Spur Tree Spices CEO, Albert Bailey, recently spoke to the local shortage of ackee, pepper, and other raw materials, saying that such products are seasonal and require additional capacity to properly capitalise on them based on availability.

Bailey acknowledged that there is a genuine shortage in the supply of ackee and there is a need to invest in ackee farms to alleviate the problem long term.

The CEO also stated that the failure to adequately process and hold said products is a contributing factor to the local shortage.

He said, “While ackee is a seasonal product, what you find is that a portion of the ackee is not processed every season. In fact, it is wasted as when it is available, it is available in abundance,” said Bailey on Mayberry Investments Limited’s Virtual Investor Forum which aired on Wednesday (January 26).

“What we need to do is build out more capacity to capitalise on [these materials] when they are available,” he added.

In addressing the supply challenges on the seasonings and sauces side of the business, Bailey pointed out that Spur Tree Spices Limited has built out its storage capacity in an attempt to counter these challenges.

“If you come down to our factory on Garmex, you will see racks and racks of products [pre-processed raw materials]. What we do is buy up as much as possible when it is available, and that has even helped farmers,” Bailey explained.

“There was a recent glut of scotch bonnet peppers where farmers had nowhere to put their products,” he went on to say. “We said to them to bring [these products] to us. We have the capacity to process and to hold. Because when farmers come to market, and there is a glut and they lose, they end up getting out of the business,” he added.

According to Bailey, this is the exact scenario that may lead to there being a shortage in the industry.

“The more farmers we can help and keep in the business, the more consistent the supply is going to be. That is what we are working towards,” he said.

Interestingly, the CEO, during Wednesday’s live stream, shared that Spur Tree Spices Limited does not rely heavily upon import content to sustain its business. According to Bailey, the company currently receives approximately 80 per cent of raw materials needed to create its goods from local companies.

“The value-added that Spur Tree is giving to this economy is extensive. We are not just importing 90 per cent raw materials and adding 10 per cent value to the economy. What’s good is that 90 per cent of that is then going into export and earning hard currency,” he said.