The Government is in the process of looking for new markets to export its bauxite, as the industry is projected to earn just $2.8 billion from the bauxite levy in the next financial year, less than half of what it was banking on.

Audley Shaw, minister of finance and the public service, made the disclosure of the search for new markets yesterday at the launch of Finpyme, an Inter-American Investment Corporation (IIC) programme, aimed at increasing companies' competitiveness.

Shaw said the ministry was sending a special team in search of special markets next week.

During the function, held at The Jamaica Pegasus in New Kingston, Shaw also lamented that it was unlikely for the Government to earn much from the bauxite levy in the upcoming financial year.

In fact, the minister referred to the $2.8-billion estimation as "the latest, most ambitious projection".

Jamaica is experiencing a downturn in the industry because of the global financial crisis, as aluminium-based maufacturing has virtually ground to a halt. Recently, local bauxite companies have cut production and staff.

The industry is, by far, the largest merchandise export earner for Jamaica. It is also one of the three major earners of foreign exchange and has been a significant contributor to revenues to Government through the bauxite production levy.

Between 1974 and 2007, the industry paid some US$3.6 billion as levy, an estimated US$500 million of personal income tax from workers' earnings of US$2.5 billion and another US$300 million from royalty and corporate income tax.

dionne.rose@gleanerjm.com