Government plans to divest Spring Plains
Published: Thursday | February 12, 2009
The Government has opted against renewing the lease on the Spring Plains property in Clarendon.
Instead, the administration has accepted a recommendation from the Development Bank of Jamaica (DBJ) to repossess the property and advertise it for divestment.
The 552 acres of farmland, a mango orchard and packaging house, were leased in 2001 to Hi-tech Farms Limited, a joint-venture entity involving a Jamaican, Sam Wong Chew Onn, and Chinese investors.
2,000 jobs promised
At that time, Wong Chew Onn promised to provide jobs for 2,000 Jamaicans while growing winter vegetables.
However, the DBJ said the impressive plan announced by Wong Chew Onn had failed to get off the ground.
According to the DBJ, when it checked, the massive packaging house was grossly underutilised with only a small section occupied.
The DBJ further found that only five Jamaicans and four Chinese were employed at the time of its visit, and about 12 of the 552 acres were producing Chinese vegetables.
In addition, the DBJ said the mango orchard appeared to have not been pruned or bushed since it was leased and several acres had been destroyed by fire.
Also, only one of the seven cold rooms was being utilised, and this was to store a small quantity of vegetables.
Against this background, the Government decided not to renew the lease. Yesterday, efforts to contact Wong Chew Onn were unsuccessful.
Saviours of Spring Plains
In 2001, Wong Chew Onn and his investors had been hailed as the saviours of Spring Plains, with their promise of a large-scale agricultural farming enterprise producing fresh vegetables and fruits for local consumption and export, with an investment of US$1.3 million and J$10 million.
At that time, Wong Chew Onn said he would dedicate his time, energy and finances into producing a variety of vegetables and fruits, including the Chinese strains of tomato, celery, broccoli, cabbage, peppers and watermelon.
This followed years of neglect for the property, which was a focal point for the Edward Seaga administration of the 1980s, when it facilitated a winter vegetables farm operated as a joint venture with the Israeli government.
However, the farm became bankrupt after losing an estimated $48 million and leaving debt of much more.
arthur.hall@gleanerjm.com