Agro Processing Strategy

4i n d u s t r y sec t o r strategyAgro-ProcessingIntroductionRationaleThe Agro-processing sector is one ofthe most important contributors to thecountry in terms of GDP, and employment.In terms of export performanceand contribution, agro-processedproducts and beverages account forapproximately 6% of Jamaica’s exportsas the third largest export contributor. 1The country’s exports increased by 43%in 2008; proving the sector is a reliableand consistent contributor to exportgrowth. Also, the export profile ofJamaica has been improved based on thecontribution of non-traditional exportsto its diversification, and the growth inthat area.This is supported by the backwardlinkages of the industry from a rangeof agricultural products from acrossdifferent geographic areas where they areproduced. Its linkages extend forwardbeyond agriculture to tourism, packagingand other supporting industries.The strength of specific brands has alsocontributed to the national brandingand has afforded opportunities forbrand leveraging for further increasingexports.Market opportunities continue to growwith growing product demand anddemand for Jamaican brands. Thereare no market threats based on accessassociated with established standards,and compliance. It is therefore forecastto be a continued contributor to exportgrowth and is therefore selected as apriority industry for the export strategy.Unfortunately, the industry also generatesa number of environmental pressureswhich will need to be improved in themedium and long-term, including:• Production of solid and liquid wastesfrom manufacturing processes,• Contribution to solid waste buildup,including non-degradablepackaging materials for which thereare limited recycling facilities, and• Air pollution.The overall national impact is a positiveone, however, and the growth of theindustry is integral to the country’sdevelopment, particularly in light of itspotential for diversification, greater valueaddition and export demand.Product Groups and RelatedProgrammesVision 2030 Jamaica has developed asingle strategy for the Manufacturingand Agro-Processing sectors, anddefines the agro-processing sub-sectoras the secondary industry processingagricultural raw material into food and1 Calculations are based on the product groups specified in 1.2 .