Food Imports

Countries in the Organisation of Eastern Caribbean States could save about US$261 million annually by diversifying their import sources, Eastern Caribbean Central Bank Governor Timothy Antoine said, citing a Caribbean Private Sector Organization study.

Speaking during closing remarks at the 28th Sir Arthur Lewis Memorial Lecture, Antoine said the findings demonstrated an opportunity to tackle high living costs by reconsidering where the region buys its goods.

He said the study found that changing import sources could lower import costs across the wider region by around 40%, with estimated annual savings of US$261 million for the OECS.

Antoine argued that reliance on familiar suppliers could come at a significant cost to consumers.

“We have gone to traditional sources, because it’s convenient, but it’s very costly,” he said.

The governor presented supplier diversification as one practical response to the region’s exposure to imported inflation. Although overseas price increases are largely outside Caribbean governments’ control, he said countries still have options for reducing costs.

His remarks followed a lecture by Professor Emeritus Andrew Downes on “Competition, Regulation and the Caribbean’s Cost of Living Problem.”

Downes outlined how freight, insurance, port charges, customs duties, taxes and business markups contribute to the prices consumers pay.

Antoine also proposed collective purchasing of essential foods, drawing on the model used by the OECS Pharmaceutical Procurement Service. He suggested identifying a basic basket and working with the private sector to buy from competitive suppliers internationally.

He separately called for weekly publication of prices for essential foods, allowing consumers to compare costs and helping authorities identify excessive markups.

The savings cited by Antoine were estimates from the study, rather than savings already achieved. He did not announce an agreed supplier diversification programme or an implementation timetable.

This article was originally published by Antigua News Room. Read the original article here: Changing import sources could save OECS US$261 million annually, governor says.