John Myers Jr., Agriculture Coordinator
Banana suckers growing on the Plunkett Farm in Albion Mountain, St. Mary. - IAN ALLEN/STAFF PHOTOGRAPHER
WITH THE introduction of the new tariff-only banana regime by the European Union (EU), a portion of local bananas, which previously had a guaranteed quota, may have to pay a tariff to enter that market.
Dr. Marshall Hall, managing director of the Jamaica Producers Group, who was speaking at a Gleaner Editors' Forum last Tuesday on the banana industry, explained that with African, Caribbean and Pacific (ACP) countries now having to compete among themselves for the 775,000 tonnes quota allocated to the group, it is possible that some of Jamaica's bananas may have to pay a tariff.
"The net effect is that Jamaican bananas may have to end up paying a tariff on some of the bananas that enter the European Union for this year and certainly for next year," Dr. Hall said.
He said the removal of the quota system by the EU now means that "We (Jamaica) are competing with the other ACP countries in order to get bananas into the European Union and that poses some problems."
LEVEL OF TARIFF
Dr. Hall, however, noted that it was early days yet as the new system took effect on March 7, but "we don't have any good feeling as to the impact ..."
He said the only benefit under the new regime for ACP countries is the height of the tariff imposed on bananas coming from non-ACP countries, which at the moment is set at 176 euros per tonne, but is still under review.
Noting Dr. Hall's concerns, Ambassador Gerd Jarchow, head of the European Commission delegation in Jamaica, pointed out that the change in the banana regime was not the decision of the EU. He said they were forced to make these changes.
Nevertheless, Ambassador Jarchow said banana exporters in Jamaica could still survive with the tariff on non-ACP banana producers.
In the meantime, the Jamaica Producers head expressed dissatisfaction with the level of support given to the industry by the Government.
"With due respect to RADA and with due respect to the Ministry of Agriculture, I think if you look at the support provided by the state to the banana industry over the last 25 years, except for the European Union Banana Support Programme, it is very very negligible and so that to me is another indication of where the Government stands," he complained.
LACK OF CONCERN
"I think in the pronouncements about sugar versus bananas, I hear a lot of noise coming out of the Ministry of Agriculture about sugar, I hear very little about bananas, so when I look at those mix of things, to me, I see a lack of concern for the banana industry."
He was supported by Glendon Harris, the first vice-president of the Jamaica Agricultural Society (JAS) who said the need for support from RADA was greater now than before.
NOT SATISFIED
"Definitely, we are not satisfied with the extension services provided. On a wider scale, recognising the importance of agriculture in rural development, much more emphasis should be placed on more officers," Mr. Harris said.
Thomas Burton, deputy executive director RADA, disagreed.
He said the agency does provide extension services to the industry, but to a limited extent because the banana industry had its own support service.
"We don't want to be in competition with two extension providers serving the same client and as such we tailor our delivery to the areas of need," he responded.
