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NEWS IN BRIEF
FOR GENERAL DISTRIBUTION
Top News in the Print Media: The JIS, The Gleaner & The Observer
From the Overseas Department, Jamaica Information Service
Monday September 22, 2003
PM PRESSING FOR J’CAN REPUBLIC
The Gleaner: Prime Minister P. J. Patterson yesterday signalled his administration’s intention to change Jamaica to republican status by March 2005, advising his party’s annual conference that he saw “no reason” why the 18-month timetable could not be met.
The process requires the consensus of the opposition Jamaica Labour Party to secure the two-thirds majority in Parliament to approve constitutional changes, as well as a referendum for the people themselves to decide.
“I believe every person in Jamaica – at least those who have spoken so far on the matter – accepts that the time has come when we must move from a monarchical form of government,” Mr. Patterson, president of the People’s National Party (PNP) told the closing session of the party’s 65th annual conference at the National Arena, Kingston.
PM VOWS TO DEFY EXTORTIONISTS
The Observer: Prime Minister P. J. Patterson yesterday vowed that he would not hesitate to shut down a planned billion-dollar Government housing project if extortionists turned up at the construction sites making demands.
“Mek who want to vex, be vexed, and who want to be pleased, be pleased, but not one cent will be paid for extortion,” Patterson told the closing session of his People’s National Party’s 65th annual conference inside the National Arena in Kingston.
“I will shut down the work project rather than pay one cent in protection money,” Patterson declared sternly to smattering applause from the packed arena.
Ground is expected to be broken this month for the $2.7 billion programme under which 3,000 homes are to be built in inner-city communities as part of the Government’s promised three-year assault against slum housing.
SPOT MARKET WEIGHTED AVERAGE RATE
CURRENCY PURCHASES SALES
__US$_____59.2737____59.5638
_CAN$_____43.7197____44.0734
__GB£_____95.3611____96.6292
JA, CHINA AGREE ON IRAQ
The Observer: Jamaica and China last Friday added their voices to the call for the United Nations to be given a more central role in the reconstruction and peace-building process in Iraq.
At a meeting with the Chinese Foreign Minister, Zhaoxing Li, Jamaican’s Foreign Minister, K. D. Knight, theorised that the continued instability in Iraq could affect international efforts to fight terrorism.
"It is necessary to have the restoration of law and order in Iraq and to effectively address the humanitarian situation, to undertake the reconstruction process in Iraq and to safeguard the long-term interest of the Iraqi people in that process. And we would wish for the United Nations and humanitarian organisations to operate in a secure environment in Iraq,” Minister Knight stressed.
Knight’s comments were endorsed by his Chinese counterpart, who spoke of the ongoing security concerns in the Middle Eastern country.
MAJOR BUSINESS MERGER
The Observer: Manufacturers Sigma Merchant Bank, which was created two years ago from the merger of two financial institutions, is to forge another merge partnership – with Pan Caribbean Financial Services (PCFS) to create a $35 billion asset base institution.
Both companies with bring to the table their subsidiaries – Pan Caribbean Merchant Bank, and Manufacturers Sigma Investment Limited, a joint statement from the companies said yesterday evening.
“The agreement is subject to final agreement of the relative values of the respective entities, due diligence by both parties, the approval of regulatory authorities and Minister of Finance as well as ratification at an extraordinary general meeting of the shareholders of PCFS to be held later this year,” the companies said last Friday.
US EYES BUSINESS IN JA
The Gleaner: The National Black Chamber of Commerce, one of the United States’ most powerful groups in the black community, is interested in doing business in Jamaica.
The group, which has a net worth of US$600 billion, is holding its Fall Summit in Negril, October 29 to 31 and will be exploring business prospects here at the same time.
President of the Montego Bay Chamber of Commerce and Industry, Winston Dare, who attended the National Black Chamber conference in July, said he took the opportunity to network with some powerful businessmen.
PM TO MISS MEETING WITH BUSH
The Observer: Jamaica’s Prime Minister, P J Patterson, will be absent when US President George W. Bush meets with some Caribbean leaders in New York next Wednesday, a day after he addresses the United Nations General Assembly.
However, Jamaica House, in a statement last Friday, said the Prime Minister was scheduled to arrive in New York on Sunday, September 28, to address the UN assembly the following day.
