At least 80 per cent of the goods on the shelves of our supermarkets are imported. And this has contributed to the rise in our country's food import bill from $2 billion in 2006 to a staggering $4 billion. Food Production Minister Vasant Bharath plans to reduce this figure by half in 2015. The task is daunting but Bharath said it has to be done if we want to see cheaper food prices, a reduction in food inflation, obtain food security and a slash in our growing food import bill.
On Monday, Bharath unveiled a National Food Production Action Plan 2012- 2015 in Chaguaramas. Bharath said there was a growing concern and an alarm by Governments concerning food security, rising food prices, food price volatility, declining production levels due to climate change, rising demand because of economic and population growth in developing countries and pressure on food supplies due to the increased demand for biofuels.
The increase in global food prices has the potential to adversely impact local inflation, Bharath said, due to our large food import bill which in 2010 amounted to 10.6 per cent of total imports.
A tight rope
Bharath said T&T was on a tight rope as far as food security is concerned. The Action Plan-which is premised on the pursuit of increasing the country's food security-has targeted the ramping up of production of staples, vegetables, legumes and pulses, fruits, livestock and aquaculture. An increase in rice, cassava, sweet potatoes, dasheen eddoes and breadfruit are also on the cards.
It is against this background, Bharath said, that a target has been set to reduce imported staples by values ranging between 25 to 100 per cent over the next five years. Between 2005 to 2009, Bharath explained, the import of staples averaged 236,700 tonnes to a value of $694 million (TT) annually. These figures represent 20 per cent by value and 29 per cent by quantity of our total food import bill.
T&T produces only eight per cent of the required staples, which Bharath said was considered to be highly unacceptable. Bharath said a target has been set to reduce imported staples by values ranging between 25 to 100 per cent over the next five years. Last month the Central Bank indicated that headline inflation of retail prices rose to 6.8 per cent in January 2012 from 5.3 per cent in December 2011.
The continuing rise in food prices was the main reason behind the pick up in the headline inflation rate. The increase in the food index was led mainly by fruits, vegetables and fish, which rose by 62.4 per cent, 7.5 per cent and 9.1 per cent, respectively, in the 12 months to January 2012. Bharath said food inflation has been occurring mainly due to the rise in wheat, corn and soya on the international markets.
"If I can substitute a lot of these imports with locally grown produce it will reduce the cost of food." Bharath said at no time T&T should have gluts and shortages of crops. "If we agree to take all commodities from farmers, which is what we want to do, there will be no reason for them not to look at the agriculture sector as a business."
Beehive of businessmen
Bharath said what will drive the agriculture industry are people who have been looking on, mainly entrepreneurs who want to invest and make money. "We already have a lot of people lined up...business people who are looking on." At least 30,000 acres of private and State lands, Bharath said can be allocated to take agriculture forward.
Already, 3,000 acres of land have been identified for rice cultivation, which will be announced shortly. The plan, Bharath said, can be achieved but needed aggressive work year-to-year. "This will put pressure and burden us but it has to be realised." Having undertaken several tree planting exercises in primary schools, Bharath said, his aim was to get young children on board. "If we could excite the young ones in agriculture half the battle would have been won."
NFFA-a step in the right direction
President of the National Foodcrop Terrence Haywood said while we have been seen a gradual increase in food prices over the years, he attributed this to high cost of imputs, mainly imported chemicals and fertilisers. Government needs to address this situation, he added. Haywood said farmers needed to form a co-operative to import their own chemicals and not rely on chemical shops.
"If we import our own chemicals obviously this will reduce the cost of food." Haywood said demand and supply also contribute to food inflation. "We have to come up with a plan to ensure that farmers plant not the same crops but a variety year round. "When demand outweighs supply this leads to skyrocketing food prices." Haywood said the action plan was a step in the right direction, one which he endorses.
Production targets commodities
Current Consumption / Current Production/ By 2015 (tonnes)
Rice 33,636 2,273 7,500
Citrus 32,271 1,537 1,614
Pigeon peas 802 130 160
Sweet potato 7,000 3,150 13,090
Tilapia 112 22 270
Cassava 4,500 5,454 18,182
Pineapple 462 462 700
Paw paw 1,716 1,716 3,432
Dairy Cattle 75,864 4,300 5,650
Bodi 928 970 1,100
Hot peppers 423 710 1,800
Pumpkin 485 1,790 1,950
Melongene 436 540 586
Ochro 921 940 1,000
Date from Central Statistical Office
Retail prices Wgt 2005 2006 2007 2008 2009
Dasheen 454g 4.59 4.95 4.87 6.00 4.92
Tomatoes 454g 6.52 6.29 6.54 8.01 7.11
Pumpkin 454g 2.15 1.96 2.01 2.59 2.51
Melongene 454g 3.22 3.47 3.17 4.87 4.27
Cabbage 454g 4.20 4.29 4.40 5.12 4.83
Cucumber 454g 2.42 2.79 3.47 4.14 3.71
Lettuce (head) 4.07 4.41 4.86 5.23 5.54
Carrots 454g 4.88 4.97 5.24 5.46 4.92
Callaloo bush (bund) 3.32 3.86 4.33 4.49 5.00
Yam 454g 4.60 3.76 4.32 5.34 5.49
Dasheen 454g 4.59 4.95 4.87 6.00 4.92
Chive (with thyme) 2.18 1.58 2.05 2.38 2.72
Rice 2kg 12.06 12.15 12.42 19.28 20.93
Live chicken 454g 4.21 4.59 5.42 5.93 6.05
Split peas 454g 1.98 2.17 2.79 4.00 4.08
Orange (large) 1.03 1.10 1.45 1.32 1.67
