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BARBADOS
NATIONAL
 UNION of
 FARMERS



             Small Scale
       Farming in the Caribbean:
            Vegetable Producer – Problems & Solutions



                     Keeley Holder
                     October 18th, 2012
Barbadian Agriculture
 While Barbados economy is considered
  “developed”
 Barbadian fruit & vegetable industry is
  NOT “developed”

     It does not enjoy the benefits of a
             “developed nation”

    It desperately needs developmental
                   support
National Union of Farmers
 Not-for-Profit Company
 Celebrating 10th Year
 Aim:
       To bring more professionalism to agriculture
        & promote the interests of all members and
        others within this sector
   Committed to:
       Sustainable economic development of
        Barbados agricultural sector & Barbadian
        farmers.
       Enrichment in quality of life of Barbadian
        people through fresh healthy foods
Key Binding Constraints
1.   Limited & Oligopolistic Market
        4 Large Buyers > 2000 Small Growers
        Unstable Price & Business Relationship
        High Incidence Farmers Entering & Exiting Industry
1.   Lack of Productivity & Competitiveness
        Low Yields
        Crop Mismanagement
        Inconsistent Quality, Unreliable Supply
1.   Cycle of Blame & Distrust; Lack of
     Confidence, Cooperation & Interaction
     Between Actors
A Technical Assistance Solution


Cruise & Grocery Value Chain Project

         Well Conceived
         Consumer-centric
         Avoid Perverse Incentives
         Leading Change
Value Chain?


“An agreed interaction and sharing of information between
economic actors, providers of services and policy makers, that is
grounded in proper assessment of production and markets,
with joint action plans to consistently deliver products demanded
by consumers that are of specific quality, highly differentiated or
branded, competitively priced, safe to consume or use and which will
generate equitable and sustainable profit margins for all
concerned.” (Robert Reid, IICA)
Cruise & Grocery
          Value Chain Project
1.   Improving Market Access & Developing
     Business Partnerships using Value
     Chain Approach
2.   Increasing Farmer Competitiveness by
     Leading Change & Effective
     Knowledge Transfer Methods
3.   Institutional Strengthening NUF
4.   Knowledge Management & Best
     Practices Dissemination
Leading Change (HBR – John Kotter)
1.    Establishing a Sense of Urgency
2.    Forming a Powerful Guiding Coalition
3.    Creating a Vision
4.    Communicating the Vision
5.    Empowering Others to Act on the Vision
6.    Planning for & Creating Short Term Wins
7.    Consolidating Improvements &
      Producing Still More Change
8.    Institutionalizing New Approaches
Knowledge Transfer




   Diffusion of Innovation (Strategy used by Extensionists)
   Intrinsic Characteristics that Influence Adoption
   Building Enough Momentum to be Self-
    Sustaining
COMPONENT 1
Expand Market
The Demand – Cruise
120,000 lbs exported 2011/2012
BDS $1.2 Million foreign exchange




Super Centre is conduit
           MISSED OPPORTUNITY
Buyers wantMORE requested
  60,000 lbs “Go-to-Guy”
     Not just sellingdemand
       Couldn’t meet
      
                     produce
  11 Crops, 10 Herbs desired
         Not price competitive
Expand Market
 Increase Cruise Ship Demand
 Tour Cruise Ship
 Develop Crop Forecasting Analysis
  System
 Farmer – Buyer Dispute Resolution
       Supermarket Grocery Code of Conduct
   Value Chain Upgrading &
    Strengthening – Bilateral Meetings
COMPONENT 2
Increase Competitiveness
   Farmer Field Training
       BEST knowledge transfer method
       Go To the Farmer
       Generate Momentum
   Provide Crop Specialist
       Immediate Impact (Short-term Win)
   Global Exposure
       Fruit Logistica, Germany
       World Agri Expo, California
COMPONENT 3
Strengthening NUF
 Interpret Farmers’ Endowments
 Strengthen Governance Structure
       Revamp Constitution, Bye-laws, Policies &
        Procedures
   Training of Farmer Leaders:
       Communication, Negotiation, Contract
        management, Strategic planning, Group
        dynamics, Leadership, Board governance,
        Board management, Time management,
        Meeting management, Advocacy and
        Lobbying, Fund raising, Branding
COMPONENT 4
KM & Best Practices
   Integrated Project Communication
       Promotional Material for Media
       Press Releases
       Design of Farmer Materials (online/hard copy)
 Develop ICT Platform for Farmers’
  Communication
 Farmer training in ICTs (Vocational
  Training Board)
 Develop E-format, Multimedia
  Documents for Farmers
Why This Strategy?
  People Do Business With
      People Who They

