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Trinidad and Tobago Market Study

This report summarizes the findings of a market study conducted in Trinidad and Tobago to analyze demand for local agricultural products from key buyer groups. Interviews were conducted with supermarkets, restaurants, hotels, caterers, exporters, and agro-processors. The study identified ten commodities with good potential demand: sweet potatoes, watermelon, papaya, hot peppers, cucumbers, cabbage, lettuce, pimento, tomatoes, and sweet peppers. The report provides an analysis of each buyer group and recommendations on how to link farmers to markets for these products.

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0% found this document useful (0 votes)
272 views75 pages

Trinidad and Tobago Market Study

This report summarizes the findings of a market study conducted in Trinidad and Tobago to analyze demand for local agricultural products from key buyer groups. Interviews were conducted with supermarkets, restaurants, hotels, caterers, exporters, and agro-processors. The study identified ten commodities with good potential demand: sweet potatoes, watermelon, papaya, hot peppers, cucumbers, cabbage, lettuce, pimento, tomatoes, and sweet peppers. The report provides an analysis of each buyer group and recommendations on how to link farmers to markets for these products.

Uploaded by

Keriann L
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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You are on page 1/ 75

Promotion of Regional Opportunities for Produce

Through Enterprises and Linkages (PROPEL)

MARKET STUDY - TRINIDAD & TOBAGO


CHF CARIBBEAN COMMISIONED REPORT

Final Report Submitted by:


Arnold Babwah & Associates

January 9, 2015

The Promotion of Regional Opportunities for Produce through Enterprises and Linkages (PROPEL) project is implemented by the Canadian Hunger
Foundation (CHF) with funding support from the Government of Canada through the Department of Foreign Affairs, Trade and Development
(DFATD).
Table of Contents
1 Introduction ........................................................................................................................1
2 Research Methodology ......................................................................................................1
3 Buyer Segment Analysis ....................................................................................................2
3.1 Supermarket Segment .................................................................................................2
3.2 Restaurant Segment ....................................................................................................6
3.3 Hotel Segment ...........................................................................................................10
3.4 Catering Segment......................................................................................................14
3.5 Exporters Segment ...................................................................................................18
3.6 Agro-processors Segment ............................................................................................ 20
4 Criteria/Framework for Product Analysis ...........................................................................27
4.1 Recommended Products For Future Analysis ............................................................28
5 Summary ..........................................................................................................................29
6 Potential By Product .........................................................................................................29
6.1 General Survey Information .........................................................................................30
6.2 Product Potential – Sweet Potatoes ............................................................................35
6.3 Product Potential – Watermelon ..................................................................................37
6.4 Product Potential – Papaya .........................................................................................38
6.5 Product Potential – Hot Pepper ....................................................................................40
6.6 Product Potential – Cucumber .....................................................................................42
6.7 Product Potential – Cabbage .......................................................................................... 44
6.8 Product Potential – Lettuce ..........................................................................................46
6.9 Product Potential – Pimento ........................................................................................48
6.10 Product Potential – Tomatoes ......................................................................................49
6.11 Product Potential – Sweet Peppers ..............................................................................51
7 Environmental Challenges & Opportunities .......................................................................53
8 Recommendations For Partners and Products ..................................................................55
9 Appendix One - Survey Instruments Utilized for the Market Study .....................................56
10 Appendix Two- List of Survey Participants ........................................................................67

PROPEL Trinidad and Tobago Market Study ii


List of Tables

Table 1: Summary Matrix Supermarket Segment


Table 2: Main Fresh Vegetables Purchased Weekly By Supermarkets Surveyed
Table 3: Main Fresh Fruit Purchased By Supermarkets Surveyed
Table 4: Fresh Produce With Substantial Demand By Supermarkets But Not Easily
Available
Table 5: Summary Matrix Restaurant Segment
Table 6: Main Fresh Produce Purchased By Restaurants Surveyed
Table 7: Summary Matrix Hotel Segment
Table 8: Main Fresh Produce Purchased Weekly By Hotels Surveyed
Table 9: Summary Matrix Catering Segment
Table 10: Main Fresh Vegetables Purchased Weekly By The Food Caterers Surveyed
Table 11: Main Fresh Fruits Purchased Weekly By The Food Caterers Surveyed
Table 12: Exporting Profile By Product And Market Source Namdevco Exporting Guide 2013
Table 13: Summary Matrix Exporter Segment
Table 14: Main Fresh Produce Purchased Weekly By Exporters Surveyed
Table 15: Agro-Processors Summary Matrix
Table 16: Main Fresh Vegetables Purchased Weekly By Agro - Processors Surveyed
Table 17: Summary Matrix On Wholesaler Segment
Table 18: Main Fresh Vegetables Purchased Weekly By Wholesalers And Distributors
Surveyed
Table 19: Summary Matrix Of The Produce In Each Commodity Group With Best Potential
From Each Buyer Segment

PROPEL Trinidad and Tobago Market Study iii


List of Figures

Figure 1 - Weekly Demand For Produce By Restaurants


Figure 2 - Weekly Demand For Produce By Hotels
Figure 3 - Weekly Demand For Fruits By Hotels
Figure 4 - Weekly Demand For Fruits By Caterers
Figure 5 - Weekly Demand For Fruits By Exporters
Figure 6 - Weekly Demand For Fruits By Agro-Processors
Figure 7 - Gender Composition Of Farmers Who Participated In The Survey
Figure 8 - Education Level Of Farmers Who Participated In The Survey
Figure 9 - Experience (Years) Of Farmers Who Participated In The Survey
Figure 10 - Cultivation Technology Utilized By Farmers Surveyed
Figure 11 - Comparison Of Local And Imported Sweet Potato By Quantity Between 2011
And 2013 At The Norris Deonarine Wholesale Market
Figure 12 - Comparison Of Prices For Local & Imported Sweet Potato Between 2011 And
2013 At The Norris Deonarine Wholesale Market
Figure 13 - Quantity Of Watermelon Sold Between 2007 And 2013 At The Norris
Deonarine Wholesale Market
Figure 14 - Quantity Of Papaya Sold At The Norris Deonarine Wholesale
Market ('000 Kg)
Figure 15 - Hot Peppers Harvested In Trinidad & Tobago Between 2007-2012
Figure 16 - Cucumbers Harvested In Trinidad & Tobago Between 2007- 2012
Figure 17 - Quantity of Local Cabbage Versus Imported Cabbage Sold at the Norris
Deonarine Wholesale Market Between 2010 and 2012
Figure 18 - Price of Local Cabbage Versus Imported Cabbage Sold at the Norris
Deonarine Wholesale Market Between 2010 and 2013
Figure 19 - Production of Lettuce Between 2007-2012 in Trinidad and Tobago
Figure 20 - Production of Tomatoes Between 2007-2012 in Trinidad and Tobago
Figure 21 - Quantity Of Sweet Pepper Sold Between 2010 and 2013 At The Norris
Deonarine Wholesale Market
Figure 22 - Sweet Peppers Harvested In Trinidad & Tobago Between 2007-2012

PROPEL Trinidad and Tobago Market Study iv


Glossary

Bdl - Bundle
CARDI - Caribbean Agricultural Research & Development Institute
CARICOM - Caribbean Community
CHF - Canadian Hunger Foundation
CSO - Central Statistical
DFATD - Department of Foreign Affairs, Trade and Development
Office EU - European Union
Ha - Hectares
HVB - High Value Buyers
HVM - High Value Market
MALMR - Ministry of Land and Marine Resources
N/A - Not Available
NAMDEVCO - National Agricultural Marketing and Development Company
NAMIS - National Agricultural Market Information System
PROPEL - Promotion of Regional Opportunities for Produce through Enterprises and
Linkages
T&T - Trinidad and Tobago
USDA - United States Department of Agriculture

PROPEL Trinidad and Tobago Market Study v


1 INTRODUCTION

This report presents the empirical findings and analysis of the PROPEL Market Study
consultancy assignment for the island of Trinidad and Tobago (T&T). As indicated in the
Terms of Reference (TOR), the contents of this deliverable includes a summary of the
demand by the selected buyers segmented by type of buyer and product, with
recommendations of which products to investigate and their potential and recommendations to
secure trading linkages between farmers and buyers. The synthesis of all the knowledge
materials revealed that there were ten commodities recommended for further product analysis in
stage three of the consultancy assignment. These ten (10) products are tomato, lettuce, sweet
pepper, sweet potato, hot pepper, pimento, watermelon, cucumber, cabbage and papaya.

2 RESEARCH METHODOLOGY

The consultancy assignment is divided into three stages, as follows:

1. Stage One - Map and Selection of Buyers


2. Stage 2- Demand by High Value Market (HVM) Buyers
3. Stage 3- Product Analysis

In Stage One, the research approach focused on conducting a literature review of relevant
studies such as: a Report To Identify Market Opportunities For Protected Agriculture
Vegetables and Herbs (CARDI 2011); The National Food Production Action Plan 2012-2015 by
the Ministry of Food Production, Land and Marine Affairs; and Market Profiles on Tomato,
Cucumber and Sweet Pepper (CARDI, 2013), to ground the research process and to glean
information to craft a relevant research design plan. The outcome of this process was a
segmentation profile of the HVM Buyers into several groups – Supermarkets, Restaurants,
Hotels, Caterers, Agro-processors, Exporters and Wholesaler/Distributors.

In Stage Two the research approach focused on an empirical component with the use of a
survey instrument to evaluate the demand of the HVM Buyers. This questionnaire was
developed with the following themes:

1. Identification Characteristics to create a profile to archive the project database.


This included contact information and type of business activity.
2. General Supply Information to determine patterns in the supplier relationships
including import/local production ratios, collection zones, contractual arrangements
and purchasing indices.
3. Purchasing Patterns, Product & Volume to determine preference, quantity and
frequency of purchase on specific product lines – tropical fruits, vegetables and root
crops.
4. Future Demand Requirements to determine future consumption patterns for new
products and trends in the market place.

The questionnaire utilised close ended questions in order to easily solicit answers for the
questions provided and to reduce the complexity of data analysis. In some cases, open
discussions were also held with interviewees, which provided additional insights.

PROPEL Trinidad and Tobago Market Study 1


The selection process for the survey of buyers included the largest business (based on volume
purchases) and other well established businesses in each buyer segment. A few of the
businesses initially listed, were not receptive and had to be replaced by other well established
businesses.

However, the largest business in each buyer segment always co-operated. This eventually
resulted in a sample size of thirty-eight (38) businesses. Informal discussions were held with two
(2) mini-marts; one (1) agro processor; and two (2) distributors, for additional insights on their
buying habits. In addition, discussions were held with two (2) national stakeholders, the
Supermarket Association of Trinidad & Tobago and the National Agricultural Marketing and
Development Company (NAMDEVCO). The latter is a state owned organization that assists
farmers to market their fresh produce; collects wholesale prices from the wholesale markets; and
also undertakes an assessment of fresh produce farms for certification, which is accepted by
other CARICOM countries. The duration of the survey was from November 8th, 2014 to
December 2nd, 2014.

An inductive approach was utilized for data analysis, which involved beginning with specific
observations and measurers; identifying patterns and regularities; and then developing
general recommendations. The survey data, for purchase volumes, were recorded on an excel
database and subsequently relevant data was extracted and incorporated into tables within
the data analysis section of the report. The analytical framework disassembled the four
sections of the questionnaire and these sections provided the tangible avenue to discuss
research findings/implications and form the basis of the go-forward strategy.

Stage Three focused on an empirical research process to undertake the product potential
analysis. A questionnaire was developed to generate a production profile of the farmers who
were currently cultivating one or more of the ten products under study. The data outputs from
the survey instrument include: gender configurations; education levels; number of years in
farming; location; area under production; primary and secondary crop cycle flows; target
markets; farming practices; production challenges; and supply capability.

The questionnaire used close ended questions, in order to easily solicit answers for the questions
provided and to reduce the complexity of data analysis. In some cases, open discussions were
also held with interviewees which provided additional insights. A farmer listing was sourced from
NAMDEVCO and a random sampling method employed to acquire survey participants. The
farmers were sourced from NAMDEVCO’s database, since this listing has a high proportion of
certified farmers, who would have the latent potential to serve the HVM segments. The duration
of the survey was from December 15th, 2014 to January 2nd, 2015 and a total of twenty-six (26)
respondents participated in the survey.

3 BUYER SEGMENT ANALYSIS

3.1 Supermarket Segment


The supermarket sector in Trinidad and Tobago is well developed and comprises of: a ) large
chains that are geographically dispersed with economies of scale, e.g. Massy Stores, Tru Valu,
Xtra Foods and JTA Supermarket; b ) medium s i z e d establishments with 1-2 locations, e.g.
Penny Savers Supermarket, Low Cost Supermarket and Maharaj Westside Supermarket;
a n d c ) small/micro mini-marts that serve villages with a “Mom & Pop” business model.
The country has one known online supplier (Market Movers) of supermarket items, which was
included in the survey.
PROPEL Trinidad and Tobago Market Study 2
Customers demand for one stop shopping has resulted in the growth of fresh produce sales
in supermarkets. All of the major chains maintain a large area dedicated to fresh produce
sales. The representative body for the sector is the Supermarket Association of Trinidad
and Tobago. This association currently has a membership of 190 and the head of the
association estimates that there are currently 300 supermarkets in T&T. A summary matrix of
the data and key findings from the supermarket segment is illustrated in Table 1 as follows:

Table 1: Summary Matrix Supermarket Segment

Supermarket Source of Purchase Approximate Payment Most Are


% Grown Terms Important Contracts
Locally Purchasing Offered To
Criteria Farmers?
Massy Stores  Direct From Farmers 50% 1 week 1st quality No – farmers
(18 Retail 2nd price are not reliable
 Distributor
Outlets) 3rd consistency business
4th delivery persons

Tru-Valu  Direct From Farmers 60% 2 weeks 1st quality No-farmers sell
2nd price
(Trincity  Distributors elsewhere
Branch) 3rd consistency when prices
4th delivery increase

JTA  Direct From Farmers 50% 1 week 1st quality* No- freedom to
2nd price choose based
Supermarket (4  Distributors
branches) 3rd consistency on quality &
4th delivery price

Low Cost  From Wholesale 50% cash 1st quality No- freedom to
Supermarket Market 2nd price choose based
 Direct From Farmers 3rd consistency on quality &
price

Xtra Foods  Direct From Farmers 80% 1 month 1st quality No- freedom to
2nd price choose based
 Distributors
3rd consistency on quality &
4th delivery price

Maharaj  From Wholesale 70% 1 month 1st quality No – Farmers


Westside Market 2nd price do not keep
 Direct From Farmers 3rd consistency promises
4th delivery
Penny Savers  Direct From Farmers 50% 1 month 1st quality No – prefer to
2nd price
(Tobago)  Distributors identify reliable
3rd consistency farmers
4th delivery
Market Movers  From Wholesale 80% cash 1st quality Yes- to keep
(Online Market 2nd consistency reliable
supermarket)  Distributors suppliers
 Direct From Farmers
*Quality refers to freshness, consistency in shape, color and free from dirt, pests and chemical residue

The significant learning points from the above are as follows:


1. All of the respondents/supermarkets (100%) surveyed are receptive to being approached
by new farmers to source produce, since this is viewed as an opportunity to provide an
avenue for wider choice options, with respect to quality, price and consistent supply.
PROPEL Trinidad and Tobago Market Study 3
2. Three quarters (75%) of the supermarket respondents indicated, that delivery of the fresh
produce to their retail outlet is an important purchasing criterion. While supermarkets
agree that there are high fluctuations in the price of fresh produce, they also prefer
suppliers, who give two to four weeks advance notice, before increasing their prices.
3. Supermarkets purchase fresh produce on a weekly basis, which provides a more reliable
source of sustainable income for producers/farmers.
4. All of the respondents/supermarkets (100%) changed some of their fresh produce
suppliers over the past 24 months. Sixty-two percent (62%) changed a small number,
while 38% changed a high number of their suppliers. The main reasons for these
changes were, one or more of the following: poor quality; higher prices; and/or
inconsistent supply. This suggests that the supplier relationships are not static and there
is room for new farmers to serve supermarkets.
5. There was consensus, among the supermarkets, that the current trends in the market are
that customers are becoming much more health conscious and appreciate more
sustainably and/or organically grown fresh produce. There is also an increasing
demand for convenience items, which requires light processing/pre-packaging and
which can provide opportunities for upstream value chain linkages in the sector.

