Jamaicas coffee industry has been thrown a $310 m lifeline by the government.

The loan is to finance the purchase of 135 thousand boxes of Blue Mountain Coffee.

At a news conference at the Agriculture Ministry yesterday (December 14) Minister Dr. Christopher Tufton said the $310 m will be loaned to the Coffee Industry Board.

He explained that government had to offer assistance. Dr. Tufton adds that, if left to the laws of supply and demand, farmers would suffer loss as there is a lack of market for the current crop.

Dr. Tufton noted that up to this time coffee has been paid for in the form of IOUs.

He says the farmers will have to take a reduction in price

The Agriculture Minister explains that Blue Mountain Coffee is suffering now because the Japanese, who usually buy most of the coffee, have cut back their purchases .

He said talks are being held with the Chinese to take some 70 to 100 tons of coffee starting next year.

Also to increase sales, the government is working with the Jamaica Tourist Boardto target coffeeoutlets in the United States, including Starbucks.