Hence the programme was developed with the aim being to improve the working relationship between farmers and the hotel sector via the following objectives: To improve the quality of produce being sold to the sector to diversify the types of produce being purchased locally by the industry Hence the arrangement by the hotel chain to supply the seeds to the farmers on a crop-lien basis and the farmers making the necessary repayment at the end of the cropping season IICA and CEPAT - Continuing Education Program in Agricultural Technology, UWI gave support to the programme; and IICA continues to do so in the area of the development of a memorandum of understanding and brokering communication between the farmers and the hotels. The project began therefore in Mason River / Douglas Castle –St. Ann with only ten (10) farmers supplying only two (2) hotels, but now operates in five (5) locations island-wide: St. James, Hanover, St. Mary, St. Elizabeth, and St. Ann. A total of eighty- (80) farmers are producing the exotic crops on twelve (12) hectares of land. This expansion was made to facilitate production of the exotic crops and supply of crops traditional to the areas to all the hotels of the chain located in Negril, Montego Bay and Ocho Rios, i.e. eight (8) hotels in total. The partnership is seen as advantageous to both entities, i.e. the farmer and the hotel sector. Hence the increase in the investment by the hotel by 300% over the three- year period and the expansion of the farmer groups. Farmers have seen the venture as a good one as it acts as a guaranteed market source for specific crops. Earnings have also been good as sales moved from $60,000.00 in the first year to $ 3.3 million in 1999.> However it has not been “smooth sailing” over the three-year period. Hence the following problems and some initiatives that have taken place.PROBLEMS facing the farmers can be divided into two aspects problems relating to production, and 1a. Lack of water was and is a major constraining factor to production; hence some crops failed while others exhibited poor quality. This problem also prevented staggering of production resulting in erratic supply to the hotels. Corrections have and are being made in this area via contribution of water tanks by Government programmes (DFCP) and the hotel sector, and presently funding will be provided under the Eastern Jamaica Agricultural Support Programme (EJASP) to provide micro irrigation systems in St. Mary. 1b. Lack of proper packaging material; e.g. crates which the farmer groups do not possess as their investment base is still low In regards to the sale of the produce the inconsistency of the supply orders was a problem as the farmers could not plan their level of production and at times production exceeded the order resulting in the scrambling to identify new market sources. At present under the new MOU, RADA is playing an active part in ensuring that the communication lines are active and the hotels are being informed two weeks before the delivery date as to what crops and the volumes that are available. Hence the hotel will be guaranteed it supply and the farmer is aware for what volume he or she needs to seek an alternative market. In addition, a list of types, volumes and delivery prices of produce was agreed on by individual hotels and the respective farmer groups. This corresponded to a monthly supply order. Period of payment is a sore point, as although payment should be made at 7 - 14 days intervals, the time period is sometimes much longer. As a result, the farmers are disgruntled as their cash flow is limited and therefore results in financial difficulties on the farm. This is being improved. Problems expressed by the hotels are Inconsistency in supply and quality as a result of adverse weather conditions and production problems In the past, request for increase in delivery price as product availability decreases; and Poor packaging materials and transportation mechanism being used by the farmers. However despite the problems mentioned, in order to ensure the success of the project, the Ministry of Agriculture under the Domestic Food Crop Programme, continues to assist with irrigation facilities and in the area of land preparation. Farmer training in Group Farming and Marketing is being carried out under a short-term consultancy via RADA in the areas of Cooperative Management, Group Dynamics, Record Keeping, Basic Accounting techniques and Strategic Marketing – “Producing for Specialized Markets”. This training is being conducted as a means of strengthening the group approach and to develop stronger links with the buyer. Training also takes place in Production practices and Post harvest management. RADA is also developing printed quality standard leaflets for eight (8) exotic crops – cantaloupe, sweet pepper, cauliflower, broccoli, yellow squash, zucchini, tomato (table varieties), sweet corn for distribution to the farmers to ensure consistency in quality of produce delivered. In closing, it can therefore be seen that all parties, Government, the hotel sector, the farmers and NGOs are working hard in tandem to make such ventures a success. I think that this programme thus started is just a tip of the iceburg as we are breaking into a different culture by training our farmers to work together and become managers of their own businesses. The small farmers are just beginning to see their farming enterprise as a business and are developing the skills needed to run the latter on a profitable basis. For More Information on This Project Contact:
A programme of farmers producing for the Hotel sector began in December 1996 after a concern was raised by the sector during a Post harvest Technology training, on the production of good quality produce for the market. It was then identified that farmers in the Rio Minho Valley of upper Clarendon / St. Ann were trained in Improved Post harvest Management practices under an FAO/ GOJ project and hence could supply the market demand.
To develop a proper pricing arrangement between the two entities
To improve the communication links between the two entities.
problems relating to sale of the produce.
Communication between the farmer-marketing representative and the hotel purchasing managers was unacceptable resulting in the receival of orders of small volumes which could not cover the transportation costs. Hence the reluctance of the farmers to remain in the programme.
Mr. Byron Henry
Marketing Manager
Hope Gardens
9771158-63