Archive for May 21st, 2010
Haiti website launched by office of CARICOM representative
Friday, May 21st, 2010| GEORGETOWN, Guyana — The Office of The Special Representative of the Caribbean Community on Haiti has launched its website, www.osprhaiti.org. The website serves as a gateway for online surfers who seek information on the situation in Haiti following the January 12 earthquake and the Haitian, Caribbean and International response to the catastrophe.
The website is especially useful to those investors, contractors and donors from the Caribbean who wish to engage with Haiti in the on-going plans for that nation’s reconstruction and regeneration following on the disaster. It offers: links to related websites; relevant and timely releases; the text of crucial statements and speeches; special news bulletins; and other important information. Among other documents visitors to OSPR Haiti may view and or download is the Action Plan which is being used as the basis for the implementation programme being guided by the Interim Haitian Reconstruction Commission (IHRC) headed by President René Préval and co-chaired by Prime Minister Jean-Max Bellerive and former US President Bill Clinton. The CARICOM Special Representative on Haiti, former Prime Minister MJ Patterson is also a member of that Committee. The website also includes a photo-gallery on Haiti since the earthquake. It is intended that all CARICOM nationals as well as persons in the Caribbean Community and in the Caribbean diaspora will use the website as their gateway to information on Haiti and to obtain the unique Caribbean perspective on the situation which faces our CARICOM sister nation. As far as possible, the website will make such information available in English. The website was created by the Office of the Special Representative with the support of Digital Transtec Limited (DTL) and the Pan American Health Organization (PAHO) Jamaica office. (Caribnet) |
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Mechanism in place for micro-credit scheme in Guyana
Friday, May 21st, 2010| GEORGETOWN, Guyana (GINA) — The administrative mechanism necessary for the operation of the single parent micro-credit scheme in Guyana has been put in place, Head of the Presidential Secretariat, Dr Roger Luncheon said Thursday.
Speaking at his weekly post-Cabinet press briefing, Dr Luncheon mentioned that the micro-credit scheme will provide small loans targeting the disadvantaged, underprivileged and other vulnerable groups.
“In that context the administrative mechanisms are in place at the Ministry of Human Services and Social Security to give effect to a decision to create and support the scheme,” the Cabinet Secretary said. He disclosed that legislation to amend the Income Tax Act which is necessary to facilitate the input of financial institutions will see a third consecutive reading at the next sitting of the National Assembly on May 27. “Single parents are the main beneficiaries and other eligible individuals will be targeted with this revolving loan scheme.” The single parent micro-credit scheme was a proposal of Minister of Human Services and Social Security, Priya Manickchand. The design of the programme would see government along with other financial institutions funding the availability of micro-credit loans to single parents; with specific emphasis on women. In response to the needs of the people, Government established the National Single Parents’ Register and took into consideration the types of assistance requested by those who registered. On completion of their studies, the single parents will also receive the necessary equipment to begin their trade. (Caribnet) |
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Special airfare announced from New York to Grenada
Friday, May 21st, 2010CARICOM to monitor member states’ elections
Friday, May 21st, 2010Venezuela’s Chavez vows more financial crackdown
Friday, May 21st, 2010Castro ready to resolve political prisoners issue
Friday, May 21st, 2010Castro ready to resolve political prisoners issue
Friday, May 21st, 2010JPS fuel bill doubles, profit grows 693%
Friday, May 21st, 2010
Electricity consumers paid an approximately J$12.5-billion energy bill for fuel used by provider Jamaica Public Service Company (JPS) to power its grid between January and March this year.
The utility bills its fuel charges as a pass-through cost to customers. The current charges came close to doubling the March 2009 quarter’s J$6.8 billion, tracking with the near doubling of world oil market prices within that 12-month period.
World oil is now trading at around US$70 per barrel, trending down from April’s US$85 high, but Jamaica buys on concessionary terms from Venezuela.
For the quarter, JPS, which is majority owned by Asian corporations Marubeni and TAQA, collected just shy of J$20 billion in revenue from which it grossed J$5.9 billion after fuel expenses and payments to its contracted independent power suppliers.
Higher maintenance charges, however, pushed operating expenses five per cent higher to J$2.95 billion, from J$2.8 billion in the comparative quarter, erasing the J$207 million of gains on gross profit.
The surplus from operations, net of larger depreciation expenses, was close to flat at J$1.96 billion. (JPS publishes its earnings in US dollars, which have been converted at a rate of JMD 89.51 for this year’s results, and JMD 88.82 for the 2009 quarter).
Bottom-line profit outperformed the comparative quarter, swinging from a loss of J$142 million to net profit of J$840.7 million - a 693 per cent turnaround.
The company is now valued at about J$68 billion by assets but a substantial J$17 billion of that is in the form of receivables or funds owed by debtors. (Jamaica Gleaner)
business@gleanerjm.com
JPS Q1 Results
Jan-Mar 2010
RevenueUS$223.2mFuel BillUS$139.9mGross ProfitUS$66.02mEBITUS$21.86mNet ProfitUS$9.39mAssetsUS$757.6mWorking CapitalUS$104.9mNet CashUS$25.55m
Sugar deal pays off
Friday, May 21st, 2010

