Market Pointer for Furniture to Haiti
INVESTMENT PROFILE FOR APRIL
2019
GINGER
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TABLE OF CONTENTS
TABLE OF CONTENTS………………………………………………………………………..2
LIST OF TABLES………………………………………………………………………….…….3
LIST OF FIGURES………………………………………………………………………………4
LIST OF ACRONYMS………………………………………………………………………….5
PRODUCT PROFILE………..……….………………………………………..……………….6
CROP PRODUCTION…….……………………………………....…………..……….……..8
MARKET CHALLENGES AND OPPORTUNITIES…………………………………….…....10
MARKET ANALYSIS………..………………….………………..………………..……….…..11
FINANCIAL OPPORTUNITIES FOR INVESTMENT…..……..……………..……….….....13
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LIST OF TABLES
Table 1: Product Profile for Ginger…..……..……………..…..……………...……..……...6
Table 2: Cost of Production for a 0.4 hectare Ginger Farm…….....……..……………....8
Table 3: Comparative Estimates of Domestic Ginger Production and Area Reaped…....9
Table 3: Tariffs applied by the U.S to Jamaica…..…………..……………..………..…….11
Table 4: Jamaica’s Export of Ginger in 2017…..………..…………………..……….…….12
Table 5: Jamaica’s Total Ginger Imports in 2017…..……...………………..……….…....12
Table 6: Financial Opportunities for Investment in Agriculture in Jamaica……..………13
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LIST OF FIGURES
Figure 1: Markets with the greatest potential for Jamaica’s exports of Ginger……10
Figure 2: Top 10 Producers of Ginger Globally…..…….…..……….……................11
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LIST OF ACRONYMS
COP - Cost of Production
FAO - Food and Agriculture Organization of the United Nations
FAOSTAT - Food and Agriculture Organization Corporate Statistical Database
GOJ - Government of Jamaica
ITC - International Trade Center
JBF - Jamaica Business Fund
JMD - Jamaican Dollars
MICAF - Ministry of Industry, Commerce, Agriculture and Fisheries
RADA - Rural Agricultural Development Authority
SRC - Scientific Research Council
STATIN - Statistical Institute of Jamaica
U.K. - United Kingdom
USA/U.S. - United States of America
USD - United States Dollars
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Product Profile
Table 1: Product Profile for Ginger
Ginger Botanical Name and Origin: Ginger (Zingiber
Officinale) has its origins in Asia and was
introduced by the Spanish to Jamaica in the early
1700s.
Species: It has 47 genera and in excess of 1,000
species. Two types of the Ginger plant are grown
in Jamaica:
1. Yellow Ginger: The yellow or white Ginger
has a yellow colour when cut.
2. Blue Ginger: This type of ginger displays a
bluish hue when cut.
Nutritional Value:
Nutrient Unit 1Value per 100 g
Water g 78.89
Energy kcal 80
Energy kJ 333
Protein g 1.82
Total lipid (fat) g 0.75
Jamaica Yellow Variety Ash g 0.77
Carbohydrate, by difference g 17.77
Fiber, total dietary g 2
Sugars, total g 1.7
Calcium, Ca mg 16
Iron, Fe mg 0.6
Magnesium, Mg mg 43
Phosphorus, P mg 34
Potassium, K mg 415
Sodium, Na mg 13
Zinc, Zn mg 0.34
Copper, Cu mg 0.226
Manganese, Mn mg 0.229
Selenium, Se µg 0.7
Vitamin C, total ascorbic acid mg 5
Thiamin mg 0.025
Riboflavin mg 0.034
Niacin mg 0.75
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Pantothenic acid mg 0.203
Jamaica Blue Variety Vitamin B-6 mg 0.16
Folate, total µg 11
Folic acid µg 0
Folate, food µg 11
Folate, DFE µg 11
Choline, total mg 28.8
Vitamin B-12 µg 0
Vitamin B-12, added µg 0
Vitamin A, RAE µg 0
Retinol µg 0
Carotene, beta µg 0
Carotene, alpha µg 0
Cryptoxanthin, beta µg 0
Vitamin A, IU IU 0
Lycopene µg 0
Lutein + zeaxanthin µg 0
Vitamin E (alpha-tocopherol) mg 0.26
Vitamin E, added mg 0
Vitamin D (D2 + D3) µg 0
Vitamin D IU 0
Vitamin K (phylloquinone) µg 0.1
Source: USDA 2018
Medicinal Uses: To cure motion sickness, vertigo,
morning sickness, nausea, dizziness, vomiting, to
relieve ‘gas’ and ailments of the stomach, colon or
digestive tract, headaches, headaches. In addition,
it is also recommended in the management of
rheumatic disorders and muscular pain.
