Sunday, 30 December 2012

Transforming the Caribbean Fine Cocoa Sector - TRINIDAD

To effect a major transformation there is a need to change the vocabulary and thus the conversation

Repeatedly local people say the main issue contributing to the decline of the fine cocoa sector in Trinidad is a lack of labour - people unwilling to work in the cocoa fields.
But the real issue is that the entire Industry & Business Model around which the Cocoa Sector was built - over 200 years ago - is, unsurprisingly, obsolete. And no-one owned the responsibility to move the cocoa sector - commercially - along with the times and the externalities that have evolved in that time frame.

Trinidad now claims the parameter metrics to be a "First World" country with salaries and cost of living to match. In parallel, considerable urban migration has occurred and much of what is left behind in the countryside is not sustainable in this country's new economic reality.
No, the REAL issues facing Trinidad's Cocoa Sector (and agriculture in general) are about PRODUCTIVITY, VALUE-ADD and, resultantly, WAGE UNCOMPETITIVENESS. And in the same way the country has been industrialized  - thanks to oil and gas - so too should the agricultural sector move into the modern 21st Century. Through incorporating technology into farming practices, extracting value-add through more agro-processing and via higher incomes from quality assurance, branding and specialization.

What the Trinidad Cocoa sector has still going for it is a wonderful legacy of world class quality fine cocoa beans, top cocoa genetic research, accompanying cocoa gene bank and people still passionate for COCOA.  There is cheap power available in the country and a dynamic entrepreneurial chocolatier group who are making their own way in converting cocoa beans grown locally into value-add drinks and foods.  
The challenge remains in the countryside where the average age of the cocoa farmer now probably exceeds 60 years old. In order for them to pay third parties the going wage to tend to their land and trees - bush clearing, pruning, harvesting etc. - they have to make a lot more money from the ENTIRE associated commercial activity.

Ideally, and a quick solution, would be to get a higher price for their cocoa beans harvested. This relies to some extent on the main buyer in the domestic marketplace - the Coffee and Cocoa Industry Board. There have been some positive changes here in recent times.
But the cocoa farmer should also ensure that the yield the tree per tree is maximized through good land and crop management - planting high yielding trees, pruning them, fertilizing them, reaping properly, minimizing losses, ensuring optimal pollination etc. The solution here is to have teams of workers specialized in these skills and equipped with modern tools and vehicles to execute the work quickly and efficiently. Automation of Labour and Specialization of Labour.  

The farmer could additionally increase the financial returns from their farm by partaking in the processing of the beans themselves into value-add products - either as a collective of growers or some other arrangement with the end-processors. This solution moves the farmer from subsistence commodity growing to an aspect of an entrepreneurial agro-processor.  
Other income earning opportunities include incorporating tourism related activities and environmental related actions into the cocoa farming venture.  

The obvious question though is why with, Trinidad's access to cheap energy, hasn't there been industrial type transformation of the cocoa agricultural activity? All this could be about to change in 2013 with the proposal to build a Chocolate Factory in the country by the CFCF.
The Caribbean Fine Cocoa Forum (CFCF) is the leading organisation in the Caribbean innovating and implementing novel practical solutions to transform the fine cocoa sector into a sustainable entity.   

CFCF, with the support from Compete Caribbean Programme - funded by CIDA and DfID and managed by the Inter-American Development Bank - has submitted plans to mobilize stakeholders to build and operate this facility. This multi-purpose facility, centred around a mini-factory, will provide a game changing catalyst to the entire Caribbean cocoa sector.  

We eagerly await the development and implementation of these plans - see news and projects on the CFCF website at www.caribbeanfinecocoaforum.org.     

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