Poultry, in particular chicken, are common ingredients in Caribbean cuisine. The relatively higher prices for beef and other meat products further contribute to the popularity and preference for chicken, particularly amongst the poor segments of the population.

Some Caribbean countries, most notably Jamaica and Trinidad and Tobago, have domestic poultry industries that primarily supply the local market but also export small quantities to other regional markets. Jamaica exported nearly $300 thousand of fresh and frozen poultry to the Cayman Islands in 1997, while Trinidad exported just a little over $21 thousand of fresh and frozen product to Antigua, Grenada, and Barbados that same year.

However, the US dominates the large Caribbean import market for poultry, estimated to exceed $143 million per year (see Table 1). In 1997, the US accounted for 73 percent ($105 million) of the estimated import market. Much smaller amounts were imported from the EU and Canada. US poultry exports to the region have been increasing, with 1997 exports up 22 percent over 1996 levels and up 64 percent over 1994 levels (see Table 2).

Frozen chicken cuts/offal accounted for the majority (68% or $71.2 million) of US exports of poultry to the Caribbean in 1997 (see Table 3). Other major poultry products exported that year included: frozen whole chickens ($13.1 million), frozen turkey cuts/offal ($7.7 million), fresh whole chickens ($7.6 million), fresh chicken cuts/offal ($2.5 million), frozen whole turkeys ($1.3 million), fresh whole turkeys ($0.7 million), and fresh turkey cuts/offal ($0.3 million). Only $113 thousand of fresh/frozen ducks, geese, and guinea fowls were exported to the Caribbean in 1997.

Current Suppliers. According to official Jamaican import statistics, Jamaica imported $26.4 million (CIF value) of poultry products in 1997. The US accounted for 97 percent of this amount, with most of the remainder supplied by Canada. Frozen chicken backs/necks was the largest import category in 1997 with $12.3 million recorded. A breakdown of Jamaican poultry imports is provided in Tables 4 and 5.

In addition to the large amount of poultry imports, Jamaica also produced 59 thousand MTs of live poultry in 1997 (Source: UN/FAO), most of which was consumed locally. Local product suffers from a lack of pre-cooling facilities in the fields and a scarcity of refrigerated trucks for transport. Limited tonnage was exported to neighboring Caribbean islands.

Distribution Channels. Three basic channels of distribution are used to get imported products to the retail store: distributors/importers; informal commercial operators (ICIs); and direct buying by retailers. Hotels and restaurants purchase through distributors/importers, ICIs and local farmers. A few of the larger hotels and retail chains import food directly through their own purchasing agents. Sources and prices for various chicken products observed during in-store surveys are given in Table 6.

The majority of breaded chicken cutlets being imported into Jamaica are going to an assortment of three or two star restaurants where the clientele is not concerned with the fact that the product being served is miscut or a second. Most of these restaurants are Chinese and include: Pagoda, Arawak, Golden Bowl, Fahmee, Orient Express, Deliworks and The Grogge Shoppe.

Importers have an ad hoc relationship with the hotels, restaurants and institutional food buyers in Jamaica whereby when breaded chicken cutlets are demanded they are imported. Fast food chains (McDonalds, KFC, Subway) have franchise operations in Jamaica and have their own importers to bring in breaded chicken cutlets, nuggets and tenders. In the supermarkets, frozen breasts and wings are preferred but chicken nuggets and tenders are gaining in popularity.

Import Requirements. An import permit is required for all poultry products and must also be accompanied by a phytosanitary certificate of clearance. USDA phytosanitary clearance is accepted by Jamaican Customs for poultry products.

Tariffs and Duties. As a member of the Caribbean Community, the Jamaican government applies CARICOM’s Common External Tariff (CET) to all goods and services imported into the country from non-CARICOM sources. The following charges apply to Jamaican imports of poultry products:

Standard tariff rate (see Table 7) – levied against CIF value.

Stamp tax (see Table 7) – applicable on certain products, which is levied against the sum of the CIF value and standard tariff amount.

General Consumption Tax (applicable on certain products) – levied against the sum of the CIF value and the first two duties. There is no general consumption tax for poultry products.

Jamaican Customs "user fee" -- J$100 (less than US$3) levied on each imported shipment.

Current Suppliers. Imports of poultry products by the Netherlands Antilles totaled $9.5 million according to official government statistics (see Table 8). The main supplier of poultry products to the Netherlands Antilles is the US with over 66 percent of import market share in terms of value and 75 percent in terms of volume. The US provides primarily frozen chicken cuts to hotels and restaurants. Cheaper cuts are also imported from Brazil and Trinidad for sale mainly to local customers.

More reliable US export statistics show US exports to the Netherlands Antilles of

$11.8 million in 1997, comprised primarily of frozen chicken cuts/offal ($8.1 million), frozen turkey cuts/offal ($2.4 million), and frozen whole chickens ($0.8 million).

