Sliding dollar hitting exporters hard

When I read this story I was taken aback because, I would have thought that things would have been very different for this group. In fact the Minister of Finance was reported to have said the following

The Finance Minister, Dr Peter Phillips has said the upward movement in the exchange rates has created an opportunity for local producers.

 

The Jamaican dollar has passed the $95 mark against the US dollar.

But Phillips says the movement in the exchange rate should provide an incentive for producers to become more competitive.

http://jamaica-gleaner.com/latest/article.php?id=42880

 

Today the Observer headline screamed.

Sliding dollar hitting exporters hard

KINGSTON, Jamaica — Members of the Jamaica Exporters’ Association (JEA) are complaining that the continued slide in the value of the Jamaican dollar is drastically pushing up the cost of inputs and driving them out of business.

President Andrew Collins on Tuesday argued that although JEA members earn foreign exchange, “the volatility in the foreign exchange market has made it difficult to plan with certainty”.

 http://www.jamaicaobserver.com/news/Sliding-dollar-hitting-exporters-hard#ixzz2hK8NGoBW

 

I guess the misguided policies of the PNP are finally beginning to hit home hard and those who were once very silent have no begun to speak out.

Commonsenseja could see it coming, so I am not sure why anyone would have expected anything different, given the mismanagement of the Jamaican economy for 18yrs, which took the dollar from $5.50 to over $67  to one US.

This is not rocket science , its plain commonsense.

 

One Response

  1. Test and Ivor, I guess the JEA is just bitching and complaining and they too should shut up. Comrade Peter said the slide would be good for them, so why the heck are they complaining.

    $110 to $1 by year end.

    This would have meant the PNP would have been responsible of $90 devaluation of of the $110 and the JLP $10,

    So in simple terms the PNP would have been responsible for 80% of the devaluation of the local currency and by virtue to this 80% of the total increase in prices and good and services between 1978 and 2013.

    What a splendid record indeed !

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