The Tribune

• Aims to raise local output from 700k to 28m

• Minister: No 50% cut to food security spend

• Farmers to run initiative; no Gov’t take over

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Government has not cut food security funding by 50 percent but is instead reallocating financing to a $15m project designed to make The Bahamas self-sufficient in egg production, a Cabinet minister has revealed.

Clay Sweeting, minister of agriculture, marine resources and Family Island Affairs, revealed to Tribune Business that the ‘Golden Yolk’ initiative - which is due to launch today - is aiming to take domestic Bahamian egg production from 700,000 per year to 28m when complete and fully operational.

Suggesting that it would slash The Bahamas’ estimated $1bn food imports by around 1 percent, he explained that it will involve the provision of “climate smart grow houses” in both New Providence and the Family Islands to help create a sustainable domestic agriculture niche.

And, while the Government is seeking to provide the “enabling” environment, Mr Sweeting emphasised that it was not seeking to take over domestic egg production itself. Rather, he added that management and operational responsibility for the units will be “contracted out” to private farmers, who will also oversee egg sales to food distributors, wholesalers and retailers themselves.

Mr Sweeting spoke after the mid-year Budget, tabled in Parliament last week, revealed that the Ministry of Agriculture, Marine Resources and Family Island Affairs’ recurrent Budget allocation of $6.149m for food security - a topic much-discussed by the Davis administration as being among its key priorities - has been cut by more than 50 percent, shrinking by $3.098m to some $3.051m.

These monies appear to have been reallocated to the Bahamas Agricultural and Industrial Corporation (BAIC), which has seen its subsidy expanded by $2.081m to $7.081m, and the Bahamas Agricultural and Marine Science Institute (BAMSI), whose taxpayer support has been expanded by $1.15m to $7.626m.

It was unclear from the raw numbers whether responsibility for food security is being partially transferred these two agencies, but Mr Sweeting said this was the case - at least with BAIC - with which his ministry is teaming up on the ‘Golden Yolk’ initiative.

“Some of the funding we are utilising for the Golden Yolk project, which is in partnership with BAIC,” he told this newspaper. “It will probably be that allocation. It’s going to be a $15m egg project which will help to sustain The Bahamas at 100 percent egg production by the time that is completed. Some of the money we are utilising will be to assist that.

“None of our budget for funding food security has been reduced. The Government, especially the Prime Minister are very serious about food security.... We’re starting this project initially with funding from this Budget, and it will continue with the next Budget.”

Asserting that his ministry and associated agencies have been working intensely on developing the Government’s approach to food security, Mr Sweeting added: “Right now we produce 700,000 eggs country-wide. This project, when it’s completed, will provide over 28m eggs per year in-country.

“We would start with seven grow houses in New Providence, and expand to the Family Islands. Those in New Providence will be climate smart units, and will be contracted out to the farmers to run them. The Government is not going to run them.

“We are providing the environment for farmers to be successful. It will be similar to other countries where they are contracted out to farmers to manage the facility, and they sell the eggs to distributors in-country. At the end of the project, we should reduce imports by 1 percent.”

Mr Sweeting also disclosed that the Government has provided financing to BAIC for the acquisition of a new animal feed mill. “We ordered a new feed mill, and sent the funding to BAIC. They have charge of that. They have carriage of that,” he explained.

The minister declined to provide further details on the Golden Yolk project, such as the number of jobs it will likely create, number of islands that will be involved and the roll-out and completion timelines, saying he did not want to cut across today’s launch event.

The egg production initiative is part of efforts by the Ministry of Agriculture, Marine Resources and Family Island Affairs, and its associated agencies such as BAIC and BAMSI, to focus on so-called low hanging fruit niches and drive hard in those areas where it is believed domestic producers can grow to help The Bahamas become self-sufficient in that produce.

Food security has assumed increasing importance in the COVID-19 pandemic’s aftermath, with the resultant lockdowns and border closures that occurred in 2020 and parts of 2021 raising concerns about The Bahamas’ ability to feed itself when it has become so dependent on imports.

These fears were worsened by the food price inflation experienced post-COVID, with costs driven upwards by a combination of supply chain bottlenecks, worldwide production shortages and Russia’s invasion of Ukraine, which impacted vital commodities such as wheat/grain and sunflowers used for cooking oil.

However, not all are convinced that the Golden Yolk initiative does not represent an attempt by the Government to take over domestic egg production. Caron Shepherd, the Bahamas Agro Entrepreneurs Group’s president, told Tribune Business yesterday that she remains sceptical until full details on the project are unveiled.

Questioning why the Government simply does not invest in existing egg producers, she said: “The gist of what I’m getting is that the Government is getting into egg production and wants to hire the farmers to work for them. That is my understanding of what is being created, rather than making the farmers owners and operators of their own businesses, until I see something that nullifies that.

“All the farmers that we have in egg production, why can’t they invest in them and give them the opportunity to increase their farms, increase their production and produce more eggs. Why are we reinventing the wheel? Why not give them the financial backing to do what they are doing? My thing about is that we have egg producers already. Why not assist them with financial backing to be able to produce more eggs?

“The Government should be in place to facilitate the increased production of eggs, and put in policies that ensure the farmers have the wherewithal to do that, not getting into production themselves,” Ms Shepherd continued. “They now have BAMSI growing lettuce, selling lettuce, undercutting the farmers. They are selling at $1 and undercutting the farmers out there. Tell me why. Why is the Government competing with the farmers?”

She added that BAIC’s executive chairman, Leroy Major, had not responded to her inquiries on the Golden Yolk initiative. “My thing about it is: Give me the understanding of what is going on,” Ms Shepherd said. “Nobody wants to say what is going on. Whenever I see that like that, it means the Government is behind what is going on. I’ll be there today to understand what is going on.”