Industry Minister says More Emphasis Must Be Placed On Manufacturing

#Jamaica, April 11, 2018 – Kingston – Industry, Commerce, Agriculture and Fisheries Minister, Hon. Audley Shaw, says the manufacturing sector needs to be strengthened, so that it can contribute more to the country’s economic growth.  He was speaking with journalists following a tour of Red Stripe/Heineken Jamaica’s new $2.16-billion Line 8 brewing facility at the entity’s plant in Kingston on Friday (April 6).

Noting that in earlier years, manufacturing accounted for as much as 20 per cent of the gross domestic product (GDP), Mr. Shaw said this declined over the years to now stand at eight per cent, which he described as “unacceptable”.

“We have a far way to go (in getting back to 20 per cent).  So, we have to rebuild manufacturing if we are going to grow this economy significantly again… and the good news is, we can also have that linked umbilically with agriculture,” the Minister said.

Against this background, Mr. Shaw commended Red Stripe’s management for taking steps to ensure that all of the firm’s export sales are once again generated from local production.

“That is about 30 per cent of your total production (which was being done overseas) that has been repatriated back to Jamaica, thereby creating more jobs, adding to the value here rather than overseas. That’s major… (and we) thank you for your confidence in our country,” the Minister added.

In his remarks, Red Stripe’s Managing Director, Ricardo Nuncio, noted that the process of resuming 100 per cent local production of the company’s products has been a “big journey” for the current management since its acquisition of the entity.

“Bringing (full) production back was not easy, and it has been a challenge. But we are very committed (to this), because it’s the right thing to do,” he said.

For his part, Jamaica Manufacturers’ Association (JMA) President, Metry Seaga, who also toured the facility, welcomed the comments by Mr. Shaw and Mr. Nuncio, describing them as “music to my ears”.

“I could not be more pleased with what I have seen here today… . It’s a great investment by Red Stripe.  We at the JMA have consistently said that manufacturing is the key to growth, and it’s now being said by major investors and the Minister is echoing that sentiment,” he said

Noting that manufacturing is “alive and well in Jamaica”, Mr. Seaga said he is optimistic that under Minister Shaw’s leadership, “it is going to flourish, and we are going to get it back to the 20 per cent that he spoke about… (and) we won’t stop until we do”.

Red Stripe Heineken’s new Line 8 facility, which was commissioned into service in October 2017, brews Jamaica’s world-renowned Red Stripe Beer and Dragon Stout for the CARICOM, North American and United Kingdom markets.

It has an output of 40,000 bottles per hour, which will enable it to produce 3.5 million cases of the beverages per annum.

Release: JIS