FOLLOWING the Government’s announcement that it intends to grow the manufacturing sector’s output by $81 billion annually over the next five years, the Jamaica Manufacturers and Exporters Association (JMEA) said that it is ready to work with all stakeholders to deliver its estimated out-turns.

Minister of Industry, Investment and Commerce Audley Shaw, last week while addressing a virtual regional trade event, said that the national manufacturing growth strategy (MGS) was among a number of initiatives soon to be rolled out by Government as it seeks to orchestrate economic recovery from the COVID-19 pandemic.

President of the JMEA, Richard Pandohie welcomed the strategy by Government as an important step needed to reap success for the sector.

He said that with the right environment created the sector should be ready to supply the estimated output, with deliberate efforts to boost productivity, enhance research and development and innovate, as well as penetrate new and existing markets.

“Our research shows that the JMEA represents one third of manufacturers and exporters; of that, the majority of the large and medium companies that contribute substantially to output and employment are members of the association. As such, we estimate that over 65 per cent of this output is expected to come from JMEA members,” he told the Jamaica Observer.

He cited working partnerships between manufacturers and the Government, along with mutual accountability and urgency, as being some of the main tenets needed to drive the success of the MGS.

“It is now critical that we identify the steps to achieve the strategy and have clear accountability to getting them done,” he further told the Business Observer.

“It is important that the Government facilitates and provides an enabling environment to unlock further investments and reduce obstacles in the industry and stimulate growth. If this is achieved then the competitiveness of manufacturers will improve and we will be able to achieve the targets,” he added.

The JMEA head said that prior to the strategy the association, through its members, was already committed to the task of ramping up growth within the productive sector. This, he said, has resulted in several companies making significant investments to expand their plant operations, retool and implement global quality standards.

“In 2019 we saw at least USD$49 million invested in an agro-processing facility in St Catherine while the Statistical Institute of Jamaica (STATIN) International Merchandise Trade report shows that imports of capital goods were valued at USD$279 million,” he noted.

Pandohie said that though the local sector comprises a diverse field of producers, with a larger portion of its operators in the food and beverage, chemical, cosmetics, pharmaceutical, plastic and rubber industries, it will however take the contribution of all industries to meet the projected $81-billion target.

“We will need all hands on deck — furniture, apparel, electrical, packaging and other light manufacturing industries – expanding output for import substitution and export,” he said, also noting agro-processing from primary produce as one having the greatest potential to drive growth, among the other sectors.

Pandohie said the JMEA, in further preparing its members, has moved to embark on numerous training and intervention programmes geared towards the development of productivity and the workforce, market intelligence, standards, packaging; and simplifying market access opportunities under various trade agreements.

“Having many well-established and successful producers and exporters within the JMEA, we are now embarking on a programme of organised mentorship of new manufacturers and exporters where best practices and guidance will be provided to micro and small businesses on their path to transition and growth,” Pandohie said, noting that the assistance with financial provision through access to loans and grants – along with the proper engagement of digitalisation and ecommerce platforms – were also at the core of its support for members going forward.

The JMEA said that through this MGS – which it has also partnered with Jamaica Promotions Corporation (Jampro), Planning Institute of Jamaica (PIOJ) and the Ministry of Industry, Investment and Commerce (MIIC) to develop, it will ensure that policies are put in place to make manufacturing easier and more attractive as it also seeks to motivate manufacturers to play their part in growing the industry.