Distribution Channels. The usual way of entering the Netherlands Antilles market is by appointing an importer as commercial agent. One agent can normally cover an entire island. Many of the large supermarkets and some of the smaller wholesalers now import some of their food supplies directly from Florida wholesalers. Though these supermarkets account for an estimated 50 percent of retail food sales, there are many small stores or "mini-markets" located throughout the islands for convenience purchases.

Price is the determinant factor behind the increase in share of the supermarket sector, as the small stores cannot compete with the low prices and product diversity that is being offered by the supermarkets. Smaller businesses may survive by carrying a selected number of products for more niche markets, but the trend toward supermarket growth is expected to continue.

Consumer Preferences. Frozen, pre-cut poultry, especially legs and breasts of chicken from the US, are most popular with the hotels and restaurants. Local consumers prefer to purchase fresh chicken at the supermarket. Brazilian chicken is popular as it arrives fresh daily.

Fast food chains like KFC and McDonalds import breaded chicken cuts (including nuggets and tenders) directly. All other importers receive requests generally from hotels, restaurants and institutional food buyers on the islands. Breaded chicken cutlets are not a common item in food stores. It is more common in the Netherlands Antilles for importers to purchase frozen seconds or miscuts from Tysons, Cargill, etc. as they can get them cheap, and then sell them to wholesalers who re-pack and sell them to restaurants.

Bouquet, Golden Phoenix, Southern Beauty and Royal Roast were the four major US brands found on the market during a survey of selected supermarkets in Curaçao conducted in December 1998. See Table 6.

Live animals, meat and meat products are officially inspected and only after approval admitted to the market. The meat and meat products must originate from abattoirs which have been approved by the Netherlands or the Netherlands Antilles. Imports of certain live animals, depending upon the country of origin, are forbidden. Contact the Veterinary Service, Abattoirweg 15, Tel: 011-5999-614000, for further information prior to exporting.

An importer is required to provide two invoices and, when registration is required, a third invoice must be is given to the Department of Economic Affairs. An invoice should state the value of the good (f.o.b. or c.i.f.) and other normal commercial information such as marks, numbers, consignee’s names, etc.

Four copies of the bill of lading are required, showing the name of the shipper, name and address of consignee, port of destination, description of goods, listing of freight and other charges, number of bills of lading in the full set, and date and signature of the carrier’s official acknowledgement of receipt on board of the goods for shipment.

Tariffs and Duties. The Netherlands Antilles levies two different import duties: (1) a standard duty rate against the c.i.f. value of a product, and (2) an "economic levy" which applies to products competing against locally produced goods. At present, the Netherlands Antilles does not levy any tariffs against imports of chicken. Other poultry and chicken by-products, however, do get charged an 18 percent import duty. There is no economic levy applied to any poultry product.

According to official import statistics from the Government of St. Lucia, poultry imports totaled US$10.2 million in 1997 (see Table 7), down from $12.1 million recorded a year earlier. The US had an 80 percent import market share (by value), followed by the UK (14 percent), and Canada (6 percent). Frozen chicken parts/offal account for the vast majority of imports ($8.8 million or 86 percent of import value in 1997). Nearly $1.1 million of frozen turkey parts were also imported.

Domestic competition in poultry is relatively weak in St. Lucia, but retail enterprises are required to buy 20 percent of their poultry locally before buying from abroad. Domestic chicken production was estimated at 624 MTs in 1997 (Source: FAO).

Distribution Channels. The largest importer-distributors in St. Lucia include Bryden and Partners, Peter and Company, Renwick and Company, and J.Q. Charles, all of whom are also manufacturers’ agents. These companies, with the exception of Renwick and Company, all carry fresh and frozen products as well as dry goods and supply the hotel and restaurant trade as well as retail food outlets.

Because of the relatively large size of St. Lucia’s tourist industry, there are also a number of companies that specialize in fresh produce and frozen meats, fish and poultry. These include St. Lucia Cold Storage, Trans-Caribbean Agencies, Evans International, and Chef’s Choice Meats. Most hotels buy locally, though large resorts such as the Club Med buy directly from the United States.

In total there are about two dozen wholesalers, many of whom purchase product from the larger distributors as well as buying directly, and in turn supply many of the smaller shops on the island. A number of the independent supermarkets also act as wholesalers for customers who buy in large quantities. J. Q. Charles, one of St. Lucia’s main wholesalers, also owns the only supermarket chain on the island, with ten outlets island-wide and another one being built in Vieux Fort in the south of the island. The stores are small by US standards, with only about five aisles each, though the new supermarket will be larger. Julian’s is the only other supermarket of any size on St. Lucia, with eight aisles. Julian’s imports directly and also acts as a wholesaler.

There are approximately forty other smaller supermarkets or mini-markets on Saint Lucia, some of which import product from wholesalers in Florida in addition to buying from local distributors. These include Lera’s, Caribcan, Dilly’s, A. F. Valmont and Glace. Many of the independent supermarkets act as wholesalers.

The majority of breaded chicken cutlets being imported into St. Lucia are going to an assortment of three or two star restaurants where the clientele is not concerned with the fact that the product being served is miscut or a second. Some of these restaurants include: Green Park, The Bristol, Shamrock Pub and The Spinnacles.