"It was not possible for Mr Patterson to leave earlier for New York, given his engagements which were already scheduled for the week of September 22 to 28, including meetings with the Jamaica Hotel and Tourist Association, Jamaica Manufacturers Association and the trade unions," the Jamaica House statement said.
JIS NEWS
Monday September 22, 2003
IMPROVING TOURISM STANDARDS
Minister of State in the Ministry of Industry and Tourism, Dr. Wykeham McNeill, has said there were several critical programmes to be undertaken to ensure that Jamaica’s tourism standards were among the best worldwide.
The Minister was making his contribution to the 2003/04 Sectoral Debate in Gordon House on Tuesday (Sept. 16).
He said that the Tourism Product Development Company (TPDCo), after examining the Resort Patrol and Anti Harassment programmes, had decided to implement a number of changes. These changes, he said, would result in savings of over $46 million annually.
The State Minister for Tourism told the House that bicycles would be purchased for the Resort Patrol from the savings to ensure increased mobility and efficiency. He added that the restructured programme would mean increased patrols in the Resort areas at critical times during the day and a closer working relationship with the police.
CHASE FUND $227M DISBURSES
The Culture, Health, Arts, Sports and Education (CHASE) Fund has approved a total of $227.3 million for 47 projects since the start of the year.
Addressing the JIS Think Tank recently, the Fund’s Chief Executive Officer (CEO), W. Billy Heaven, explains that the primary objectives of the Fund were to initiate, reinforce and support programmes and opportunities, which will help to develop and improve health care, early childhood development, sports and arts and culture.
“The fund seeks to uplift the social and economic well-being of our people, through the establishment and funding of programmes in the chosen subject areas,” he says.
A grant making institution, CHASE was incorporated as a company in November 2002 and began operations in January 2003, with a mandate to receive, distribute and administer monetary contributions from the lottery companies.
CARICOM HOSTS FTAA SEMINAR
The future of Caribbean businesses in a Free Trade Area of the Americas (FTAA) was the topic of discussion at a seminar on Saturday, September 20, beginning at 8:30 a.m. The meeting was held at the James Knight Centre at the Hyatt Regency Hotel in downtown Miami.
Several private and governmental officials representing several Caribbean islands participated in three panel discussions, which will focus on the impact of the FTAA on the Caribbean economies. Topics for discussion included – An Overview of the FTAA; Caribbean Positions in the FTAA Negotiations; Impact on Caribbean Economies; New Challenges and Opportunities for companies doing business in the Caribbean.
The seminar is intended to increase public awareness of the benefits and challenges of the FTAA, by providing a forum for discussion and interaction between panels of experts and other participants on the economic, social and political implications as it relates to the region.
HEALTHY LIFESTYLE CAMPAIGN LAUNCHED
The Ministry of Health has launched its healthy lifestyle mass media campaign, as part of its continued thrust to promote behaviour changes, to improve and sustain the health of the nation.
Funds permitting, the media campaign is expected to be an ongoing affair for years to come. So far, the estimated cost to run the multi-media campaign for two months is $4.5 million, but this figure excludes development and production costs. The Ministry, however, is still in the process of raising more funds to sustain the much-needed campaign.
Speaking at the launch at the Knutsford Court Hotel in Kingston recently, Health Minister, John Junor, pointed out that campaign came against the background of the increase in chronic lifestyle illnesses such as heart disease, stroke, diabetes, obesity and cancers, which now account for over 50 percent of deaths and illness in Jamaica. Depression, accounts for a significant percentage of illness and aggravates the morbidity associated with the other chronic diseases, he indicated.
JTB RESTRUCTURING
The Jamaica Tourist Board (JTB) is restructuring its operations to facilitate greater efficiency and save the country an estimated US$2.5 million per year.
State Minister for Industry and Tourism, Dr. Wykeham McNeill, who was making his contribution to the 2003/2004 Sectoral Debate in Gordon House on September16, said that already, the reorganizing process has resulted in the closure of a number overseas offices.
The Chicago and Los Angeles offices in the United States (US) have been closed and the New York office is to follow by the end of this month, leaving the Miami office as the Board’s base of operation in the US.
In Europe, the Frankfurt, Germany office has also been closed, leaving the London office in charge of operations in that continent.
