Industry Minister Says Country Must Make Use of Cold Chain Logistics

Industry, Investment and Commerce Minister, Hon. Anthony Hylton, says Jamaica must make use of cold chain logistics technology to generate more exports.

Cold chain refers to the management of temperature-sensitive products, as they move through a particular supply chain.

In light of a rapidly changing global economy, Mr. Hylton explained that cold chain logistics is becoming more important to countries, owing to the huge and increasing demand for agricultural products, manufactured foods, chemicals and medical vaccines.

It is considered a huge competitive advantage, because it extends product shelf life by giving the suppliers the ability to access overseas markets and to meet local demand for similar products overseas.

“We must take advantage of this system… (to) open up markets over multiple sectors rather than the one-off export transactions that we now appreciate as export success,” the Minister said.

He was addressing a forum on cold chain logistics at the Terra Nova Hotel in Kingston on January 21. It was held under the theme: ‘The Game Changer: Revolutionizing Jamaica’s Cold Chain Logistics’.

To Jamaica, cold chain enables the country to take part in the global perishable products market, either as a consumer or a producer.

To revolutionize the sector, the Minister indicated that new technologies are necessary to give Jamaican businesses a distinct competitive edge.

“Focus must also be placed on improving the regulatory environment and increasing the skill levels of the workforce and facilitating more infrastructure development,” he argued.

Meanwhile, President of Jamaica Promotions Corporation (JAMPRO), Diane Edwards, said the focus on cold chain logistics is important due to its strategic relation to export.

“One of the key areas that we are not competitive in, is getting our product from the farm gate to the market, both internally and externally. The amount of spoilage of agricultural produce between the farm gate and the market is astronomical, up to 40 per cent spoilage. Cold chain will lengthen the life of our fresh produce,” she said.

This is also relevant for seafood, pharmaceuticals and a range of other products.

Ms. Edwards indicated that a business case is currently being established with a major United States (US) logistics company out of Florida, which will come to Jamaica to change the situation.

“With their technology, they can revolutionize what we’re doing. For instance, they can do fumigation of fresh produce to extend the shelf life rather than shrink it. This gives us an opportunity to get our product into new markets in the US, Canada and the United Kingdom,” she informed.

Ms. Edwards also pointed out that the logistics company will help Jamaica to recover the markets that were lost because of certain issues.

The forum was sponsored by JAMPRO, in partnership with Cable and Wireless Business.