The following Tables 2 and 3 represent the volumes and the average price paid by supermarkets
for their major vegetables and fruit. A comparison is also made, between the prices that the
farmers obtain by selling directly to supermarkets, as opposed to selling at the wholesale
market.
Table 2: Main Fresh Vegetables Purchased Weekly By Supermarkets Surveyed
No. Fresh Produce Average Average Average Average Price Benefit in
Quantity Price Paid Wholesale Benefit By TT$ (Col 3
Purchas by Price For Selling by Col 6 e.g.
ed (kg) Supermark 2013 (TT$) Directly To Tomato
Weekly et (TT$) per kg Supermarkets = 26,134 kg
per kg source : by $3.93)
1. Tomato 26,134 kg 18.70 NAMDEVCO 14.77 $3.93 or 27% 102,707 (1st)
2. Lettuce 24,618 hd 5.50 4.22 $1.28 or 30% 31,511 (5th)
3. Cucumber 21,951 kg / head
10.00 / head7.13 $2.87 or 40% 62,999 (2nd)
4. Cabbage 18,213 kg 11.00 8.45 $2.55or 30% 46,443 (3rd)
5. Plantain 13,316 kg 12.98 10.14 $2.84 or 28% 37,817 (4th)
6. Sweet Pepper 8,016 kg 18.00 15.12 $2.88 or 19% 23,086 (6th)
7. Sweet Potatoes 6,645 kg 10.00 7.72 $2.28 or 30% 15,150 (8th)
8. Cauliflower 6,502 hd 15.00 Not Available N/A N/A
(N/A)
9. Pimento 25,730 0.35 0.27ea $0.08 or 30% 2,058(13th)
each
pimentos
10. Hot Peppers 44,808 0.45ea 0.35ea $0.10 or 29% 4,480 (12th)
hot
11. Pumpkin pepper
23,829 kg 4.00 3.24 $0.76 or 23% 18,110 (7th)
12. Patchoi s
4,957 bdl 7.00 bundle 5.48/ bundle $1.52 or 28% 7,535 (10th)
13. Ochro 22,500 0.30 / ochro 0.25 / ochro $0.05 or 20% 1,125 (14th)
ochroes
14. Shadon beni 5,150 bdl 6.00 / bundle N/A N/A N/A
15. Eggplant 2,647 kg 11.00 8.00 $3.00 or 27% 7,941 (9th)
16. Caraille 2,267 kg 10.00 7.38 $2.62 or 36% 5,939 (11th)
17. Eddoes 2,530 kg 16.00 13.42 N/A N/A
18. Chive 3,345 bdl 6.00 N/A N/A N/A
*Quality refers to freshness, consistency in shape, color and free from dirt, insects and chemical residue.

PROPEL Trinidad and Tobago Market Study 4


Table 3: Main Fresh Fruit Purchased By Supermarkets Surveyed

No. Fresh Produce Average Average Average Average Price Benefit in TT$
Quantity Price Paid Wholesale Benefit By (Col 3 by Col 6)
Purchase by Price For 2013 Selling Directly
d Weekly Supermarket (TT$) per kg To
(kg) (TT$) per kg source : Supermarkets
NAMDEVCO
1. Watermelon 20,928 kg 8.70 5.74 $2.96 or 52% 61,946 (1st)
2. Papaya 7,991kg 11.00 7.75 $3.25 or 42% 25,970 (2nd)
3. Bananas 8,732 kg 10.00 8.81 $1.19 or 14% 10,391 (4th)
imported from
CARICOM
Countries
4. Pineapple 3,818 kg 14.00 10.96 $3.04 or 28% 11,606 (3rd)
5. Orange 7,150 2.00 per 1.66 $0.34 or 20% 2,431 (6th)
oranges orange
6. Lime (medium) 24,067 1.50 per 1.07 $0.43 or 40% 10,349 (5th)
limes lime
7. Grapefruit 700 2.00 per N/A N/A N/A
grapefruits grapefruit

The significant learning points from the above are as follows:


1. There is a clear opportunity for farmers to obtain higher prices for their fresh produce by
selling directly to the supermarkets and bypassing wholesalers and distributors.
2. In order to serve this market segment successfully, farmers must understand the
purchasing criteria used by supermarkets and adhere to the same. Simple business
etiquette; ability to conduct basic market research among supermarkets; and preparing
a cover letter and a price list, would also be advantageous.
3. Supermarkets determine acceptable prices by mainly comparing prices from their
different suppliers, and occasionally, by browsing the website of NAMDEVO.
4. The commodities listed in the aforementioned tables; do not include vegetables and fruit
imported from non CARICOM countries, such as broccoli, onions, garlic, apples and
grapes. There have been attempts to grow broccoli and onions in T&T, but with minimal
success so far.

The research process, also revealed tantalizing, prospective trends and opportunities for produce
and fruits in high demand by the supermarket segment, which are not easily available.

This information is illustrated in Table 4 as follows:

PROPEL Trinidad and Tobago Market Study 5


Table 4: Fresh Produce With Substantial Demand By Supermarkets But Not Easily Available

No Fresh Produce Approximate Additional


. Weekly Demand By
Supermarkets Surveyed
1. Locally grown Cantaloupe 2,000 kg
2. Julie Mangoes 1,200 mangoes
3. Starch Mangoes 4,000 mangoes
4. Portugal 1,500 portugals
5. Sapodilla 500 sapodillas
6. Soursop 1,000 kg
7. Lemons (rough skin) variety 5,000 lemons
8. Avocado 5,000 avocadoes
9. Breadfruit N/A

3.2 Restaurant Segment

A study, undertaken by Invest Trinidad and Tobago in 2013, states that the thriving food and
beverage sector in T&T supports 11,000 jobs and represents the largest non-energy
manufacturing sector. The study further suggests that in spite of the global economic crisis, the
fast food and quick service restaurant sub sector, consisting of international franchises and
domestic businesses, has remained strong, because they offer convenience and value for
money.

Likewise, full service, owner-operated restaurants have maintained a steady growth. This growth
is being driven by an increase in disposable incomes and a demand by consumers for greater
choice. Strong patronage and a culture of fine dining have further boosted this sector.

The Minister of Trade and Industry, The Honorable Stephen Cadiz in July 2012 stated that T&T
has a vibrant food service and retail food sector. Growth in this sector is driven by an expanding
population; more sophisticated consumer tastes; and changing demographics. A report compiled
by the USDA Foreign Agriculture Service, estimated that this country’s retail food sector is
valued over US $617 million.

Minister Cadiz further indicated that the varied culture of T&T has resulted in an eclectic mix of
cuisines, from street vendors selling doubles and corn soup to high-end establishments,
specializing in Creole, Italian, Mediterranean, Chinese, Thai and Korean food. The Ministry of
Trade and Industry has estimated that there are over 195 fast-food restaurants and this number
is steadily growing. Table 5 provides a summary matrix of the data gathered for this segment.

PROPEL Trinidad and Tobago Market Study 6


Table 5: Summary Matrix Restaurant Segment

Restaurant Source of Purchase Approximate Payment Most Are Contracts


% Grown Terms Important Offered To
Locally Purchasing Farmers /
Criteria Distributor?

Apsara  Distributor 80% Cash 1st quality No – Verbal


Restaurant 2nd price arrangements
3rd consistency have been
4th delivery (2 working for us
times per week)
TGI Friday  Distributors 75% 2 weeks 1st quality No – Verbal
to 1 2nd price arrangements
month 3rd consistency have been
4th delivery (3 working for us
times per week)

Soong's Great  Distributor 75% 1 week 1st quality No- We have


Wall 2nd price been dealing
3rd consistency with current
4th delivery (3 distributor for
times per week) 15 years

Jenny's Wok  Distributor 70% 2 weeks 1st quality No- We have


2nd price been dealing
3rd consistency with current
4th delivery (2 distributor for
times per week) 10 years

Ru Street  Distributors 80% 1 month 1st quality No- freedom to


2nd price choose based
3rd consistency on quality &
4th delivery (3 price
times per week)
Little Lai's  From Wholesale 50% Cash 1st quality No- freedom to
Chinese Market 2nd price choose based
Restaurant on quality &
price
Subway (45  Direct From Farmers 15% 1 month 1st quality No – in the
retail outlets) 2nd price past farmers
 Distributors 3rd consistency violated
4th delivery (3 contract when
times per week) prices
increased
Papa John's  Distributors 75% Cash 1st quality No – High
2nd price fluctuation in
3rd consistency fresh produce
4th delivery (3 prices
times per week)

Mario's Pizza  Direct From Farmers 10% 2 weeks 1st quality No – Based on
2nd price
 Distributors relationship
3rd consistency
4th delivery (3
times per week)

PROPEL Trinidad and Tobago Market Study 7


The significant learning points from the Table above are as follows:

1. Fifty-six % (56%) of the restaurants surveyed are receptive to being approached by new
farmers, as this activity will allow for wider choice with respect to quality, price and
consistent supply. The restaurants, which were not receptive to being approached by
new suppliers, stated one or more of the following reasons: satisfied with current
suppliers; and farmers are not reliable. The onus is therefore on the farmers, to adopt
the appropriate modes of operation to satisfy this segment, if they want to develop and
retain transactional relationships.
2. Eight of the nine restaurants surveyed, indicated that delivery of the fresh produce to
their retail outlet is an important purchasing criterion. Restaurants purchase fresh
produce, on an average, three times per week because of their limited storage capacity.
3. Fifty six percent (56%) of the restaurants changed some of their fresh produce
suppliers over the past 24 months. Forty four percent (44%) kept all of their existing
suppliers. The main reasons for the changes were, one or more of the following: poor
quality; higher prices; and inconsistent supply. These gaps can be addressed through
farmer training or by farmers adapting to meet the emerging demand.
4. Restaurants have a preference, for suppliers who can supply more than one item, as
this is more convenient for them and results in greater operational efficiency. Farmers
can position themselves to diversify their produce; and develop arrangements to supply
a diverse product line.
5. Most of the established restaurants are being supplied with locally grown fresh produce
by distributors. This adds an extra layer in the value chain and depresses positive
value for the farmers, by way of indirect transactions and limited access to high value
buyers (HVB). An opportunity exists, to compress the distribution chain, if perceptions
of the players change and clear sourcing guidelines and pricing models are formulated.
6. The preferred purchasing criteria are standard among this segment, based on a ranking
system of: quality; price; and consistency of supply. A go forward strategy can be, to
disseminate these informal standards/requirements, to educate farmers in order to
strengthen their production to be better perceived as an attractive direct source of
produce for the restaurants.

With respect to the volume of produce purchased by restaurants, Table 6 shows the main types
of produce purchased by restaurants with a comparative analysis to wholesale market prices
for the same products.

PROPEL Trinidad and Tobago Market Study 8


Table 6: Main Fresh Produce Purchased By Restaurants Surveyed

No Fresh Quantity Average Price Average Average Price Benefit in


. Produce Purchased Paid by Wholesale Benefit By TT$ (Col 3
(kg) Restaurants Price For Selling by Col 6)
(TT$) per kg 2013 (TT$) Directly To
per kg source Restaurants
: NAMDEVCO
st
1. Lettuce 27,996 6.00 per head 4.22 $1.78 or 42% $49,832 (1 )
heads (locally grown)
nd
2. Tomato 6,629 kg 19.80 14.77 $5.07 or 34% $33,344 (2 )
rd
3. Sweet 3,790 kg 19.80 15.12 $4.68 or 31% $17,737 (3 )
pepper
th
4. Cucumber 2,062 kg 11.00 7.13 $3.87 or 54% $7,980 (4 )
th
5. Hot Pepper 2,200 hot 0.50/hot pepper 0.35 $0.15 or 43% $770 (6 )
peppers
6. Pimento 0.40 / pimento 0.27 $0.13 or 48% th
800 $104 (7 )
pimentos
th
7. Limes 5,520 limes 1.75 / lime 1.07 $0.68 or 39% $3,754 (5 )
(medium )

A graphical representation of the quantities purchased by restaurants on a weekly basis for


various commodities can be seen in Figure 1.

Figure 1: Weekly Demand for Fresh Produce by Restaurants

Weekly Demand For Fresh Produce By Restaurants


40

35

30

25

20

15

10

0
Lettuce Tomato S pepper Cucumber Hot Pepper Pimentos Limes

Note: For comparison purposes pimento and hot peppers were converted to kg. using an
estimate of 40 units per kg. Limes were converted at 20 limes per kg and lettuce at 6 heads per
kg.

PROPEL Trinidad and Tobago Market Study 9


The significant learning points from the above are as follows:

1. There is a clear opportunity for farmers to obtain higher prices for their fresh produce by
selling directly to the restaurants and bypassing wholesalers and distributors. For
example, they can obtain an average of $1.78 more for a head of lettuce and $3.87
more for a kilogram of cucumber, which are substantial differences. According to Trip
Advisor, there are 99 established restaurants in Port of Spain, 22 in San Fernando and
12 in Chaguanas. Several more established restaurants can be found in the other
major towns and boroughs such as Arima, Point Fortin, Sangre Grande, Rio Claro,
Couva and Princes Town. The restaurant sector represents a viable market that
farmers can engage in direct selling and the establishment of long lasting relationships.
2. In order to serve this market segment successfully, farmers must understand the
purchasing criteria and requirements used by restaurants and adhere to them. Simple
business etiquette; the ability to conduct basic market research; and to prepare a cover
letter and a price list. These steps would help change the perceptions of the restaurant
buyer towards the farmers in a positive manner and would increase their inclination to
do business directly with the producers.
3. Subway which has 45 outlets in T&T currently imports 26,252 heads of lettuce on a
weekly basis. In previous years, this fast food restaurant purchased most of its lettuce
from local farmers. However, due to inconsistent supply and non adherence to
contracts, when the price of lettuce increased on the wholesale market, Subway decided
to import all of its lettuce for greater stability in its operations. Subway continues to
purchase all of its cucumber (2,045 kg per week) from local farmers.
4. One third of the restaurants surveyed accepted the prices charged by their distributors.
These restaurants have a long standing relationship with their distributors. Fifty six
percent (56%) of the restaurants compare prices of their suppliers and occasionally visit
NAMDEVCO’s website to determine an acceptable price while 11% visit the wholesale
market to obtain price information. Subway also checks a website
(www.freshpoint.com/) to obtain information on international fresh produce prices. This
means that the restaurant buyers are well informed. Farmers therefore need to be
operating with the same level of market knowledge and information, if they are to level
the playing field in the restaurant supply market space.

3.3 Hotel Segment


Trinidad and Tobago currently has an accommodation capacity of approximately 7,500 rooms, of
which roughly 47% are located in Trinidad. Most of the rooms in Trinidad comprise luxury and
medium range hotels, guest houses and bed and breakfast establishments. In Tobago, room
types comprise the aforementioned as well as villas, apartments and condos. Luxury hotels in
Trinidad are centered in the capital city of Port-of-Spain and include international chains such as
HYATT Regency, Hilton and Radisson. There are also small eco resorts that cater to the HVM
niche eco tourists. Trinidad attracts more business tourists and Tobago attracts more holiday
tourists. These resorts are located in rural or coastal areas.

PROPEL Trinidad and Tobago Market Study 10


Table 7 provides a summary matrix of the data gathered for this segment.

Table 7- Summary Matrix Hotel Segment

Hotel Source of Purchase Approximate Payment Most Are


% Terms Important Contracts
Grown Purchasing Offered To
Locally Criteria Farmers /
Distributor?
Hilton Trinidad  Distributors 70% 2 weeks 1st quality No – we have
2nd price short-listed 4
3rd consistency distributors and
4th delivery (4 utilize a weekly
times per week) bidding process
Hyatt Regency  Distributors 30% 1 month 1st quality No – we have 3
Trinidad 2nd price farmers and 2
3rd consistency distributors and
4th delivery (4 utilize a weekly
times per week) bidding process
Cara  Distributors 65% 1 month 1st quality No- we prefer to
Suites 2nd price build
Hotel 3rd consistency relationships.
4th delivery (2
times per week)
Kapok Hotel  Distributor 80% 2 weeks 1st quality No- We have
to 1 2nd price been dealing
month 3rd consistency with 2
4th delivery (2 distributors for
times per week) many years
Grafton Beach  Direct From Farmers 75% 2 weeks 1st quality
nd
No- we prefer to
Resort (Tobago)  From Wholesale Market to 1 2 price
rd
build
 Distributor month 3 consistency relationships
4th delivery (3
times per week)
Ambassador  From Wholesale Market 80% cash 1st quality No- freedom to
Hotel  Distributors 2nd price choose based
on quality &
price

The significant learning points from the above include the following:

