1. Grenada Nutmeg Sector Development Strategy Presentation of the Grenada Nutmeg Sector National Coordinating Committee September 2012

2. Our Presentation  The Strategy and what it is all about  Results achieved so far – 2008 to 2012  Challenges  Your role

3. Introduction In 2009, with funding from the EU All ACP Agriculture Commodities Programme and with the collaboration of the International Trade Centre (ITC), the Ministry of Agriculture, the GCNA and other sector stakeholders, embarked on a comprehensive strategy for the development of the Grenada nutmeg industry

4. Why Nutmeg? INDUSTRY DEVASTATED BY HURRICAINES in 2004 & 2005 Social: Contributed to the livelhoods of aprox 1/3 of population particularly in the rural areas. All farmers in Grenada have NUTMEG trees Economic: Increase farmer earnings, stimualte and boost the rural economy, increase overall GDP, and increase investment by private sector (value addittion etc) – Linkage with all economic activities Cultural and Historic: NUTMEG IS part of Grenada’s history and culure

5. Nutmeg Sector Strategy  The Strategy was done using a market-led participatory stakeholder approach that focused on domestic, regional and international market opportunities  The Strategy is designed to guide and support the development of the nutmeg industry by providing a framework and a plan for implementation  The Strategy highlights all the actors in the value chain, existing resources, development activities and donor support

6. Stakeholder Driven 120 stakeholders came together to develop the Strategy Done by Grenadians for Grenada! We own it! We are responsible for its implementation

7. Strategy Objectives 1.Reinforce access to Market Information to enable better decision- making for the Sector 2.Reinforce capacity in G.C.N.A. to better compete and develop the Nutmeg Industry in Grenada 3.Increase quality and quantity of nutmeg and mace collected and supplied to G.C.N.A. 4.Improve access to finance for all stakeholders to facilitate sector operations and manage risk 5.Improve Cross Ministry co-ordination and public/private partnerships for better policy-making 6.Ensure the long term sustainability of the Nutmeg Industry in Grenada

8. Vision A world leading Industry by 2015 recognized for its top quality nutmeg, mace and value added products contributing to the sustainable livelihood of the people of Grenada

9. Grenada Nutmeg Sector National Coordinating Committee Dr. Guido MarcelleChairman, Pharmacogonist, Farmer Mr. Cosmos JosephIICA Representative Mr. Daniel LewisMinistry of Agriculture Mr. Gregory del SolMinistry of Agriculture Mr. Ronald O’NealeSpice Research Programme Ms. Shanta Williams-CoxTrade, Export Development Ms. Abiola StreeteEDF, Ministry of Finance Mr. Denis NoelOwner, Noelville Ltd. Mr. Franklyn SalimFarmer Mr. Marlon ClyneManager, GCNA Mr. Terrence MooreUnesco

10. NUTMEG GCNA

11. Where are we now? Before 2009 1.200 tons exported 2.Farmers not motivated to replant 3.$EC100,000 circulating monthly in the economy as a result of nutmeg 4.Nutmeg not a high priority for Government 5.Hardly any donor intervention 6.Financial institutions not confident of investing in the sector 7.Little attention paid to risk management in the sector 8.Farmers felt alienated 2012 1.Over 600 tons now exported 2.Increase in the numbers of farmers returning to replanting and production – over 500 acres now replanted 3.$EC600,000 injected monthly into the economy 4.Government supports all efforts for the development of the industry 5.Donors show interest in Strategy implementation 6.Financial institutions show interest in investing in the sector 7.Increasing interest by agencies to incorporate risk management initiatives for the sector 8.Farmers own the process

