Rum industry takes a shot
Published:Wednesday | December 24, 2025 | 12:11 AMNeville Graham/Staff Reporter
The Jamaican rum industry projects a double-digit decline in output for the 2025-2026 season, a blow reverberating across the sugar and spirits sectors due to the impact of Hurricane Melissa.
Christopher Gentles, general manager of the Spirits Pool Association Ltd, said that “Melissa had a significant impact on the rum industry” with current projections at 20 per cent, though “the overall impact could [rise to] 30 per cent”. The Spirits Pool is the umbrella body that represents most of Jamaica’s rum distilleries.
Among the hardest-hit operations was the Appleton Estate distillery in St Elizabeth, the heartbeat of Wray & Nephew’s premium brand operation, according to Gentles. Core machinery escaped major harm, but he reported extensive roof damage and disruptions to the power supply. He expects them “to be up and running by February”.
Hampden Estate in Trelawny, owned by Everglades Farms, also suffered significant roofing damage and impairment to ancillary buildings, he stated. Though operating at reduced capacity, Hampden expects full restoration by late January. Long Pond, under the ownership of National Rums of Jamaica — a consortium that includes Maison Ferrand of France, Demerara Distillers of Guyana, and the Government of Jamaica—he said experienced minor structural damage and is on track for a quick recovery.
New Yarmouth Distillery, another Wray & Nephew facility, and Clarendon Distillers reported minimal damage and resumed operations within days. However, the Caribbean Molasses terminal in Lucea, Hanover, was not as fortunate, said Gentles: “Every roof blew off.” That facility handles 90 per cent of locally produced molasses. Emergency rehabilitation is in progress.
“We expect completion by the end of January,” Gentles committed.
The hurricane flattened thousands of acres of cane, particularly in St Elizabeth and Trelawny. While factories like Luidas Vale in St Catherine, linked to Worthy Park Estate, escaped major structural harm, Gentles warned that fallen cane will affect sugar recovery rates. “The sugar factory will be impacted by the fact that a lot of the cane is lying down,” he said. “That will affect operations and the quality of the juice.”
The rum industry’s fortunes are inseparable from sugar production, as molasses — the key input for rum — is a by-product of sugar manufacturing. Jamaica produced roughly 120,000 tonnes of molasses last year, valued at about US$10 million. A 20 per cent shortfall translates to a loss of 24,000 tonnes, reducing molasses availability for distilleries and cutting rum output proportionately.
Rum exports earned Jamaica roughly US$57 million in 2024, or 10 per cent less year-on-year, according to the Economic and Social Survey Jamaica (ESSJ) published by the Planning Institute of Jamaica. That reduction was due largely to the impact of Hurricane Beryl in 2024. In 2025, the impact of Hurricane Melissa, which hit the island in October, will likely lead to a fallout of at least US$11.4 million if the projected 20 per cent hit materialises.
Annual sales of the largest Jamaican rum producer, J. Wray & Nephew Limited (JWN), declined slightly. The ESSJ compiles exports but not necessarily distributor markups. For instance, JWN indicated that its sales fell 2.0 per cent to US$148 million in 2024. The company’s portfolio includes popular brands such as Appleton, Wray & Nephew, Magnum, and Campari.
Looking locally, Gentles noted that domestic sales will also feel the pinch, compounded by reduced consumer spending power in hurricane-affected communities. “Several thousand households have lost their income,” Gentles said. “That will impact demand. We expect a shift towards cheaper, unaged rum and away from premium, aged products.”
All distilleries are expected to be back online by the end of February, he added. Yet, the industry’s recovery hinges on broader national rehabilitation efforts. “The roots of the Jamaica rum industry lie in the people of Jamaica,” Gentles emphasised. “Until housing and welfare issues are addressed, we will not see a return to normalcy,” he warned.
Despite the setback, Gentles remains cautiously optimistic, citing strong overseas demand as a buffer against local market contraction. “The beauty about the rum industry is that there is a balance — overseas demand and local demand,” he said. “That will help us recover quicker.”
For now, the industry faces a challenging road, with Hurricane Melissa underscoring the vulnerability of Jamaica’s rum and sugar sectors to climate shocks. As Gentles put it: “We are deeply concerned about the recovery of the country.”