1. Fifty percent (50%) of the hotels surveyed including the 2 largest in the sector, the Hilton
and Hyatt, are receptive to being approached by new farmers, as this will allow for wider
choice with respect to quality, price and consistent supply. However, Hyatt specified that
the prospective local farmer must be certified by NAMDEVCO. The 50% of hotels,
which were not receptive to being approached by new suppliers, said that they are
satisfied with their current supply arrangements.
2. Eighty-three percent (83%) of the hotels surveyed, indicated that delivery of the fresh
produce to their retail outlet is an important purchasing criterion. Hotels purchase fresh
produce on average three times per week because of their limited storage capacity and
desire for very fresh items. While a source of possible income and trading opportunities
exist, there needs to be further research into the capacity of farmers to engage in a
reorientation to secure supply arrangements.
PROPEL Trinidad and Tobago Market Study 11
3. Fifty percent (50%) of the hotels changed suppliers over the past 24 months; 33% added
new suppliers to their existing database, but did not change any of their existing
suppliers. The main reasons for the changes were one or more of the following: poor
quality; higher prices; and inconsistent supply. This suggests that the hotel sector have
very high standards and are receptive to the engagement of new suppliers once specific
terms and conditions can be met.
4. Hotels have a preference for suppliers who can supply more than one item as this is
more convenient for them and results in greater operational efficiency and reduced
processing time for the hotels.
5. Sixty seven (67%) of the hotels surveyed, determine an acceptable price to buy their
fresh produce by comparing prices charged by their suppliers. 83% of the hotels
surveyed, also occasionally browse the NAMDEVCO’s website for up-to-date wholesale
prices while 17% actually visit the wholesale and farmers’ markets and compare prices
and quality.
6. At the start of each week, the 4 distributors who supply the Hilton, are required to submit
price lists to facilitate the bidding process. Table 8 shows the volume of fresh produce
purchased by hotels and also an analysis of prices paid in comparison to the wholesale
market.
Table 8: Main Fresh Produce Purchased Weekly By Hotels Surveyed
No. Fresh Quantity Average Average Average Price Benefit in TT$
Produce Purchased Price Paid Wholesale Price Benefit By (Col 3 by
Weekly (kg) by Hotels For 2013 (TT$) Selling Directly Col 6)
(TT$) per kg per kg source : To Hotels
NAMDEVCO
1. Lettuce 1,806 heads 5.00 (locally 4.22 (locally $0.78 or 16% 1,409 (4th)
grown) grown)
2. Tomato 889 kg 20.90 14.77 $6.13 or 42% 5,450 (1st)
3. Sweet 612 kg 22.00 15.12 $6.88 or 46% 4,211 (2nd)
pepper
4. Cucumber 667 kg 9.90 7.13 $2.77 or 39% 1,848 (3rd)
5. Hot Pepper 3,415 hot 0.40 / hot 0.35 $0.05 or 14% 171 (9th)
peppers pepper
6. Sweet 356 kg 10.78 7.72 $3.06 or 40% 1,089 (5th)
Potatoes
7. Pimento 4,525 0.35 / 0.27 $0.08 or 30% 362 (8th)
pimentos pimento
8. Eggplant 300 kg 11.00 8.00 $3.00 or 38% 900 (6th)
9 Yam 172 kg 11.00 7.65 $3.35 or 44% 576 (7th)
10. Dasheen 140 kg 14.20 13.80 $0.40 or 3% 56 (10th)
FRUIT
1. Watermelon 2,415 kg 8.25 5.74 $2.51 or 44 6,062 (1st)
2. Limes 5,520 limes 1.80 / lime 1.07 $0.73 or 68% 4,030 (2nd)
(medium )
3. Pineapple 1,507 kg 13.20 10.96 $2.24 or 20% 3,376 (3rd)
4. Papaya 1,001 kg 11.00 7.75 $3.25 or 42% 3,253 (4th)
5. Bananas 717 kg 10.00 8.81 $1.19 or 14% 853 (5th)
(imported %
from other
CARICOM
countries )

PROPEL Trinidad and Tobago Market Study 12


For another perspective the weekly demand for fresh produce by hotels is represented graphically
in Figure 2.
Figure 2: Weekly Demand For Vegetables By Hotels

The weekly demand by hotels for fruit is presented in Figure 3 below, to illustrate the overall
demand for fruit.

Figure 3: Weekly Demand For Fruit By Hotels

Weekly Demand For Fruit By Hotels


45
40
35
30
25
20
Weekly Demand Fruit Hotels
15
10
5
0
Watermelon Limes Pineapple Papaya Bananas

PROPEL Trinidad and Tobago Market Study 13


The key learning points from the above include the following:

1. There is a distinct opportunity for farmers to obtain substantially higher prices for their
fresh produce by selling directly to the hotels and bypassing wholesalers and
distributors. For example, they can obtain an average price of: 42% more per kilogram
for tomatoes; 30% more for sweet peppers; and 42% more for papaya.
2. According to Trip Advisor, there are 52 established hotels in Trinidad. There are also
over 35 established hotels in Tobago. However, from the survey, it was found that
some hotels are more price sensitive than others. For instance, the bidding process
at Hilton Trinidad is very competitive when compared to HYATT Trinidad. Farmers
therefore need to conduct basic market research to identify their best opportunities.
In spite of the bidding process, prices obtained at Hilton Trinidad are still better than
those farmers obtain when selling on the wholesale market and can still be viewed as
a viable business opportunity.
3. In order to serve this market segment successfully, farmers must understand the
purchasing criteria used by hotels and ensure they can adhere to those on an ongoing
basis. Simple business etiquette, the ability to conduct basic market research and
prepare a cover letter and a price list would be simple steps they can take to access
the HVM opportunity hotels represent.
4. Hotels are also demanding more tropical fruit, especially papaya, avocadoes and Julie
mangoes. They did not give actual quantities, but from discussions, it has been
estimated that the additional demand per week by the hotels surveyed is
approximately 300 kg for papaya; 40 avocadoes; and 40 Julie mangoes. These figures
would be substantially higher when applied to all the hotels.

3.4 Catering Segment


The catering sector in T&T operates mainly with small scale business enterprises dispersed
throughout the country. There are three large commercial enterprises – Boomerang; Food
Etcetera; and Kater Serv, which are considered the market leaders. Over 65% of the small
caterers are involved in the Government’s School Nutrition Feeding Programme on a daily basis.

A summary matrix of the information received from this sector is illustrated in Table 9:

PROPEL Trinidad and Tobago Market Study 14


Table 9: Summary Matrix Catering Segment

Food Caterer Source of Purchase Approximate Payment Most Important Are Contracts
% Grown Terms Purchasing Offered To
Locally Criteria Farmers?
Boomerang  From Wholesale Market 50% cash 1st quality No- freedom to
Caterers  Distributor 2nd price choose based
3rd consistency on quality &
4th delivery price
Food Etcetera  From Wholesale Market 50% cash 1st quality No- freedom to
(most purchases are from 2nd price choose based
wholesalers at the market 3rd consistency on quality &
not farmers) price
Kater Serv  Direct From Farmers 85% 2 weeks 1st quality No- freedom to
 Distributors 2d price choose based
3rd consistency on quality &
4th delivery price
B&B Enterprises  Direct From Farmers 95% 1 week 1st quality No- farmers do
Ltd.  Distributors 2 price not honour
3rd consistency contracts
4th delivery

The significant learning points are as follows:

1. Seventy-five (75%) of the food caterers surveyed are interested to being approached
by new farmers as this can provide a wider choice with respect to quality, price and
consistent supply from a direct source. However, 25% indicated that farmers are not
reliable and consistent with the price and quality of their produce and would not be
interested in purchasing from farmers.
2. All 100% of the caterers surveyed, purchased varying percentages (5% to 50%) of
imported fresh produce, in preference to the same local items. These include cabbage
and cauliflower, which they indicated are of better quality to the locally grown ones,
because there is no pesticide residue and consequently a better taste. Fifty percent
(50%) of the caterers surveyed purchased imported tomatoes for their salads. The
imported tomatoes were described as larger and better for slicing. One of the large
food caterers, Food Etcetera, preferred to purchase yam, dasheen and eddoes
imported from St. Vincent, because of their cleaner appearance and better taste. These
imported items are usually sold for approximately TT$1 to TT$2 more per kilogram
than the local ones.
3. Food caterers purchase fresh produce on an average twice per week which represents
a good and reliable stream of sales and income for farmers if they can make the
necessary connections with the food caterers.

With respect to the volume of produce and fruit purchased by caterers, Tables 10 and 11
present the volumes as well as the differential pricing between what
c a t e r e r s p a y a n d t h e p r i c e s o n t h e wholesale markets.

PROPEL Trinidad and Tobago Market Study 15


Table 10: Main Fresh Vegetables Purchased Weekly By The Food Caterers Surveyed
No. Fresh Average Average Average Average Price Benefit in TT$
Produce Quantity Price Paid Wholesale Benefit By (Col 3 by
Purchased by Food Price For 2013 Selling Directly Col 6)
Weekly (kg) Caterers (TT$) To Food
(TT$) per kg per kg source Caterers
1. Tomato 898 kg 19.80 /kg : 14.77 $5.03 or 34% $4,517 (1st)
2. Lettuce 1,375 5.50 / head NAMDEVCO
4.22 / head $1.28 or 30% $1,760 (2nd)
heads
3. Cucumber 421 kg 8.80 / kg 7.13 $1.67 or 23% $703 (6th)
4. Cabbage 732 kg 9.90 / kg 8.45 $1.45 or 17% $1,061 (4th)
5. Pumpkin 1,498 kg 4.00 / kg 3.24 $0.76 or 23% $1,138 (3rd)
6. Sweet 582 kg 16.00 /kg 15.12 $0.88 or 6% $512 (8th)
Pepper
7. Sweet 190 kg 10.00 / kg 7.72 $2.28 or 30% $433 (10th)
Potatoes
8. Dasheen 238 kg 14.00 / kg 13.80 $0.20 or 1% $48 (13th)
9. Cauliflower 230 kg 15.00 / kg N/A N/A
10. Plantain 270 kg 12.00 / kg 10.14 $1.86 or 11% $502 (9th)
11. Pimento 9,860 0.35 each 0.27each $0.08 or 30 % $789 (5th)
kg
12. Hot Peppers 1,100 0.40 each 0.35each $0.05 or 14 % $55 (12th)
kg
13. Calalloo Bush 450 5.50 / kg 5.08 $0.43 or 8 % $194 (11th)
bundles
14. Patchoi 355 5.50 bundle 5.48 bundle Almost 0% Almost 0%
bundles
15. Christophene 168 kg 13.65/ kg 13.63 Almost 0% Almost 0%
16. Yam 167 kg 11/ kg 7.65 $3.35 or 44% $559 (7th)

Table 11: Main Fresh Fruit Purchased Weekly By The Food Caterers Surveyed
No. Fresh Average Average Average Average Price Benefit in TT$
Produce Quantity Price Paid Wholesale Benefit By (Col 3 by
Purchased by Caterers Price For 2013 Selling Directly Col 6)
Weekly (TT$) per (TT$) To Food
(kg) kg per kg source : Caterers
NAMDEVCO
1. Watermelon 1,745 kg 7.7 5.74 $1.96 or 34% $3,420 (1st)
Lime 2,400 1.2
0 1.07 $0.18 or 14% $432 (3rd)
(medium) limes 5
2. Papaya 357 kg 11.0 7.75 $3.25 or 42% $1,160 (2nd)
3. Bananas 370 kg 09.9 8.81 $1.09 or 12% $403 (4th)
imported 0
from other
CARICOM
countries
4. Pineapple 113 kg 14.0 10.96 $3.04 or 28% $344 (5th)
0

A graphical representation of the quantities purchased by food caterers on a weekly basis for
various commodities can be seen in Figure 4.

PROPEL Trinidad and Tobago Market Study 16


Figure 4: Weekly Demand For Fruit By Food Caterers

Weekly Demand For Fruit By Caterers


70

60

50

40

30

20

10

0
Watermelon Lime Papaya Bananas Pineapple

The main learning points from the catering sector analysis are as follows:

1. There are opportunities for farmers to obtain higher prices for specific items of fresh
produce by selling directly to food caterers and bypassing wholesalers and
distributors. For example, the average price paid by these buyers for tomatoes is
34% more than selling this commodity on the wholesale market; 30% more for lettuce;
and 42% more for papaya.
2. According to Searchin TT 2014 website, there are 57 food caterers (excluding the
School Feeding Programme) in T&T. These caterers serve corporate, private and
wedding events. A few of them are also involved in the School Feeding Programme.
The School Feeding Programme currently has over 72 caterers. They serve breakfast
and lunch meals to over 120,000 school children daily, five days a week.
3. In order to serve this market segment successfully, farmers must understand the
purchasing criteria used by food caterers and ensure they adhere to those criteria.
Simple business etiquette, ability to conduct basic market research, negotiate and
prepare a cover letter and a price list would be advantageous.
4. Fifty percent (50%) of the food caterers surveyed determine acceptable prices by
checking the website of NAMDEVO, which provides information on current wholesale
prices. The other 50% visit the wholesale market and interact with the sellers.

3.5 Exporters Segment


The advent of globalization and trade liberalization has resulted in increased growth in the trade
in agricultural products.

Trinidad & Tobago’s export activities are shown in Table 12:

PROPEL Trinidad and Tobago Market Study 17


Table 12: Exporting Profile by Product and Market Source NAMDEVCO Exporting Guide 2013

COUNTRIES LIST OF ITEMS PURCHASED / SHIPPED

Barbados Cabbage, Okra, Tomato, Sweet Pepper, Watermelon, Squash,


Pumpkin, Pineapple, Cucumber, Cauliflower, Christophene, Citrus,
Egg plant, Papaya
St. Lucia Peas and beans, Melons, Cucumber, Pumpkin, Tomato, Peppers
United States Mainly Hot Peppers and Pumpkin
Canada Pumpkins, Eggplant, Hot Peppers, Sweet Potatoes,
Mangoes

Table 13 presents a summary matrix for the information gained for this segment from the survey as follows:

Exporter Source of Purchase Approximate Payment Most Important Are Contracts


% Grown Terms Purchasing Offered To
Locally Criteria Farmers?
Shahadat  Farmers 100% 1 week 1st quality No-farmers sell
Ramlakhan 2nd price elsewhere when
3rd consistency prices increase
4th Delivery and violate
contract.
Challenge  Farmers 100% Varies 1st quality Yes
Marketing  Wholesalers from cash 2nd price
Limited to 1 month 3rd consistency
depending
on supplier
Tropical  Farmers 100% Varies 1st quality No- farmers do not
Harvesting from cash 2nd price adhere to contracts
Company to 1 month 3rd consistency when prices of
Limited depending their produce
on supplier increase

King’s Foods  Farmers 100% 2 weeks to 1st quality No-farmers sell


1 month 2nd price elsewhere when
3rd consistency prices increase
and violate
contract.
A&D Export &  Direct From Farmers 100% 3 weeks to 1st quality No

Import Limited 1 month 2nd price No – Farmers


3rd consistency make excuses
and sell
elsewhere when
prices increase.

The key learning from this segment includes the following:

1. Sixty-seven percent (67%) of the exporters surveyed are receptive to being approached
by new farmers, as this activity will allow for wider choice with respect to quality, price
and risk management during fluctuations and scarcity.
2. Thirty-three (33%) indicated that they already have adequate farmers on their
database. Also, 33% of the exporters only transact business with local farmers,
certified by NAMDEVCO, as their export market (within CARICOM) specifies this
condition. This opens a channel for farmers to connect with this state agency, in order
to leverage and increase their competitiveness.
PROPEL Trinidad and Tobago Market Study 18
3. All the exporters surveyed changed suppliers over the past 24 months. The main
reasons for the change were one or more of the following: poor quality; higher prices;
and inconsistent supply.
4. Exporters are receptive to purchasing their fresh produce supplies at farm gate, if
required. However, they usually negotiate for a lower price when this is done, which can
be a disadvantage for the farmers.

With respect to the volume of produce purchased by Exporters Table 14 shows the main types
of produce exported as well as a price comparison between prices the exporters pay and the
prices at the wholesale market.
Table 14: Main Fresh Produce Purchased Weekly By Exporters Surveyed

No Fresh Produce Quantity Average Price Average Price Obtained Average Price
. Purchased Paid by Exporters By Farmers At Benefit By
Weekly by (TT$) per kg Wholesale Market For Selling
Exporters 2013 (TT$) per kg Directly To
(kg) (source : NAMDEVCO) Exporters

1. Pumpkin 44,750 kg 3.00 3.24 Loss


2. Pimento 31,800 0.25 0.27 Loss
pimentos
3. Squash 1,500 kg 9.00 9.46 Loss
4. Cucumber 2,450 kg 6.60 7.13 Loss
5. Cabbage 1,450 8.82 8.45 4%
6. Tomato 700 kg 15.00 14.77 2%
7. Sweet pepper 500 kg 15.00 15.12 Loss
8. Calalloo Bush 700 bundles 3.50 5.08 Loss
9. Christophene 300 kg 14.00 13.63 2%
10. Eggplant 246 kg 6.01 8.00 Loss
FRUIT
1. Watermelon 6,200 kg 6.60 5.74 15%
2. Limes 1,500 limes 1.00 1.07 Loss
(medium )
3. Pineapple 1,400 kg 9.60 10.96 Loss
4. Papaya 1,950 kg 9.00 7.75 16%

A graphical representation of the quantities purchased by exporters on a weekly basis for fruit can
be seen in Figure 5.

PROPEL Trinidad and Tobago Market Study 19


Figure 5: Weekly Demand For Fruit By Exporters

Weekly Demand For Fruit By Exporters


70

60

50

40

30

20

10

0
Watermelon Lime Pineappl Papaya
e

The main learning from this segment includes the following:

1. This is generally not a viable buyer segment for farmers. For most fresh produce
items, farmers would obtain a slightly better price at the wholesale market. One
hundred percent (100%) of the exporters surveyed are not willing to pay higher than
the wholesale price and they want farmers to keep their prices for 3 months. Twenty
percent (20%) of exporters indicated that they negotiate to purchase produce from
farmers for a price 20% below the wholesale price. NAMDEVCO confirmed this
research finding and also stated that farmers have made complaints on the low prices
paid by exporters. The exporter’s justification for their low prices is that there is a high
risk in exporting fresh produce, due to spoilage and non-payment by the importer.
2. The advantage of this buyer segment is that the exporters purchase high volumes for
the main export items including: pumpkin; hot peppers; pimento; papaya; pineapple;
and dasheen leaves. It is therefore a fast way for farmers to dispose of their sizeable
harvests, which is an attraction for the farmers that sell to exporters.
3. Information from NAMDEVCO’s website revealed that there are 29 exporters of fresh
produce. However, NAMDEVCO stated, that many exporters on this list are not
currently active, because this year (2014) has been affected by drought for the 1st half
of the year and by heavy rains and floods during the 2nd half. These adverse weather
conditions have resulted in high price fluctuations and inconsistency in supplies.

