FOOD PRODUCTION UP, COST EFFECTIVENESS UNKNOWN

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By Floyd French

Observer Reporter

(Basseterre, St. Kitts) –  The Ministry of Agriculture has recently reported an increase in the production of food crops and livestock during 2007. A Government press release quotes Acting Director of Agriculture, Mr. Ashton Stanley, declaring 2007 as “a good one for food crop production bringing significant yields to most crop when compared to 2006.”

Despite this good news, a major question remains unanswered: What is the impact of increased production on food prices?

The Observer was unable to get an official from the Ministry of Agriculture to say how much concession or forgone tax revenue was given to stimulate the increase in production or whether these products competed unfairly with cheaper imports and whether farmers saw any increase in their income

Mr. Ashton reported a marked increase in the production of cabbage from 54,000 kilos to 81,000 kilos.  Carrot increased from 71,000 kilos to 80,000 kilos; onion increased from 19,000 to 22,000 kilos; sweet pepper went up from 30,000 kilos to 32,000; tomato production increased from 132,000 kilos to 141,000 kilos; white potatoes 110,000 to 126,000; peanuts up from 56,000 to 86,000; pineapple up from 53,000 kilos to 60,000 kilos and yam from 14,000 kilos to 15,000 kilos.  All increases reflect a comparison of 2007 production with 2006 production.

Watermelon production declined by 27, 000 kilos, only 100,000 kilos were produced in 2007 compared to 127,000 in 2006.  A reduction in the number of acreage allotted to this crop and crop failure were noted reasons for the decline.

The press release noted an increase of 50.2% in beef production, from 60,200 kilos in 2006 to 90,400 kilos in 2007.   The willingness of supermarkets to purchase local beef at a competitive and the ability of farmers to supply were cited as reasons for that increase.

However, mutton production was down from 9,700 kilos in 2006 to 8,600 kilos in 2007.  But pork and goat meat increased for the period of comparison from 73,900 kilos to 74,000 kilos and 12,100 to 14,600 respectively.

The recent farm bill fight between the US Congress and the Bush Administration highlights the need to focus on cost effectiveness.  The Bush Administration argues that the 2008 Farm Bill is too heavily subsidised after a record profit year for farm products in 2007.

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