The Grenada Association of Poultry Producers (GAPP) is grappling with significant financial difficulties as it strives to navigate both existing debt and the demands of an advance-payment system.
These challenges have been compounded by the recent revision and approval of the national poultry policy, which, while providing local farmers with a 40% market share, presents new obstacles for small-scale producers.
Newly elected GAPP President Jeremy Thomas addressed these concerns at the association’s annual general meeting in Grenville, St. Andrew last week.
He revealed that the association owes a substantial debt to the hatchery in Barbados, a burden exacerbated by the system requiring down payments for chicks up to six weeks in advance.
Orders for chicks are placed every other week, meaning that constant funding is required to maintain shipments.
An additional challenge comes from farmers occasionally canceling or postponing their orders, leading to excess chicks on delivery day.
In these cases, GAPP sells the surplus chicks on a deferred payment basis, further straining the cash flow situation.
However, there is some relief on the horizon, as the government has offered to cover the association’s debt to the hatchery, which exceeds EC$170,000.00.
Thomas expressed hope but remained cautious, stating, “I can only say that we would be grateful if the debt is covered, and we are patiently awaiting further developments on this matter.”
Even if the debt is resolved, GAPP still faces the challenge of increasing poultry production.
According to Poultry Development Officer Garvyn Pierre, under the newly approved poultry policy, local farmers must ramp up production to meet the target of eight (8) million pounds of poultry by 2027.
Currently, Grenada imports approximately US$9.7 million worth of poultry meat annually, with local producers only fulfilling 5% of the market demand, representing a significant drop from the 10% market share once occupied by local poultry farmers.
Another area of concern is the recent shortage of eggs on the island, largely due to the devastation caused by Hurricane Beryl, which resulted in a significant loss of laying hens, particularly in Carriacou.
Thomas noted that “the situation is particularly dire on the sister isle of Carriacou, where the majority of layers there were lost.”
“The decreased flock size has led to a decline in egg production as well as future egg production as many young layer chicks were lost,” he added.
In addition to these hurdles, GAPP must contend with the rising cost of freight, which has surged by “55%” over the past two years.
“We have witnessed a substantial increase over the past two years. In 2022, the average freight cost per box of 100 chicks was around $101.00, However, this cost has surged, and we are now observing an average freight cost of around $155.00 per box. This marks a staggering 55% increase over the last 2 years,” Thomas stated, emphasising the need to reduce chick imports in order to ease financial strain.
Despite these challenges, Thomas and his newly elected executive team, which includes Nugent Bernard as Vice President, Melinda Smith as Secretary, Loxley Dick as Assistant Secretary, and Iva Holas as Treasurer, remain committed to steering the association through this difficult period.
As of the 2012 Grenada Agricultural Census, there are approximately 450 poultry farmers on the island, directly employing over 750 people.
With government support and strategic planning, GAPP hopes to strengthen Grenada’s poultry industry and fulfill its role in the newly approved national policy, which was originally drafted in 2017.