A Pool of member distilleries and Sugar
Producers formed The Spirits Pool Association Limited in 1974, under the
original principles of the Rum Pool Agreement of 1932.
A critical function of the Rum Pool
was to provide oversight and management of the quality and quantity of rum that
members had agreed to, with the Pool. In addition, the Pool facilitated the
sales to Primary Buyers. The Pool ensured that certain marks of rum were available
and undertook efforts to ensure the overseas buyers were always engaged.
In 1932, Jamaica was seeing a
phenomenon that was occurring worldwide. Agricultural products were failing
because there was overproduction resulting in price declines and a glut of
products on the market. Additionally, this created an unfavourable business
environment for smaller players in the industries. The forming of the Rum Pool
was to protect the interest of Jamaica Rum producers, and notably, were mostly
sugar producers as well. The idea was to decide how best to protect Jamaica Rum,
its production, and marketing in the face of international issues such as
competition and imitators.
In 1931 the Jamaican Government
introduced the Rum Regulation law to restrict production, which led to the
formation of Jamaica Sugar and Rum Manufacturers Ltd. The members made a
voluntary General Pool Agreement which intentionally reduced production to
361,000 liquid gallons in 1933. Prior to this Government regulation Jamaica
produced up to two million liquid gallons in 1916 which had fallen to one
million liquid gallons in 1931. At that time, and even with this fall in
production, a glut on the market kept prices extremely low with exceedingly
small profit margins.
The Colonial Government passed the
Rum Control Law of 1934 and production was stabilised. In that year there were thirty-four
estates in the Rum Pool. By 1937 all thirty-four distilleries were under the
Rum Pool Agreement. Members signed a new Spirits Pool Agreement on June 6th, 1963,
and there have been iterations of this in the subsequent years.
Forward from 1974, the Spirits Pool
Association Limited successful continued to provide oversight for production of
rum, engagement with Primary Buyers, and management of agreed prices amongst
members. All this that created and equitable environment for the Jamaica Rum
Presently, the Spirits Pool
Association Limited continues to provide valuable oversight and has further
evolved and adapt to the new and ever-changing business environment to usure
sustainability and continuity for Jamaica Rum. Geographic Indicators (GI), Social
Responsibility (Responsible Drinking Campaigns), the Environment, are major
areas of focus.