3.6 Agro-processors Segment


An article by the Center of Innovation Technology & Global Entrepreneurship (2014) suggests
that the establishment of agri -business enterprises in T&T can offer significant investment
opportunities, particularly for manufacturers who utilize unique regional agro-products to develop
refined goods. In light of the increased access to global markets and North America’s
PROPEL Trinidad and Tobago Market Study 20
appreciation and desire for exotic foods, as well as the growth of gourmet lifestyles in more
developed metropolitan communities, the agro-processing sector has an opportunity to create
and innovate in the production of specialty items for regional, international and local markets.

Table 15 presents a summary matrix of the information received for this segment.
Table 15: Agro-Processors Summary Matrix

Agro – Source of Purchase Approximate Payment Most Important Are Contracts


Processors % Grown Terms Purchasing Offered To
Locally Criteria Farmers?
National  Farmers 25% 7 days 1st quality No- farmers do
Canners Ltd.  Import 2nd price not honor
3rd consistency contract when
4th delivery prices increase
and they do not
have a consistent
supply.
D’Farmers Ltd.  Direct From Farmers 90% cash 1st quality No- freedom to
2nd price choose based
 From Wholesale 3rd consistency on quality &
Market (most purchases price
are from wholesalers at
the market not farmers)
Turban  Direct From Farmers 85% 2 weeks 1st quality No- freedom to
Marketing Ltd.  Distributors 2nd price choose based
 Wholesale Market 3rd consistency on quality &
4thdelivery price
Network of  Grow Own Crops 100% cash 1st quality No- freedom to
Rural Women  Wholesale Market 2nd price choose based
Producers on quality &
Trinidad & price
Tobago

The significant learning from this segment is as follows:


1. Fifty percent (50%) of the processors surveyed are receptive to being approached by
new farmers, as this will allow for a wider choice with respect to quality, price and
consistent supply. National Canners Ltd., which is by far the largest food & agro
processor in the country, stated that they have an adequate number of suppliers and
are not looking to expand their supplier network in the near future. The Network for
Rural Women Producers of Trinidad & Tobago, buy fresh produce from within their
membership (over 100 members) or from the wholesale market. They prefer a model
where they grow their own inputs/produce, which is then supplemented by purchases
from the wholesale markets.
2. National Canners Ltd. imports 70 % of its fresh produce requirement mainly from
Central America, due to inconsistencies in local supply. The company also has cold
storage facilities and purchases large volumes on the local market when prices are
low. That inventory is then used when there are produce shortages and/or prices of
produce increase.
3. Processors purchase fresh produce on an average of once per week from local
farmers, but generally do not enter into any contractual arrangements with the
farmers. This is because of a lack of consistent supply and that farmers have a
tendency to violate contracts when prices increase over the agreed contract price.
4. Processors source their produce mainly from wholesalers and farmers. Small scale
PROPEL Trinidad and Tobago Market Study 21
processors usually cultivate their own produce for use in their agro-processing
activities and/or visit the wholesale market to buy at times when prices are low.

With respect to the volume of produce purchased by exporters, Table 16 shows the produce as
well as the prices paid for by exporters in comparison to the wholesale market price.

Table 16: Main Fresh Vegetables Purchased weekly By Agro - Processors Surveyed
No. Fresh Quantity Average Price Average Price Average Price
Produce Purchased Paid by Agro- Obtained By Benefit By
Weekly (kg) Processors (TT$) Farmers At Selling Directly
per kg Wholesale Market To Agro -
For 2013 (TT$) per Processors
kg (source :
NAMDEVCO)

1. Hot Peppers 289,891 hot 0.25 0.35 Loss


peppers
2. Pimentos 6,833 pimentos 0.25 0.27 Loss
3. Chive 13,646 bundles 4.00 N/A N/A
4. Thyme 5,320 kg 11.00 N/A N/A
5. Shadon Beni 5,570 bundles 4.50 N/A N/A
6. Cucumber 2,303 kg 5.50 7.13 Loss
7. Pumpkin 444 kg 2.75 3.24 Loss
8. Cauliflower 2,292 kg 13.20 N/A N/A
(local)
9. Carallie 2,752 kg 9.90 7.38 34%
10. Celery 1,010 bundles 4.00 N/A N/A

FRUITS

1. Mango 25,040 mangoes N/A N/A


(Long &
Rose)
2. Papaya 5,328 kg 5.00 7.75 Loss

A graphical representation of the quantities purchased by agro-processors on a weekly basis for


various commodities can be seen in Figure 6.

PROPEL Trinidad and Tobago Market Study 22


Figure 6: Weekly Demand For Vegetables By Agro-Processors

The significant learning from the agro-processing sector is as follows:

1. This is generally not a viable buyer segment for farmers. For most of the fresh produce
items, farmers would obtain a better price at the wholesale market. All (100%) of the
exporters surveyed, are not willing to pay higher than the wholesale price and they
want farmers to maintain their prices for 3 to 6 months.
2. Processors justification for their low prices is that their final products are being sold in
very competitive markets and they are unable to raise their prices easily. This is a
standard position held by agro-producers, which is difficult to challenge and change.
3. The advantage of the agro-processing sector is that medium and large processors
purchase sizeable volumes, making it easier for farmers with large volumes of the
appropriate crop to quickly sell their products to one buyer on a weekly basis.
4. Based on Information from NAMDEVCO’s website, there are over 35 agro-processors
in T&T. This segment comprises large processors, such as National Canners,
Coconut Growers Association and mainly SMEs. National Canners Ltd. purchases a
large quantity of tomatoes and pineapples, but in crushed form which is imported, as it
is not available locally.

PROPEL Trinidad and Tobago Market Study 23


3.7 Wholesalers Segment
NAMDEVCO manages the two wholesaling markets in T&T for fresh produce. These markets are
The Norris Deonarine Northern Wholesale Market in Macoya and the Southern Wholesale Market in
Debe.

These markets are open to farmers to sell their produce and to buyers who purchase in sizeable
quantities such as wholesalers, distributors, hotels, restaurants, supermarkets and caterers. Farmers
are the main sellers at these markets, but some distributors also have stalls at these wholesale
markets. They buy from farmers and also sell to the aforementioned buyers. Wholesalers are
experienced business people who purchase large quantities for cash and therefore have strong
bargaining power. On many occasions they buy out all the supplies from the early farmers for low
prices and then compete with the remaining farmers in selling to the various buyers. Some
wholesalers also sell imported fresh produce from other CARICOM countries as well as from USA
and Canada. These imported items include carrots, broccoli, tomatoes, cauliflower, cabbage,
lettuce, sweet peppers, zucchini, honeydew melon, cantaloupe, apples, grapes and pears from
North America and bananas, dasheen, yam, eddoes, ginger and plantain from St. Vincent and to a
lesser extent Guyana, St. Lucia and Suriname. These commodities compete directly with local
farmers’ tomatoes, sweet peppers, lettuce, cabbage, cauliflower, dasheen, yam, eddoes, ginger and
plantain.

Table 17 presents a Summary Matrix of the information received from this segment.
Table 17: Information on Wholesaler and Distributor Segment

Wholesaler / Source of Purchase Approximate Payment Most Important Are Contracts


Distributor % Grown Terms Purchasing Offered To
Locally Criteria Farmers /
suppliers?
Distributor 1  Farmers in Trinidad 20% 1 to 2 1st quality* No- high
(Established  Import large quantities weeks 2nd price fluctuation in
wholesaler based from St. Vincent. 3rd consistency prices. Develop
at the Macoya Sells to distributors, hotels, 4th delivery by long lasting
Wholesale supermarkets, caterers and local farmers and relationship with
Market) restaurants who visit the imports are suppliers.
Macoya Wholesale market collected at the
port

Distributor 2  Direct From Farmers 50% Cash and 1st quality No-due to
(Established 1 week for 2nd price inconsistent
wholesaler /  Purchase from importers some 3rd consistency supply and
distributor for who import bananas from St. farmers farmers not
Papaya and Vincent, St. Lucia and honoring
Bananas) Suriname contracts when
prices increase
Distributor 3  Purchase from wholesaler in 60% 7 days 1st quality No- develop long
(Established Trinidad and distributes to most 2nd price lasting relationship
distributor in of the supermarkets in Tobago, 3rd consistency
Tobago some hotels and roadside 4th ship from
vendors Trinidad to
Tobago

Table 18 represents the commodities and average quantities which these buyers purchase on a
weekly basis for resale.

PROPEL Trinidad and Tobago Market Study 24


Table 18: Main Fresh Vegetables Purchased Weekly By The Wholesalers And Distributors Surveyed

Vegetables Total
Tomato - Local Kg 4091 0 454 855
Tomato - Imported Kg 1818 0 0 1818
Cucumber - Local Kg 1818 0 454 2272
Cucumber - Imported Kg 0 0 0 0
Sweet Pepper - Local Kg 1591 0 225 1816
Sweet Pepper - Imported Kg 0 0 0 0
Pumpkin Kg 0 0 1363 1363
Squash Kg 0 0 0 0
Lettuce -
Local Heads 300 0 300 600
Lettuce - Imported Heads 0 0 0 0
Cabbage - Local Kg 1644 0 225 1869
Cabbage - Imported Kg 0 0 0 0
Cauliflower - Local Heads 0 0 0 0
Cauliflower - Imported Heads 0 0 0 0
Patchoi Bundles 0 0 0 0
Eggplant Kg 0 0 0 0
Carallie Kg 0 0 0 0
Christophene Kg 0 0 45 45
Ochro Kg 0 0 1000 1000
Callalloo Bush Bundles 0 0 100 100
Bodi Bundles 0 0 20 20
Plantain Kg 4545 0 227 4772
Spices
Pimento Kg 0 0 6000 6000
Hot peppers Kg 0 0 1500 1500
Shadon Beni Bundles 0 0 80 80
Celery Bundles 0 0 0 0
Chive Bundles 0 0 25 25
Root Crops
Sweet Potatoes Kg 9000 0 227 9227
Dasheen Kg 6818 0 91 6909
Yam Kg 4545 0 23 4568
Cassava Kg 1136 0 0 1136
Eddoes Kg 4545 0 0 4545
Ginger Kg 1772 0 0 1772
Fruit
Watermelon Kg 0 0 273 273
Cantaloupe - Imported Kg 0 0 0 0
Papaya Kg 0 5455 45 5500
PROPEL Trinidad and Tobago Market Study 25
Pineapple Kg 0 0 0 0
Bananas - Imported Kg 0 7272 20 7292
Limes Kg 0 0 500 500
Oranges Kg 0 0 300 300
Grapefruit Kg 0 0 200 200
Portugal Kg 0 0 0 0
Mango Kg 0 0 0 0

The main learning points from this segment include the following:

1. One hundred percent (100%) of the wholesalers/distributors surveyed are receptive to


being approached by new farmers, as this activity will allow for a wider choice with
respect to quality, price and consistent supply.
2. The female wholesaler interviewed said that she will only purchase dasheen, eddoes and
yam from St. Vincent because her clientele prefers those varieties for taste and they are
cleaner in appearance than the local supplies. Sweet potatoes and plantain are purchased
from farmers in Trinidad, except when there are shortages in Trinidad. She buys at the
current wholesale price and may negotiate for a lower price, if the farmer has a large
volume to sell. Wholesalers try to buy out the farmers’ supplies as fast as possible on any
given wholesale market day and then mark-up their prices for supermarkets, hotels,
restaurants, caterers and distributors (HMVs). Many farmers prefer to dispose of their
fresh produce as fast as possible, to return to their farms and hence they sell to
wholesalers rather than staying in the market to sell directly to customers in smaller
quantities, but at potentially higher prices to supermarkets, hotels, restaurants and
caterers. Farmers make a lower profit when they sell to wholesalers but save on time.
3. The biggest distributor of fresh produce to supermarkets in Tobago was interviewed. He
is also a major distributor to hotels and roadside vendors. He acquires most of his
supplies from one wholesaler in Trinidad, who ships the goods to him by boat each
week. At present there is no wholesale market in Tobago. He pays an average price of
10% higher than the Trinidad wholesale prices for his fresh produce. Distributors based
in Trinidad visit the wholesale markets and mostly buy directly from farmers at the
current wholesale price.
4. A wholesaler/distributor for locally grown papaya was interviewed. He has developed a
relationship with 4 farmers and purchases all of their papaya at farm gate on a weekly
basis. He pays an average price of $4.40 per kilogram which is substantially lower than
the wholesale price ($7.75) obtained at the wholesale market.

Based on the observed buying habits of wholesalers and distributors, they represent a lower profit
option for farmers to sell their fresh produce. Wholesalers and distributors are committed as a
segment of the market to pay the lowest possible price for produce and also have developed an
import strategy and network. This buyer segment should only be targeted by farmers who have an
excess supply to sell.

PROPEL Trinidad and Tobago Market Study 26


4 CRITERIA/FRAMEWORK FOR PRODUCT ANALYSIS

The process for selecting commodities for further analysis for the market study was based on the
consideration of three factors: results from the empirical research; the NAMDEVCO’s Market
classification system; and the National Food Production Action Plan 2012-2015 produced by the
Ministry of Food Production.

The synthesis of the research data included the following actions:

1. Examination of the volume for each commodity in each HVB Segment. The commodities
with the highest volumes traded for each buyer segment as captured from the survey
were transferred from the excel sheets to the analytical tables in the body of the report
(refer to Table 2 as an example).
2. A price comparison analysis was undertaken for each commodity in each HVB Segment
with the wholesale market price (refer to Appendix 3) for the respective commodity. This
determined the surplus price (additional revenue that could be obtained, if any) by selling
the commodity to that particular buyer segment as opposed to selling the commodity on
the wholesale market.
3. Commodities in each HVB segment were subsequently ranked using the 2 variables of
volume and surplus price. Refer to final column in Table 2 under the Supermarket Buyer
segment as an example.

The next step in selecting commodities for further analysis was to classify the commodities into
groups using NAMDEVCO’s classification of fresh produce as a guide. The categories are
vegetables, leafy vegetables, spices, root crops and fruit. Based on the ranking of commodities
in the aforementioned item 3, commodities that were the highest ranking were placed in their
respective groups. This procedure yielded a summary matrix of the produce in each commodity
group with best potential from each buyer segment. This matrix (Table 19) is illustrated as
follows:

Table 19: Summary Matrix of the Produce in each Commodity Group with Best Potential
from each Buyer Segment

Buyer Ranking Vegetables Leafy Root Crops Spices Fruit


Segment Group Vegetables
Supermarkets 1st Tomato Lettuce Sweet Potato Hot Peppers Watermelon
2nd Cucumber Cabbage Eddoes Pimento Papaya
(based on
volume)
3rd Plantain Patchoi Shadon Beni Pineapple
(based on
volume)
4th Sweet Pepper Chive (based on Banana
volume)

Restaurants 1st Tomato Lettuce Sweet Potato Hot pepper Limes


2nd Sweet Pepper Cabbage Cassava Pimento
3rd Cucumber Patchoi
4th Christophene

Hotels 1st Tomato Lettuce Sweet Potato Pimento Watermelon

PROPEL Trinidad and Tobago Market Study 27


2nd Sweet Pepper Yam Hot Peppers Limes
3rd Cucumber Dasheen Pineapple
4th Eggplant Papaya

Food Caterers 1st Tomato Lettuce Sweet Potato Pimento Watermelon


2nd Pumpkin Cabbage Dasheen Hot Pepper Papaya
3rd Cucumber Callalloo Bush Yam Lime
4th Sweet Pepper

Exporters 1st - - - - Watermelon


2nd - - - - Papaya

Agro- 1st Caraille - - - -


Processor
2nd - - - - -

These rankings were then mapped against those commodities that have been earmarked for
support and future research under the National Food Action Plan to ensure that there is some
level of alignment with the proposed products and the Governmental Policy for Development.

4.1 Recommended Products For Future Analysis

Based on the information in the summary matrix and the aforementioned process, the following
products and their rankings are noted:

 Tomato- ranked first by Supermarkets, Hotels, Restaurants and Food Caterers


Segments in the Vegetables Group.
 Cucumber- ranked second in the Supermarket segment and third in the Restaurant,
hotel and Food Caterer Segments in the Vegetables Group
 Sweet Peppers – ranked fourth by Supermarkets, second by Hotels, second by
Restaurants and fourth by Food Caterers.
 Lettuce – ranked first by Supermarkets, Hotels, Restaurants and Food Caterers
Segments in the Leafy Vegetable Group
 Cabbage- ranked second for 3 segments in the leafy vegetables group
 Sweet Potato - ranked first by Supermarkets, Hotels, Restaurants and Food Caterers in
the Root Crops Group
 Hot Pepper- ranked first by the Supermarket and Restaurant Segments and second in
the Hotel and Food Caterer Segments for the Spices Group
 Pimento- ranked first in the Hotel and Caterer Segments and second in the Supermarket
and Restaurant segments in the Spices Group
 Watermelon- ranked first in the Supermarket, Hotel, Food caterer and Exporter in the
Fruit group
 Papaya- Ranked second for the Supermarket, Food Caterer and Exporter Market
segments in the Fruit group

PROPEL Trinidad and Tobago Market Study 28


Therefore for the purpose of this market study, the selected products for further analysis w e r e :

1. Tomato
2. Lettuce
3. Sweet Potato
4. Hot Pepper
5. Pimento
6. Watermelon
7. Cucumber
8. Cabbage
9. Papaya
10. Sweet Pepper

The aforementioned fresh produce are priority commodities, listed in this country’s National Food
Production Action Plan for further development, in an effort to reduce this country’s food import
bill.

