Jamaica remains largely an under-utilized mineral-rich country. The Caribbean island country which started shipment of the aluminium ore back in 1952 took two decades to become the world's second largest producer of bauxite and the second largest exporter of alumina. In 1970's the country went on to top the list of the largest bauxite producing countries in the world. But since then due to un-sustained mining practices and a host of other macroeconomic factors impacting heavily on the country's mineral sector, Jamaica's production and export of bauxite have come down drastically. The country now stands in the sixth place in the world after Australia, China, Brazil, Guinea, and India, producing 9,800 thousand tonnes of bauxite.
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{alcircleadd}However, in January 2017, Jamaica’s Transport and Mining Minister Lester “Mike” Henry expressed optimism about his country’s bauxite and minerals sector. He said the domestic bauxite mining industry shows a significant potential for growth in the coming months and years and that a policy shift in the direction of downstream operations profit sharing and an increased use of the “world’s finest quality limestone” is positioning the island for growth in its mining sector. The country exported 5.26 million tonnes (MT) of bauxite in 2015, which scaled higher by 7.2 per cent to stand at 5.64 MT in 2016. Till 2017 October, Jamaica is estimated to ship 4.34 MT of bauxite.
Earnings from bauxite export have diverged from the shipment volume of the ore over the last three years. Jamaica’s total bauxite export in 2015 was valued at US$147.4million, which dropped 2.4 per cent to stand at US$143.8 million in 2016. In 2017 till October, the Caribbean country is estimated to export aluminium ore worth US$121.5 million, up 3.05 per cent from the corresponding period previous year.
The top import destinations for Jamaican bauxite in 2015 and 2016 have been the United States of America, Ukraine, and South Korea. In 2016, Jamaica exported 5642721.02 tonnes of aluminium ore to the USA (against 5162202.88 tonnes in 2015), 57142.13 tonnes to Ukraine (down from 66135 tonnes in 2015), and 7035.08 tonnes to South Korea (up from 40065 tonnes in 2015).
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It is high time Jamaica spurs its mining sector and boosts bauxite production and exports because that could rake in an increase in foreign exchange, opined Mike Henry. Further, a revved up bauxite mining industry could also create new job opportunities, and establish a basis for renewed growth and development, he observed.
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