Letter of the Day | Reducing tariffs could jeopardise food security, agricultural growth
Published:Wednesday | February 26, 2025 | 12:08 AM
THE EDITOR, Madam:
Development specialist and Rhodes Scholar David R. Salmon, in a recent Gleaner article, presents a compelling argument against import duties and trade barriers in Jamaica’s agricultural sector, advocating for reduced tariffs to enhance competitiveness and lower food prices. However, while his points on inefficiencies and the need for global competitiveness are well taken, some of his arguments overlook key economic and social realities that must be considered in shaping Jamaica’s agricultural policy.
Salmon argues that tariffs on imported agricultural products worsen food insecurity by raising prices. However, reducing or eliminating these tariffs without strong domestic agricultural policies in place would cripple local farmers, making Jamaica even more dependent on imported food. The very purpose of tariffs is to level the playing field, ensuring that local producers – who do not benefit from the heavy subsidies that large agricultural exporters (e.g., the US and EU) receive – can compete.
Jamaican farmers already struggle with high production costs due to poor infrastructure, climate vulnerability, and expensive inputs. Removing tariffs prematurely would flood the market with cheap imports, undercutting local farmers and leading to even greater reliance on foreign produce – a major threat to food security.
Salmon suggests reducing import duties to make Jamaica’s manufacturing exports, like rum and processed foods, more competitive. While this argument is valid for some industries, it ignores the need to develop Jamaica’s agricultural base to ensure sustainable raw material supply. Instead of reducing tariffs on agricultural imports, Jamaica should focus on increasing investment in local agricultural production – including modern farming techniques, research, and farmer training programs – to reduce costs and improve competitiveness.
The suggestion that Jamaica should specialise in a few select industries, such as poultry, overlooks the broader issue of diversified agricultural development. The COVID-19 pandemic and global supply chain disruptions showed how dangerous it is for nations to depend too heavily on external food sources. Encouraging diversified local production reduces vulnerability to external shocks.
AGRICULTURAL COMPETITIVENESS
Salmon dismisses efforts to revive Jamaica’s sugar industry, citing its historical decline despite tariff protections. While sugar has faced challenges, it is premature to declare the industry beyond saving. The issue is not protectionism but rather mismanagement, outdated infrastructure, and failure to modernise. If properly restructured, sugar cane production could be diversified into ethanol production, agro-energy, and speciality sugar markets, ensuring profitability beyond traditional exports.
Additionally, local agro-processing industries – such as rum, fruit juices, and sauces – would benefit from a stronger domestic sugar supply, rather than relying on imported sugar at lower tariffs. Reducing tariffs on imported sugar without improving local production weakens Jamaica’s ability to control its supply chain.
While reducing tariffs could lead to lower consumer prices in the short term, undermining Jamaica’s ability to secure long-term food stability. The argument that Jamaica is not self-sufficient in citrus and other crops and, therefore, should not protect local farmers is flawed. The real issue is why Jamaica has not achieved self-sufficiency despite tariffs. The answer lies in insufficient government support, outdated technology, and limited access to capital for farmers – issues that must be addressed before considering import tariff reductions.
Salmon also failed to acknowledge that the Jamaican chicken industry could not survive without the protection of a very high import duty of almost 200 per cent.
Jamaica should continue to impose high tariffs on selected farm produce until the island achieves agricultural competitiveness that can sustain lower trade barriers without compromising food security.
PATRICK MAITLAND