By-Products: It can be eaten raw or cooked. It is
used to make beers, tea, biscuit and a variety of
baked goods, sauces, juices and sodas,
confectionaries, pastries, condiments, perfumes,
and medicines.
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Crop Production
Jamaican ginger is renowned for its high quality and flavour and oil content. As a
nutraceutical, it is most potent between 6-7 months after planting (SRC 2018).
Cost of Production: A ginger farm is a highly viable proposition. The projected marketable
yield for a 0.4 hectare ginger farm is 6,075kg. The cost of production amounts to $101 per
kg of ginger. The farm-gate price for ginger stands at $435.29 (MICAF 2018). A summary
is given in table 2 below.
Table 2: Cost of Production for a 0.4 Hectare Ginger Farm
Labour Operations Unit No. of Units Cost/Unit Total Cost
Land Clearing MD 6 2000 12,000
Ploughing Tractor 25000 25,000
Maintain Trench MD 3 2000 6,000
Planting MD 6 2000 12,000
Weeding MD 10 2000 20,000
Fertilising MD 2 2000 4,000
Harvesting MD 20 2000 40,000
Lunch Each 47 500 23,500
SUBTOTAL 142,500
Planting Material lbs 2000 150 300,000
Fertiliser:
NPK 14-28-14 50 kg bag 4 6000 24,000
Insecticide:
Diazinon 500 ml 1 1200 1,200
Herbicide:
Glyphosate litre 2 1300 2,600
SUBTOTAL 327,800
Contingencies (10 percent 47,030
of labour and material)
**Tools discounted for 5 9,400
years
Land Charges per year 15,000
Supervsion (15 percent of 70,545
labour and material)
SUBTOTAL 141,975
TOTAL OPERATING 612,275
EXPENDITURE PER CROP
CYCLE
Source: MICAF (2018)
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Project Viability: Investment in the production and exportation of the Jamaican Ginger is
lucrative as supported by financial projections.
Gross Revenue: Under favourable conditions, investors can expect a gross revenue of 2.6
million JMD.
Net Income: Investors can expect a net income of 2 million JMD over a period of 1 year.
Return on Investment: Ginger farming guarantees a ROI of 231.90%.
Suitable Locations: Suitable locations for commercial ginger production are in the parishes
of Clarendon, Manchester, Trelawny, St. Ann, and St. Thomas (JBF 2018).
Drainage: Moist, well-draining soil is optimal for ginger plants. The crop cannot survive
waterlogging.
Reap: Plants reach maturity around October/November and is usually dried down by
December/January. The reaping period is December to May (RADA 1999).
Comparative Estimates of Domestic Crop Production and Area Reaped by Crop Group
Table 3: Comparative Estimates of Domestic Ginger Production and Area Reaped
Production (Tonne) Area Reaped (Hectare)
2018 2017 % 2018 2017 % Change
Change
Ginger 644.9 599.7 7.5 208.3 194.9 408.8
Source: MICAF (2018)
Harvesting Methods: Gingers are harvested by hoeing the field. Caution must be exercised
when harvesting to prevent damage to the rhizomes. Ginger for the fresh export market
should be harvested earlier, about 7 months, to reduce the fibre content of the rhizome.
Post-harvest handling: After digging, the soil from the rhizomes and roots must be shaken
removed. The rhizomes must then be washed thoroughly and dried. Ginger is usually
packaged in bags and less frequently in boxes. In damp weather, the ginger must be
protected from moisture, as this may in molding and spoilage of the ginger.
Disease Control: According to RADA (2018), the Ginger Rhizome Rot (GRR) affects the
entire plant resulting in drooping leaves and plant tops being pulled away from the root.
Consequently, the plant dries and falls over before reaping time.
Controlling Ginger Rhizome Rot (RADA 1999) involves:
1. Planting ginger in areas that are not affected by the Ginger Rhizome Rot;
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2. Using planting material from areas that does not show any signs of the Ginger
Rhizome Rot;
3. Carefully inspecting by breaking the rhizomes and selecting only healthy-looking
hands;
4. Administering fungicide to planting material as followed by RADA.
Market Opportunities and Challenges
Export Potential: Ginger falls under the International Harmonised System code 091010.