12. Results to Date 1.Strategy Document with a video and Implementation Plan 2.National Coordinating Committee for the Grenada Nutmeg Sector Development 3.Establishment of targets for cleaning fields and replanting 4.Pre-Audit of GCNA Processing Plants in Gouyave and Beaulieu 5.Increase in price paid to farmers 6.Increase in volume exported – from 300 tons to 500 to over 600 7.UWI’s interest for support in the development of the sector 8.CDE Funding for Market Expansion, Branding and Quality 9.Establishment and Operations of the Spice Research Project 10.Study Tour to India and visit to Grenada by International Spice Expert 11.Implementation of Budding Techniques 12.UNCTAD Study on Risk Management and Access to Finance 13.In-depth promotion of the Strategy 14.First Annual Nutmeg Festival

13. The Contribution of Nutmeg

14. 25000 USD/MT Aug 2011 International Market Price now High Grenada quantities low

15.  Prices will remain high in the short term  With the price now high more countries have started developing their own industries  When the price is high and production is low, end users may change their FORMULAS to replace Nutmeg and Mace  Remember the CRASH of VANILLA. …! Industry Trends

16. Summary of Implementation priorities and activities Relative Priority TimingStartEnd Sub-Objective in Imp. Plan Sub-Objective Description 1Short Termyear 1 5.3Monitoring and implementing framework for implementation 2Short Termyear 1 1.1 Define data needs to support Sector operations and policy formulation (supply side and demand side) 3Short Termyear 1 1.2Improve intelligence and analysis to guarantee better marketing strategies 4Short Termyear 1 2.1Support better Governance and professionalize G.C.N.A. to enable competitive management 5Short Termyear 1 2.2 Increase capacity in G.C.N.A. to respond to farmer, industry and buyer requirements and improve processes 6Short Termyear 1year 23.2 Reinforce organization and capacity of farmers to guarantee consistent volume and quality of supply including G.A.P. 7Short Termyear 1year 23.1Improve access to fruit bearing trees particularly in devastated areas 8Short Termyear 1 1.3Improve dissemination of information 9Short Termyear 1 4.1Analyze actual situation to better design financial and risk management mechanisms 10Mid Termyear 1year 33.4 Create Incentives to increase quantities, reduce post harvest loss and ensure consistency of supply 11Mid Termyear 1year 53.3 Manage nutmeg tree rehabilitation/replanting efforts based on demand and establish a supply strategy for domestic and international 12Mid Termyear 1year 25.1Align existing policies for Value Chain Integration and implementation of the Strategy 13Mid Termyear 2 5.2Reform of legislation and institutional strengthening for increased effectiveness 14Mid Termyear 2year 41.4 Develop a branding and promotion strategy to position Grenada’s Nutmeg as the Original One and the world leader in quality 15Mid Termyear 1year 24.2Design finance delivery mechanisms in co-operation with banks and stakeholders 16Mid Termyear 1year 54.4Design Risk Management Tools 17Mid Termyear 2year 54.3Investment promotion 18Mid Termyear 2year 52.3Improve overall value addition and processing to secure sustainability of the Industry 19Long Termyear 2year 56.1 Research and development applied to the Nutmeg Industry (Pre-Production, Production, Product development) 20Long Termyear 3 2.4Establish TECHNICAL Council with producing countries and consuming countries 21Long Termyear 1year 56.2Change of mindset with regard to the Nutmeg Industry and farming (Entrepreneurship and youth) 22Long Termyear 1year 56.3Promotion of equal opportunities in the long term for all Grenadian citizens

17. Short and medium term Strategy: 2010 - Grow Grenada production from 250 to 450 Mts: by collecting more / incentives 2011 and 2012: Grow to 500 and to 1.000 Mts: by clearing fields and improve accessibility 2012 - 2020: Grow back to 2.000 Mts: by reorganising cropping and replanting The Strategy has delivered to targets

18. What can you do?  Give consideration to the Strategy in your policy decisions and activities  Recognise the role of the Grenada Nutmeg National Coordinating Committee for driving the Strategy  Lend support to the upcoming Nutmeg Festival

19. “ Respect the Grenada Nutmeg” Plant a tree – Grow a Life Thank You