   KNOW, LIKE & TRUST
Why This Strategy?



Strong Potential for Replication
 In Other Caribbean Countries
The Novelty
Unraveling Hidden Complexity
Thinking Outside “Agricultural Box”
     Avoiding the Relevance Paradox
Business Perspective
People-Centred Approach
Food Security
FACT:
Exporting achieves food security



HOW:
 Stabilisesprice & business relationship
 Local market not as saturated
 Improves farm productivity, competitiveness
Food Security
FACT:
Exporting achieves food security m
                               is do
                             lW
                          na
                      tio
                    en
OUTPUT: co       nv
             Un
 Better prices
 Higher quality
 Consistency
Financing
Cost: Estimated US $750,000

 In Kind Partners – MoA, FAO, IICA
 In Cash Partners – IDB-MIF, Super
  Centre, Input Suppliers

   IDB MIF:
       Agenda: Helping Small Farmers to Produce
        Higher-Value Products and Access Niche
        Markets
Financing




Still Need   US $500,000
One More Thing…
                       THE WORLD BANK

     “Literacy and managerial capabilities exert a strong, robust, &
       statistically significant impact on export of fresh & processed
             fruits and vegetables. This result reflects two facts:

1. Horticulture is a knowledge-intensive business.
2. Success in world markets requires the availability of a skillful
   class of entrepreneurs.”
Keeley Holder - Vegetable Producer. Problems and Solutions.

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Keeley Holder - Vegetable Producer. Problems and Solutions.

