Download - 20. Amiel
Keith Amiel – Caribbean Agribusiness Association- Jamaica
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* In the global economy small island states can never
compete on volume or price.
*They must seek to identify products distinctive to
their particular demographics to enable them to
invoke ‘rules of origin’ and ‘intellectual property
rights’ for the distinctive differentiated products.
* In this way consumers across the world must
continuously revert to the source for the ‘genuine’
food supplies. Substitutes produced in other
countries will essentially remain ‘counterfeit’
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Many Island states produce the same
variety of fruits, root crops and
vegetables for local distribution
They are not branded and carry no
distinguishing features
The capacity to get premium and
referred prices is therefore limited,
usually to just above break even.
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The upscale markets in developed countries rely on ‘just in time management’
to match their traditional market days.
The introduction of greenhouse technology and drip irrigation, with some
hydroponics, has helped to ensure the repeatability of quality and quantity
However the vast distances that have to be traversed to markets and the
perishable nature of the products, when added to transportation costs and in
precise delivery dates, tend to make sourcing and supply marketing
arrangements problematic
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*Small entities must come together in clusters to augment the raw
material base and to goal align efforts to provide larger volumes of
produce and more consistent inputs and outputs.
*Primary produce have many constraints with respect to disease control,
longevity and perishability in the realm of international trade.
Traceability and surveillance data from ‘farm to fork’ is being
increasingly demanded. Simultaneously GAP, HACCP and ISO Certification
will increasingly become requirements to trade in first world countries.
*Emphasis must be on product differentiation through value chains to
facilitate predictable outputs to meet international market
requirements. This will be supported by enlightened inventory control,
shipping and marketing strategies.
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* Significant socio-economic changes have been taking place as the result of liberating women from subsidiary rolls and them emerging as a highly educated middle class on the same footing as men.
*Women have been shifting jobs and rolls. There is a shift away from struggling with the preparation of primary agricultural produce in the homes to convenient, ready to cook, ready to eat foods. Both their children and themselves have new value systems that demand more ‘eating on the go’.
*As these families are also becoming those with the highest disposable incomes, they are increasingly influencing the diet forms in the market place.
* If the small island ACP states don’t adjust to the new and changing demands of the now Global Market Place, they will be increasingly marginalized
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Here our Meat processing plant at Copperwood, Jamaica, has responded to the
reality that the three million plus tourists who come to our shores per year
come from countries where sausages and bacon form part of every breakfast
offering in upscale hotels. Accordingly they are treated to our ‘Caribbean
Passion’ brand of spiced products, all produced in Jamaica, to make their
Caribbean gastronomic experience memorable
An interesting feature of the tourist experience is that they wish to take home
some of the spices with them and look for the same in their Supermarkets at
home base. In so doing they create an international market for our products
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Our production has
moved to match first
world standards. It is
market driven and
the end user will
therefore determine
what is to be
produced.
Here we have
produced Omega-3
commercial eggs for
the supermarkets to
satisfy the health
conscious and to
initiate a diversified
marketing strategy
for the simplest of
products
Rural small farmers produce a
million dozen eggs per month
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*Securing the International Market through Branding has
proved relatively easy for Jamaica in that it’s music forms
lead by Bob Marley and Reggae have been recognised around
the world
*The performances of the Jamaican athletes, lead by Usain
Bolt, in international sport are legendary.
*Jamaica, as a tourist destination, his highly ranked for
holidays
*The Jamaican Trade Mark, to be associated with the upcoming
World Olympics and Trade and Music Festival in London next
July, has been copyrighted to safeguard its genuine Jamaican
products in the proposed Caribbean Cuisine Showcase.
