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Food Distribution, Production, and Consumption in Haiti

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Food Distribution, Production, and Consumption in Haiti RESEARCH REPORT part II of 2 parts Food Distribution, Production, and Consumption in Haiti (with special emphasis on the emerging role of snack foods and prospects for marketing high quality peanut based snack foods) Report by Timothy T Schwartz 7th April 2015 CONTRIBUTORS Team Leader Timothy T. Schwartz 2nd Consultant Harold Maass Assistant Analyst Keely Brookes Nutritionist Adrienne Clemont Survey Supervisors Pharrel Emile Egain Ambeau Surveyors Marckenson Emile Othelo Bisnet Sylvestre Prophete Marc Jean Bastist Jeudy Lucner Rose-Yolande Desir Renande Nombre Reaud Previlus Logistics and Accounting Stephanie Pierre Focus Groups Nahomie Jeannis Almathe Jean Amelie Odney Focus Groups Timothy Schwartz Almathe Jean Nahomie Jeannis Rose-Yolande Desir Contents 9. The Entrance of Imported Snack Food ..................................................................................... 70 Introduction ............................................................................................................................... 70 Entrance of Snack Foods .......................................................................................................... 71 Cost and the Entrance of Prepackaged Fake Nutritious Foods ................................................. 74 Government vs. Merchant Elite: Who Controls of the Market ................................................ 81 Government Regulations, Standards and Quality Control .................................................... 81 Elite, Imports, Corruption, Political Instability and the Stacked Deck ................................. 82 10. Peanuts and Peanut Butter ...................................................................................................... 84 The Peanut Value Chain ........................................................................................................... 84 Peanut Production ................................................................................................................. 84 The Market ............................................................................................................................ 85 Problems and Inefficiencies in the Production and Market Chain ....................................... 88 Consumers Opinions, Preferences and Tastes .............................................................................. 89 Health and Who Consumes Peanuts ..................................................................................... 89 Peanut Base Foods ................................................................................................................ 91 Peanut Butter ......................................................................................................................... 91 Expenditures on Peanut Butter.............................................................................................. 92 Market Potential and Analysis for Peanut Based RUTFs ......................................................... 94 Distributors Profit Margins ....................................................................................................... 95 Competing Processed Snack Foods .......................................................................................... 95 Probability of Sales ............................................................................................................... 96 Market Size ............................................................................................................................... 97 Caveats and additional information ...................................................................................... 97 Distributors and Credit .............................................................................................................. 99 Government, Import Duties, Sales Taxes and Licenses ........................................................... 99 Labeling, Size and Packaging ................................................................................................... 99 11. Conclusion and Recommendations ....................................................................................... 100 Getting past the Elite Merchants ............................................................................................. 100 Publicity .................................................................................................................................. 100 Getting to the Market .............................................................................................................. 101 Plugging into the ‘Dueling Economies’ .............................................................................. 102 ANNEXES .................................................................................................................................. 104 Annex 1: Contacts ................................................................................................................... 105 Table A1-3: Redistributors ......................................................................................................... 105 Annex 2: Proposal ................................................................................................................... 110 Annex 3: Most Nutritional Foods Free-lists ........................................................................... 113 ANNEX 4: Cultural Consensus Plot of Food Item Proximity ............................................... 125 Annex 5: Alternative and Secondary Meals and Food Rules ................................................. 126 Main Meal Alternatives: Soups and Stews ........................................................................ 126 Secondary Meals ................................................................................................................. 127 Food Combination Rules for Secondary Evening Meals .................................................... 129 Beverages, Gruels and Blends ............................................................................................ 130 Rebuilding Juices: Fortified Folk Concoctions.................................................................. 131 Baby Foods ......................................................................................................................... 132 Table A5-7: Styles of baby food ......................................................................................... 132 Annex 6: Cost and Profit Analysis for 4 Street Foods ........................................................... 133 Annex 7: Boutik Survey.......................................................................................................... 135 Annex 8: Port-au-Prince Boutik Survey ................................................................................. 139 Annex 9: Summary of Results from the Consumer Focus Group Survey ............................. 150 Annex 10: RUFTs Nutrition and Costs Breakdown ............................................................... 152 Annex 11: RUFTs Nutrition and Costs Breakdown for Major Staples .................................. 153 Annex 12: Peanut Butter Value Chains Cape Haitian ........................................................... 154 Annex 13: Super Market Data: Imported vs. Local Peanut Butters ..................................... 130 Annex 14: Most Popular Snack Brands, Profitis and Turnover Rates ................................... 132 Margins and Turnover for Other Snacks ................................................................................ 132 Annex 15: Child Snack Purchases and Use of Vitamins for Preganant Women .................... 135 Annex 16: Government Regulations ....................................................................................... 137 Annex 17: Questionnaires ....................................................................................................... 147 Consumer Taste Test Questionnaire ................................................................................... 148 Consumer Quantitive Questionnaire ................................................................................... 151 Boutik (neighborhood store) Questionnaire........................................................................ 160 Distributor and Redistrutor Questionnaire .......................................................................... 163 WORKS CITED ......................................................................................................................... 166 NOTES ........................................................................................................................................ 171 FIGURES Figure 23: Adults who Eat Manufactured Snacks……………….………….…………… 72 Figure 24: Adults Reported Frequency of snack purchases……………….……………….………….72 Figure 25: Adults Who Buy Manufactured Snack Foods for Children of the House……….………….72 Figure 26: Frequency Adults Buy Manufactured Snacks for Children of the House……….………….72 Figure 27: Primary Motivation for Choosing Specific Snack ……………….……………..………….………….73 Figure 28: Would pay for cookies if had more vitamins than other cookies that sold for less ……73 Figure 29: Factors most important to customers when purchasing food ……………………………….……73 Figure 30: Some of the Foods that Bongu has priced out of the Popular Market…………..………….…75 Figure 31: Bongu Association with Sports ……………….……………….……………….…………75 Figure 32: Bongu Good for the Health ……………….……………….…………………….………….75 Figure 33: Bongu Milk
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