Publication: Weekend Nation
Paper Page: 7
Paper Date: Fri, Mar 19, 1999
Byline: Terry Ally

The Barbados Egg and Poultry Producers Association (BEPPA) does not envisage any problems with the merger between two key players in the chicken industry.

President Carlyle Brathwaite said the BEPPA had been given the assurance that the price of feed would be reduced, and this would benefit the farmers. He said it was too early to determine the level of price reduction but based on his personal concept he was optimistic of a 10 per cent price reduction.

Brathwaite, warning retailers against price gouging, promised the farmers would not keep the increased profits but pass on the savings to the consumer.

"We intend that if the reduction is not passed to the consumers we will carry up the prices to the retailers," he warned. "I will monitor, on a weekly basis. If there is a two per cent reduction, we expect the retail price to also drop by two per cent. That is my promise to the consumer."

With an open market policy set to kick in, as a result of new World Trade Organisation rules, Brathwaite said  the merger made sense from the view of economies of scale and price reductions.

The proposed merger will see the combination of feed mill operations of Roberts Manufacturing Co. Ltd. and Barbados Feeds Ltd. while Super Poultry Farms will transfer its chicken processing operation from its Bright Hall, St. Lucy, base to Chickmont Foods Limited.

Yesterday the board of directors of the Barbados Agricultural Society met to discuss the developments but emerged without any pronouncements on the merger. Chairman Tyrone Power said certain information was lacking and they therefore could not arrive at a position. However, he made it clear that they would be seeking to protect the rights and interests of the farmers, whom they represent.

"It involves the farming community so we have to take the farmers' interest at heart; this would be the first merger probably that involves the farming sector so it is within our interest to represent the farmers of this country at the highest level," said Power.