  • 1. BARBADOS NATIONAL UNION of FARMERS Small Scale Farming in the Caribbean: Vegetable Producer – Problems & Solutions Keeley Holder October 18th, 2012
  • 2. Barbadian Agriculture  While Barbados economy is considered “developed”  Barbadian fruit & vegetable industry is NOT “developed” It does not enjoy the benefits of a “developed nation” It desperately needs developmental support
  • 3. National Union of Farmers  Not-for-Profit Company  Celebrating 10th Year  Aim:  To bring more professionalism to agriculture & promote the interests of all members and others within this sector  Committed to:  Sustainable economic development of Barbados agricultural sector & Barbadian farmers.  Enrichment in quality of life of Barbadian people through fresh healthy foods
  • 4. Key Binding Constraints 1. Limited & Oligopolistic Market  4 Large Buyers > 2000 Small Growers  Unstable Price & Business Relationship  High Incidence Farmers Entering & Exiting Industry 1. Lack of Productivity & Competitiveness  Low Yields  Crop Mismanagement  Inconsistent Quality, Unreliable Supply 1. Cycle of Blame & Distrust; Lack of Confidence, Cooperation & Interaction Between Actors
  • 5. A Technical Assistance Solution Cruise & Grocery Value Chain Project  Well Conceived  Consumer-centric  Avoid Perverse Incentives  Leading Change
  • 6. Value Chain? “An agreed interaction and sharing of information between economic actors, providers of services and policy makers, that is grounded in proper assessment of production and markets, with joint action plans to consistently deliver products demanded by consumers that are of specific quality, highly differentiated or branded, competitively priced, safe to consume or use and which will generate equitable and sustainable profit margins for all concerned.” (Robert Reid, IICA)
  • 7. Cruise & Grocery Value Chain Project 1. Improving Market Access & Developing Business Partnerships using Value Chain Approach 2. Increasing Farmer Competitiveness by Leading Change & Effective Knowledge Transfer Methods 3. Institutional Strengthening NUF 4. Knowledge Management & Best Practices Dissemination
  • 8. Leading Change (HBR – John Kotter) 1. Establishing a Sense of Urgency 2. Forming a Powerful Guiding Coalition 3. Creating a Vision 4. Communicating the Vision 5. Empowering Others to Act on the Vision 6. Planning for & Creating Short Term Wins 7. Consolidating Improvements & Producing Still More Change 8. Institutionalizing New Approaches
  • 9. Knowledge Transfer  Diffusion of Innovation (Strategy used by Extensionists)  Intrinsic Characteristics that Influence Adoption  Building Enough Momentum to be Self- Sustaining
  • 12. The Demand – Cruise 120,000 lbs exported 2011/2012 BDS $1.2 Million foreign exchange Super Centre is conduit MISSED OPPORTUNITY Buyers wantMORE requested 60,000 lbs “Go-to-Guy” Not just sellingdemand Couldn’t meet   produce 11 Crops, 10 Herbs desired  Not price competitive
  • 13. Expand Market  Increase Cruise Ship Demand  Tour Cruise Ship  Develop Crop Forecasting Analysis System  Farmer – Buyer Dispute Resolution  Supermarket Grocery Code of Conduct  Value Chain Upgrading & Strengthening – Bilateral Meetings
  • 15. Increase Competitiveness  Farmer Field Training  BEST knowledge transfer method  Go To the Farmer  Generate Momentum  Provide Crop Specialist  Immediate Impact (Short-term Win)  Global Exposure  Fruit Logistica, Germany  World Agri Expo, California
  • 17. Strengthening NUF  Interpret Farmers’ Endowments  Strengthen Governance Structure  Revamp Constitution, Bye-laws, Policies & Procedures  Training of Farmer Leaders:  Communication, Negotiation, Contract management, Strategic planning, Group dynamics, Leadership, Board governance, Board management, Time management, Meeting management, Advocacy and Lobbying, Fund raising, Branding
  • 19. KM & Best Practices  Integrated Project Communication  Promotional Material for Media  Press Releases  Design of Farmer Materials (online/hard copy)  Develop ICT Platform for Farmers’ Communication  Farmer training in ICTs (Vocational Training Board)  Develop E-format, Multimedia Documents for Farmers
  • 20. Why This Strategy? People Do Business With People Who They KNOW, LIKE & TRUST
  • 21. Why This Strategy? Strong Potential for Replication In Other Caribbean Countries
  • 22. The Novelty Unraveling Hidden Complexity Thinking Outside “Agricultural Box”  Avoiding the Relevance Paradox Business Perspective People-Centred Approach
  • 23. Food Security FACT: Exporting achieves food security HOW:  Stabilisesprice & business relationship  Local market not as saturated  Improves farm productivity, competitiveness
  • 24. Food Security FACT: Exporting achieves food security m is do lW na tio en OUTPUT: co nv Un  Better prices  Higher quality  Consistency
  • 25. Financing Cost: Estimated US $750,000  In Kind Partners – MoA, FAO, IICA  In Cash Partners – IDB-MIF, Super Centre, Input Suppliers  IDB MIF:  Agenda: Helping Small Farmers to Produce Higher-Value Products and Access Niche Markets
  • 26. Financing Still Need US $500,000
  • 27. One More Thing… THE WORLD BANK “Literacy and managerial capabilities exert a strong, robust, & statistically significant impact on export of fresh & processed fruits and vegetables. This result reflects two facts: 1. Horticulture is a knowledge-intensive business. 2. Success in world markets requires the availability of a skillful class of entrepreneurs.”