The markets with greatest potential for Jamaica’s exports of Ginger are Netherlands,
United Kingdom and Germany. Netherlands shows the largest absolute difference between
potential and actual exports in value terms, leaving room to realize additional exports
worth $314.1 k. (See Figures 1 and 2).
Based on data from the ITC (2019), the Netherlands market has the highest demand
potential for Ginger. The total untapped export potential of Ginger stands at $665.8 mn.
For investors to successfully take advantage of this market it requires several key
components: pricing to remain competitive and profitable, good sales and marketing
strategy, using attractive packaging similar other exporting countries and having a nearly
all year-round presence in the market.
Figure 1: Markets with the Greatest Potential for Jamaica’s Exports of Ginger
Source: ITC (2019)
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The markets with greatest potential for global export of 091010 Ginger are the United
States of America, Japan and Pakistan. The suppliers with greatest potential to export
Ginger globally are China, India and Thailand.
Standards: Ginger must be produced and handled under the necessary sanitary and hygienic
processes. These sanitary and phytosanitary measures therefore requires pest and disease
free Ginger. Investors must ensure that gingers produced are of the highest quality.
Tariffs applied by United States of America:
Table 4: Tariffs applied by the U.S to Jamaica
Partner Product description Tariff regime Applied tariff (as Applied tariff Total ad valorem
reported) (converted) equivalent tariff
Jamaica Ginger, neither MFN duties 0 0 0
crushed nor ground (Applied)
Source: ITC (MAcMap) 2019
Market Analysis
World Production
According to FAO (2019), the world’s largest producers of Ginger include India, China,
and Nigeria.
Figure 2: Top 10 Producers of Ginger
Source: FAOSTAT (2019)
Market Prices
In 2018, data from STATIN revealed that the average market price (export) for ginger was
sold at 4.48 USD/kg with the lowest price being 1.81 USD/kg and highest at 8.00 USD/kg.
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Jamaica’s Export Characteristics
The total exports of Ginger for 2017 was 15,258kg and was valued at US$ 42,609.00 with
the U.S. being the largest importer of ginger from Jamaica. (See Table 5 and Figure 6). The
US imported US$ 19,879 worth of ginger.
Table 5: Jamaica’s Export of Ginger in 2017 (Preliminary)
Description kg J$ US$ Country Year
Ginger, neither crushed nor ground 288 286,004 2,260 Bermuda 2017
Ginger, neither crushed nor ground 1,559 997,298 7,845 Canada 2017
Ginger, neither crushed nor ground 1,483 955,367 7,480 Cayman Islands 2017
Ginger, neither crushed nor ground 388 395,358 3,166 Guyana 2017
Ginger, neither crushed nor ground 5 487 4 Saint Lucia 2017
Ginger, neither crushed nor ground 28 12,200 97 St. Maarten (Dutch part) 2017
Ginger, neither crushed nor ground 50 33,763 261 Turks and Caicos Islands 2017
Ginger, neither crushed nor ground 503 207,506 1,618 United Kingdom 2017
Ginger, neither crushed nor ground 10,955 2,530,107 19,879 United States of America 2017
Source: STATIN (2017)
Jamaica’s Import Characteristics
Table 6 below shows the total ginger imports for the period of 2017. The total imports
for this period was 57,922kg valued at $US 322,277 with its highest imports of ginger
coming from Thailand weighing a total of 35,859kg.
