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The Caribbean Market for Value-Added Meats June 2002 5.0 Netherlands Antilles 5.1 Overview The Netherlands Antilles are formed by two island groups, one including Curacao and Bonaire (north of Venezuela) and the other situated east of the Virgin Islands comprised of St. Maarten (Dutch part of the island of St. Martin), Saba, and St. Eustatius. The island of St. Maarten is shared with France; its northern part is named St. Martin and is part of the French department of Guadeloupe. The Netherlands Antilles remains an autonomous department of the Kingdom of the Netherlands. St. Maarten and Curaçao represent the largest markets of the Netherlands Antilles. While the economy in Curacao is based on petroleum, that of St. Maarten is driven by tourism. Although Curaçao’s GDP has declined slightly over the last several years, the island still enjoys a high per capita income and a well-developed infrastructure including extensive docking facilities and services. St. Annabaai, Curacao’s largest port, has one of the most modern and efficient container terminals in the Americas. The capital, Willemstad, is a frequent stop for many cruise lines. The Netherlands Antilles possesses little arable land and thus depends heavily on food imports. Almost all consumer and capital goods are imported from the US and other suppliers. According to USDA, US and European suppliers provide approximately 95 percent of the country’s food needs. While this chapter focuses primarily on the island of Curaçao (due to its size), country data (demographics, production, imports) presented here pertain to all of the Netherlands Antilles. 5.1a Demographics Country Profile Per capita GDP: US$11,400 (2000 est.) GDP growth rate: -3.5% (2000 est.) Population: 212,226 (July 2001) Age breakdown: 0-14 years: 25.21% 15-64 years: 66.99% 65+ years: 7.8% Life expectancy: 74.94 years Ethnic makeup: African descent: 85% Caribbean Amerindian, White, and East Asian: 15% Religion: Roman Catholic, Protestant, Jewish, Seventh- Day Adventist Male/female ratio: 0.92 Currency: N Antilles guilder (ANG) US$1.00 = ANG1.77 Source: CIA World Factbook, 2001 44

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5.0 Netherlands Antilles

5.1 Overview

The Netherlands Antilles are formed by two island groups, one including Curacao and Bonaire (north of Venezuela) and the other situated east of the Virgin Islands comprised of St. Maarten (Dutch part of the island of St. Martin), Saba, and St. Eustatius. The island of St. Maarten is shared with France; its northern part is named St. Martin and is part of the French department of Guadeloupe. The Netherlands Antilles remains an autonomous department of the Kingdom of the Netherlands.

St. Maarten and Curaçao represent the largest markets of the Netherlands Antilles. While the economy in Curacao is based on petroleum, that of St. Maarten is driven by tourism. Although Curaçao’s GDP has declined slightly over the last several years, the island still enjoys a high per capita income and a well-developed infrastructure including extensive docking facilities and services. St. Annabaai, Curacao’s largest port, has one of the most modern and efficient container terminals in the Americas. The capital, Willemstad, is a frequent stop for many cruise lines.

The Netherlands Antilles possesses little arable land and thus depends heavily on food imports. Almost all consumer and capital goods are imported from the US and other suppliers. According to USDA, US and European suppliers provide approximately 95 percent of the country’s food needs. While this chapter focuses primarily on the island of Curaçao (due to its size), country data (demographics, production, imports) presented here pertain to all of the Netherlands Antilles.

5.1a Demographics

The islands of the Netherlands Antilles are 960 square kilometers in size, more than five times the size of Washington DC. Curaçao is the largest island. Total population in 2001 was estimated at 212,226. The population in Curaçao is mostly of African descent while the majority of tourists are from Europe.

5.1b Consumption

The emergence of large supermarkets in the Netherlands Antilles is a result of the growth in the petroleum and tourism sectors. The construction of modern supermarket chains in the main cities now offers consumers more food choices at convenient locations. While official statistics show a decrease in consumption of imported processed meats of 7 percent between 1996 and 2000, sources indicated that there is strong demand for certain varieties of processed meats.