The hotels/resorts (Hilton, Sandals) have their own importers who handle quality pre-seasoned cutlets, nuggets and tenders. It is less common to find the product in the supermarkets or foodstores; if it is found it will undoubtedly be an unlabelled second or miscut and will be in the deli section as opposed to being amongst the frozen foods.

Most poultry products are subject to price controls. Reportedly, government inspectors examine invoices to determine if wholesalers and retailers are operating within their allowed mark-up. In St. Lucia importers are allowed a 5.5 percent mark-up, wholesalers 7.5 percent, and retailers 10 to 15 percent. The price controls are widely despised by those in the trade and limit the industry’s profitability; some distributors report having their suppliers build a commission into the invoice.

Import Requirements. Import licenses are required for most poultry products entering from non-OECS and non-CARICOM member states. For an import license to be granted an inspection certificate must be given along with a veterinarian’s clearance. Chicken patties coming from other CARICOM states require an import license.

The principal documents required by the Customs Department are: import entry warrants; commercial invoice; bill or lading or airway bill; certificate of origin; and any required import license. Import licenses can be obtained from: The Customs Department, Customs House, Castries, St. Lucia, Tel. (758) 4522308/7960, Fax (758) 4537526.

Tariffs and Duties. St. Lucia is a member of the Caribbean Community (CARICOM) and therefore non-regional imports are charged according to CARICOM’s Common External Tariff (CET). However, as a lesser-developed member of CARICOM, St. Lucia is allowed to charge different tariff rates for a wide range of items, including many consumer food and beverage products.

In some cases, tariff rates charged by St. Lucia may actually be below the CET; in other cases, they may be higher or the same. For example, the CET rate for frozen chicken and all other poultry by-products is 40 percent, however St. Lucia allows entry duty-free. The exception being a 5 percent import duty for all edible offal.

St. Lucia also imposes a customs service charge of 4 percent on the c.i.f. value on all imports and a consumption tax of 5 percent, which is calculated as a percentage of the c.i.f. value plus any applicable duty.

Current Suppliers. According to official Bahamian government statistics, the Bahamas imported US$7.7 million worth of poultry products in 1997 (see Table 10). Total volume for 1997 was 5,727 MTs. The US supplies most of the Bahamas’ import requirements. See Table 11 for a breakdown of poultry imports by type.

Distribution Channels. It is estimated that there are less than twenty food wholesalers in the Bahamas, including Asa H. Pritchard, Jagar, D’Albenas, Island Seafood and Nassau Hotel and Restaurant Supply. The Grand Bahamas Food Company and the Thompson Trading Company are two medium-sized wholesalers based in Freeport. The wholesale business is reported to be increasingly competitive as many grocery stores, including warehouse-type discount outlets, are importing direct from manufacturers or through Miami-based wholesalers.

There are over 200 grocery stores in the Bahamas, most of which are small. The three major grocery store chains are City Markets (owned by US-based Winn Dixie), Super Value, and John Chea and Sons. There is also Solomon’s and CostRite, which are similar to Sam’s Club in the US. Both operate as traditional wholesalers and as retailers by selling directly to the public out of their warehouses.

Consumer Preferences. Importers have generally sourced produce from the US to meet consumer demand. Frozen parts are most popular amongst consumers. There is some local production of chicken but not nearly enough to satisfy demand, especially for more popular cuts such as wings and legs. Besides consumers find that they can get better prices for US chicken parts (especially legs and quarters) than for locally slaughtered birds. Given the high numbers of US tourists arriving in the Bahamas yearly, importers find it is more essential to provide products familiar to US consumers than to Bahamians such as breaded chicken cuts.

Importers of breaded chicken cutlets (including nuggets and tenders) are specialized depending upon which part of the food industry they serve: hotels/restaurants/institutional food buyers, supermarkets or fast food franchises.

The majority of supermarket stores are owned by Winn-Dixie and Flemings and they have their own importer channels. Fast food outlets like KFC, McDonalds and Wendy’s import directly.

The hotels, restaurants and institutional food buyers are an expanding market for imports of breaded chicken cuts into the Bahamas. At present the major hotels (Sheraton, Radisson and Marriott) and restaurants are being served with quality product. Seconds or miscuts are not knowingly purchased.

Import Requirements. USDA clearance is required in order to obtain an import permit for poultry entering the Bahamas. Import permits can be obtained by faxed request to Bahamas Customs at (809) 322-6223.

Tariffs and Duties. The rate of duty for all chicken, whole/cut and fresh/frozen, has recently been raised to 35 percent, which is the basic ad valorem tariff rate for imported goods. The remainder of poultry products including turkeys, ducks, geese and guinea fowls (whole/cut and fresh/frozen), as well as all poultry by-products remains at 10 percent of c.i.f. value. Chicken eggs are charged a 15 percent tariff and the rate for eggs of all other poultry remains at 30 percent. In addition to these tariffs, imported food products are assessed a stamp tax of 2 percent on the c.i.f. value of the product.