MOA Annual Review Grenada 2008

Page 46

Performance of the Nutmeg Subsector and Assessment and Impact of Supporting Statutory Association Nutmeg Subsector

Association in the year 2008.

T

Grenada Cooperative Nutmeg Association

he devastating impacts of Hurricanes Ivan and Emily crippled the Nutmeg Industry in Grenada. Compared to pre-Ivan levels, specifically in 2003, nutmeg export in 2008 represents a 86% decrease. Additionally, exports in 2008 compared to that of 2007 represented a 61% decrease. Similarly, foreign income earnings from exports in pre-Ivan decreased by 83% whilst in 2008 earning further depleted by 34% compared to earnings in 2007. Export sales plummeted from EC$9.5 million to EC$6.5 million in 2008.

Strategic Focus

main nutmeg producing areas are in St. Andrew and St. Patrick which account for approximately 64% of production. The industry remains critical, not only for rural development, but national development as well. Export of nutmeg and mace once held preeminence as the highest export commodity and represented over 65% of all agricultural exports in 2003 which generated revenue of EC$39.5 million (Central Statistics Office 2008; Pannel Kerr Foster 2008). Income from nutmeg export decreased in 2008 to a meager EC$6.5 million (Pannel Kerr Foster 2008). In 2008, rural communities received advances in the amount of $3 million, while in previous years, these communities received as much as EC$2 million per parish.

The Grenada Cooperative Nutmeg Association (GCNA) is a statutory organisation entrusted with the development of the Nutmeg Industry on the island. The strategic goals of the organisation is to increase production, international market share and to attract more profitable markets whilst maintaining high quality of nutmeg and mace to ensure that its main stakeholders, i.e. nutmeg farmers, receive maximum social and economical gains. The association is committed to the sustainable livelihood of members of the rural nutmeg producing communities. The key operations The GCNA implemented three (3) main of the association involve the purchase and activities to revitalize the nutmeg industry following the passage of Hurricane Ivan in export of locally produced nutmegs. 2004. The main thrust were in the areas of:

Nonetheless, there was a marginal increase recorded in nutmeg production in 2008 over the previous year, 1,197,241 lbs in 2007 as compared to 1,392,666 lbs in 2008. This represents a 14.03% increase in collection from growers. The Grenada Cooperative Nutmeg Association, the statutory body responsible for the industry, also manufactured 1,484.37 kilos of Over the years, a significant percentage nutmeg oil at the Marli Distillation Plant of rural people has depended heavily on 1) Propagation of nutmeg plants which was done in collaboration with the using 206,979 lbs of processed nutmegs. the nutmeg industry as a main source of Ministry of Agriculture. Under that livelihood; unfortunately, the breadbasket programme, twenty-five thousand The following assessment of the GCNA of many was deprived by the passage of (25,000) plantlets were distributed to provides a performance analysis of the Hurricane Ivan in 2004 which destroyed farmers. industry and an impact analysis on the over 80 % of the industry. Presently, the 2) The Land Clearing and Harvesting Programme which was extended to six farms in which 5,888 lbs of nutmegs were collected.

Nutmeg Exports in Value 2003-2008

$40

$39,543,742

Export value in $30 dollars Figure (Million)

12

$31,564,730 $26,139,252

$20 $8,645,803 $9,825,667

$10 $0

2003

2004

2005 Year

44

3) The Nutmeg Tree Clearing Loan Programme which assisted ninetythree (93) farmers who received a total of EC $61,444 under the Ministry of Agriculture soft loan scheme (AEDP).

2006

2007

$6,528,414 2008

Other notable interventions that were intended to support the revitalization efforts of the nutmeg industry include a grant of EC $ 91, 000 provided by the Grenada Rural Enterprise Development Project (G-REP) to support the Epicotyl Grafting Project intended to significantly boost the production of planting material and the assistance received by the International


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