Higher prices expected for Scotch bonnet peppers post-Beryl
The passage of Hurricane Beryl is expected to lead to higher prices for Scotch Bonnet peppers and a short-term impact on escallion.
Sean Garbutt, Group Marketing Director of Walkerswood Caribbean Foods, whose company relies heavily on the condiments, highlighted the critical situation faced by farmers, particularly those in the south of Jamaica.
The devastating hurricane, which struck Jamaica with ferocity on July 3, caused widespread damage to homes, infrastructure, and livelihoods. The storm also disrupted essential services such as electricity, water, cell reception, and internet connectivity across much of the island.
“Prior to the hurricane, Scotch Bonnet pepper prices were already consistently high, posing challenges for the spices and condiments industry. The hurricane’s impact is expected to exacerbate these challenges, potentially leading to even higher prices and exerting significant pressure on businesses in this sector,” Garbutt told stakeholders at a meeting hosted by the Jamaica Manufacturers and Exporters Association (JMEA) last Thursday.
Early reports from Walkerswood’s core farmers in Clarendon and St Elizabeth indicate “severe damage, particularly in the Scotch Bonnet pepper crop, with anticipated short-term impacts on escallion.”
Factories in the affected areas have also sustained damage, including Monymusk Rums’ Clarendon location and J. Wray & Nephew Limited’s sites in Clarendon and St Elizabeth.
Meanwhile, the JMEA is actively addressing the aftermath of Hurricane Beryl, which has inflicted significant damage on its members, particularly agro-processors.
Kamesha Blake, Executive Director of the JMEA, emphasised the severity of the impact, stating, “Our agricultural members, primarily located on the southwestern side of the island—Westmoreland, St Elizabeth, Manchester, and Clarendon—have borne the brunt of this disaster. Early reports indicate that the situation is dire, and recovery will be challenging.”
To this end, the JMEA is urging the Bank of Jamaica (BOJ) to avoid further tightening the policy interest rate to ensure a swifter and more robust recovery for all Jamaicans.
“Both commercial and retail interest rates need to be conducive to recovery efforts. Increased borrowing costs could stifle the ability of businesses and individuals to rebuild, potentially prolonging the economic recovery process,” the JMEA said.
Blake also noted the extensive reach of the hurricane’s impact, highlighting severe effects reported by Rainforest across all five countries where they operate, including imminent threats to locations like Belize.
The JMEA has been actively assessing the extent of the damage and providing support to its members during this crisis. So far, no loss of life has been reported, and companies are engaged in extensive cleanup operations.
Blake also noted the personal toll on employees, stating, “In addition to the economic losses in these parishes, many employees have endured significant property damage, including roof losses, flooded homes, impassable roads, and challenges with basic utilities such as electricity and water. A company’s employees are its most valuable asset, and their well-being directly impacts business operations. With many directly affected by the hurricane, there will inevitably be operational disruptions.”
In contrast, members in Kingston and St Andrew experienced minimal impact from the storm, enabling business operations to resume promptly.
“We are thankful that Kingston was largely spared,” Blake said. “While some members faced temporary challenges with electricity, water supply, and the resumption of transportation service to get workers back into the factory, many have since resumed operations. Thanks to the commendable efforts of the Jamaica Public Service (JPS) team in restoring energy and all other essential services personnel, hard at work to return us to production.”
In the wake of Hurricane Beryl, the JMEA said it remains steadfast in its commitment to supporting its members during this challenging period.
“We are dedicated to providing assistance and resources to facilitate recovery efforts, ensuring that our community can rebuild and thrive,” the association said.
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