5 SUMMARY
As a result of the research and analysis undertaken, there are viable opportunities for the ten (10)
identified commodities in one or more of the following buyer segments: Supermarkets,
Restaurants, Hotels and Food Caterers. There are also some isolated opportunities in the Agro-
processor and Exporter segments, but the research revealed that these segments are highly
sensitive to prices and the prices farmers obtain from these segments are often lower than the
wholesale benchmark price.

6 POTENTIAL BY PRODUCT
This section of the report presents the product potential analysis for the ten selected products in
the market study.

PROPEL Trinidad and Tobago Market Study 29


6.1 General Survey Information
Table 20 presents general survey information for the twenty-six (26) farmers surveyed as follows:

No. Name Of Farmer; Main Crop; Secondary Target Market Farmer’s


Sex; Age & Farm Variety & Crops Response On
Location Acreage Cultivated Consistent
Supply Over
Last 2 Years

1. Farmer 1 – Female; Papaya - Hot Pepper; Wholesale Market; No – Personal


37yr; East Trinidad Tainung No. 2 Pimento Previously exported but problem
Variety; 0.4 ha. stopped due to dishonest
importers

2. Farmer 2 – Female; Tomato – Delhi; Eggplant Wholesale Market No - Flood &


55yr; North Trinidad 0.2 ha & Labor Shortage
Cucumber –
Atlantis; 0.4 ha.

3. Farmer 3 – Female; Lettuce – Eden & Patchoi, Supermarket & also retail at the Yes –
28yr; South Trinidad Trinity 0.1 ha; Hot Cabbage & Farmers’ Market Consistent
Pepper – West Chive Supply
Indies Red;
0.1 ha.

4. Farmer 4 – Female; Pimento – 0.2 ha. Nil Wholesale Market & No – Pest &
46yr; East Trinidad Exporters. Prefer to sell to Disease
exporter at farm gate for
slightly lower price

5. Farmer 5 – Female; Papaya - Eddoes; Retail at Farmers’ Market No – Disease;


44yr; South Trinidad Tainung No. 2 Patchoi; Flood
Variety; 0.4 ha. Lettuce &
Pigeon Peas

6. Farmer 6 – Female; Papaya - Nil Wholesale Market Yes –


42 yr; East Trinidad Tainung No. 2 Consistent
Variety; 0.4 ha; Supply
Watermelon –
Palladin; 0.8 ha.

7. Farmer 7 – Female; Cucumber – 0.1 Nil Cucumber – Wholesale No – Adverse


59yr; North Trinidad ha; Papaya – Market; Papaya - Retail weather
0.4ha.

8. Farmer 8 – Male; Watermelon; Tomato Middleman & Retailers at No - Flood


58yr; East Trinidad Sentinel & farm gate and excess at
Tropical Gold; wholesale market.
2ha.
Hot Pepper
(yellow & red);
1.2ha.

PROPEL Trinidad and Tobago Market Study 30


9. Farmer 9 – Male; Sweet Potato – Pumpkin Middleman at farm gate; No – flood &
34yr; Central Trinidad Chicken Foot; 1.6 Occasionally retail at roadside; Labour shortage
ha; Papaya – No. 1 Previously sold to an exporter
Tainung; 1 ha but he wanted best quality for
Watermelon lower than the wholesale price.

10. Farmer 10 – Male; Cabbage – Nil Middleman because of cash No – Labor


51yr; South Trinidad Tropicana; 0.2 ha; payment although the price shortage;
Tomato – NS 501 obtained is lower than Praedial larceny
variety; 0.4 ha. wholesale price

11. Farmer 11 – Male; Lettuce – Lyra or Papaya; Supermarkets & Distributors; Yes – Hydroponic
42yr; North Trinidad; iceberg variety; Celery. Obtain higher price for lettuce is more reliable
Tertiary education hydroponics than wholesale price because than open land for
system on 0.2 ha. of consistent high quality due high quality and
Pimento – Hybrid; to the hydroponic system consistent
0.1 ha. (open land) production level

12. Farmer 12 – Male; Cabbage – Cantaloupe Middleman No – Adverse


52yr; South Trinidad; Tropicana; 0.2 ha. Weather
Secondary Level
Education

13. Farmer 13 – Male; Lettuce – Eden; Hot Pepper Sell to distributors at farm gate No – Adverse
54yr; East Trinidad; 0.8 ha. who sell to restaurants. Price Weather
Primary Level obtained is lower than
Education wholesale price

14. Farmer 14 – Male; Sweet Potato; 0.4 Pigeon Peas; Wholesale Market No - Labor
73yr; South ha. Plantain; Shortage
Trinidad; Primary Cassava
Education
15. Farmer 15 – Male; 34yr; Hot Pepper – Pimento; Retail at the Farmers’ market Yes –
South Trinidad; Primary Moruga Red & Pumpkin; and also wholesale to Consistent
Education Yellow; 0.4 ha. Cucumber vendors & middleman Supply

16. Farmer 16 – Male; 36yr; Tomato – Delhi; Bodi & Wholesale Market No – Crop
South Trinidad; 0.2 ha. Ochro damage by
Secondary Level animals
Education

17. Farmer 17 – Male; Cucumber – Sweet Sell cucumber to Subway Chain No – Initially
58yr; West Trinidad; Expedition; 0.1 ha Pepper; of Restaurants via a Distributor purchased a
Post Secondary Level Greenhouse; Lettuce; and obtain less than wholesale defective
Tomato – Dianne; Patchoi; price; Also retail at the Farmers’ Greenhouse
0.1 ha Celery Market and wholesale to system but
Greenhouse Roadside Vendors. cucumber
production is now
continuous and
quality is
consistent

18. Farmer 18 – Male; Sweet Pepper – Nil Supermarket Yes –


56yr; Central Trinidad California Consistent
Wonder; 0.4 ha. Supply &
Greenhouse Quality due to
protected
system

19. Farmer 19 – Male; Sweet Potato - Watermelon; Middleman At Farm gate Yes –
54yr; Central Chicken Foot Papaya; Consistent
Trinidad Vareity; 8ha. Corn; Supply
Pumpkin

PROPEL Trinidad and Tobago Market Study 31


20. Farmer 20 – Male; Hot Pepper – Hood Corn & Hot Pepper – Processor No - Flood
37yr; North Trinidad Variety; 0.6 ha. Pumpkin Corn & Pumpkin –
Wholesaler

21. Farmer 21 – Male; Sweet Pepper – Nil Wholesale Market No – Adverse


35yr; South Trinidad 0.4 ha. Weather
(contemplating a
protected
system)
22. Farmer 22 – Male; Tomato – Delhi Sweet Wholesale Market & No - Flood
40yr; East Trinidad Variety; 0.8 ha; Pepper Roadside Vendors

23. Farmer 23 – Male; Cucumber – Bodi, Ochro Wholesale Market No - Flood


65yr; East Trinidad Expedition Variety & Cabbage
0.1 ha; Tomato –
Delhi & Dianne; 0.1
ha.
24. Farmer 24 – Male; Watermelon – Ochro & Sold to a wholesaler at Yes –
54yr; East Trinidad Sentinel; 4.8 ha. Cucumber Farmgate Consistent
Supply

25. Farmer 25 – Male; Lettuce – 0.1 ha; patchoi Sold at the wholesale and No – adverse
58yr; East Iceberg farmer’s markets weather
Trinidad

26. Farmer 26 – Female; 0.8 ha. Pimento Cassava Sold at the wholesale market No – Irrigation
35yr; Central Trinidad problems; labor
shortage

 Names of farmers interviewed have been withheld for privacy reasons

The key learning points are as follows:

 Only twenty-eight percent (28%) of the farmers surveyed have been able to produce a
consistent supply throughout the year. Fifty percent (50%) said that they have not been
able to produce a consistent supply throughout the year because of flood or adverse
weather conditions. Labor shortage was the next major factor for being unable to
produce a consistent supply throughout the year.
 The farmers surveyed indicated that they chose crops to cultivate based on a
combination of factors, with the main factor being, knowledge & experience in the crops
cultivated. Other important factors in choosing the type of crops to cultivate are: to
supply orders; crops which require less labor; and crops which have strong year round
demand.
 Sixty-eight percent (68%) of these farmers are willing to cultivate crops which they are
not currently cultivating, if they are guaranteed prices higher than wholesale prices.
Seventy seven percent (77%) of the farmers currently cultivate more than one crop.

PROPEL Trinidad and Tobago Market Study 32


In terms of gender, 31% of farmers were female while 69% were male as illustrated in Figure 7:
Figure 7: Gender Composition of Farmers Who Participated in the Survey

Gender

31%

Female
Male

69%

The education level of farmers who participated in the survey was varied with 32% having
primary school education only, 44% having secondary education and 24% having tertiary level
education. This is represented in Figure 8:
Figure 8: Education Level of Farmers Who Participated in the Survey

Education Level

24%
32% Primary School Education

Secondary School
Education
Tertiary Education

44%

PROPEL Trinidad and Tobago Market Study 33


In terms of farmers experience in farming, 12% have been involved in farming for less than ten
years, while 88% have been farming for 10 years and over. This information is represented in
Figure 9:
Figure 9: Experience (years) of Farmers Who Participated in the Survey

Farmers' Experience (Years)

12%

Below 10 Years
Ten Years Or More

88%

With respect to cultivation technology, 12% of farmers surveyed used protected or semi
protected systems (greenhouse and hydroponics) while 88% used open land cultivation
systems. This is illustrated in Figure10:
Figure 10: Cultivation Technology Utilized By Farmers Surveyed

Cultivation Technology

12%

Protected System
Open Land

88%

PROPEL Trinidad and Tobago Market Study 34


6.2 Product Potential – Sweet Potatoes
Sweet Potato is rich in Vitamins A, C and B6
and has a high fiber content. More than 130
million tones are produced per year, with China
supplying about 80 per cent of the world’s
production. Nearly half of the sweet potatoes
produced in Asia are used for animal feed, with
the remainder are primarily used for human
consumption. Most sweet potato varieties are
ready for harvesting 4 to 5
months after planting.

6.2 a Production Trends


From the survey of farmers, three (3) farmers cultivated sweet potato as one of their primary
crops. One of these farmers has been able to maintain a consistent annual supply, while the
other two have not been able to maintain a consistent supply, mainly due to labor shortages
and floods.

Sweet Potato is a targeted crop in the National Food Production Action Plan of Trinidad and
Tobago. An increase in production has been projected as 13,090 tones at the end of 2015. To
achieve this goal, 121 hectares have been allocated to be distributed to farmers for sweet potato
cultivation. Most of these lands have already been distributed. There are also plans for the
research and development of high yielding, pest resistant, varieties of sweet potato with seven
new varieties expected to be introduced. Other aspects of the action plan for sweet potato
include: the development of investment profiles to assist farmers and entrepreneurs in making
investment decisions on the crop; and the introduction of specific post-harvest technology,
which includes the provision of cold storage and curing facilities specifically for root crops like
sweet potato.

6.2 b Varieties
Farmers try to choose varieties which are high yielding, have good shelf – life, and are resistant
to pests and diseases. The Ministry of Food Production has over 55 varieties in its possession.
The most popular variety grown in T&T is Chicken Foot. The shape of its leaf resembles a
chicken foot. The farmers who were surveyed also cultivated this variety.

6.2 c Competition
Sweet potatoes are on the front burner these days in a variety of trendy foods, from sweet
potato fries to sweet potato bread, cookies, muffins and smoothies. Local farmers receive
competition from sweet potatoes imported from St. Vincent, Guyana and Suriname. Because
these imported supplies are from CARICOM countries, no import duty or taxes are applied.

Figure 11 shows that there is a sizeable market for the imported sweet potato, but this is to
provide for excess demand, for which there is insufficient local supply. There is no evidence from
the data, that imported sweet potato is replacing the locally produced sweet potato. Figure 12
demonstrates that the local price is substantially lower (between 20 % - 30%) than the imported
price. From the survey of buyers in the previous phase, some buyers said that they preferred
the yam and dasheen from St. Vincent, but those same buyers said that they preferred the local
variety of sweet potato. However, there was consensus among buyers that the imported root

PROPEL Trinidad and Tobago Market Study 35


crops were better prepared for the market than the local root crops, especially in terms of
cleanliness. This clearly demonstrates that local sweet potato farmers need to pay closer
attention to post harvest activities to enhance their product quality.
Figure 11: Comparison of Local and Imported Sweet Potato by Quantity Between 2011 and 2013
at The Norris Deonarine Wholesale Market

1,600

1,400

1,200

1,000
Local
800
Imported
600

400

200

0
YEAR 2011 YEAR 2012 YEAR 2013
Source: NAMDEVCO (2014)

Figure 12: Comparison of Prices for Local & Imported Sweet Potato between 2011 And 2013
at The Norris Deonarine Wholesale Market

10
9
8
7
6
Local price
5
Imported price
4
3
2
1
0
YEAR 2011 YEAR 2012 YEAR 2013

Source: NAMDEVCO (2014)

PROPEL Trinidad and Tobago Market Study 36


6.2 d Size of Production Base for Sweet Potato
Recent information from NAMDEVCO revealed that there are 122 farmers cultivating sweet
potato in Trinidad with 53% of the farmers based in the county of Caroni and 32% in the county
of Victoria.

6.3 Product Potential – Watermelon


There are more than 500 varieties of watermelon grown worldwide.
Watermelon is a member of the cucurbitaceous family and is related
to the cantaloupe, squash and pumpkin. This commodity is harvested
approximately 80 to 90 days after transplanting. Watermelons are not
only delicious, but extremely healthy as well. They are rich in
potassium, vitamin C and a valuable source of lycopene. Research
indicates that lycopene is helpful in reducing the risk of cancers.
Qualified farmers are being allocated 20 hectares for increased
watermelon production under the National Food Production Action
Plan.
6.3 a Production Trends
From the survey of farmers, four (4) farmers cultivated watermelon as one of their primary crops
and one farmer cultivated it as a secondary crop. Sixty percent (60%) of these farmers have
been able to maintain a consistent annual supply, while forty percent (40%) have not been able
to maintain a consistent supply, mainly due to labor shortages and floods.

Figure 13 reveals that there is moderate fluctuation in the availability of watermelon for sale at
the Norris Deonarine Wholesale Market, which is the larger of the two wholesale markets in
T&T. This variation in quantity is mainly due to adverse weather in the respective years.

Figure 13: Quantity of Watermelon Sold Between 2007 and 2013


at The Norris Deonarine Wholesale Market

1000

900

800

700

600

500

400

300

200

100

0
YEAR 2007 YEAR 2008 YEAR 2009 YEAR 2010 YEAR 2011 YEAR 2012 YEAR 2013

Source: NAMDEVCO (2014)

PROPEL Trinidad and Tobago Market Study 37


6.3 b Varieties
Sentinel is the most popular variety of watermelon grown in T&T and also among the farmers
surveyed. This variety has a deep red interior with a crisp, juicy flesh. It is a high yielding variety
with vigorous vines that produce uniform fruit, weighing an average of 10 to 12 kilograms. Its
thick rind and oblong-blocky shape make Sentinel a good long distance shipper. The color of
the skin of the Paladin variety is green with dark-green stripes. The fruit is oblong with bright red
flesh. The thick density of skin means it can be transported easily and it is tolerant to disease.
The Top Gun variety has excellent seedling vigor and matures in approximately 83 days, with a
globe-shaped fruit and bright red flesh (average weight 10 kg). Tropical Gold is another known
variety, among local farmers.

6.3 c Competition
Competition in watermelon sales is limited to local farmers. Competition emerges, mainly in the
dry period, when there is a substantial increase in production. During the rainy season,
production falls because of adverse weather and therefore price increases. Competition from
imports is negligible, as only a small quantity of muskmelons and honeydew melons are
imported. Most of the restaurants, hotels, supermarkets and caterers either do not purchase
these imported commodities or utilize small quantities. The farmers surveyed indicate that
cultivation of watermelon generates much profit, but there is high risk of floods and losses
during the period from June to January.

6.3 d Size of Production Base for Watermelon


Recent information from NAMDEVCO revealed that there are 230 farmers cultivating
watermelon in T&T, with the highest concentration in the counties of Nariva/Mayaro (31%) and
Victoria (31%), both of which are located in South Trinidad.

6.4 Product Potential – Papaya (Paw-paw)

Papaya, also known as paw-paw, is popularly grown in the tropics. The fruit has a sweet taste,
high levels of antioxidant and is rich in vitamin C and amino acids. Fruit maturity occurs
approximately 8.5 months after seed germination.

