17
Food Production and Distribution from an Island Perspective * tools to conquer opportunities ENTREPRENEURSHIP Behavioral Economics

FDRA

Embed Size (px)

Citation preview

1. Behavioral Economics*Food Production and Distribution from an Island Perspective 2. [T]ano were agricultural peoplecassava, squash, sweet potatoes and other tubers, such as yautamaize, beans[they] grew their root crops in artificial mounds of loose earth called conucosmamey, papaya and pineapplesachiote, tobacco and cottonsupplemented diet by hunting and fishing (turtles, manatees, fish, birds, oysters) AnPre ColumbianIntroduction to Taino Culture and History, RicardoPeriod:AlegraArawakPeople, IslandHopped fromVenezuela to theNorthern Caribbeanbasin and broughtcultigens fromnorthern SouthAmerica and otherMesoamericanpeople.Researchersindicate there is [T]ano needed to increase agricultural productionevidence of limitedcommerce to thein order to support a large population on a limitedmainland and theamount of land 3. Spanish Conquistadors brought large animal, fruits (citrus, and vegetables known to Europeans. Early on, along with the slave trade, bananas and plantains, ginger, okra and other products known to Africa were also brought to Puerto Rico. Later on coffee, cacao, sugarcane and spices were introduced to the Island. Turtles, Queen Conch and other seafood were exploited for local sustainability.ColonizationPeriod:As newcultivars anddomesticatedanimals werebrought intoPuertoRico, tradewith Europeincreased assugar, coffee,cacao andtobacco wereshipped toSpain and itsTerritories. 4. In the early 1900s new breeds of cattle and plants were introduced by the US military. Food Technology Research had a strong part in the 1940s and 50s. Massive projects of Irrigation and drainage canals were built increasing total arable land. Several Hurricanes devastated plantations. Advent of Refrigeration allowed for perishables to move across the Atlantic Ocean.US Occupation:New technologyand investmentallowed for anincreased tradewith thenortheast US.Sugarcane andTobaccodominated.Coffee was stillexported toEurope. Highproductionallowed tosatisfy localdemand. 5. At present time, it is estimated that 80% of all food consumed in PR comes from elsewhere. Agriculture and food processing have not kept pace with population growth at home nor abroad. In the 1950s Puerto Rico departed from an agrarian based economy to a manufacturing based one. Population moved from Rural areas to the San Juan Metro Area looking for better opportunities.PR Today:3.7 Million People2.1 Million Acres8% arable land4% permanent crops7.2% val. added mfg.60% pop. on SNAPEven though greatadvances intechnology andinfrastructure havetaken place, exportsfrom Puerto Ricohave fallendramatically.Mangoes and finishedfoods are exported. 6. * an integrated system of plant and animal production practices having a site-specific application that will, over the long term, satisfy human food and fiber needs; enhance environmental quality and the natural resource base upon which the agricultural economy depends; make the most efficient use of nonrenewable resources and on-farm resources and integrate, where appropriate, natural biological cycles and controls; sustain the economic viability of farm operations; and enhance the quality of life for farmers and society as a whole. Public Law 101-624, Title XVI, Subtitle A, Section 1683 (1990) [Emphasis added]* 7. * USDAs Sustainable Agriculture Research and Education 3 pillars:* Profit over the long term;* Stewardship of our nations land, air and water and;* Quality of life for farmers, ranchers and theircommunities.* American Planning Associations Sustainable Food Systems:* relationships between sectors (from production towaste disposal) and characteristics (health-promoting, sustainable, resilient, diverse, fair, economically balanced, and transparent) of the system. * 8. * Challenges pursuing sustainable agriculture in Puerto Rico:* High costs of production(labor, environmental, energy);* No vertical integration of the food cluster (lack oftrust among players, inadequate governmentintervention);* Lack of conservationist and entrepreneurial culture(isolationism, subsidy dependency, complexmanagement).* The benefits, both here and elsewhere, are unquestionable although a unique recipe needs to be adopted case by case.* 9. * In order to achieve a sustainable food system, the first building block to overcome the challenges we face in Puerto Rico, is entrepreneurship.* In the words of Jim Collins (From Good to Great), First Who, Then What. Whos engaging in food related activities?* Ethical, Disciplined, Intellectual, Thorough, Innovative People* What needs to be in place in order to promote entrepreneurialism? * 10. * Dan Isenberg, Babson College, promoted during the Puerto Rico Entrepreneurship Ecosystem Project 13 elements that must be in place in order to achieve economic development:* leadership;* Government as facilitator;* culture;* entrepreneur success stories;* the availability of human capital in terms of skilled andunskilled;* Financial capital;* non-government organizations (NGOs) that are working tosupport entrepreneurship;* 11. * educational institutions;* infrastructure;* the presence of economic clusters;* the availability of networks that can be made up of thediaspora, entrepreneurs and multinational corporations;* support services in terms of the availability of goodlegal and accounting firms and investment bankers;*and early customers who are available to support acompanys products and services.* 12. * The scope of Government in recent years has been that of promoting agripreneurs through:* Agribusiness coursework for farmers through SBTDCs and UPR programs as pre condition to incentives;* Creating High Yield, High Quality models;* Investing in applied research to solve issues pertaining tropical agriculture;* Providing incentives for renewable energy infrastructure;* Assisting to organize a Food Cluster;* Reaching out to consumers through Market Farmers and Media Campaigns to Buy Local. * 13. * Puerto Rico has gone from subsistence agriculture, toagri industry (late 1800s and early 1900s), agrarianreform (1940s), centralized planning (early60s), government as producer (1970s), subsidizedagriculture (1980s), to a somewhat market drivenagriculture (1990s), to an attempt of coop model inthe early 2000s along with all of the preceding.* Most recently, an effort to achieve a truly marketeconomy driven agriculture has taken place, this timewith a twist as we considered the social, congnitiveand emotional factors on economic decisions (bothindividuals and organizations) and the consequencesfor market prices, returns and resource allocation asthe new trend of economics is defined. * 14. Emerging OpportunitiesCommerce to mainlandcities with high Puerto Canada Rican population.Smart InstitutionalGuys with bigEngagement atMarkets (Schooltrucks who the Districts) dare to cook! supermarket * 15. * Farmers Market* Mercado Urbano* Urban Farmers Market in affluent area of San Juanwith several editions across the island.* Placita en Plaza* Farmers Market inside Caribbeans largest ShoppingMall.* Harvest of Puerto Rico* Seal of Quality and Media Campaign * 16. * 17. * Risk: The Politics of Fear, by Dan Gardner.* An old trend is lurking around these days: FEAR.* shortage on food supplies, climate change, food recalls, epidemics.* Particular responses are expected from these potential threats.* For Puerto Rico, in the 1930s having 100% of food produced on the islandmeant a threat on food security because of hurricanes. The solution:Imports.* Also, around that time, the US faced a very limited purchasing power ofthe American people. The Solution: Welfare.* During the Cold War Era the threat was a nuclear attack and foodavailability in shelters over long periods: The Solution: Canned Food.* Nowadays, here we face the concern of a disabling earthquake that mayprevent ships from docking and hence cut the chain of supply. TheSolution: Produce 100% of food locally until the next hurricane hits!* While crises occurs, what? The best way to avoid crises is taking careof opportunities. *