JP Shipping Services Limited has opened a new Caribbean Logistics Centre in London which will consolidate and ship commercial cargo, personal effects and vehicles to Jamaica and other CARICOM countries on a weekly or fortnightly basis.
The company is a subsidiary of the logistics and infrastructure division of Jamaica Producers Group Limited which continues to contribute the most to Group earnings.
The Division, overall, generated 2019 profit before finance cost and taxation of J$3.3 billion, a 20 per cent increase over the prior year. Divisional revenues of JM$8.8 billion were up seven per cent over the prior year.
” We remain convinced that Jamaica has the capacity to deepen its position as a regional centre for supply chain management and global services.”– JP Group directors
The L&I Division comprises Kingston Wharves Limited and JP Shipping Services Limited.
Directors said in statements attached to the audited results that the division continues to benefit from a series of initiatives to develop Kingston Wharves as a leading regional multipurpose and multi-user terminal, and Newport West as a warehousing and logistics hub.
Volumes of bulk, break-bulk and automotive shipments to Jamaica and the region increased during the year.
Meanwhile, the new Caribbean Logistics Centre is expected to contribute to revenue growth.
JP Shipping Services Limited operates logistics and shipping services between Caribbean ports and the United Kingdom.
Kingston Wharves in Jamaica operates a multipurpose and multi-user shipping terminal in the country’s capital city, as well as an integrated warehousing and logistics business.
Directors said the company sees Kingston Wharves building on its platform in terminal management and logistics to introduce and develop special economic zone facilities in Newport West, an industrial area that is adjacent to the port of Kingston.
Directors said: “We remain convinced that Jamaica has the capacity to deepen its position as a regional centre for supply chain management and global services. As Jamaica’s policies towards trade and investment become more flexible and open, we are confident that this will strengthen the country’s growth prospects.”
The Food and Drink Division was the largest contributor to the revenues of the Group.
The Division earned profit before finance cost and taxation in 2019 of J$774 million, more than double the prior year result of $378 million. Divisional revenues of $12.6 billion were up 11 per cent over the prior year.
Overall, logistics contributed significantly to the Group’s profits. For the year ended December 31, 2019, the Group earned consolidated revenues of $21.5 billion and net profits of $2.7 billion. Net profit attributable to shareholders of the Group for 2019 was $1.2 billion, an increase of 48 per cent over the prior year.
Directors stated that the Group’s Food & Drink business, which includes premium and travel retail products, as well as everyday snacks and basic food items, is set to grow.
The division’s businesses are oriented to consumer trends such as health, convenience and provenance, and they serve diverse markets in the Caribbean diaspora, Northern Europe and the full range of US cruise and stopover tourist destinations in the Caribbean, Mexico and Florida.