J’CAN DANCE FORMS TO BE FEATURED
Jamaican dance forms including Kumina and Quadrille, will be among traditional Caribbean dances that will be featured during the series of special programmes and events, planned by the Victoria and Albert Museum to celebrate Black History Month in the United Kingdom.
Although Black History Month is observed in the UK in October, the Victoria and Albert Museum’s special programmes start on Sunday, September 28, with a carnival. This will feature some of the costumes from the Notting Hill Carnival and will focus on the dance and movement of carnival.
Renowned London-based Jamaican choreographer and teacher, Jackie Guy will host a workshop on traditional Caribbean folk dance. There will also be a workshop on carnival costumes and make-up, steel pan music; a calypso tent performance and the day will end with a carnival parade.
NEW REQUIREMENTS FOR TAXI OPERATORS
As government clamps down on illegal operators of public passenger vehicles, effective November 1, all drivers and conductors of such vehicles applying for badges will need to submit several documents and meet a number of new, stringent requirements.
In announcing the new regulations at a press conference held at the Hilton Hotel on Thursday (Sept. 18), Minister of Transport and Works, Robert Pickersgill said these measures were aimed at establishing and maintaining higher standards of safety and efficiency in the public passenger transport system.
He told journalists, that stricter regulations would ensure that only persons with the appropriate health status, skills, knowledge, attitude and behaviour were allowed to offer services to the public, pointing out that, “the majority of drivers and conductors of public passenger vehicles are decent, law-abiding citizens who serve the commuting public with high level of skill, courtesy, commitment and dedication”.
Contact: Celia Lindsay
For further information about any of these news items,contact the Overseas Department at
[email protected]
. The Jamaica Information Service web page address is
www.jis.gov.jm
.Telephone: (876) 926-3740-8 / 926-3590-8, Fax: (876) 926-6715
COMMENTARY
Monday September 22, 2003
THE OBSERVER
A QUESTION OF CONFIDENCE
GAMBLING worldwide is almost wholly and solely based on a very intangible and subjective factor -- confidence. Players at whatever game of chance, be it Lotto, Cash Pot, Dollaz, Pick-3, horse racing, or the games machines which are now a permanent part of casinos, want to know and have trust in the system. They want to know that when, for example, odds are advertised or a jackpot reaches $10 million and they win, they get paid down to the last cent. After all, players are spending their hard-earned cash to not only entertain themselves, but they are also trying, sometimes beyond all hope, for that one chance to collect at the end of the rainbow. But such is human nature.
We are not at all suggesting that gambling is a reliable substitute for the virtues of hard work, persistence, and good planning. But we believe that an individual in our free enterprise, laissez faire system is accorded the undeniable right of choice. And that includes forking out their cash on games of chance if they want to.
The Government, especially over the last three years, has moved with alacrity and in a very business-like manner, mainly through its state agencies, in harnessing the explosion that has seen the gambling industry (the two lottery companies, horse racing and gaming machines) move from just over $3 billion to its present day status of close to $20 billion, not including illegal operations. But obviously buoyed by its successes, obvious bad advice and the significant contributions of the sector to the Consolidated Fund, the minister of finance, Omar Davies, is threatening to undermine all the good and impale the 'golden goose' that is the gaming industry today.
The recent imposition of the General Consumption Tax (GCT) on the winnings of all games run by the two lottery companies has resulted in an approximate and dramatic sales decline of 40 per cent. The players, at least a significant portion of them, have responded to the GCT imposition in very bold and unequivocal terms... they have lost confidence in the system and are no longer prepared to play.
All this despite the fact that the minister had before him a credible alternative which offered government coffers an additional $1.1 billion in tax revenue, inclusive of the option of an up front payment of $500 million as a measure of confidence in the plan.
The fact that the offer was declined and the industry is now reeling under its impact is probably par for the course for this Government which continues its inexorable march of disconnecting itself from logic and reason.
Minister Davies should not believe those who claim that it is back to school spending that has slowed sales; the figures don't support that. Players have simply lost confidence in the system, and until that confidence is fully restored, expect more decline.
============================================
THE GLEANER
CABINET IN RETREAT?