6.4 a Production Trends


From the survey of farmers, six (6) farmers cultivated papaya as one of their primary crops. Fifty
percent (50%) of these farmers have been able to maintain a consistent annual supply while the

PROPEL Trinidad and Tobago Market Study 38


other fifty percent have not been able to maintain a consistent supply mainly due to labor
shortages and floods. Figure 14 demonstrates that the level of production available for sale has
fluctuated from year to year between 2007 and 2013 mainly because of adverse weather and
floods. Papaya farmers are being allocated 20 hectares of land for additional cultivation under
the National Food Production Action Plan.
Figure 14: Quantity Of Papaya Sold At The Norris Deonarine Wholesale Market ('000 kg)

400

350

300

250

200

150

100

50

0
YEAR 2007 YEAR 2008 YEAR 2009 YEAR 2010 YEAR 2011 YEAR 2012 YEAR 2013

Source: NAMDEVCO (2014)

6.4 b Varieties
Many varieties of papaya are grown in T&T, but the popular ones are Tainung No.1, Tainung
No. 2 and Red Lady. Tainung No. 1 is used in the fresh fruit market and also for processing. It
is similar to Tainung No. 2, except that it has a tougher skin. Tainung No. 2 is the preferred
variety for the fresh fruit market. It is medium size; oblong shaped and has an average weight
of 1.1 kg. This variety is also an early bearer, maturing in six months. Red Lady is large; oval
shaped and has an average weight of 1.8 kg. It is an excellent variety for processing.

6.4 c Competition
In 2011, imports of papaya to the region were recorded at 0.2 million kg, whereas exports
amounted to 65.1 million kg. The major exporting country being Belize, which accounted for
98.1% of the quantity exported. Barbados, the Bahamas and Antigua and Barbuda were the
major importers during the period 2004 – 2008 with imports of 83.2, 81.5 and 15.7 thousand kg
respectively.

The Competitiveness and Industry Development Strategy (Sing, R.H., Seepersaud, G and
Rankine, L. B. - 2007) commissioned by the CARICOM Regional Transformation Programme for
Agriculture on Papaya, found that the USA and the European Union dominated global imports,
accounting for 38% and 33% respectively. Canada imported a relatively smaller quantity,
accounting for 5% of global imports in value terms. Although opportunities exist in these
markets, the USA is clearly the most important market for CARICOM producers to target, given

PROPEL Trinidad and Tobago Market Study 39


the size of the market (USD 58.3 M), growth trends, and close proximity. The size of the
European Union market is estimated at USD 59 M. Within the EU, the United Kingdom market
is the most attractive for CARICOM exporters, due to a higher level of demand in comparison to
other EU countries and considering transportation logistics and cost. Canada also offers
opportunities for CARICOM producers, as it imports an estimated USD 10 M of papaya on an
annual basis.

Regional demand for papaya remains undersupplied. Papaya is viewed as an exotic fruit, and is
in demand by both the local population as well as the tourism sector. The potential opportunities
of exports within the regional market, is substantial. In T&T, during the survey of buyers, Hilton
Trinidad stated that from time to time they experience difficulty in procuring an adequate supply
of papaya.

6.4 d Size of Production Base for Papaya


Recent information from NAMDEVCO revealed that there are 184 farmers cultivating papaya in
Trinidad with the highest concentration in the county of Victoria (30%) which is located in South
Trinidad. The county of Caroni which is located in Central Trinidad has 21% of the farmers,
which is the second highest.

6.5 Product Potential – Hot Pepper

Hot Peppers contain capsaicin


which is used in a variety of
medicines to treat arthritis,
cancer, pain and a variety of
other ailments.
Peppers are also high in
vitamins A, B and C.
The pungent taste in hot pepper
is due to the chemical, capsaicin
and the ‘hotness’ in a variety is
measured by ‘ Scoville units’.
T&T is known for producing
some of the hottest peppers in
the world, with over 100,000 Scoville units. Hot pepper is also one of this country’s most
profitable export crops. The National Food Production Action Plan has projected that hot pepper
production would increase from 710 tons to 1,800 tones and has allocated 20 hectares to farmers
to increase production levels.

6.5 a Production Trends


From the survey of farmers, four (4) farmers cultivated hot pepper as one of their primary crops
and two (2) others cultivated it as a secondary crop. One-third of these farmers have been able
to maintain a consistent annual supply, while two-thirds have not been able to maintain a
consistent supply, mainly due to adverse weather conditions and floods.

Figure 15 demonstrates how the production of hot pepper fluctuated in T&T between 2007 and
2012. There was a steady increase between 2007 and 2010, but this was followed by a sharp
fall between 2010 and 2011 and 2011 and 2012.

PROPEL Trinidad and Tobago Market Study 40


Figure 15: Hot Peppers Harvested in Trinidad & Tobago Between 2007-2012

Hot Pepper Harvested In Trinidad & Tobago


('000 kg)
800
700
600
500
400
Hot Pepper Harvested In
300 Trinidad & Tobago ('000 kg)
200
100
0
YEAR YEAR YEAR YEAR YEAR YEAR
2007 2008 2009 2010 2011 2012

Source: Central Statistical Office, 2014

6.5 b Varieties
The West Indies Red and Hood are popular varieties cultivated by the farmers surveyed and are
also recommended by the Ministry of Food Production. Other varieties recommended by the
Ministry of Food Production are: Scotch Bonnet, CARDI Green and Faria Series.

6.5 c Competition
A large market exists for locally grown hot peppers in North America where more than 1,000
metric tons were exported over a ten-year period, according to local databases (Trinidad Express
Newspaper, 2010). Several research papers have stated that hot pepper from T&T has a
competitive advantage in international markets because of its high pungency.
A high demand exists for local hot peppers by the HVB surveyed for this study. Imported chili
peppers are the main competitor for the local hot peppers but the chili peppers are more
expensive and were not in high demand by the buyers surveyed. The level of competition is
stronger on the international markets.

6.5 d Size of Production Base for Hot Pepper


Recent information from NAMDEVCO revealed that there are 491 farmers cultivating hot
peppers in Trinidad, with the highest concentration in the county of Victoria (25%) which is
located in South Trinidad. The county of St. Andrew, which is located in East Trinidad, has 22%
of the farmers, which is the second highest.

A farmer from Caparo, said that he lost 1.6 hectares of hot peppers in the flood. "The peppers
were growing very well and it was almost time for harvesting when the rains came and the land
became waterlogged," he said. Jankie concluded the article, by deducing that local farmers are
willing to participate in shared initiatives, however, external conditions such as adverse weather
play a critical role in the success of these efforts to formalize the sector.

PROPEL Trinidad and Tobago Market Study 41


6.5e Case Study - Managing the Risks
A perspective on the efforts to increase the production base of hot peppers and develop
contractual relationships with HVBs was examined by Journalist, Ariti Jankie in 2010 in an
Article: Pepper Farmers Face the Heat and published in the Trinidad & Tobago Daily Express.
Jankie explained that a value chain arrangement set up by NAMDEVCO to supply hot peppers
on the international market suffered a serious setback, as a result of flooding in July 2010. The
value chain approach to production started with the farmers who were given a guaranteed price
of $8.80 per kilogram to supply hot peppers for the export market. A price of $6.60 per kilogram
was set for rejected peppers. The value chain began with the establishment of a Hot Pepper
Value Chain Committee, in collaboration with the Inter-American Institute for Cooperation on
Agriculture (IICA), at the start of the year. Quality seeds were distributed to nursery producers,
who supplied healthy plants to farmers. Hot pepper harvests were set to be collected at the farm
gate and taken away for packaging and export. However, Jankie elaborated that tragedy struck,
due to adverse weather conditions the fledging programme was severely impacted. A
Barrackpore farmer, who was a participant in the programme, lost most of his crop in the May
flood, along with 0.75 hectares. of cucumbers and 2 hectares of watermelon. Another farmer
expressed the view that the most difficult part of hot pepper production was the labor required to
pick the peppers.

6.6 Product Potential – Cucumber


Cucumber is a popular crop which can be grown throughout
the year in T&T. Cucumbers belong to the same plant family
as squash, pumpkin, and watermelon (the Cucurbitaceae
family) and are ready for harvest 50 to 70 days from
planting. Cucumber is a nutritious vegetable with vitamins
C, B and K, plus copper, manganese and potassium. Over
95% of the crop is grown under the open-field system. The
average farm size is about 0.25 hectare (CARDI, 2013). The
traditional use of cucumbers in the market include: fresh and
grilled salads; garnishes; and pickled preparations. The cucumber produce is in demand by all
the HVB segments.

6.6 a Production Trends


From the survey of farmers undertaken for this study, sixty-seven percent (67%) of the farmers
cultivating cucumber indicated that they have not been able to maintain a consistent supply
because of floods or adverse weather, and to a lesser extent, labor problems. One farmer, who
sells to the Subway chain of restaurants via a distributor, indicated that he moved from open
land cultivation to the greenhouse system to alleviate these difficulties and this has allowed him
to provide a consistent supply of cucumbers, both in quantity and quality. However, initially he
encountered problems by purchasing an inappropriate greenhouse design, which had to be
rectified. CARDI (2014) stated that many farmers have not been able to achieve the potential of
protected agriculture because of purchasing inappropriate designs of protected structures for the
climatic conditions of the region and production practices.

Figure 16 demonstrates how the production of cucumber in T&T fluctuated from year to year
mainly due to adverse weather conditions. Production also decreased substantially from
2,557,000 kg in 2007 to 1,232,000 kg in 2011 with a gradual rise in 2012 to 1,392,000 kg.

PROPEL Trinidad and Tobago Market Study 42


Figure 16: Cucumbers Harvested in Trinidad & Tobago Between 2007 and 2012

Cucumbers Harvested In Trinidad & Tobago


('000 kg)
3,000

2,500

2,000

1,500
Cucumbers Harvested In
Trinidad & Tobago ('000 kg)
1,000

500

0
Year Year Year Year Year Year
2007 2008 2009 2010 2011 2012
Source: Central Statistical Office, 2014

6.6 b Varieties
According to CARDI (2013), the popular varieties in this country are the local type (slicing type)
followed by Ashley and Gemini. The farmers surveyed cultivated the Expedition variety.

6.6 c Exports
T&T is not a major importer of cucumbers. All of the supermarkets, hotels, restaurants and
Caterers that participated in the survey purchased locally produced cucumbers. The National
Food Action Plan postulates that cucumber is a produce with export potential. In addition, the
National Plan has projected cucumber production of 17,600 tons in 2015 and has allocated 10
hectares for protected cucumber cultivation. Trinidad continues to export a sizeable amount of
cucumbers mainly to Barbados as follows:

Year 2006 2007 2008 2009 2010


Kilograms 43,000 190,000 245,000 299,000 249,000
Source: UN International Trade Centre, 2013

The main problem affecting the ability of local cucumber farmers to serve the HVB is lack of a
consistent supply due to floods or adverse weather. As a result, the HVB prefer to transact
business with distributors, who search and source the commodity from the wholesale markets or
from farmers not affected by the floods.

6.6 d Size of Production Base for Cucumber


Recent information from NAMDEVCO revealed that there are 266 farmers cultivating cucumbers
in T&T, with the highest concentration in the county of St. Andrew (44%) which is located in East
Trinidad. The county of St. George which is located in North Trinidad has 19% of the farmers
which is the second highest.

PROPEL Trinidad and Tobago Market Study 43


6.7 Product Potential – Cabbage

Cabbage Growing In A Greenhouse In Trinidad

Cabbage is classified as a leafy vegetable and is usually green or purple in color. It is a good
source of dietary fiber, vitamins A, B6, C and K, as well as folate, potassium, calcium,
magnesium and iron. Cabbage has a fairly short crop cycle of 12 weeks after transplanting and is
therefore an excellent cash crop for farmers. The traditional use of cabbage includes: fresh and
chilled salads; coleslaw; and additions to other vegetable side dishes in HVB operations.

6.7a Production Trends


Two of the farmers surveyed cultivated cabbage as their main crop and two other farmers
cultivated cabbage as a secondary crop. Seventy-five (75%) of the farmers indicated that they
have not been able to produce a continuous supply throughout the year, because of adverse
weather, labor shortage and in one case, praedial larceny. All the farmers surveyed had open
land cultivation as the main method of cultivation.

6.7 b Competition
Figures 17 and 18 demonstrate the strong competition between locally produced cabbage and
imported cabbage. In 2010, the amount of imported cabbage sold at the country’s largest
wholesale market represented 95% of the total quantity of domestic cabbage sold (i.e. almost the
same amount was imported as was produced locally). In 2011 and 2012 it was 87%. The
reasons for the large quantities of imported cabbage are: to meet shortages in domestic supply;
and that imported cabbage is available at a lower price than the local cabbage. From the survey
of buyers, at least 50% showed a preference for imported cabbage from the USA and Canada
over the local cabbage, because of better shelf life and no pesticide residue.

Cabbage has not been included as a priority crop for increased production under the country’s
National Food Production Plan for 2015.

PROPEL Trinidad and Tobago Market Study 44


Figure 17: Quantity of Local Cabbage Versus Imported Cabbage Sold
at the Norris Deonarine Wholesale Market Between 2010 and 2012

900

800

700

600

500
Local
400
Imported
300

200

100

0
YEAR 2010 YEAR 2011 YEAR2012

Source: NAMDEVCO, 2013

Figure 18: Price of Local Cabbage Versus Imported Cabbage Sold


at the Norris Deonarine Wholesale Market Between 2010 and 2013

9
8
7
6
Average Price - Local
5 Cabbage
4 Average Price - Imported
Cabbage
3
2
1
0
YEAR 2010 YEAR 2011 YEAR 2012

Source: NAMDEVCO, 2013

PROPEL Trinidad and Tobago Market Study 45


6.7 c Varieties
Tropicana was the most popular variety grown among the farmers surveyed. Tropicana is well
adapted to tropical areas. The cabbage head is green, semi flat and compact. The crop
matures in approximately 65 days after transplanting.

6.7 d Size of Production Base for Cabbage


Recent information from NAMDEVCO revealed that there are 118 farmers cultivating cabbage
in T&T with the highest concentration in the county of St. George (47%) which is located in
North Trinidad.

6.8 Product Potential – Lettuce

Hydroponics uses water & minerals rather than soil to grow plants

Lettuce has a short crop cycle, usually harvested 4 to 6 weeks after transplanting, and is
therefore an excellent cash crop. Lettuce belongs to the family, Asteraceae and is not related to
the Cruciferae groups such as cabbage and broccoli. It is a good source of dietary fiber,
calcium, iron and vitamins A, B, C and E. Traditional use of lettuce in T&T includes: fresh and
chilled salads; and garnishes.

6.8 a Production Trends


Three of the farmers surveyed cultivated lettuce as their main crop, and two other farmers
cultivated lettuce as a secondary crop. Sixty (60%) of the farmers indicated that they have not
been able to produce a continuous supply of lettuce throughout the year because of adverse
weather. These farmers cultivate lettuce on open land and often experience problems such as
flooding. One farmer, who utilizes the hydroponic technology, said that this system has allowed
him to achieve a consistent supply both in terms of quantity and quality.

The local Guardian Newspaper (2012) highlighted a father and son success story in the
cultivation of lettuce. These farmers transformed their lettuce farm from open land cultivation to
the hydroponic system on 0.6 hectares land. In 2012, they produced 40,000 heads of lettuce per
month and supplied this country’s established supermarkets and restaurants. They said that the
hydroponic system allowed for greater control of the plant and thus final product quality is better.
This differentiation has given them a clear advantage over other farmers. They also attributed
their marketing skills and post-harvest techniques as other advantages. For example, their
lettuce is placed in a clear plastic bag with their own brand label for identification as well as a
barcode, which is an added advantage when selling to supermarkets.

Figure19 demonstrates how the production of lettuce in T&T has consistently increased from
2007 to 2012. This rising production in lettuce could be due to the gradual increase in farmers
who are cultivating lettuce under protected systems as opposed to open land cultivation.
PROPEL Trinidad and Tobago Market Study 46
Figure 19: Production of Lettuce Between 2007-2012 in Trinidad and Tobago

Lettuce Harvested In Trinidad & Tobago ('000 kg)


2500

2000

1500
Lettuce Harvested In
1000 Trinidad & Tobago
('000 kg)
500

0
YEAR YEAR YEAR YEAR YEAR YEAR
2007 2008 2009 2010 2011 2012

Source: Central Statistical Office, 2014

6.8 b Competition
All of the HVB have a strong demand for lettuce to use in their operations. Lettuce has been
identified, in the National Food Production Action Plan, as a crop to increase production for local
consumption to meet the increasing demand. The proposed production target is from 1,394 tons
to 1,500 tons at the end of 2015. To achieve this target, the plan has included an allocation of 5
hectares for cultivation of lettuce under protected agriculture.

The average price obtained for lettuce, at the Norris Deonarine Wholesale Market in 2013, was:
$3.06 for a small head of cabbage; $4.22 for a medium head; and $5.23 for a large head.
Imported lettuce was not sold at the wholesale market. However, Subway which is the largest
purchaser of lettuce in Trinidad, imports most of its requirement because in the past the
business complained of inconsistent supplies from local farmers. Farmers are seeing the
opportunity to generate substantial profit from lettuce cultivation and an increasing number are
investing in protected systems and hydroponic systems.

