Productivity constraints hinder demand for coconut oil

Coconut oil produced in Dominica by entrepreneur Anthea George under the label “Cape Tranto”

Director of Trade, Matthan J. Walter, has revealed that in discussions with bilateral partners, a large demand for coconut oil has been discovered; however, there are constraints in terms of productivity in Dominica.

In a statement made at a stakeholder’s conference on Wednesday, May 3rd 2017 at the Garraway Hotel, Walter said that in the idea of producing coconut oil and products for export, there is the case of “supply-side constraints” that may cause a few bumps’ in the road.

“We suffer from what is called supply-side constraints, in being able to fulfill that demand,” he said.

According to him, constraints in production generally, prevent the sector from meeting the demands of the markets.

“Where this product (coconut oil and products) is particularly concerned, I have been told from reasonably good sources, that some producers take up to six months to be able to make available the product on request. This cannot be good, since, like time, markets wait for no one,” Walter stated.

He suggested that these producers should not “bite off more than they can chew” in terms of going above means to meet quotas.

“I am saying that this is one constraint, and I am coming to other constraints. It is very important to prudently plan ahead so that you can consistently fulfill your orders,” he remarked.

The Believers Multi- Purpose Cooperative Society Ltd. hosted the conference in order to discuss ideas and strategies for the development of the Coconut Oil Industry through cooperatives.

The Society is in the process of enhancing and increasing commercial activities to make a significant contribution to Dominica’s Gross Domestic Product (GD

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23 Comments

  1. freshwaterlake
    May 4, 2017

    Mr. Walter needs to speak with the Mnistry of Agriculture to discuss actions taken to ensure constant supply of coconuts to ensure that product can be made to ensure that demands can be met. It is almost 8 years now thati have been saying that the Min of agriculture needs to select some land and dedicate it to the cultivation of certain crops primarily to supply agro processors. Coconut, hot peppers, coco, coffee, herbs and root crops (arrow root, tumeric and ginger). Other countries are making millions for products that have half the quality of our locally grown foods and less ingenuity. We are late, but if we start now, in 10 years we can be fully producing a number of products for export and local consumption.

  2. Meh
    May 4, 2017

    DNO in this case productivity constraints on the supply side is the hindrance….there is nothing hindering demand. Title of the article should be amended to reflect this.

  3. Antony P. Ismael
    May 4, 2017

    Ask Phillip Nassief how he managed that issue. After all, he ran Dominica Coconut Products successfully, for several decades. This is a prime example of someone sounding learned and using fancy management theory, while having no clue how to actually solve problems. Your statement should have read: “I consulted with Mr. Nassief and he identified the following solutions to successfully address this issue.” This is the kind of hands on management theory we need to be successful. Your entire press release is an indictment on your skill set. I would terminate you immediately from that position. How can you post such an idiotic press release, when we have one the most skilled Caribbean Industrialist retired in Dominica?

    • freshwaterlake
      May 5, 2017

      They imported much of their raw materials. Dont think is was locally sourced for all this time.

  4. May 4, 2017

    plant more coconuts & the demand for jelly coconut water is also a factor so plant more.

  5. Do something
    May 4, 2017

    Then do something about it. You have identified the constraints, now form a team and address them. If we have the markets then we need to maximize before another country steps in. We need to grow our manufacturing sector.

    • freshwaterlake
      May 5, 2017

      We doh have no markets. they markets are always there. Even more so with the world wide web. We cannot have a market if we have no product or service. You have an idea.

    • freshwaterlake
      May 5, 2017

      in collaboration with develop our agriculture sector. Our agro processors need to access raw materials. Why should a pepper producer have to import pepper mash?

  6. Too Hard Too Long
    May 4, 2017

    In everything, look for the opportunities instead of dwelling on the problem. Productivity has been identified as a problem. What next? As “Shaka Zula” said, identify the causes of the problem and from there you can see the many opportunities for improvement. Then we work on growing the industry. We can do this when we work together.

  7. jaded
    May 3, 2017

    The public is none the wiser on what exactly the problem is. Imagine a doctor telling you that you are sick but is not telling you what the problem is. Hopeless!

    • freshwaterlake
      May 5, 2017

      We know what the problems are. the people who can make a difference are the ones who have no clue. so they consult with the people on the ground and ask them, “What are your problems? we want to facilitate trade. Particullarly exports.” then the people get to complain. he public knows what the problems are. It just seems that the higher ups live in a bubble.

  8. Just Asking
    May 3, 2017

    What are the solutions?

  9. zandoli
    May 3, 2017

    We need to find something that we do very well that most others cannot do (as well). To me coconut oil is a commodity that is relatively cheap. In as much as we would like to believe there is something special about our oil, coconut oil is coconut oil.
    My wife uses coconut oil and she buys large jars of that stuff for less than $5.00. For the effort and labor that is required, that is not where I would expend my energy, unless there are large estates and factories that can mass produce that stuff. For the small farmer, I would advise them to find another crop that pays more.

    • D.H.P
      May 4, 2017

      Where does she find these large jars for $5?! I honestly need to know, because I recently bought a very small bottle for $10.

  10. REAl!!!!!!
    May 3, 2017

    Where is the Solution!!!!!

    You have an entire Ministry available to you with technocrats and all you can reveal, there are constraints in the heavily demand Coconut Oil market and absolutely NO SOLUTIONS PROVIDED!!!!!

    Incapable Team in GOVT!!!!!!

  11. Dominican
    May 3, 2017

    What did you really say MR Walters? So there are constraint what are you doing about those constraints? What really are the constraints? This article is a waste of space.

  12. Shaka Zulu
    May 3, 2017

    You don’t jump in a market guns blazing. There is something called growth. Now we know the constraints what are the plans to beat. We are good at finding obstacles and excuses for lack of development but not solutions and actions. You have to start somewhere. Is it a raw materials availability problem? Is it a processing problem? Is it a transportation problem? Is it a financial problem. Where is the AID bank in all this to provide finance? If there is a market then it’s an opportunity for investment. Just my two cents.

    • A. George
      May 3, 2017

      Not enough coconuts…

      • Shaka Zulu
        May 4, 2017

        Then that is a good problem to have. Increase plants. Ministry of Agriculture should be on board getting coconut plants high yield short growing time to Farmers. In mean time we can import from nearby countries. On way to increase incentive for farmers is increase price of raw materials. More farmers will get involved if they getting good price. I could go on but that’s what those elected officials and government employees are paid to do. Find solutions for problems. Everything has constraints it’s what you do about them. From the story above it seems like markets great but we still not capitalizing because of constraint. Smdh.

      • freshwaterlake
        May 5, 2017

        I have been crying this for ages. they need to increase production on a national level. not just ordering a few hundred plants and hanging out to select farmers for them to do what they want with it. As a country we need to get serious. We have thousands of acres of unused government land. take 20 for coconut, 20 for cocoa, 20 for coffee, 10 for hot peppers, etc etc.. and have workers employed by the government to ensure quality and standards and constant supply. the government will make money as first locally, there are high demads for these. Secondly exports there are higher demands for these crops raw and processed.

    • freshwaterlake
      May 5, 2017

      not just that. Where Is the AID Bank to provide safe SUITABLE production facilities? They boast millions in profits annually, but places like the Canefield industrial site remains a bloody mess. The sheds themselves are deplorable and NOT UP TO PRODUCTION STANDARD. They sit on their hands and are only concerned about the rent, meanwhile, as a landlord no upgrades or repairs are being done. I heard the PM talking about taking landlords to task recently. START with the AID BANK in this matter.

  13. EnfantDiable
    May 3, 2017

    Very depressing!

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