Identifier
Created
Classification
Origin
07BRIDGETOWN1406
2007-11-07 18:43:00
UNCLASSIFIED
Embassy Bridgetown
Cable title:  

BIGEST POLUTRY PRODUCER IN BARBADOS LOOKING AT

Tags:  ELAB ECON PGOV PREL BB XL 
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VZCZCXYZ0000
RR RUEHWEB

DE RUEHWN #1406/01 3111843
ZNR UUUUU ZZH
R 071843Z NOV 07
FM AMEMBASSY BRIDGETOWN
TO RUCNCOM/EC CARICOM COLLECTIVE
RUEHCV/AMEMBASSY CARACAS 1821
INFO RUCNCOM/EC CARICOM COLLECTIVE
RUEHXI/LABOR COLLECTIVE
RUEHCV/AMEMBASSY CARACAS 1822
RUMIAAA/HQ USSOUTHCOM J2 MIAMI FL
RUMIAAA/HQ USSOUTHCOM J5 MIAMI FL
RUEHCV/USDAO CARACAS VE
RUEHC/DEPT OF LABOR WASHDC
UNCLAS SECTION 01 OF 02 BRIDGETOWN 001406 

SIPDIS

SIPDIS

DEPT FOR WHA/CAR AND DRL
USDOL FOR ILAB
SOUTHCOM ALSO FOR POLAD

E.O. 12958: N/A
TAGS: ELAB ECON PGOV PREL BB XL
SUBJECT: BIGEST POLUTRY PRODUCER IN BARBADOS LOOKING AT
EXPORTING TO US MARKET


BRIDGETOWN 00001406 001.3 OF 002


UNCLAS SECTION 01 OF 02 BRIDGETOWN 001406

SIPDIS

SIPDIS

DEPT FOR WHA/CAR AND DRL
USDOL FOR ILAB
SOUTHCOM ALSO FOR POLAD

E.O. 12958: N/A
TAGS: ELAB ECON PGOV PREL BB XL
SUBJECT: BIGEST POLUTRY PRODUCER IN BARBADOS LOOKING AT
EXPORTING TO US MARKET


BRIDGETOWN 00001406 001.3 OF 002



1. Summary: POl/ECON Deputy was contacted by the GM of
Chickmont Foods, Barbados who was interested in finding out
how to export chickens to the US market. POL/ECON Deputy met
with the GM, Geoffry Goddard, to explore their plans and
learn more about the poultry industry in Barbados. Mr.
Goddard indicated that the poultry business in Barbados is
heavily dependent on US suppliers for most of their raw
material inputs as well as machinery. He thought that
Barbados would be an attractive place for American firms to
do business, and was surprised at how few American companies
are active in the island. End Summary


2. Chickmont Foods is the largest poultry producer in
Barbados, with 45% of the market share. They have the most
advanced machinery in the region, and are the second country
in the entire hemisphere to have the latest chilling units
produced in the US. He was most proud of their computerized
management system. Every farm in the island that they own or
buy from is tied into the network. When they have an order,
they go online and can determine which farm is ready to
supply the market and then they order the slaughter and pick
up/delivery information online. Within minutes the farm is
preparing the chickens for delivery to the market. Chickmont
is not only the largest supplier in Barbados, but they are
also big suppliers to cruise ships who stock up on chicken
products when they dock in Barbados. Mr. Goddard said that
Chickmont has developed such a good reputation that the
cruise ship industry would like to import chicken breasts
from them into Miami and supply their ships from there. Mr.
Goddard believes his company is the only company in the
Eastern Carribean capable of meeting that demand. He
contacted the Econ section for advice as to how to get
permission to export to the US market.


3. Pol/Econ deputy contacted USDA Miami who advised him that
the process is complicated, requiring a country to seek
certification for the entire industry before they can be

allowed to export meat products to the US. The Chief
Veterinary Health authorities would be the appropriate
government office to start the process overseas. They would
request certification of the industry. The request goes to
USDA Food Safety Inspection Service, which then schedules an
audit of the industry, before issuing a certification. DHS's
Animal and Plant Health Inspection Service (APHIS) would also
have to sign off on the certification.

4) Goddard was surprised to hear this, and also shocked that
China is on the list of suppliers of chicken given that China
has some very substandard poultry operators. Pol/Econ
officer provided the GM with details on the procedures from
the USDA web page and suggested that Chickmont work with a
lawyer to begin navigating the process.


5. Mr. Goddard is the grandson of Mr. Joseph Goddard, who
founded one of the largest corporations in Barbados, Goddard
Enterprises, which has operations in more than 23 countries
in the region. Mr. Goddard's father founded Chickmont Foods
after retiring from the Chairmanship of Goddard Enterprises.
Chickmont Foods, though, is not part of the Goddard corporate
family.


6. Pol/econ chief also asked Mr. Goddard about the recent
labor turmoil at ADM Barbados. He said that the situation
was badly handled from the beginning by the company. He said
that the labor movement, like the rest of Barbados society,
is very status conscious and protocol minded. ADM did not go
through the standard procedures, and the union objected. The
company ultimately decided to settle the matter with the
unions rather than risk an embargo. Mr. Goddard said that
ADM controls more than 50% of the grain imports coming into
Barbados and that any work stoppage or disruption would ruin
the economy very quickly. He therefore thought that ADM had
more leverage with the union than almost any other company.
He commented that he had generally good relations with the
union, but sometimes they went a bit too far and always
backed down when he confronted them.

Comment: The ADM situation illustrates some of the pitfalls
facing foreign companies working in Barbados and, for that
matter, the entire Eastern Caribbean where labor unions tend

BRIDGETOWN 00001406 002.2 OF 002


to be quite powerful politically and are quite conscious of
the proper protocols to be followed in labor-management
relations. End Comment


6. Mr. Goddard indicated that his company would be quite
interested in working with other companies in trying to
resurrect a regional American chamber of commerce in the
eastern Caribbean. He commented that he was surprised that
there are so few American companies in the region given that
almost every thing is imported from the US. His assistant GM
is an American citizen. Pol/Econ Deputy has accepted an offer
to visit the plant and see their computerized chicken
processing system in operation and to meet with the senior
management to explore getting involved in resurrecting
AMCHAM. The regional chamber was formed in 2001 and last met
in 2003. Bridgetown's Pol/Econ section is quite keen on
resurrecting such a regional chamber as having an active
AMCHAM will greatly facilite our commercial and economic
diplomacy efforts.
HOWARD