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Having identified those commodities
in which the country could have a
strategic advantage the potential
players must become goal aligned
Paradigm shift to Commodity Clusters
Animal feed Manufacturers
Nutriceuticals /
Pharmaceuticals/Cosmetic group
Bananas
Pork Producers
Bakers Confectionary and other
Pastries
Poultry Producers and other
Meat Processors
Citrus and other juices Sugar
Cane
Small Ruminants
Coffee
Cocoa
Traditional Fruit & Vegetables
Sugar Cane & its Derivatives
Coconuts and other Edible oils
Beef and Dairy
Root Crops
Other exotic fruits and
vegetables 13
*Paradigm shift to Commodity Clusters
Herbs & Spices
Grains & Cereals
Wines & Spirits, Other brews and
alcoholic Beverages
Wearable cotton & other Fibers
Fish Farmers including
Ornamentals
Other Processor Groups
Honey
Horticulture, Tree Crops &
Forestry
Fertilizer Manufacturers
Exotic Beverages, Jams, Purees
etc. from non Traditional Fruit &
Vegetables
Wood Paper and Furniture
Manufacturing
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Nutraceuticals, Cosmeceuticals and Pharmaceuticals are derivatives from 185 trees and shrubs that grow in the forests and agricultural
areas. Over 100 of them have been identified in the Caribbean. The properties
include anti-oxidants, ant-iflammatorys, carmenatives, antizymotics , purgatives
and diuretics. They also have various vitamins and electrolytes as well as digestive
and stimulant properties that make some valuable as dietary supplements.
Teas on the market include peppermint, bisy, cinnamon, ginger, mint, sorrel,
cerasee, lemon grass, pimento, sarsaperilla, guinea hen weed, moringa leaf,
turmeric tea, neem leaf, comfrey and aloe vera
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Blue Mountain Coffee is listed as the finest, most expensive coffee in
the world. Increasingly, instead of exporting the green beans, the produce is
being differentiated locally to achieve more value added before export. The
brand is registered internationally and cannot be copied.
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Financial Institutions & Facilitators
Research and Development entities involved in adaptive technology
Growers and Ancillary Producers
Processors involved in product differentiation into distinctive value added products
Brand and intellectual property rights services
Marketing Development
Sales and Distribution 17
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INPUT SUPPLIES
PRODUCERS
TRADERS
PROCESSORS
MARKET
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REQUIRED SERVICES
REQUIRED SERVICES
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Input Supplies & Services
Processors
Producers
Exporters
Research & Development
Retailers
Promoters/advertisers
Consumers
Planners (Government & Private sector)
Small
Ruminants
Cluster
Poultry
Industry
Cluster
Banana
Industry
Cluster
Aquaculture
Industry
Cluster
Pharmaceutical
&
Nutriceuticals
Cluster
A Unified & Organized Agribusiness
Sector: The CABA Value Chain
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Stakeholders in a Value Chain
geneticists, biotechnologists, pathologists,
agronomists, food technologists, post harvest,
soils, market researchers production economists,
financiers, extension, agric.
supply stores, soil/tissue
analysis's labs, consultants,
etc.
Ministry of Agriculture, CARICOM,
international trade & policy advisers,
economists, global market strategists,
household, restaurant,
hotels, supermarkets etc.
foreign & local
supermarkets,
overseas importers
etc. estates, statutory bodies,
shipping lines etc. trade
promotion
agencies, etc. producers of: banana
chips, banana based
baked products, etc
small, medium and
large banana
farmers, nurseries
etc. Supplies & Services
Processors
Producers
Exporters
R & D
Retailers
Promoters/Advertisers
Consumers
Planners
Banana
Industry
Cluster
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Pork Industry is one of the fastest growing value chains
It incorporates
international
technology from
Canada, USA and
Netherlands with
the Jamaican
private sector and
Ministry of
Agriculture
agencies. An
important part of
the chain is the
Jamaica Pig
Farmers
Association cluster
at one end and the
Jamaica meat
processors at the
other
All ham, bacon, and fresh pork requirements are satisfied
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The most successful
Cluster and Value Chain
produces 10 million
kilograms of fresh poultry
per month.
Note the ticked tag
that makes the CB
product first world.
It is officially
designated GMP,
HACCP and ISO
9000 certified
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More than 14 Food Festivals in the
villages across Jamaica are held per
year. Each highlights a different product
in the commodity chain.
The village and Hotel Chefs compete against
each other to determine who the reigning
Kings and Queens for the year will be. Tourists
mingle with the locals to experience the blend
of food, music and dance.
A hundred cooks turn up
with their followers from
their village for a
barbecue chicken cook-off
Winners and spectators cheering on a beach in Montego Bay, Jamaica
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The Colonial experience was based on preferential treatment for our
bananas and sugar in the UK and Europe. Having been attacked by WTO
rulings against continued trade on that basis, we have turned to EPA
agreements in which product development and differentiation now makes
far more money from exports than under the original arrangement
Originally starting with bananas and plantains, they now incorporate root crops
such as Sweet Potato and Cassava chips in plain or hot and spicy flavours.