6.8c Lettuce Varieties


There are two major types of lettuce, namely Loose-leaf and Crisp head (Iceberg) types.
Examples of loose-leaf varieties are: Green Mignonette; and Bronze Mignonette. Some
common crisp head or iceberg varieties are: Trinity; Trinity Star; Lyra; Emperor; and Sahara.
Farmers surveyed cultivated the following varieties: Trinity; Lyra; and Eden.

6.8 d Size of Production Base for Lettuce


Recent information from NAMDEVCO revealed that there are 172 farmers cultivating lettuce in
T&T, with the highest concentration in the county of St. George (67%) which is located in North
Trinidad.

PROPEL Trinidad and Tobago Market Study 47


6.9 Product Potential – Pimento

In T&T, pimento is known as a seasoning pepper and it is


frequently used for making mild sauce, salsa and in
cooking preparations. Pimento production commences
approximately 2 months after transplanting. The crop can
last for over one year depending on the level of
maintenance undertaken. However, the size of the pepper
gradually decreases after six months. Pimento farmers
either choose a well-developed pimento from a previous
crop or utilize their seeds for setting up nurseries, or, they
purchase hybrid seeds from the agricultural shops.
Technisem is the most popular hybrid seed for pimento
production on the local market and is known for producing a sizeable pimento.

6.9 a Production Trends


Three of the farmers surveyed cultivated pimento as one of their main crops, and two other
farmers cultivated pimento as a secondary crop. Forty percent (40%) of the farmers have been
able to maintain a consistent production over the last two years, and sixty percent (60%)
indicated that they have not been able to produce a continuous supply throughout the year
because of labor shortages, pest and disease, and in one case, personal problems. All the
farmers surveyed cultivated the pimento on open land. The buyers, surveyed in the previous
phase of this project, were satisfied with the quality of pimentos being supplied to them. In most
cases, they are supplied by distributors who purchase from local farmers.

6.9 b Competition
Pimentos are not 'hot' and therefore do not compete with hot peppers The primary substance
that controls "hotness" in peppers is called capsaicin, and it is found in very small amounts in
pimento. Pimento has a unique taste and has no direct competition. It is a high demand
seasoning pepper by local supermarkets, hotels, restaurants, caterers, certain exporters and
households. The price paid by supermarkets, hotels, restaurants and caterers, are in most
cases, higher than the price obtained at the wholesale market.

6.9 c Varieties
Information from the farmers surveyed revealed that seeds for planting pimento nurseries are
obtained from two sources. They are a hybrid variety available at the agro shops and seed
extracted from a previous crop.

PROPEL Trinidad and Tobago Market Study 48


6.10 Product Potential – Tomatoes
Tomato is a major crop, which can be grown
throughout the year, in T&T. It is harvested 8
– 9 weeks after being transplanted, and one
plant can yield 4 – 6 kg of fruit. Tomatoes are
rich in vitamins A and C and lycopene. Most
of the crop is grown under an open-field
system, but over the last few years, there has
been some production utilizing protected
systems. The average area cultivated by an
individual farmer is about 0.5 hectare (CARDI,
2013).

6.10 a Production Trends


The production of tomato in T&T fluctuates from year to year, mainly due to adverse weather
conditions. From the survey of farmers undertaken for this study, seventy-five percent (75%) of
the farmers cultivating various crops indicated that they have not been able to provide a
consistent supply of fresh produce because of one or more of the following reasons: flood,
adverse weather (prolonged period of high temperature or excessive rainfall), labor shortages
and to a lesser extent pest and disease.

Figure 20 illustrates the level of fluctuation in tomato production between the years 2007 and
2012.
Figure 20: Production of Tomatoes Between 2007-2012 in Trinidad and Tobago

Tomatoes Harvested In Trinidad & Tobago ('000 kg)


4,000

3,500

3,000

2,500

2,000
Tomatoes Harvested In
1,500 Trinidad & Tobago ('000 kg)

1,000

500

0
Year Year Year Year Year Year
2007 2008 2009 2010 2011 2012

Source: Central Statistical Office, 2014

PROPEL Trinidad and Tobago Market Study 49


In 2007, the amount of tomato harvested was 3,589,000 kilograms followed by a significant drop
in 2008 when only 1,867,000 kilograms were harvested. A similar pattern continued in subsequent
years. Tomato is grown on various plot sizes from 0.1 hectare to 2 hectares.

From the survey of farmers it was found that 100% of the farmers who cultivated tomato, as their
main crop, used a phased strategy, in an effort to achieve continuous production. Their bearing
plots ranged from 0.1 hectare to 0.8 hectare. The varieties cultivated by the farmers in the survey
are Delhi, Dianne and NS501. However, CARDI (2013) stated that the most popular variety of
tomato grown in the country was Hybrid 61, followed by Heat Master. The Ministry of Food
Production has recommended the following varieties for local production: Royal Pearl; Royal
Gold; Chandini; Dianne; Hybrid 61; and Akash.

6.10 b Imports
Available import statistics reveal that the amount of tomato imported by T&T between 2006 and
2010 is as follows:

Year 2006 2007 2008 2009 2010


Kilograms 218,000 509,000 436,000 389,000 955,000
Source: UN International Trade Centre, 2013

Tomato farmers indicated that most of the importation of tomatoes occurs during periods of
shortage, caused mainly by floods, which result in sharp price increases for the commodity. Over
95% of the imports are from the USA, and to a lesser extent Canada. Local production is more
reliable in the dry period between February and May. Floods can occur anytime between June
and January. The average price of tomato in the dry period is usually about 50% less than in the
wet season. As a result, only a minimal quantity is imported during this period.

6.10 c Exports
T&T also exports tomato to other countries in the Caribbean Common Market (CARICOM), mainly
Barbados. The tomatoes exported to Barbados must be sourced from farms certified by
NAMDEVCO, which is a condition under the Agricultural Trade Protocol between T&T and
Barbados. The following tomato exports have been undertaken between 2006-2010:

Year 2006 2007 2008 2009 2010


Kilograms 237,000 179,000 293,000 322,000 493,000
Source: UN International Trade Centre, 2013

The main problem affecting the ability of local farmers to serve the HVB is lack of a consistent
supply which is strongly supported by the aforementioned statistics from the Central Statistical
Office, as well as the survey results undertaken for this study.

6.10 d Size of Production Base for Tomato


Recent information from NAMDEVCO revealed that there are 121 farmers cultivating tomato in
T&T.

PROPEL Trinidad and Tobago Market Study 50


6.11 Product Potential – Sweet Peppers

Sweet pepper is one of the major crops grown in T&T. Most of the crop is
grown under the open-field system, but over the last few years, there has
been some production in greenhouses. The average area cultivated by an
individual farmer is about 0.31 hectares (CARDI, 2013). The sweet
pepper is a crop identified in the National Food Action Plan to increase
production from 343 tons to 2,623 tones; and 20 hectares have been
identified and being allocated to farmers for sweet pepper production.

6.11 a Production Trends


The amount of sweet peppers purchased directly by wholesalers, distributors, roadside
vendors and to a lesser extent other buyers at the Norris Deonarine Northern Wholesale
Market in 2013 was 508,312 kg. Figure 21 illustrates the fluctuation in the amount of sweet
pepper sold at this wholesale market between 2010 and 2013.
Figure 21: Quantity Of Sweet Pepper Sold Between 2010 and 2013
at The Norris Deonarine Wholesale Market

Amount ('000 kg) of Sweet Pepper Sold at the Norris


Deonarine
Northern Wholesale Market
520
510
500
490
480
Amount ('000 kg) of Sweet
470 Pepper Sold at the Norris
460 Deonarine Wholesale
Market
450
440
430
420
Year 2010 Year 2011 Year 2012 Year
2013

Source : NAMDEVCO (2013)

6.11 b Imports

Available import statistics reveal that the amount of sweet pepper imported by T&T between
2006 and 2010 is as follows:

Year 2006 2007 2008 2009 2010


Kilograms 75,000 121,000 176,000 201,000 285,000
Source: UN International Trade Centre, 2013

PROPEL Trinidad and Tobago Market Study 51


The import data reveals that there is a consistent increase in imports from 2006, which is an
indication of the increasing demand for sweet peppers in this country. Over 90% of the imports
are from the USA and to a lesser extent Canada and Jamaica. The majority of the imports occur
in the wet season. The average price of locally produced sweet peppers at the Norris Deonarine
Wholesale market in 2013 were $11.23/kg for small, $13.96/kg for medium and $16.21/kg for
large. The average price of the imported sweet peppers, at this same market in 2013, was
$16.47/kg. Over 70% of the buyers in the survey purchased the local sweet peppers. The
buyers who purchased the imported sweet pepper mainly sought the red and yellow
colors/varieties. Those buyers said that red and yellow are in limited supply in this country, as
most farmers grow the green variety.

Statistics on the annual quantity of sweet pepper harvested in T&T reveal that there is high
fluctuation from year to year. From the survey of farmers undertaken for this study, seventy-
five percent (75%) of the farmers indicated that they have not been able to provide a
consistent supply of fresh produce because of one or more of the following reasons: flood;
adverse weather (prolonged period of high temperature or excessive rainfall); pest and disease;
and labor shortage. This is illustrated in Figure 22:

Figure 22: Sweet Peppers Harvested in Trinidad & Tobago Between 2007-2012

Sweet Peppers Harvested In Trinidad & Tobago ('000 kg)


600

500

400

300 Sweet Peppers Harvested


In Trinidad & Tobago
200 ('000 kg)

100

0
Year Year Year Year Year Year
2007 2008 2009 2010 2011 2012

Source: Central Statistical Office, 2014

CARDI (2013) stated that King Henry is by far the most common variety grown in T&T, followed by
Paladin and King Arthur. From the survey undertaken for this study, one established greenhouse
farmer, who supplies a supermarket chain, cultivates the California Wonder. CARDI (2013) also
revealed that eighty-one percent (81%) of the sweet peppers purchased by supermarkets, hotels
and restaurants are Green followed by Mixed (11%), Red (4%) and Yellow (4%).

The main problem affecting the ability of local farmers to serve the high value buyers is lack of a
consistent supply which is strongly supported by the aforementioned statistics from the Central
Statistical Office, as well as the survey results undertaken for this study.

PROPEL Trinidad and Tobago Market Study 52


6.11 c Size of Production Base for Sweet Pepper
Recent information from NAMDEVCO revealed that there are 245 farmers cultivating sweet
pepper in T&T, with the highest concentration in the county of St. George (49%) which is located
in North Trinidad followed by the Victoria County (29%).

7 ENVIRONMENTAL CHALLENGES & OPPORTUNITIES

The following constraints and challenges were noted from the research:

1. Production Constraints: Inconsistent supply due to adverse weather, floods, labor


shortages, pest and disease, and to a lesser extent praedial larceny and irrigation. In
many cases cultivation is done in areas that are prone to flooding. Deputy Director at
the Ministry Of Food Production stated that farmers should use NAMDEVCO’s packing
houses to store produce when there is high production, as this will help to ensure
consistency of supply to customers during periods of shortage on their farm. At present
NAMDEVCO have two packing houses, one in North East Trinidad and one in the South.
Several more are in the process of being established, including one soon to be opened in
Central Trinidad.
2. Product Quality: 81% of the producers/farmers surveyed are certified by NAMDEVCO,
which is an indication that they are among the better farms in the country. Most of these
farmers pay attention to basic quality issues and post harvest activities. Although there is
room for improvement, their produce is generally of acceptable quality. However, Deputy
Director at the Ministry Of Food Production stated that a major problem among the wider
population of farmers is poor post-harvest management, which results in bruising of the
produce which causes a poor quality final product.
3. Marketing: Thirty-one percent (31%) of the farmers surveyed sell to a HVB or tried to
obtain a higher price than the wholesale price by retailing at the Farmers’ Market. Sixty-
nine percent (69%) of the farmers either sold at the existing wholesale price or below the
wholesale price, in order to dispose of their produce speedily. These statistics indicate
that farmers are not making an adequate marketing effort to maximize their profit. In order
to change this mindset, farmers need mentors who can work with them on a one-to-one
basis.
4. Record Keeping: Thirty-five (35%) of the farmers surveyed kept written financial and
production records. There is a correlation, in that the 31% of farmers, who try to maximize
their profit by obtaining prices higher than the wholesale price for their produce, also fall
within this 35% category. Sixty-five percent (65%) of the farmers do not calculate their
unit cost of production. They determine their profit or loss mentally. Mentors can help
farmers to develop a business approach to managing their farms.
5. Challenges In Selling To High Value Buyers (From The Farmers’ Perspective):
Nineteen percent (19%) of the farmers, who previously sold to high value buyers, said
that they had adverse experiences as follows: a credit period of one month or more
affects the farmers’ cash flow; refusal to accept agreed volumes during periods of low
demand, such as just after Christmas causes farmers to suffer losses; long waiting time
when deliveries are being made; and disagreement on acceptable quality. These farmers
want these contentious issues clarified before any relationship can be developed.
Twelve percent (12%) of the farmers stated that there should be a clause in the
agreement between buyers and sellers to cater for periods when the farmer is unable to
supply because of circumstances beyond their control such as floods and praedial
larceny. However, 81% of the farmers surveyed are receptive to selling to the HVB, if
they can obtain a substantially higher price than the prevailing wholesale price.
PROPEL Trinidad and Tobago Market Study 53
6. T&T has experienced boom and bust cycles. The country has enjoyed an economic
boom for the past twelve (12) years, facilitated by high energy prices. This strong
purchasing power within the economy has led to a rapid expansion of HVB and
consequently, a greater demand for fresh produce. The sharp decreases in oil and gas
prices, over the past three (3) months, can have a dampening effect on the country’s
economy, if this trend continues. In such a situation, farmers may have to modify their
business models and pursue export opportunities to maximize their profits. Caribbean
countries currently have Free Trade Agreements with the USA, Canada and the
European Union.

7.1 Environmental Enablers & Opportunities


The following enablers and opportunities can inspire further development in the local agricultural
sector:
1. Strategic Plan for The Agricultural Sector - The Government of Trinidad and
Tobago has stated that improving the country’s food security is a top priority. The
Ministry of Food Production, Land and Marine Affairs has developed and
implemented components of the National Food Action Plan 2012-2015. Significant
initiatives include: land allocation; provision of planting materials; investments in
post-harvest technology and systems; encouragement for the use of protected
systems; improving the farm certification process; and improving agricultural and
marketing infrastructure. Subsidies are also granted to farmers for the purchase of
farm vehicles, farm equipment and land preparation.
2. Institutional Support - The support for agricultural ecosystems is diverse and
spans public and private sector agencies. The main agency supporting the
marketing needs of the sector is NAMDEVCO. Apart from its NAMIS system,
NAMDEVCO is the implementation arm for farm certification, which is a prerequisite
for exporting. It also conducts marketing research and provides storage/packing
facilities. NAMDEVCO is posited to play an important role in the further
advancement of the sector. The organization is currently expanding the number of
packing and cold storage facilities closer to production areas. There is potential for
NAMDEVCO to establish a centralized database for the identification of certified
farmers. These farmers can then be connected to HVBs to initiate the trading
process and the agency can act as a trainer/project manager of the trade process.
The Agricultural Development Bank is another major support agency that provides
low interest loans, up to 80% financing for: start-up agricultural projects; expansion
and rehabilitation of an existing project; construction of farm buildings; and
infrastructure development.
3. Regulatory Factors - Local agricultural production is protected by an import duty
of 40% on supplies from extra-regional sources. Imports from within CARICOM are
free of duties; however, they are subject to phyto-sanitary and other measures as
stipulated by the agricultural trade protocols in place and also plant quarantine
regulations. The export of agricultural produce to CARICOM countries are subject
to meeting the entry requirements of the respective countries. Currently, T&T has
agricultural trade protocols with Barbados, Guyana and Antigua & Barbuda, which
regulate the trade in agricultural products with these countries. The protocol with
Antigua and Barbuda has not operated for a number of years because of an
agricultural trade suspension by that country due to the outbreak of Black Sigatoka
disease of Musa spp. in Trinidad. Agricultural produce can only be exported to
these countries providing it comes from farms certified and monitored by
NAMDEVCO. Under various free trade agreements, exporting fresh produce from
this country to the USA, Canada and European Union does not attract import
PROPEL Trinidad and Tobago Market Study 54
duties for many commodities. However, there are regulatory requirements. The
USA requires that the exporter registers with the Food and Drug Administration.
Exporting to the European Union requires a certificate of origin and there are also
strict requirements set out by the Canadian Food Inspection Agency similar to the
sanitary requirements of the USA and European Union.

