The racing industry’s decline: Facts and figures
“Facts are stubborn things; and whatever may be our wishes, our inclinations, or the dictates of our passion, they cannot alter the state of facts and evidence.” — John Adams, Argument in Defense of the British Soldiers in the Boston Massacre Trials, Dec 4, 1770.
Having presented the facts and figures indicating the reasons for the decline of racing industry locally and in the pan-American region, which include Canada in the north going south down to Chile and all the racing jurisdictions in between, there has been no response from Supreme Ventures Racing and Entertainment Limited (SVREL) and more importantly, United Racehorse Trainers’ Association of Jamaica (URTAJ) and Thoroughbred Owners and Breeders Association (TOBA), owners of the failing racing product two weeks later.
However, the chairman of the Jamaica Racing Commission (JRC) did respond and restated his position that the promoting company is empowered to proceed as they see fit. I respectfully disagree with this interpretation. The JRC Act specifically gives this quasi body the full unquestioned authority and responsibility to engage the expertise to regulate and challenge the promoting companies’ performances as it relates to the development of the industry or otherwise.
Nothing is more important than the economic viability of the promoting company and for that to be achieved, a gaming product that can drive wagering adequately is an absolute necessity. Predictably, the claiming system failed signally to achieve this and the Government expended US$40 million to keep the previous promoting company operational until divestment in 2017.
Since then, operating with a seriously flawed and under-producing racing product, with 389 of the 755 races in 2024 attracting odds-on favourites and 855 races declining to 755 in four years, promoting company SVREL is still expected to fund the capital expenditure as agreed in the divestment agreement to modernise the Caymanas plant. Also to deliver what is considered a reasonable purse structure. Truth be told, it is the seven-day-a week simulcast wagering on races held outside of Jamaica that enables SVREL to offer the local product.
For context as well as for those who may not be aware, here are more relevant facts and figures that matter:
(1) The introduction of claiming system was established on two false premises:
(a) that a handicap system producing 300 per cent growth in three decades lacked integrity.
(b) the owning and trading of racehorses could be a viable economic activity in Jamaica.
(2) The changing the profile of sport from a hobby for nearly 1,000 owners with the requisite income level to one of a hustling exercise leading to the departure of many of the more affluent.
(3) A claiming system operates a racing product in a non-genuine categorisation of the horse population ensuring inferior horses concede weight to superior horses in 99 per cent of races with the flawed division of the horse population into 25 increased it from eight.
(4) Understanding a claiming system is complicated and that is the opposite of ideally what a gaming product should be with even the description of a race very challenging to comprehend thus ensuring less mass appeal even in the United States.
(5) The legacy of the 32 years up to the extremely profitable 1992 of operating a handicap system with competition from English racing and without a digital wagering platform until 1990 was as follows:
(a) from 28 race days to 84 (300 per cent), (b) an average of115 runners in11.23 races each race day, (c) nearly 1,000 owners individually and in syndicates, (d) around 400 foals annually from 800 brood mares, (e) 1,200 horse population
The surviving architects of the claiming system is never going to admit I have been correct for 33 years but this does not matter. What is of consequence is if the TOBA, URTAJ, SVREL and the JRC come to the realisation that claiming tags and a handicap system are not mutually exclusive and can coexist to produce a viable racing product. In fact, combined it may very well have prospects of a more flexible outcome.
Certain owners, trainers, OTB operators and importantly many customers on and off the track have requested I use my platforms to highlight their concerns which I will endeavour to undertake in a future publication.