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Baked breads, buns
and biscuits are now
distributed across
the world with
jams, cheeses and
other preserves to
complement them.
Wherever the
diaspora is, the
ethnic shops are
never out of these
products. An
interesting result is
that the National
Supermarket Food
Chains, rather than
loose business, are
now incorporating
the products in
their regular
inventories.
A display from one of fifty bakeries in the business
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Whereas there have been challenges with citrus exports, many seasonal fruits are
now processed into juices to supply an all year round market. Tropical fruit are
thereby more available to the general population and the school feeding
programme. While tourists have access to exotic tastes continuously.
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Jamaica’s most successful International Value Chain is in the wine
and spirit category. The alcoholic drinks are in literally every
country in the world. The demand for some such as Red Stripe Beer
and Tia Maria Coffee Liqueur have set the stage for additional
manufacture in extra regional breweries
Classic Red Stripe Jamaican Beer The Light beer in three flavors
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The Sugar Cane Industry , in addition to exporting sugar and molasses, has
seen the emergence of a wide variety of ethanol based Jamaican rums and
mixed spirits that are successfully marketed around the world
Ethanol is being incorporated into petrol to a
greater extent. Exports to the US for this
purpose are to increase dramatically.
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Jamaica has developed a wide range of Rum Creams to
successfully challenge the traditional international brands of
cream spirits
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A wide range of spices,
marinades and chutneys, based
on the extensive variety of
herbs and spices, have
penetrated the international
market.
Led by Jamaican Pimento (all
spice), the highest rated
Jamaican ginger and Scotch
Bonnet peppers,- they stand
out.
CONSUMERS: HOUSEHOLDS, RESTAURANTS, HOTELS, SUPERMARKETS
RETAILERS: DISTRIBUTORS, TRUCKERS
EXPORTERS: EXPORT COMPANIES, SHIPPERS, ETC
PROMOTERS & ADVERTISERS: TRADE
PROMOTION AGENCIES, ETC
PROCESSORS: MEAT /MILK PROCESSORS, SLAUGHTERHOUSES, CANNERS, TANNERS
PRODUCERS (DEFINED BY
CLUSTER)
EXTENSION
&
MULTIPLIERS
INPUT
SUPPLIER
S
R&D Input Suppliers
Producers / Growers
Traders
Processors
Market
More multiplier effects and Income
generation at the top of the Value
Chain. Therefore all elements must be
linked to share in the returns. The
agricultural producers must now be an
integral part of the new vertically
integrated associations. In this way
they will have a greater share of the
‘fruits of their labor’ and realize the
possibility of overcoming poverty.
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Some Facilities such as evaluating and Certifying
Laboratories can only be justified on a regional basis.
Governments must deal with implications of sovereignty.
, R&D Institutions, Diagnostic Services, Processing,
Branding and Marketing may need to be regionalized,
depending on where the strengths and weakness are.
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Food Self sufficiency is considered the main priority. We
must feed our population the cheapest way possible. Other peoples
surpluses and handouts can make Politicians popular in the short term
but this position is not sustainable.
Sustaining local Agribusiness - lead by the
Tourist Industry. We legitimately consider Agro- tourism because
we can sustain business on the demographic features of the Caribbean.
Sustaining traditional markets regardless of life cycle
considerations.
Creating New Niche Markets based on those things in
which the Caribbean has a strategic Advantage.
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This will give us a capacity to earn hard currency to buy
the essential things that the country needs
The strategy will give us some measure of security in
the International Marketplace based on Rules of Origin
We will be shielded to a great extent from head on
pricing competition as any product originating from
another region, other than the Caribbean, will be an
‘imitation’
Between visitors requiring mementos of their visits and
the large diasporas yearning for a taste from home, an
assured core market will exist.
Employment of the local population will be sustainable. 34
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We have got to ‘Emancipate ourselves from mental
slavery- none but ourselves can free our minds’- a
Jamaican reggae song by Bob Marley
By constantly thinking in terms of subsistence
farming we are institutionalizing poverty and
backwardness. Although small, we must think big.
To this end we may need to act collectively. Let us
resolve to leave this world better than how we
found it