Second price cut in a month

Durrant Pate/Contributor

Jamaica’s primary fertiliser supplier Newport-Fersan Jamaica Limited has announced a further 4.5 per cent cut in the price, effective immediately.

This brings to 19 per cent the total cut in price by the company for the key agricultural input over the course of a month. Last month, Newport-Fersan effected a 14.5 per cent maximum reduction in the price of fertiliser, particularly those with urea content.

This latest cut in price was announced yesterday by Minister of Agriculture and Fisheries Pearnel Charles Jr at a media briefing at the ministry’s offices in St Andrew, declaring that the move supports the ministry’s ‘Grow Smart Eat Smart’ campaign.

Recent concerns over price increases

In recent months there have been concerns over the price increases in fertiliser and other agricultural inputs, due to supply chain disruptions as a result of the COVID-19 pandemic and the Russia-Ukraine crisis.

Charles said consumers have often bemoaned that, when prices are increased due to challenging times, they rarely are brought down, “even when things globally are getting better”.

Continuing, he said: ”Today we are not only making an announcement [but] we are pronouncing that this ministry and our primary partners… are working together to build confidence in systems, to let you know that when we announce to you that we have to increase, it’s authentic.”

He noted, for example, that, with the reduction, the Green Plus Blend, which sold for J$6,140 in April, was reduced to J$5,080 in May and with this month’s price cut will now cost J$4,850.

According to him, “this is the kind of trend that we want to support and that we hope continues”.

For his part, Newport-Fersan Managing Director Dennis Valdez said “this [reduction] is going to go across the board in a range of fertilisers… . [It is] a reflection of the nitrogen price that is trending down.”

He is hopeful that the lowering of fertiliser costs will create a domino effect and bring some amount of ease to the country’s agricultural sector.

“I hope that this is extended across the board, in terms of this new level of prices reaching to the end user, who is the one that actually pays for all these things,” Valdez said.