Table 6: Jamaica’s Total Ginger Imports in 2017
Description kg J$ US$ Country Year
Ginger, 93 29,383 231 Canada 2017
neither
crushed nor
ground
Ginger, 14,000 5,552,308 42,907 China 2017
neither
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crushed nor
ground
Ginger, 91 66,150 518 Hong Kong (Special Administrative Region of China) 2017
neither
crushed nor
ground
Ginger, 834 386,084 3,019 Nigeria 2017
neither
crushed nor
ground
Ginger, 35,859 33,224,621 259,680 Thailand 2017
neither
crushed nor
ground
Ginger, 7,046 2,040,010 15,922 United States of America 2017
neither
crushed nor
ground
Source: STATIN (2017)
Financial Opportunities for Investment
Table 7: Financial Opportunities for Investment in Agriculture in Jamaica
Provider Finance Type Amount Lower Limit Amount Upper Limit Currency
Development Bank Of Ja Grant Not Specified $300,000.00 USD
Ltd
Development Bank Of Ja Loan Commercial Not Specified Not Specified USD
Ltd
Development Bank Of Ja Loan Commercial Not Specified Not Specified USD
Ltd
First Global Bank Ltd Loan Commercial Not Specified Not Specified USD
U W I Credit Union Co- Loan Commercial Not Specified Not Specified USD
operative Society
Inter-American Dev Bank Equity Not Specified $5,000,000.00 USD
Inter-American Dev Bank Loan Commercial Not Specified $5,000,000.00 USD
EXIM Bank Loan Commercial $8,455.22 $500,000.00 USD
St Catherine Co-Op Loan Commercial Not Specified $200,000.00 USD
Credit Union Ltd
Access Financial Services Loan Commercial Not Specified $150,000.00 USD
Ltd
Access Financial Services Loan Commercial $30,000.00 Not Specified USD
Ltd
Access Financial Services Loan Commercial $10,000.00 $100,000.00 USD
Ltd
Development Bank Of Ja Loan Government Not Specified $15,000,000.00 JMD
Ltd
Development Bank Of Ja Loan Government Not Specified $15,000,000.00 JMD
Ltd
Development Bank Of Ja Loan Government Not Specified $5,000,000.00 JMD
Ltd
Development Bank Of Ja Loan Government Not Specified $500,000.00 JMD
Ltd
Development Bank Of Ja Loan Government Not Specified $5,000,000.00 JMD
Ltd
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Development Bank Of Ja Loan Government Not Specified $2,500,000.00 JMD
Ltd
Development Bank Of Ja Loan Government Not Specified $5,000,000.00 JMD
Ltd
Development Bank Of Ja Grant Not Specified $300,000.00 JMD
Ltd
Development Bank Of Ja Loan Government $50,000,000.00 $500,000,000.00 JMD
Ltd
EXIM Bank Loan Government Not Specified $2,000,000.00 JMD
EXIM Bank Loan Government Not Specified $62,000.00 JMD
First Global Bank Ltd Loan Commercial Not Specified $30,000,000.00 JMD
National Commercial Loan Commercial Not Specified $30,000,000.00 JMD
Bank Ja Ltd
National Commercial Loan Commercial Not Specified $7,500,000.00 JMD
Bank Ja Ltd
National Commercial Loan Commercial Not Specified $5,000,000.00 JMD
Bank Ja Ltd
JN Small Business Loans Loan Commercial Not Specified $5,000,000.00 JMD
Ltd
JN Small Business Loans Loan Commercial $30,000.00 $1,000,000.00 JMD
Ltd
JN Small Business Loans Loan Commercial Not Specified $150,000.00 JMD
Ltd
JN Small Business Loans Loan Commercial $30,000.00 $1,000,000.00 JMD
Ltd
JN Small Business Loans Loan Commercial $1,000,000.00 $5,000,000.00 JMD
Ltd
Scotia Ja Microfinance Co Loan Commercial $60,000.00 Not Specified JMD
Ltd
Access Financial Services Loan Commercial Not Specified $100,000.00 JMD
Ltd
Access Financial Services Loan Commercial $100,000.00 $500,000.00 JMD
Ltd
Access Financial Services Loan Commercial $500,000.00 $1,000,000.00 JMD
Ltd
Access Financial Services Loan Commercial Not Specified $30,000.00 JMD
Ltd
Bank Of Nova Scotia Ja Loan Commercial Not Specified $500,000.00 JMD
Ltd The
Bank Of Nova Scotia Ja Loan Commercial $500,000.00 $5,000,000.00 JMD
Ltd The
Source: Caribbean Export Intelligence Portal (2019)
Contact our Investment Team today for more information on available Investment
Opportunities!
AGRO-INVESTMENT CORPORATION
AMC Complex, 188 Spanish
Town Road Kingston 11
PO Box 144, Jamaica, West Indies
Telephone: 1 876 764 8071
Telephone: 1 876 923 9268
Telephone: 1 876 923 0086
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Telephone: 1 876 923 9261
Fascimile: 1 876 758 7160
E-mail: info@agroinvest.gov.jm
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