The government will begin to hand over state sugar assets to the new owners at the start of July, Prime Minister Bruce Golding has been quoted as saying.

The government has been negotiating with sole bidder, Inifinty Bio-Energy of Brazil, since January.

50-year lease

Jamaica is selling its factories but leasing the accompanying cane lands and great houses under the control of the Sugar Company of Jamaica. The lease will run for 50 years.

According to Jamaica House, the prime minister's office, Golding told business leaders on Monday that he expected the Government's negotiating team to reach an agreement in principle by the June 30 deadline.

Substantial issues were expected to be cleared during a negotiating session in Kingston today.

Two issues unresolved

Said the Jamaica House statement: "Mr Golding said if an agreement is arrived at, he intends to begin the process of transferring the sugar assets to the new entity commencing July 1. Mr Golding said the date was important, as certain arrangements must be in place to secure the 2008/2009 crop.

"He said he is satisfied that the team has done well, with only two issues left to be resolved."

business@gleanerjm.com