WE THINK the public has become jaded in its expectations of what new strategies to expect from Cabinet retreats. The announcements of what was accomplished at the recent gathering of Government ministers and their advisers justify a collective sigh of 'so what is new'? And there was not much either coming out of the 65th annual conference of the governing People's National Party (PNP) which ended in Kingston yesterday.
Sugar and tourism have been singled out as priorities for future economic growth which hardly demonstrates that our leaders have a fresh vision for the country's development. The announcement seems rather to be in the nature of damage control than an imaginative presentation of new ideas to inspire in the population a sense of direction and hope.
We have always known that tourism has real potential, but the prospects for sugar are not as rosy. The recent disclosure that the latest crop was the lowest in 60 years must have prompted the new focus at Cabinet level. In an editorial earlier this month on the state of the industry we made the point that while the two privately held factories are forging ahead, the publicly owned ones, which control 80 per cent of the industry, have lagged behind; this against the background of markets available for 300,000 tonnes annually, plus the potential for diversification into value-added production of granulated sugar, areas such as nutraceuticals and functional foods, ethanol and others.
We anticipate, therefore, that the recent Cabinet retreat would have taken note of the potential of an industry which is still vital to rural employment and has important linkages with other industries. The impact of the sugar shortage on the baking industry is a case in point.
Tourism is another matter. Its development in the past has been hampered by a lack of imagination which fails to grasp its full potential and by an ideological bias which conflates civility with servility. The imaginative possibilities for tourism are almost endless and we hope that some of them have been included in the tourism 10-year plan. Prime Minister Patterson announced yesterday that major tourism projects are about to come out of the pipeline, including the construction of 2,000 new rooms for the sector. It will take much more than new hotel rooms to be competitive in this sector.
We hope that in the plans for tourism we will see projects to include a cable car service linking Papine to Newcastle in promoting eco-tourism; and programmes that will incorporate our many historical sites and buildings where they could perhaps become subjects of son et lumiere (sound and light) shows at night which are inexpensive to produce and which tourists are used to patronising in Europe.
Prime Minister Patterson is right when he indicated yesterday at his party conference that there's much work to be done. This should include measures to cut the size of government, create a more enabling environment for the private sector and create opportunities for new jobs for the unemployed in the society. It's time for action.
FOR GENERAL DISTRIBUTION
Top News in the Print Media: The JIS, The Gleaner & The Observer
From the Overseas Department, Jamaica Information Service
Monday September 22, 2003
PM PRESSING FOR J’CAN REPUBLIC
The Gleaner: Prime Minister P. J. Patterson yesterday signalled his administration’s intention to change Jamaica to republican status by March 2005, advising his party’s annual conference that he saw “no reason” why the 18-month timetable could not be met.
The process requires the consensus of the opposition Jamaica Labour Party to secure the two-thirds majority in Parliament to approve constitutional changes, as well as a referendum for the people themselves to decide.
“I believe every person in Jamaica – at least those who have spoken so far on the matter – accepts that the time has come when we must move from a monarchical form of government,” Mr. Patterson, president of the People’s National Party (PNP) told the closing session of the party’s 65th annual conference at the National Arena, Kingston.
PM VOWS TO DEFY EXTORTIONISTS
The Observer: Prime Minister P. J. Patterson yesterday vowed that he would not hesitate to shut down a planned billion-dollar Government housing project if extortionists turned up at the construction sites making demands.
“Mek who want to vex, be vexed, and who want to be pleased, be pleased, but not one cent will be paid for extortion,” Patterson told the closing session of his People’s National Party’s 65th annual conference inside the National Arena in Kingston.
“I will shut down the work project rather than pay one cent in protection money,” Patterson declared sternly to smattering applause from the packed arena.
Ground is expected to be broken this month for the $2.7 billion programme under which 3,000 homes are to be built in inner-city communities as part of the Government’s promised three-year assault against slum housing.
SPOT MARKET WEIGHTED AVERAGE RATE
CURRENCY PURCHASES SALES
__US$_____59.2737____59.5638
_CAN$_____43.7197____44.0734
__GB£_____95.3611____96.6292
JA, CHINA AGREE ON IRAQ
The Observer: Jamaica and China last Friday added their voices to the call for the United Nations to be given a more central role in the reconstruction and peace-building process in Iraq.
