Orville Clarke, Freelance Reporter
Rousseau
A number of proposals relative to the horse racing industry were contained in the 2008/09 estimates of expenditure, including plans to increase the cost of minimum bets at Caymanas Park, which currently stands at $20.
The review under the mandate of the new board of directors of Caymanas Track Limited (CTL), will continue to focus on improving the facilities at the track, the racing product, as well as net returns.
The company, in undertaking its activities, is expected to be guided fully by a new three-year strategic plan, to be completed in the first quarter of 2008/09. However, there are interim plans in place.
$31.70m for renovation
In view of the aforementioned priorities, a total of $168.34 million is targeted to effect capital work at the track. This includes $31.70 million for renovation of the clubstand and reserve area, $20 million to install an elevator shaft and undertake work on a reception area, as well as $17.50 million to upgrade stables.
Caymanas Track Limited (CTL) also plans to revise and increase the structure of purses, which is expected to enhance the breeding programme, as well as the racing product. Consequently, purses should rise from a stipulated maximum of $418m in 2007/08 to $477m during 2008/09.
Given an increase in the number of racedays to 82 up from 80 and also in the number of simulcast racedays, the company's efforts in relation to returns are expected to result in a surplus of $41.08m, up from an estimated deficit of $14.92m for 2007/08.
It is anticipated that this improvement will be driven mainly by increases in marketing and promotional activities, as well as plans to increase the cost of minimum bets from $20.
CTL also anticipates the introduction of new types of betting. Consequently, the company's revenue is forecast to grow by $710 million, which should exceed the rise of $643.07 in expenses.
Insofar as the increase in the minimum stake is concerned, Pat Rousseau, chairman of CTL, said: "We have raised it with the Betting, Gaming and Lotteries Commission (BG&LC), but we haven't taken a decision to increase it.
"The board is looking at a variety of things, but to the specific issue of the proposal contained in the estimates ... I won't be getting into that as we had no input in the pre-sentation."
economic condition
Donald Tankoy, CTL's executive manager OTB, said this is not something we are going to do immediately as "...we have to look at the total economic condition".
Vin Edwards, president of the Jamaica Racehorse Trainers' Association (JRTA), had his take on the issue.
"You have to keep the minimum stake within the economic capacity of punters. Some detailed studies are needed for this is a technical area.
"You see, when you generally increase the unit you usually get a fallout before it picks up. I don't know why this is so. It all depends on the level of increase, seeing that it won't affect the dividends paid by the horses.
"This means that if the minimum stake was raised to say $40 for a win ticket, punters would get double what the horse would normally pay for a $20 ticket," he explained.
Minister without Portfolio in the Finance Ministry, Don Wehby, could not be reached for comment as he is not in the island. However, he is due to return today. And efforts to reach the executive director of the BG&LC, Derek Peart, proved futile.
