By FAY SIMMONS

Tribune Business Reporter

jsimmons@tribunemedia.net

The Bahamas Trade Commission’s chairman yesterday pledged that consumers can expect to see a 20-60 percent reduction in the cost of frequently-consumed food items by this summer.

Speaking at the Office of the Prime Minister’s weekly media briefing, Barry Griffin said Super Value’s much-touted egg price reduction is “only the beginning” and several other products will be sourced directly from suppliers in the Caribbean and Latin America.

He added that the National Trade Diversification Programme is working to connect Bahamian businesses with international suppliers of grocery items such as canned goods, meats and produce to reduce the cost of imports.

“Our goal is simply to slash the price of as many goods as possible over the short-term, and so what has happened with eggs is only the beginning. We are here to announce that we expect a 20 percent to 60 percent decrease of a new round of products over the short-term,” said Mr Griffin.

“Everything from chicken and poultry, pork, beef, kidney beans, lima beans, limes; a whole slew of canned goods, such as tuna, sardines, corned beef, rice, all things that we are currently getting from various suppliers, mostly in the United States. But when we go directly to the sources in Latin America and the Caribbean, we’re able to bring these goods at a much cheaper rate.”

Mr Griffin said the private sector is a key partner in the initiative, and participants only have to ensure they pass their savings on to the consumer. “The only thing we ask of our partners in this initiative is to make sure that those cost savings are passed on to Bahamians,” he added.

“Just as you’ve seen with the eggs, where eggs in some places went from $15 and $16 to $3 and $4, our plan is to work very closely with industry to make this happen. This programme is a government-supported and government-facilitated programme, but the private sector is really the driver of this. We’re working with our private sector partners to make this happen.”

Mr Griffin said consumers can expect to see price reductions by summer following a trade mission to Panama and Ecuador in April, which will allow Bahamian retailers and wholesalers to visit and inspect factories and goods before placing orders.

“These things are happening right now before your very eyes. As you can see, the egg prices have already dropped. We’ve been working for a long time with other businesses behind the scenes. There is now a group of Bahamian wholesalers and retailers who will be doing a mission to Panama and Ecuador at the beginning of April,” said Mr Griffin.

“The idea is that once they go to these factories, see everything in action, verify for themselves the quality of the products, they’ll order right on the spot. We can expect a shipment from those countries within weeks, and so we can say positively that, by summer, we hope to see a vast reduction in a lot of the most frequently-used and consumed goods that every Bahamian uses.”

Mr Griffin said Bahamian companies must diversify their supplier sources to ensure prices remain competitive, and many Latin American countries export goods to large nations, such as the US, our largest trading partner.

“The reality is we must go to countries that have a competitive advantage in producing certain goods. We’re not going to be able to produce everything here in-country, and we’re not be able going to be able to get the best cost on these goods if we go to a single jurisdiction,” he explained.

“The reality is that countries in Latin America specialise in commodities, specialise in fruits and vegetables, and specialise in the production of meat and poultry. They’ve become experts in these things, and they export all over the world.

“The very same products that we’re importing here in this country, they’re importing in the United States, they’re importing in Canada, they’re importing all throughout Latin America, the Middle East, Asia, Europe.”

Mr Griffin added that all suppliers are legitimate and have been verified by their governments as providing high-quality goods for export.

“We’re working with legitimate and verified suppliers, working with the various governments around the world to ensure that we’re working with the best companies and the best suppliers, so that Bahamians receive high quality products in this country,” said Mr Griffin.

The National Trade Diversification programme is also working with building suppliers to source high quality materials such as cement and steel at lower prices.

“The work we’re doing in the trade programme does not only extend to the food industry. The other big industry we’re looking at tackling is building supplies and the construction industry. Right now, behind the scenes, we’re working with local retailers and wholesalers and international companies to provide lower cost but still high-quality building supplies,” said Mr Griffin.

“We expect that we can see, in the short-term, things such as cheaper cement and steel that are a big part of building in this country. When we say we lowering the cost of living, it’s not just food, but it’s all the things that are added to have that burden of a high cost of living in The Bahamas.”