A hydroponic greenhouse on a Jamaican farm in Middlesex, St Elizabeth, developed by William Oberthier and Hopeton Singh. More farmers are trying greenhouse cultivation to increase yield and quality.

More than 22,000 persons have been laid off from their jobs in the past year, but few get a big enough windfall to give them a new start.

But Michael has $10 million.

Now he is considering how to maximise his pay-day and leverage his cash into even more cash.

Michael, whose full identity we have opted not to disclose, is a former middle manager who was made redundant in January after 20 years with a company in Kingston. But he is determined that his family will experience the same quality of life and even better, now that he has been cut free from nine-five employment.

He tells Sunday Business that he has three children, ages three-10, who attend private or preparatory school. This costs collectively, $90,000 every four months.

Michael intends to keep them in these schools and also to protect and provide for their future.

At age 45, however, Michael has no interest in working for another company. He wants to invest in a greenhouse business, which he heard could be really profitable.

Greenhouse businesses, where produce is grown under controlled conditions, are a fairly new venture in Jamaica, so Michael has limited sources from which to research his new interest.

Still, Winsome Armstrong of the Jamaica Business Development Centre (JBDC), believes Micheal could make it, but only if he is committed. This is especially so in a case where the field is a virtual unknown. He also has to invest in learning about the business.

"This success usually depends on the new business owner rather than market strength or luck. Success will come to those who acquire the training, resources and drive necessary to succeed," said Armstrong.

Michael's wife operates a fledgling business from which income is currently being redeployed into the enterprise. Michael handles all household expenses himself.

His assets include two family-owned cars and a home valued at $10 million, with a mortgage of $500,000 as of February 2009. His monthly expenses amounts to $100,000.

We have solicited the input of experts to provide advice for Michael on how to maintain his lifestyle into the future, even while realising his dream of going into business.

Karrian Hepburn, branch manager, Scotia DBG Investments in Man-deville, suggests that since Michael has monthly bills and quarterly school fees, he should invest his $10 million in securities and build up his holdings first, then start the business.

With significant losses in agriculture due to bad weather conditions every year, greenhouse farming is one way to reduce such losses.

Michael would be using family land located in Manchester, Devon, near Strudleigh, to construct his greenhouse project.

If he were to invest his millions in the project, in the first year, the funds would be spent mostly on materials and construction.

A commercial 3,500 square-foot greenhouse might set him back J$750,000 and more if the US dollar appreciates against the local currency.

The construction inputs - mesh frames and other materials - are mostly imported.

Drip-irrigation system

According to experts in the Ministry of Agriculture's greenhouse division in Kingston, Michael would also need drip-irrigation system. Once the greenhouse is up, labour would be cut. Most operations, except for reaping, would be automated.

Winston Miller of the Rural Agricultural Development Authority (RADA) in Manchester says essential to the business is a good natural source of water.

Piped sources are a no-no because these could cause chemical damage to plants.

The construction of a good catchment system should result in sufficient rainwater.

If the farmer experiences an extended dry period, he should prepare to pay for the trucking of water from nearby rivers.

"Think of these possibilities in case of an extended dry period," said Miller.

The greenhouse farmer would have six months of reaping during dry periods, he adds.

Quick payback

If Michael is willing to risk his millions, and if he invests sufficiently in the technical components of the project, his initial spend or start-up costs - though likely to be substantial - would see quick payback, the experts say.

In 2008, greenhouse growers in Jamaica were able to harvest about nine pounds of tomatoes per plant, compared to three to four pounds from open-field operations.

Quality was said to be better and post-harvest losses were significantly lower.

With an average of 1,500 plants per crop cycle, a typical greenhouse will produce 13,500 pounds of tomatoes, valued at $13,000, in just one crop cycle. Many farmers are now growing year-round to achieve even higher sales revenues per greenhouse.

"If one offers at a competitive price to processors, it will work out well," says Miller.

"RADA offers marketing-extension support and farmers are advised to inform their local representative of their expected crop yield before reaping, so that contact can be made with processors, exporters and other potential sale points."

Miller says more vegetable processors and juices are needed on the local market, but he does foresee potential oversupply of greenhouse vegetables in the near future.

He concludes optimistically: "The government is also planning to set up storage facilities to reduce possible gluts."

The JBDC's Winsome Armstrong is optimistic and suggests that those persons like Michael who are willing to give the next five years of their life to very long hours should see their businesses grow slowly but steadily in Jamaica's current horticultural business environment.

avia.ustanny@gleanerjm.com.

Greenhouse technology training - The Modified Environment Agriculture certification programme is offered at the Ebony Park HEART/NTA Academy in Clarendon. Learn about the plant-growing environment, plant nutrition and fertilisation, integrated pest management and crop culture. The training programme is free.

Contact the Ministry of Agriculture for information on low-cost greenhouse construction, using lumber, wire and plastic. Drip-irrigation systems are required.

Users of the low-cost system in Jamaica have experienced improved harvests. Plant and fruit quality is better and post-harvest losses are significantly lower when using open plots.

For more information contact the Greenhouse division of the Ministry of Agriculture in Kingston at 977-0322. For training, contact the Ebony Park HEART/NTA academy at 987-1334-6.