BUILDING A COMPETITIVE AGRI-BUSINESS SECTOR. Vassel Stewart TTABA C.E.O
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1 BUILDING A COMPETITIVE AGRI-BUSINESS SECTOR Vassel Stewart TTABA C.E.O
2 COMPETITIVENESS RANKING Country/Economy Rank United States 5 Netherlands 7 United Kingdom 10 Canada 12 Taiw an, China 13 France 18 Australia 20 Malaysia 21 New Zealand 25 China 26 Chile 31 Thailand 39 Indonesia 46 Brazil 53 Mexico 58 Costa Rica 61 Trinidad and Tobago 81 Argentina 85
3 COMPETITION Competing countries have; Strong Agricultural Sector (Cargill/Monsanto, Novartis/ADM/IBP, and ConAgra, Dole & Chiquita ) Strong Food Processing & Manufacturing. (UNILEVER, KRAFT, NESTLE, CARGILL, CAMPBELLS, PHILIP MORRIS KELLOGS, PEPSI, DOLE.) Strong and extensive food service sector ( retailing, restaurants, hotels) Tesco (UK), Ahold (Netherlands), Carrefour (France), and Wal-Mart (USA) and whose policies impact significantly on market access all major ffr, many major hotels)
4 Competition There is a strong preference for imported products. Importers like doing business with U.S. exporters because they are viewed as reliable and trustworthy. The majority of the populations perceive U.S. products as higher quality and safer than local foods. Many imported products have strong name recognition and set the standard for the competition.
5 Creating a Competitive Local Agri-business Sector
6 REQUIRED GOALS & POLICIES GOAL 1: TARGET MINIMUM LEVEL OF FOOD SECURITY. POLICIES 1. TARGETED % COMMODITIES /PRODUCTS FOR IMPORT DISPLACEMENT 2. PRODUCTS FOR SPECIAL TREATMENT. 3. EFFECTIVE C.E.T AND BOUND RATES. 4. FAIR COMPETITION POLICY.( Antidumping) 5. INDUSTRY DEVELOPMENT PLAN. 6. DOMESTIC SUPPORT MEASURES
7 GOAL:2 INTERNATIONAL COMPETITIVENESS OF SELECTED PRODUCTS. POLICIES GREATER INVESTMENT IN R&D AND INNOVATION (World class product development centre). PRUDENT FREE TRADE AGREEMENTS. EXECUTION OF INDUSTRY DEVELOPMENT PLANS. FOOD SAFETY & OSHA REGULATIONS. ENVIRONMENTAL REGULATIONS. JOINT MARKETING & COMMON BRANDING
8 MARKET POSSIBILITIES HEALTH AND NUTRITION MARKET Food Feed Medicinals Agro-entertainment INDUSTRIAL MARKET Fuel Lumber Garment Chemicals ENVIRONMENTAL PROTECTION MARKET Bio-fertilizer production Tree crop production (carbon sequestration)
9 IMMEDIATE OPPORTUNITIES ARE IN THE FOOD SECTOR Item Average food Imports from % of Total % of Total Value Volume TT$ M Tonnes Meats 326,344 36,721 10% 5% Diary 500,228 50,877 15% 6% Fish & Seafood 143,140 9,625 4% 1% Staples 694, ,667 20% 29% Vegetables 367, ,147 11% 14% Fruits 259,160 50,217 8% 6% Sugar 281, ,888 8% 15% Coffe & Teas 87,444 8,062 3% 1% Spices 19,336 3,658 1% 0% Fats & Oils 20, % 0% Animal Feed 257, ,179 8% 17% Others 437,126 43,412 13% 5% TOTAL 3,394, , % 100%
10 Best Export Prospects ( USA STUDY 2010): Snack foods, breakfast cereals and pre-mix bakery products. Meats, poultry, dairy products. Fresh and processed fruits and vegetables. Soups & Beverages Condiments & Sauces Ready to Eat Meals. Pet foods.
11 Opportunities Staples &Cereals 21% market Share Significant growth, but strongest in the high fibre/complex Carbs, breakfast cereals and snacks,. Opportunities lie in large scale production for; Breakfast cereals & Snacks from cassava and sweet potatoes, plantains, bananas, breadfruit Caribbean Healthy Staples: yams, cassava, sweet potato, eddoe, yams, plantain, green bananas dasheen, breadfruit, for the international health food and regional tourism markets.
12 Opportunities-- Meats & Diary 25% OPPORTUNITIES MAINLY IN; Small ruminants: Growing demand for fresh meat in all segments, with demand especially for goat meat, far outstripping supply. Rabbit continues to be extremely weak, but assessment for the hospitality sector required. Dairy products: Particularly from goats milk, specialty chesses and milk based beverages for the domestic and regional markets.
13 Opportunities- -- Fruits & Related Beverages 14% market share US$84 Million Major growth area for fruits driven by health consciousness.. Main areas of opportunity; ---Citrus -- Coconuts -- Paw-paw. -- Golden apple --West Indian Cherry ---Sorrel ---Melons --Mangoes --Asian fruits
14 Opportunities- -- Fruits & Related Beverage 14% market share Growth in both alcoholic and non-alcoholic industries. Greatest potential lies in: Fresh and Single Strength juice Markets; -- coconut water -- branded rums for export market -- spice and herb based rums for all markets -- fruit based alcoholic drinks for all markets -- nutraceutical drinks for all markets - -cocoa and coffee drinks particularly organic
15 Vegetables Market share -11% Opportunities in HERBAL BEVERAGES ; With medicinal value; Examples; TUMERIC MINT LEMON GRASS GINGER SHADON BENI SORREL NONI OTHER LOCAL HERBS (Investigate medicinal benefits)
16 Most Attractive Investments Primary Production Integrate agricultural production with agro-entertainment. ( petting zoo, camp sites, fishing, on farm restaurants, mini-golf, croquet, riding trails, harvesting competition, goat race) Food manufacturing The home meal replacement market with our ethnic cuisine, using the individual products listed above in various combination; estimated that only 55% of American meals has a home made component. Nutraceuticals Beverages (plants with distinctive disease preventative or health enhancement capacity) market segment in USA 7% per annum. And link them with
17 Strengths Major International Caribbean Brands (Sandals, Angostura, Grace). Unutilized low cost direct cargo capacity to Europe & North Amercia. Opportunity to link our unparalleled achievements in sports and music with our food Our domination of growing market for international Carnival events. Our position in the tourism industry as the cruise ship capital of the world. Capacity of the Social Media (SM)
18 TTABA Public private sector collaboration aimed at providing mechanism for co-ordinated planning and development; Selected commodity for industry development, providing; Research Contract farming Agro-processing Institutional support
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