At a meeting with the Chinese Foreign Minister, Zhaoxing Li, Jamaican’s Foreign Minister, K. D. Knight, theorised that the continued instability in Iraq could affect international efforts to fight terrorism.
"It is necessary to have the restoration of law and order in Iraq and to effectively address the humanitarian situation, to undertake the reconstruction process in Iraq and to safeguard the long-term interest of the Iraqi people in that process. And we would wish for the United Nations and humanitarian organisations to operate in a secure environment in Iraq,” Minister Knight stressed.
Knight’s comments were endorsed by his Chinese counterpart, who spoke of the ongoing security concerns in the Middle Eastern country.
MAJOR BUSINESS MERGER
The Observer: Manufacturers Sigma Merchant Bank, which was created two years ago from the merger of two financial institutions, is to forge another merge partnership – with Pan Caribbean Financial Services (PCFS) to create a $35 billion asset base institution.
Both companies with bring to the table their subsidiaries – Pan Caribbean Merchant Bank, and Manufacturers Sigma Investment Limited, a joint statement from the companies said yesterday evening.
“The agreement is subject to final agreement of the relative values of the respective entities, due diligence by both parties, the approval of regulatory authorities and Minister of Finance as well as ratification at an extraordinary general meeting of the shareholders of PCFS to be held later this year,” the companies said last Friday.
US EYES BUSINESS IN JA
The Gleaner: The National Black Chamber of Commerce, one of the United States’ most powerful groups in the black community, is interested in doing business in Jamaica.
The group, which has a net worth of US$600 billion, is holding its Fall Summit in Negril, October 29 to 31 and will be exploring business prospects here at the same time.
President of the Montego Bay Chamber of Commerce and Industry, Winston Dare, who attended the National Black Chamber conference in July, said he took the opportunity to network with some powerful businessmen.
PM TO MISS MEETING WITH BUSH
The Observer: Jamaica’s Prime Minister, P J Patterson, will be absent when US President George W. Bush meets with some Caribbean leaders in New York next Wednesday, a day after he addresses the United Nations General Assembly.
However, Jamaica House, in a statement last Friday, said the Prime Minister was scheduled to arrive in New York on Sunday, September 28, to address the UN assembly the following day.
"It was not possible for Mr Patterson to leave earlier for New York, given his engagements which were already scheduled for the week of September 22 to 28, including meetings with the Jamaica Hotel and Tourist Association, Jamaica Manufacturers Association and the trade unions," the Jamaica House statement said.
JIS NEWS
Monday September 22, 2003
IMPROVING TOURISM STANDARDS
Minister of State in the Ministry of Industry and Tourism, Dr. Wykeham McNeill, has said there were several critical programmes to be undertaken to ensure that Jamaica’s tourism standards were among the best worldwide.
The Minister was making his contribution to the 2003/04 Sectoral Debate in Gordon House on Tuesday (Sept. 16).
He said that the Tourism Product Development Company (TPDCo), after examining the Resort Patrol and Anti Harassment programmes, had decided to implement a number of changes. These changes, he said, would result in savings of over $46 million annually.
The State Minister for Tourism told the House that bicycles would be purchased for the Resort Patrol from the savings to ensure increased mobility and efficiency. He added that the restructured programme would mean increased patrols in the Resort areas at critical times during the day and a closer working relationship with the police.
CHASE FUND $227M DISBURSES
The Culture, Health, Arts, Sports and Education (CHASE) Fund has approved a total of $227.3 million for 47 projects since the start of the year.
Addressing the JIS Think Tank recently, the Fund’s Chief Executive Officer (CEO), W. Billy Heaven, explains that the primary objectives of the Fund were to initiate, reinforce and support programmes and opportunities, which will help to develop and improve health care, early childhood development, sports and arts and culture.
“The fund seeks to uplift the social and economic well-being of our people, through the establishment and funding of programmes in the chosen subject areas,” he says.
A grant making institution, CHASE was incorporated as a company in November 2002 and began operations in January 2003, with a mandate to receive, distribute and administer monetary contributions from the lottery companies.
CARICOM HOSTS FTAA SEMINAR
The future of Caribbean businesses in a Free Trade Area of the Americas (FTAA) was the topic of discussion at a seminar on Saturday, September 20, beginning at 8:30 a.m. The meeting was held at the James Knight Centre at the Hyatt Regency Hotel in downtown Miami.
