Layer Farmers Association disappointed by Cabinet’s decision to defer egg price increase

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By Tahna Weston

[email protected]

The Antigua and Barbuda Layer Farmers Association is expressing disappointment with the recent Cabinet decision to defer a price increase for locally produced eggs.

In a Cabinet minute dated September 20 from secretary to the Cabinet to Walter Christopher of the Ministry of Agriculture, Lands, Fisheries and the Blue Economy, it was noted that there will be a suspension of the proposed egg price increases in addition to the tax waivers for the importation of eggs.

The Cabinet recently held extensive discussions with executive members of the Antigua and Barbuda Layer Farmers Association pertaining to the increase in price for locally produced eggs by $2 – moving the retail price from $12 to $14 per dozen.

According to the Cabinet, it considered “the merits of the financial information presented and concluded that the rationale was unsubstantiated and unjustified with inadequate data.”

As a result, certain decisions were taken including the suspension of all taxes and duties applicable on the importation of eggs for the next 60 days and the removal of the requirement for obtaining any licence for the importation of eggs into Antigua and Barbuda during the same time period.

The price for eggs last increased in 2022 from $10 to $12 a dozen.

However, according to Adrian Hall, managing director for the Layer Farmers Association, this increase was meant to be accompanied by government support measures to help offset rising production costs.

These promised concessions have reportedly not materialized, leaving farmers struggling to maintain operations in the face of inflation and increased expenses.

Hall said that the deferral of the price increase without a true understanding of the matters which farmers are faced with on a daily basis is “a bit unreasonable.”

“There should have been some investigation first of what we are speaking to. And if we go back a little bit from the beginning of 2022 anybody can see if you dissect that time when we got the $2 increase back then on the $10 which made the box of eggs $12, the only way that $12 could be viable is if the agreement that we made to accompany the $12 from the government’s side were put in place.

“So none of those agreements that we decided to accompany the $12 came into action, so the $12 now is struggling on its own to make running the farms work,” Hall said.

The government is also proposing a 60-day investigation period to conduct a cost analysis to be done by the Ministry of Agriculture, the Ministry for Trade along with the Antigua and Barbuda Layer Farmers Association. Following the analysis a recommendation will be made to the Cabinet.

However, Hall said the timeframe is “way too long” given the urgent nature of their financial challenges.

“There are many aspects that are put into making the farms operate. But it’s not complicated to figure out how relief can be put towards that to keep the price down,” Hall said.

He stressed that the proposed increase was not for the farmers to solely increase their profit margins although they need to be profitable in order to be able to function effectively.  

The situation has highlighted the complex relationship between government policy and agricultural sustainability. Farmers argue that without substantial government intervention in areas such as utility costs, infrastructure development, and tax relief, it’s unreasonable for officials to dictate product pricing.

“If the government plays a part in assisting the farmers with concessions to keep operational costs down, then the price can hit the shelf at a more acceptable level depending on what the investigation says…,” Hall said.

 He pointed to examples from other Caribbean islands where governments have implemented supportive policies to maintain affordable food prices while ensuring farmers’ viability.

The debate has also raised questions about the role of the proposed Poultry Development Board, which Hall insists must include industry representation and be backed by concrete government policies to support local production if it is to be effective.

In response to concerns about sanitary conditions on farms, Hall indicated that while standards should be maintained, any assessment must be based on documented evidence rather than assumptions.

The ongoing dispute has broader implications for Antigua and Barbuda’s agricultural policies and food production strategies. Farmers believe that if handled correctly, this situation could lead to positive changes in the sector.

They envision a future where improved policies could lead to better training, increased knowledge, and a more skilled agricultural workforce.

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