Annual Agriculture Review 2008 - Government of Grenada

Performance of the Cocoa Subsector and Assessment and Impact of Supporting Statutory Association
...continued
Figure
11
GCA endeavored to achieve its strategic
objectives for the period which included:
unswerving negotiations with traders to
ensure cocoa bean producers received the
best prices possible, amalgamation with
the other main commodity producer
organization on the island i.e. the GCNA,
the establishment of a chocolate plant,
rehabilitation of abandoned cocoa fields,
the implementation of a Farmer Incentive
Credit Programme and activities that
would stimulate increased production in
cocoa bean.
Unattractive prices in combination with the
devastation of Hurricanes Ivan and Emily
contributed to an apparent stagnation in the
cocoa industry in recent years. Production
declined by approximately 100,000 pounds
for two successive years following the passage
of Hurricane Ivan. The main challenges
which affected productivity for cocoa
farmers were the high cost of inputs and
labour and low productivity. The industry
also endured limited reinvestments, lack
of research and development activities,
dwindling cocoa acreage, advanced age
of farmers and competition with other
commodities for land space.
Number
of Cocoa
Producers
The implementation of some of the GCA’s
strategic objectives, specifically, the initiation
of the provisional credit programme,
improvement in extension services and
increase in prices paid to farmers (from
$3.12 to $3.34/lbs) contributed significantly
to a sixty-two percent (62%) increase in
production in 2008. Production increased
from 484,000 pounds in the previous year
to 783,000 pounds during the year under
review and the acreage remained 3200
acres. However, increase production is
vital to meet the rising market demands.
Further stimulation in production
is dependent on the establishment
of a Rehabilitation Programme, the
strengthening of propagation activities,
focus on pest and disease management,
more input programmes and a strategic
focus on achieving premium prices from
international markets, that is the use of a
market led strategy rather than production
led strategy.
Grenada Cocoa Association achieved most
of its strategic objectives including success
in its negotiations with international
markets for higher prices. Unfortunately,
the merger of the GCA and GCNA made
limited progress whilst the establishment of
the Chocolate Plant has not materialized.
Comparison of Cocoa Bean Producers 2003-2008
900
800
700
600
500
400
300
200
100
0
$8,000
$8,000
$1,100
$1,100
$2,200
$2,500
2003 2004 2005 2006 2007 2008
Year
Human Resource Capacity
Twenty five (25) employees were engaged
with the Grenada Cocoa Association.
Generally, the human resource capacity can
be considered limited even though capacity
for cocoa Agronomy was adequate. It is
anticipated that there would be a greater
demand for recruitment and specialized
training in the near future as the Association
endeavours to expand its business operation
to manufacturing chocolate. The increase
in demand for the cocoa bean would also
directly affect staff allocation.
Few training opportunities were available
in 2008, however, for efficient operations
and high quality service, it is imperative
that employees are trained. Training in
marketing, chocolate making, the use of
industrial equipment and international
standards would be essential to support the
chocolate manufacture component of the
business in the near future.
Agriculture Knowledge
Impartation
Extension services and low cost inputs were
provided to cocoa producers during the
year under review. Information on plant
protection practices were disseminated
through the extension services. Soil
conservation methods were encouraged
including the use of organic manure to
improve soil structure and the planting
of shade trees to mimic natural cocoa
environment. Additionally, the promotion
of agronomical practices as a substitute
for pesticides usage can be accredited for
the profitable increase in production. The
production of 0.17% in off-grade cocoa
was indicative of this effort.
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