8 RECOMMENDATIONS FOR PARTNERS AND PRODUCTS

 Buyers and Products with the best potential - The following nine (9) commodities
have been found to have the best potential for further expansion and leveraging with
the HVBs sweet potato; papaya; watermelon; lettuce; hot pepper; cucumber; pimento;
sweet pepper; and tomato. These products were selected because there has been a
trend of high demand over the past five years across all HVB segments. There is a
cumulative learning curve/experience by farmers in these produce sectors which can
lend itself to ramp up production. These produce have short – medium crop cycles so
farmers can see the immediate benefits of focusing on them and reaping profits.
Farmers are interested in shifting or upgrading their operations to facilitate these crops
as a primary activity. Although papaya has a slightly longer crop cycle, research has
shown that it has strong local demand among the HVBs and has excellent export
potential.
 Conditions required to make the products competitive - In suggesting conditional
changes to improve produce competitiveness, there needs to be both internal and
external context changes.
• A) Internal (from the farmer perspective) require a shift of models from a
subsistence player to an active entrepreneur who invests resources on profit
based projections. Farmers would have to be trained in basic entrepreneurial
and management skills and have access to mentors. This will improve their
operations on a consistent basis and will help develop characteristics of a
credible producer in order to woo and sustain business relationships with the
HVB. Another internal enabler is the gradual shift to protected agriculture
among the farmers who are willing to enter HVB relationships. From the
empirical research, it was revealed that farmers, who employ greenhouses
and hydroponics as methods of production, have higher yields and better
qualities. Farmers can be encouraged to take advantage of incentives that
are being offered by the Ministry of Food Production and the Agricultural
Development Bank to introduce greenhouse methodologies in their
operations.
• B) External enablers will include ongoing educational campaigns to “Buy
Local” and foster a sense of pride in local produce and inputs. Farmers can
also be profiled and NAMDEVCO’s centralized database for grouping farmers
by produce, volume, time of harvest & price points can be updated to
facilitate the value chain process. Post-harvest techniques and quality
assessments need to be built into the operations of farming enterprises to
ensure there is consistency of quality, quantity and reliability of production in
order to secure contracts.
 Conditions to build sustainable linkages between buyers and producers - Further
research/study needs to be undertaken within the produce specific sectors to identify
and engage both farmers and HVB as parties that are interested in participating in
specific contractual obligations under required terms and conditions.
PROPEL Trinidad and Tobago Market Study 55
9 APPENDIX ONE

Survey Instruments Utilized for the Market Study

MARKET SURVEY QUESTIONNAIRE

For

Promotion of Regional Opportunities for Produce through Enterprises


and Linkages

Funded by:

Canadian Department of Foreign Affairs, Trade & Development (DFATD) and the
Canadian Hunger Foundation (CHF)

November, 2014

PROPEL Trinidad and Tobago Market Study 56


I. IDENTIFICATION CHARACTERISTICS

A. NAME OF ESTABLISHMENT: Grafton Beach Hotel

B. TYPE OF ESTABLISHMENT

Supermarket  Restaurant  Hotel  Exporter  Processor 





C. ADDRESS:

D. TEL : FAX : EMAIL

E. CONTACT PERSON: POSITION :

II. GENERAL INFORMATION

1. How does your company currently source fresh produce supplies?

Purchase directly from market 

Wholesaler/Middleman 


Farmer 

Other

PROPEL Trinidad and Tobago Market Study 57


2 a. Is most of the fresh produce purchased by your company grown locally or imported?
Local  Imported  Not sure 

2 b. If you know the answer to question 2, approximately what % is local?

3. Is the fresh produce purchased by your company delivered or collected and in what form?

a) Delivered to your business 



b) Collected from the farm gate 

c) Bulk  Packaged 

d) Graded 

e) Labeled 

4 a. Does your company offer a contract to suppliers?

Yes  No 

4 b. If no, please state reason (s)

5. How many suppliers your company changed over the last 24 months?

6. What are your company’s payment terms?

Cash on Delivery Yes  No 

Credit- Duration  2weeks monthly Other

7. Does your company pay a fixed price for fresh produce?

Yes  No 

8. If the answer to the above question is yes, for what period of time is the price fixed?

Monthly  Quarterly  Semi-annually  Annually 



9. If the answer is no, then how does your company determine your price?

10. What are the factors influencing your company’s purchasing decision:

PROPEL Trinidad and Tobago Market Study 58


 Prices Quality of produce Consistency of supplies

 Payment terms Packaging options Delivery to outlet

 Grading Other

11. How does your company access information relating to the fresh produce market?

12. Does your company currently purchase any of the following items? If yes, kindly indicate your
company’s preference, quantity and frequency of purchase?

ITEMS Description WEEKLY Percentage Average FREQUENCY


price
DEMAND Imported OF PURCHASE
a) Tomato  Slicing kg

 Cooking kg

b) Sweet Pepper  Red kg

 Yellow kg

 Green kg

c) Cabbage

d) Pumpkin

e) Squash

f) Eggplant Kg

g) Caraille Kg

h) Pigeon Peas Kg

i) Christophine

j) Pimento

k) Hot Peppers

PROPEL Trinidad and Tobago Market Study 59


l) Banana kg

Long type kg

m) Patchoi Bundle

n) Lettuce  Bronze Head

 Iceberg Head

 Other Head

o) Cauliflower Kg

p) Shadon Beni Bundle

q) Cilantro Bundle

r) Thyme Bundle

s) Yam Kg.

t) Sweet Potatoes Kg.

u) Dasheen Kg.

v) Cassava

w) Dasheen
Leaves

x) Cantaloupe Kg.

y) Pineapple Kg.

z) Limes

aa) Papaya Kg

Watermelon Kg

Plantain Kg

Cooking Fig Kg

PROPEL Trinidad and Tobago Market Study 60


13. Are there any other tropical vegetables or fruit that you currently purchase?

Description Weekly Demand Average price Frequency of


per unit Purchase

14. Are there any other items, that your company would be interested in purchasing?

Item Description Weekly Demand Average price Frequency of


per unit Purchase

15. Would your company be interested in linking directly with local farmers as part of the value chain
to purchase produce?

Yes  No 

Why?

16. Can you provide us with any trends you have observed regarding consumer demand for fresh
produce or general information on the market conditions for fresh produce?

PROPEL Trinidad and Tobago Market Study 61


FARMERS SURVEY QUESTIONNAIRE

For

Promotion of Regional Opportunities for Produce through Enterprises


and Linkages

Funded by:

Canadian Department of Foreign Affairs, Trade & Development (DFATD) and


the Canadian Hunger Foundation (CHF)

December, 2014

PROPEL Trinidad and Tobago Market Study 62


I. IDENTIFICATION CHARACTERISTICS

A. NAME OF FARMER:

B. Male  Female 

C. Education : Primary  Secondary  Tertiary 


D. ADDRESS:

E. TEL : FAX : EMAIL

F. How many years have you been involved in farming?

II. GENERAL INFORMATION

1. Type of Crops

N0. Type of Crop Acreage Average Number Of Average Where is


Cultivated Production Per Times Crop Price Per the
Acre Cultivated lb. or kg. Produce
Per Year Obtained Sold
1.

2.

3.

4.

5.

6.

2. What technology do you utilize in your farming operations?

Open Land Cultivation  Grow Box System  Greenhouse  Other

PROPEL Trinidad and Tobago Market Study 63


3. How do you decide which crops to cultivate?

Knowledge & Experience In Cultivating Crop (s)  To Supply Orders To Fulfill Contract

Based On Market Research  Easy To Cultivate & Maintain Crop (s) 

Favorite Crop (s) Other Reason

4. Would you be interested in growing any of the following commodities if you are currently not
growing it? Tomato  Sweet Pepper  Cucumber  Lettuce  Cabbage 
Pimento

Hot Pepper  Sweet Potato  Papaya  Watermelon 

Please state reason (s)

5. Have you ever sold fresh produce to one or more of the following buyer segments?

Supermarkets  Hotels  Restaurants Food Caterers


 Exporters Agro- Processors 

6. If your answer to question 5 is no, why?

7. If your answer is yes to question 5, what was your experience regarding the following :

Price Paid

Payment Terms

Quality of Produce

Frequency of Purchase

Delivery of Fresh Produce

Price Changes_

8. Have you ever supplied fresh produce under a contract arrangement? Yes No 

9. If your contract was terminated or not renewed state reasons?

PROPEL Trinidad and Tobago Market Study 64


10. What are the differences in selling your produce to the wholesale market and selling to a
Supermarket, Restaurant, Hotel or Food Caterer?

11. Do you know of NAMDEVCO’s Farm Certification Programme? Yes  No 



12. Is your farm certified by NAMDEVCO or any other institution? Yes  No 

13. If No, why?

14. Do you know the benefits of having your farm certified?

15. What types of farm records do you keep?

Sales  Expenses  Production  Other

16. Do you calculate any of the following?

Cost of production per lb. or kg. for each crop  Profit earned per crop 

17. How do you decide at what price to sell your fresh produce?

18. Over the last 2 years, have you been able to produce a consistent supply? Yes  No 

If no, state reasons

19. What post harvest activities do you undertake? (State emphasis using a score from 0 to 10 with 10
being the highest)

Procedure For Handling Produce With Care  Washing / Cleaning  Grading 


Proper Storage  Labeling  Packaging  Avoid bruising in transportation 

20. Have you ever attended any formal training courses in the cultivation or marketing of vegetables
or fruits?

PROPEL Trinidad and Tobago Market Study 65


21. Would you be interested in linking directly with supermarkets, hotels, restaurants or food
caterers as part of the value chain to sell produce? Yes  No 

Why?

22. Are you interested in being trained in one or more of the following areas?

Record Keeping  Marketing & Sales  Post Harvest Management  Costing &Pricing 

23. Do you produce your crops at a competitive cost when compared with local farmers and imports?
Yes  No 

24. How do you know?

25. What are some of the current problems that you experience?

Flooding  Financing  Labor shortage  Obtaining Buyers  Irrigation 


Other

26. What support do you need to improve your current production levels?

27. What would be the expected terms and conditions that you would like reflected in a supplier
contract with a Buyer?

PROPEL Trinidad and Tobago Market Study 66


10 APPENDIX TWO

List of Survey Participants

High Value Buyers (HVB) Surveyed

No. Name of Buyer Business Activity Research Conducted


1. A&D Export & Import Ltd. Exporter Survey participant
2. Challenge Marketing Ltd. Exporter Survey participant
3. Tropical harvesting Company Exporter Survey participant
Ltd.
4 King’s Foods (Tobago) Exporter Survey participant
5. Shahadat Ramlakhan Exporter Survey participant
6. Hilton Trinidad & Conference Hotel Survey participant
Centre
7. Grafton Beach Hotel (Tobago) Hotel Survey participant
8. Kapok Hotel Hotel Survey participant
9. Cara Suites Hotel Hotel Survey participant
10. Ambassador Hotel Hotel Survey participant
11. Hyatt Regency Trinidad Hotel Survey participant
12. Massy Stores (formerly Hi Lo Supermarket Survey participant
Food Stores)
13. Penny Saves Supermarket Survey participant
Supermarket (Tobago)
14. Tru Valu Survey participant
15. JTA Supermarket Supermarket Survey participant
16. Maharaj Westside Supermarket Supermarket Survey participant
Ltd.
17. Low Cost Supermarket Supermarket Survey participant
18. Market Movers Online Supermarket Survey participant
19. Xtra Foods Survey participant
20. Apsara Restaurant Restaurant Survey participant
21. Mario’s Pizza Pizza Restaurant Survey participant
22. Soong’s Great Wall Restaurant Restaurant Survey participant
23. Jenny’s Wok Restaurant Survey participant
24. Subway Fast Food (Sandwiches) Survey participant
Restaurant
25. TGI Friday Restaurant Survey participant
26. Papa John’s Pizza Restaurant Survey participant
27. Little Lai’s Chinese Restaurant Restaurant Survey participant
28. Ru Street Restaurant Survey participant
29. Low Wing Greens & Fruits Wholesaler Survey participant
30. Indra Samaroo Wholesaler Survey participant
31. SMJ Distributor To Massy Interview on sourcing
Stores and marketing fresh
produce
32. Hemraj’s Wholesale & Wholesaler / Distributor Interview on sourcing
Distribution and Marketing fresh
produce
33. Melvin Dubrie (Tobago) Distributor Survey participant
34. Boomerang Caterers Food Caterer Survey participant
35. Food Etcetera Ltd. Food Caterer Survey participant

PROPEL Trinidad and Tobago Market Study 67


36. Kater Serv (formerly Allied Food Caterer Survey participant
Caterers)
37. B&B Enterprises Ltd. Food Caterer Survey participant
38. National Canners Ltd. Agro- Processor Survey participant
39. D’Farmer’s Company Ltd. Agro-Processor Survey participant
40. Turban Marketing Agro-Processor Survey participant
41. Chief Brand Products Agro-processor Interview on buying
habits of fresh produce
42. Michelle’s Mini Mart Roadside Fruits & Interview on sourcing
Vegetable Outlet fresh produce
43. Pilgrim’s Mini Mart Roadside Fruits & Interview on sourcing
Vegetable Outlet fresh produce
44. National Agricultural Marketing State Organization Interview on the buying
And Development Company habits of exporters
45. Supermarket Association Of Representative body for Interview on the size of
Trinidad & Tobago supermarkets this sector and general
trends

PROPEL Trinidad and Tobago Market Study 68


Farmers Surveyed

No. Name Of Farmer; Sex; Age Main Crop; Variety & Acreage Secondary Crops Cultivated
& Farm Location
1. Farmer 1 – Female; 37yr; East Papaya - Tainung No. 2 Variety; Hot Pepper; Pimento
Trinidad 0.4 ha.
2. Farmer 2 – Female; 55yr; Tomato – Delhi; 0.2 ha & Eggplant
North Trinidad Cucumber – Atlantis; 0.4 ha.
3. Farmer 3 – Female; 28yr; South Lettuce – Eden & Trinity 0.1 ha; Patchoi, Cabbage & Chive
Trinidad Hot Pepper – West Indies Red;
0.1 ha.
4. Farmer 4 – Female; 46yr; East Pimento – 0.2 ha. Nil
Trinidad
5. Farmer 5 – Female; 44yr; Papaya - Tainung No. 2 Variety; Eddoes; Patchoi; Lettuce &
South Trinidad 0.4 ha. Pigeon Peas
6. Farmer 6 – Female; 42 yr; East Papaya - Tainung No. 2 Variety; Nil
Trinidad 0.4 ha; Watermelon – Palladin;
0.8 ha.
7. Farmer 7 – Female; 59yr; North Cucumber – 0.1 ha; Papaya – Nil
Trinidad 0.4ha.
8. Farmer 8 – Male; 58yr; East Watermelon; Sentinel & Tropical Tomato
Trinidad Gold; 2ha.
Hot Pepper (yellow & red); 1.2ha.
9. Farmer 9 – Male; 34yr; Central Sweet Potato – Chicken Foot; 1.6 Pumpkin
Trinidad ha; Papaya – No. 1 Tainung; 1 ha
Watermelon

10. Farmer 10 – Male; 51yr; South Cabbage – Tropicana; 0.2 ha; Nil
Trinidad Tomato – NS 501 variety; 0.4 ha.
11. Farmer 11 – Male; 42yr; North Lettuce – Lyra or iceberg variety; Papaya; Celery.
Trinidad; Tertiary education hydroponics system on 0.2 ha.
Pimento – Hybrid; 0.1 ha. (open
land)
12. Farmer 12 – Male; 52yr; Cabbage – Tropicana; 0.2 ha. Cantaloupe
South Trinidad; Secondary
Level Education
13. Farmer 13 – Male; 54yr; East Lettuce – Eden; 0.8 ha. Hot Pepper
Trinidad; Primary Level
Education
14. Farmer 14 – Male; 73yr; Sweet Potato; 0.4 ha. Pigeon Peas; Plantain; Cassava
South Trinidad; Primary
Education
15. Farmer 15 – Male; 34yr; South Hot Pepper – Moruga Red & Pimento; Pumpkin; Cucumber
Trinidad; Primary Education Yellow; 0.4 ha.

16. Farmer 16 – Male; 36yr; Tomato – Delhi; 0.2 ha. Bodi & Ochro
South Trinidad; Secondary
Level Education
17. Farmer 17 – Male; 58yr; West Cucumber – Expedition; 0.1 ha Sweet Pepper; Lettuce; Patchoi;
Trinidad; Post Secondary Level Greenhouse; Tomato – Dianne; Celery
0.1 ha Greenhouse
18. Farmer 18 – Male; 56yr; Sweet Pepper – California Nil
Central Trinidad Wonder; 0.4 ha. Greenhouse
19. Farmer 19 – Male; 54yr; Central Sweet Potato - Chicken Foot Watermelon; Papaya; Corn;
Trinidad Variety; 8ha. Pumpkin

PROPEL Trinidad and Tobago Market Study 69


20. Farmer 20 – Male; 37yr; Hot Pepper – Hood Variety; 0.6 Corn & Pumpkin
North Trinidad ha.
21. Farmer 21 – Male; 35yr; Sweet Pepper – 0.4 ha. Nil
South Trinidad
22. Farmer 22 – Male; 40yr; East Tomato – Delhi Variety; 0.8 ha; Sweet Pepper
Trinidad
23. Farmer 23 – Male; 65yr; East Cucumber – Expedition Variety Bodi, Ochro & Cabbage
Trinidad 0.1 ha; Tomato – Delhi & Dianne;
0.1 ha.
24. Farmer 24 – Male; 54yr; East Watermelon – Sentinel; 4.8 ha. Ochro & Cucumber
Trinidad
25. Farmer 25 – Male; 58yr; Lettuce – 0.1 ha; Iceberg patchoi
East Trinidad
26. Farmer 26 – Female; 35yr; 0.8 ha. Pimento Cassava
Central Trinidad

PROPEL Trinidad and Tobago Market Study 70

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