Workers at Frome sugar factory in Westmoreland. Farm equipment lie idle at Frome sugar factory in Westmoreland where production has halted. - Tashieka Mair photo

The Frome Sugar Factory in Westmoreland. - File

The Frome Sugar Factory on the estate in Westmoreland. Frome’s target of 42,000 tonnes of sugar this crop is expected to fall short by 9,000 tonnes. - File

On the Frome Sugar Estate Westmoreland. Frome’s target of 42,000 tonnes of sugar this crop is expected to fall short by 9,000 tonnes. - FILE
Mark Titus, Business Reporter
Jamaica is yet to deliver all the raw sugar promised to Eridania Suisse SA, but has already paid back the funds seeded by the European trader and refiner and booked a profit from the monies collected on shipments to date.
The Government has paid off the US$15 million advanced from the forward sale of 79,000 tonnes of raw sugar from the 2009/10 crop.
John Gayle, general manager of SCJ Holdings, the vehicle used by Government to manage its remaining sugar assets, said the repayment included interest charges, which, from his comments, appear to have amounted to around US$500,000 paid from the first shipment to Eridania in February.
“So far, we made roughly US$24 million,” Gayle said.
“They took US$15 million from that, so we got a little under US$9 million; this means we have no liability,” Gayle told the Financial Gleaner this week.
The parties had agreed that a portion of the pre-financed amount would be deducted from each shipment of raw sugar delivered until the full payment plus interest is made.
“We have paid off the pre-financed amount, plus interest - US$5.5 million from the first shipment, US$5 million from the second and another US$5 million from the third,” said Gayle - for a total of US$15.5 million.
The three shipments amounted to 61,000 tonnes - the Sugar Association of the Caribbean (SAC) puts Jamaica’s exports to Europe at a more precise 60,802 tonnes up to theend of April - with the remaining 18,000 tonnes to be shipped by July, the sugar official said.
The two government-owned sugar factories which contributed to the supplies are Frome in Westmoreland and Monymusk in Clarendon.
The Bernard Lodge, St Catherine, facility no longer makes sugar, but the cane grown there makes up the 426,000 tonnes process at Monymusk.
Frome, with a 100,000-tonne sugar capacity, was projected to churn 42,000 tonnes by the end of the crop season, but has already fallen short by 9,000 tonnes, a deficiency the SCJ Holdings manager is blaming on a combination of drought and irregular rainfall.
For the same reasons, Monymusk will not meet its target of 37,000 tonnes of sugar either.
However, the sugar industry is so organised that producers - private and public - sell their output into a pool from which export quotas are satisfied.
But, a more efficient performance is required from both factories if SCJ is to meet its new contractual obligation to another European firm, Tate & Lyle, which displaced Eridania in a new pre-financing deal struck with the Jamaican Government.
Under the Tate & Lyle arrangement, the Government will receive US$46 million over two years in exchange for the supply of 100,000 tonnes of raw sugar annually. SCJ Holdings will receive US$26 million for the 2010 crop year and US$20 million the following year.
Approximately 40 per cent of the agreed supply must be delivered to Tate & Lyle by March 31, 2011.
While, for the 2009/10 crop year, US$6 million was spent - prepare the factories, including new equipment and the planting of cane, another US$4 million-US$5 million is being spent to ensure that for the 2010/11 season the factories achieve greater efficiency.
“We want to place automation in some areas to take the efficiency a little higher, but it is cane planting and irrigation that is going to take up the bulk of investments,” said Gayle.
When quizzed about a contingency plan should the Government factories fail to produce the amount required by Tate & Lyle, Gayle said a pooling arrangement has been agreed by local state-owned and private sugar producers. In the event of a shortfall at Frome or Monymusk, the remainder will be sourced from private producers at Duckenfield in St Thomas, Long Pond in Trelawny, Worthy Park in St Catherine or Appleton Estate in St Elizabeth.
Sugar pooling arrangement
“All the sugar factories, through the sugar manufacturers’ association, agree to a pooling arrangement, where all the sugar made in the country is pooled, and the various markets are supplied.”
The cooperation among producers was also in place for the Eridania supply arrangement.
“What we had to do for the current crop is to exchange with Worthy Park, sending their sugar to Eridania and selling the sugar from Monymusk and Frome locally because Frome bags its sugar, but they (Worthy Park) don’t,” the SCJ general manager said.
“So Monymusk and Frome bagged for the local market and the rest of factories come together for the other obligation, but each party’s volume is weighed and measured and you know how much each makes.”
All proceeds from Eridania, both the premium and profit share, Gayle said, are shared among the industry.
“So everybody benefits.”
For the current crop, of the total national supply, 79,000 tonnes is slated for Eridania; 12,000 tonnes goes to the United States, of which 6,012 tonnes have already been delivered, according to SAC data; and the remainder supplies the domestic market. (Jamaica Gleaner)
mark.titus@gleanerjm.com

