my Ministry to address issues in the refined sugar market. I can announce today that we (MICAF, SIA and JMEA) are currently in dialogue and will continue to work towards finalising a mutually accepted solution for the importation and regulation of refined sugar.

As we look to the future, our industry and the cultivation of sugar cane will most likely be driven by market demand for
• Local consumption
• Additional uses in manufacturing
• Value-added products such as packaged sugar
• Increased supplies to the CARICOM and other regional markets.

Positive discussions are also under way with interested parties for Monymusk and Long Pond in the medium to long term. In the short term, I am now evaluating proposals and options for the processing of cane usually handled by Monymusk, but I must also put these options before Cabinet.

Farmers and friends, I want to assure you that the Government remains committed to working with all stakeholders to find the best outcomes for this industry.

And as we seek to chart this future together, we cannot lose focus on the principles of improved production and productivity in the sector; diversification of sugar cane products and the use of sugar cane lands.

Role of Cane Farmers

As Minister of Agriculture, I am profoundly aware that sugar cane farming has, for decades, been the bread and butter of many farmers in this sector. Many of you, no doubt, have had a bitter-sweet relationship with the sector, but it remains your first and true love.
I, and the Ministry I lead, am prepared to partner with you and guide you through this period of transition. As we look to the future, let us continue to be resolute in our commitment to overcome the challenges as we work, hand in hand, to secure the future of Jamaica’s sugar cane industry.
I thank you and God bless you!

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