Jamaica Gleaner
Published: Wednesday | April 1, 2009
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Dig us out - Farm chief calls for stimulus - Wants imports taxed to the max
Arthur Hall, Senior Staff Reporter


Grant

Pinch-hitter for Jamaica's farmers, Norman Grant, has called on the Labour Party Government to provide incentives to revive the nation's withering agricultural sector and pursue an aggressive tax policy on imports.

Grant, an opposition senator and president of the Jamaica Agricultural Society, said the 2009-2010 budget, due to be unveiled April 7, should signal the Governmment's commitment to rehabilitate the industry.

He used his contribution to the State of the Nation debate in the Upper House last Friday to highlight the decline in the sector over the past 11 years and called for urgent assistance for farmers.

"Our national domestic crop production is moving from 538,000 metric tonnes in 1998 to some 427,000 metric tonnes in 2007," he said.

Jobs, tax relief

Grant said that while he supported measures being implemented by Agriculture Minister Dr Christopher Tufton, more needed to be done.

He argued that the agricultural sector needed a stimulus injection that could lead to job creation and the building of a rural economic base.

Among the measures being suggested by Grant are the removal of general consumption tax (GCT) on farm equipment and rural-development tax relief that will encourage the construction of factories and value-added industries in the countryside.

"The objective is to provide new companies in the rural areas with a tax exemption on profits generated in the first five years of start-up operation," Grant said.

He argued that existing rural-based companies that expanded or retooled should be granted a three-year tax exemption.

The JAS president called on colleague senators to back a proposal to suspend the issuing of duty waivers for any crop that can be grown locally.

"We should impose the highest level of duty on imported crops and meat that can be grown locally," Grant declared

"Call it protectionism if you may. There is a time, Mr President, when you have to do what is right for your own country and your own people and I commit that the time is now," Grant added.

arthur.hall@gleanerjm.com

Grant's agricultural stimulus request

Rural-development tax relief - to encourage the construction of factories.

Remove GCT on farm equipment.

Operation Grow - financial grants to farmers for new production.

Suspend duty waivers on crops that can be grown locally.

Easier facility for farmers to lease state lands.

Increased land-titling programme.

Increased efforts to fix farm roads and rural infrastructure.

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