Several private and governmental officials representing several Caribbean islands participated in three panel discussions, which will focus on the impact of the FTAA on the Caribbean economies. Topics for discussion included – An Overview of the FTAA; Caribbean Positions in the FTAA Negotiations; Impact on Caribbean Economies; New Challenges and Opportunities for companies doing business in the Caribbean.
The seminar is intended to increase public awareness of the benefits and challenges of the FTAA, by providing a forum for discussion and interaction between panels of experts and other participants on the economic, social and political implications as it relates to the region.
HEALTHY LIFESTYLE CAMPAIGN LAUNCHED
The Ministry of Health has launched its healthy lifestyle mass media campaign, as part of its continued thrust to promote behaviour changes, to improve and sustain the health of the nation.
Funds permitting, the media campaign is expected to be an ongoing affair for years to come. So far, the estimated cost to run the multi-media campaign for two months is $4.5 million, but this figure excludes development and production costs. The Ministry, however, is still in the process of raising more funds to sustain the much-needed campaign.
Speaking at the launch at the Knutsford Court Hotel in Kingston recently, Health Minister, John Junor, pointed out that campaign came against the background of the increase in chronic lifestyle illnesses such as heart disease, stroke, diabetes, obesity and cancers, which now account for over 50 percent of deaths and illness in Jamaica. Depression, accounts for a significant percentage of illness and aggravates the morbidity associated with the other chronic diseases, he indicated.
JTB RESTRUCTURING
The Jamaica Tourist Board (JTB) is restructuring its operations to facilitate greater efficiency and save the country an estimated US$2.5 million per year.
State Minister for Industry and Tourism, Dr. Wykeham McNeill, who was making his contribution to the 2003/2004 Sectoral Debate in Gordon House on September16, said that already, the reorganizing process has resulted in the closure of a number overseas offices.
The Chicago and Los Angeles offices in the United States (US) have been closed and the New York office is to follow by the end of this month, leaving the Miami office as the Board’s base of operation in the US.
In Europe, the Frankfurt, Germany office has also been closed, leaving the London office in charge of operations in that continent.
J’CAN DANCE FORMS TO BE FEATURED
Jamaican dance forms including Kumina and Quadrille, will be among traditional Caribbean dances that will be featured during the series of special programmes and events, planned by the Victoria and Albert Museum to celebrate Black History Month in the United Kingdom.
Although Black History Month is observed in the UK in October, the Victoria and Albert Museum’s special programmes start on Sunday, September 28, with a carnival. This will feature some of the costumes from the Notting Hill Carnival and will focus on the dance and movement of carnival.
Renowned London-based Jamaican choreographer and teacher, Jackie Guy will host a workshop on traditional Caribbean folk dance. There will also be a workshop on carnival costumes and make-up, steel pan music; a calypso tent performance and the day will end with a carnival parade.
NEW REQUIREMENTS FOR TAXI OPERATORS
As government clamps down on illegal operators of public passenger vehicles, effective November 1, all drivers and conductors of such vehicles applying for badges will need to submit several documents and meet a number of new, stringent requirements.
In announcing the new regulations at a press conference held at the Hilton Hotel on Thursday (Sept. 18), Minister of Transport and Works, Robert Pickersgill said these measures were aimed at establishing and maintaining higher standards of safety and efficiency in the public passenger transport system.
He told journalists, that stricter regulations would ensure that only persons with the appropriate health status, skills, knowledge, attitude and behaviour were allowed to offer services to the public, pointing out that, “the majority of drivers and conductors of public passenger vehicles are decent, law-abiding citizens who serve the commuting public with high level of skill, courtesy, commitment and dedication”.
Contact: Celia Lindsay
For further information about any of these news items,contact the Overseas Department at
[email protected]
. The Jamaica Information Service web page address is
www.jis.gov.jm
.Telephone: (876) 926-3740-8 / 926-3590-8, Fax: (876) 926-6715
COMMENTARY
Monday September 22, 2003
THE OBSERVER
A QUESTION OF CONFIDENCE
GAMBLING worldwide is almost wholly and solely based on a very intangible and subjective factor -- confidence. Players at whatever game of chance, be it Lotto, Cash Pot, Dollaz, Pick-3, horse racing, or the games machines which are now a permanent part of casinos, want to know and have trust in the system. They want to know that when, for example, odds are advertised or a jackpot reaches $10 million and they win, they get paid down to the last cent. After all, players are spending their hard-earned cash to not only entertain themselves, but they are also trying, sometimes beyond all hope, for that one chance to collect at the end of the rainbow. But such is human nature.
