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Ariguanabo Company of Jamaica Limited

Ariguanabo Company of Jamaica Limited

Ariguanabo Company of Jamaica

HINISTRY PAPER NO . gARIGUANABC COMPAl\lY OF JAMAICA LIMITEDAs this Honourable House will recall, on .the lOth July,1973, during the Production Debate, the t1inister of Industry)Commerce and Tourism infonned the House that Ariguanabo Textilefactory in Spanish To~mhad been acquired by Government inMarch, 1973.The circumstances leading to the transfer of ownershipfrom Coltejer of Colombia commenced in December, 1972 whenthe owners of Ariguanabo indicated to Government that due tocertain internal problems in Colombia they wished to dispose oftheir interest in the Company.In this connection they wanted togive Government the option to own Ariguanabo.If the option werenot exercised the factory would be closed and the assets soldoverseas to liquidate the debts.2. After a careful evaluation of the company v s request itwas decided ~ol tej er : s offer should be accepted for thefollowing reasons:-(1) in the situation of the high level of unemployment inJamaica no Government could vie"t-7 with equanamity theprospect of making some BOO persons redundant andtherefore unemployed.{2) the Government had to take care to prevent a dispersalof the pool of skilled labour which had beenbuilt up;The textile industry possessed a highlevel of skill and expertise, and the country couldnot afford for this pool of talent which had beentrained and built up over the years to be allowedto drift abroad or into other industries;(3) the Government had to take into account thedifficulties that would be created by, as a resultof the closing down of the local mills the market/having..... .

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