Shelly-Ann Thompson, Staff Reporter

Newport Fersan, the island's sole manufacturer of fertiliser, was yesterday preparing a report for the Ministry of Agriculture on its pricing policies regarding the main ingredient used by farmers.

Prime Minister Bruce Golding had suggested the entity might be engaged in price gouging, abusing its monopoly as the island's manufacturer of the commodity.

"I cannot comment on (Golding's claim of possible price gouging)," Newport Fersan's general manager John Allen told The Gleaner yesterday while preparing the report requested by the agriculture ministry.

Allen has for some time said local fertiliser prices were adjusted to reflect the escalating cost of the commodity's raw material on the world market.

"I don't know what information the prime minister is using to compare prices," he added.

The price of a (50-kilogram) bag of the popular grades of fertiliser was increased by about five per cent to $5,150 on July 1 by Newport Fersan. The manufacturer had, a month before that, increased its prices.

Golding, on his return from Venezuela on Monday, said during discussions with regional leaders it was discovered that countries were importing fertiliser cheaper than the price being charged for the commodity locally.

Investigate

Agriculture Minister Dr Christopher Tufton has also ordered the economic planning division to investigate fertiliser prices within the region.

Senator Norman Grant, president of the Jamaica Agricultural Society (JAS), said fertiliser prices had jumped by more than 300 per cent over the past three months.

"We have always had concerns about the rapid movements in price," he said.

Grant said he was not doubting the reasons given by Newport Fersan, regarding the constant price increases, but that the situation warranted an independent investigation by the JAS.

shelly-ann.thompson@gleanerjm.com