The Editor, Sir:

All across the world, gas prices have moved down 35-45 per cent already while, in Jamaica, gas prices have only moved down some 24 per cent. The same is true of oil-based energy prices.

Why is this? Oil prices, on the world market, fell 50 per cent over four weeks ago, and are now almost 60 per cent off the high of US$148 per barrel. Despite this, Petrojam has moved its refinery price only about 24 per cent. This is unconscionable, since it moved its prices up during the last year, by over 100 per cent, as oil prices trended to $148+ per barrel.

Despite this 50 per cent reduction in the world prices, the consumer in Jamaica is not seeing the savings at the pumps. This is inexplicable. This failure to reduce prices affects the prices of commodities and services and even affects the cost of transportation of our exports, as the comparative price to get them to the wharf remains high, relative to our Caribbean and Hemisphere counterparts.

If this reduction in oil prices is not reflected at the pump in diesel and gas prices, and not reflected in energy costs from JPS, prices of food and other goods will remain high in Jamaica and our exports will remain uncompetitive, as fuel costs affect all facets of production and transportation.

I am, etc.,

DAVID B. G. MINOTT

Managing Director

Minott Services Limited