We are not at all suggesting that gambling is a reliable substitute for the virtues of hard work, persistence, and good planning. But we believe that an individual in our free enterprise, laissez faire system is accorded the undeniable right of choice. And that includes forking out their cash on games of chance if they want to.
The Government, especially over the last three years, has moved with alacrity and in a very business-like manner, mainly through its state agencies, in harnessing the explosion that has seen the gambling industry (the two lottery companies, horse racing and gaming machines) move from just over $3 billion to its present day status of close to $20 billion, not including illegal operations. But obviously buoyed by its successes, obvious bad advice and the significant contributions of the sector to the Consolidated Fund, the minister of finance, Omar Davies, is threatening to undermine all the good and impale the 'golden goose' that is the gaming industry today.
The recent imposition of the General Consumption Tax (GCT) on the winnings of all games run by the two lottery companies has resulted in an approximate and dramatic sales decline of 40 per cent. The players, at least a significant portion of them, have responded to the GCT imposition in very bold and unequivocal terms... they have lost confidence in the system and are no longer prepared to play.
All this despite the fact that the minister had before him a credible alternative which offered government coffers an additional $1.1 billion in tax revenue, inclusive of the option of an up front payment of $500 million as a measure of confidence in the plan.
The fact that the offer was declined and the industry is now reeling under its impact is probably par for the course for this Government which continues its inexorable march of disconnecting itself from logic and reason.
Minister Davies should not believe those who claim that it is back to school spending that has slowed sales; the figures don't support that. Players have simply lost confidence in the system, and until that confidence is fully restored, expect more decline.
============================================
THE GLEANER
CABINET IN RETREAT?
WE THINK the public has become jaded in its expectations of what new strategies to expect from Cabinet retreats. The announcements of what was accomplished at the recent gathering of Government ministers and their advisers justify a collective sigh of 'so what is new'? And there was not much either coming out of the 65th annual conference of the governing People's National Party (PNP) which ended in Kingston yesterday.
Sugar and tourism have been singled out as priorities for future economic growth which hardly demonstrates that our leaders have a fresh vision for the country's development. The announcement seems rather to be in the nature of damage control than an imaginative presentation of new ideas to inspire in the population a sense of direction and hope.
We have always known that tourism has real potential, but the prospects for sugar are not as rosy. The recent disclosure that the latest crop was the lowest in 60 years must have prompted the new focus at Cabinet level. In an editorial earlier this month on the state of the industry we made the point that while the two privately held factories are forging ahead, the publicly owned ones, which control 80 per cent of the industry, have lagged behind; this against the background of markets available for 300,000 tonnes annually, plus the potential for diversification into value-added production of granulated sugar, areas such as nutraceuticals and functional foods, ethanol and others.
We anticipate, therefore, that the recent Cabinet retreat would have taken note of the potential of an industry which is still vital to rural employment and has important linkages with other industries. The impact of the sugar shortage on the baking industry is a case in point.
Tourism is another matter. Its development in the past has been hampered by a lack of imagination which fails to grasp its full potential and by an ideological bias which conflates civility with servility. The imaginative possibilities for tourism are almost endless and we hope that some of them have been included in the tourism 10-year plan. Prime Minister Patterson announced yesterday that major tourism projects are about to come out of the pipeline, including the construction of 2,000 new rooms for the sector. It will take much more than new hotel rooms to be competitive in this sector.
We hope that in the plans for tourism we will see projects to include a cable car service linking Papine to Newcastle in promoting eco-tourism; and programmes that will incorporate our many historical sites and buildings where they could perhaps become subjects of son et lumiere (sound and light) shows at night which are inexpensive to produce and which tourists are used to patronising in Europe.
Prime Minister Patterson is right when he indicated yesterday at his party conference that there's much work to be done. This should include measures to cut the size of government, create a more enabling environment for the private sector and create opportunities for new jobs for the unemployed in the society. It's time for action.