Demand is also contingent on demographics. Wealthy consumers tend to shop by brand name and product quality, and in Curaçao show a keen preference for Dutch-origin deli meats. One manager at Centrum Supermarkets indicated that deli products differed from one store to the other: at one

Country Profile

Per capita GDP: US$11,400 (2000 est.)GDP growth rate: -3.5% (2000 est.)Population: 212,226 (July 2001)Age breakdown: 0-14 years: 25.21%

15-64 years: 66.99%65+ years: 7.8%

Life expectancy: 74.94 yearsEthnic makeup: African descent: 85%

Caribbean Amerindian,White, and East Asian: 15%

Religion: Roman Catholic, Protestant, Jewish, Seventh-Day Adventist

Male/female ratio: 0.92Currency: N Antilles guilder (ANG)

US$1.00 = ANG1.77Source: CIA World Factbook, 2001

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store located in a wealthy neighborhood with a high concentration of Dutch and European expatriates, the deli section displayed more Dutch-origin products; in their other store frequented by nationals, located in a more populous area, pork products and less expensive brands are offered in greater number.

Pork consumption in Curaçao remains high, with many salami, ham and Dutch ham products in evidence at local supermarkets. Pork consumption tends to increases around Christmas and Easter when party platters are in demand. High demand also exists for pre-cooked ham shoulders (usually in the frozen meat section) that supermarkets carry year-round. Poultry-based products are the most common items offered in deli sections. Among the most common items seen at deli sections were US-origin low-fat and low-sodium turkey products. Sources also indicated that consumers generally prefer fresh / chilled chicken and turkey products to preserved items such as canned sausages.

5.2 Imports

Agricultural production and processing in the Netherlands Antilles is minimal. Meat production (beef, poultry, and pork) totaled just 462 MTs in 2000, thus indicating a strong need for imports. The US and the Netherlands supply the bulk of the foods consumed in the Netherlands Antilles, although Latin American countries also have a small share of the market. Products from both the EU and US are generally associated with high quality.

5.3a Import Volumes and Values

Official Netherlands Antilles statistics were not available for the desired period (1996-2001). Official export statistics for the major suppliers (the US, EU and Canada) paint a varied picture, with imports of certain processed meats increasing in recent years while others remained stagnant or decreased.

Processed poultry (except turkey; see figures below) was the only category that showed any consistent increase in imports, from 118 MTs valued at $251,000 in 1996 to 371 MTs valued at $666,000 in 2000.

5.3b Country Suppliers

European processed meats come primarily from the Netherlands and, to a lesser extent, Denmark. Visits to local supermarkets showed a large presence of Canadian franks, chicken

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nuggets and patties, as well as Brazilian canned corn beef, although these are not accurately reflected in official statistics.

5.3c Import Statistics

The following tables show Netherlands Antilles imports of processed meats by category (US, European and Canadian suppliers only):

Table 5.1: Netherlands Antilles Imports of Sausages  

1996 1997 1998 1999 2000MTs US$000s MTs US$000s MTs US$000s MTs US$000s MTs US$000s

US 669 1,764 426 1,147 286 730 114 184 223 404Netherlands 239 938 215 754 286 936 302 914 358 922Denmark 179 491 182 531 149 372 109 255 161 423France 6 20 6 23 2 13 3 12 3 17Italy 29 225 19 163 11 80 31 185 18 112Canada 5 12 43 91 56 116     24 24Total 1,127 3,451 891 2,710 790 2,247 559 1,550 787 1,902Source: Official Trade Statistics of the US, EU, and CanadaIncludes all sausage products (spicy, sweet, breakfast links, etc.) made from poultry, pork or beef.

Table 5.2: Netherlands Antilles Imports of Homogenized Meat Products  

1996 1997 1998 1999 2000MTs US$000s MTs US$000s MTs US$000s MTs US$000s MTs US$000s

US 27 62 2 6 54 61 2 4 7 17Netherlands     6 14 21 57 30 88 14 43Total 27 62 8 20 75 118 32 92 21 60Source: Official Trade Statistics of the US, EU, and CanadaIncludes all frankfurters, hot dogs and similar products made from poultry, pork, and beef.

Table 5.3: Netherlands Antilles Imports of Processed Turkey  

1996 1997 1998 1999 2000MTs US$000s MTs US$000s MTs US$000s MTs US$000s MTs US$000s

US 11 35 7 22 47 153 17 66 3 14Netherlands 3 14 3 7 1 7 2 13 14 46France 1 4Total 14 49 10 29 48 160 19 79 18 64Source: Official Trade Statistics of the US, EU, and CanadaIncludes all processed turkey products except sausages and homogenized products like turkey franks.

Table 5.4: Netherlands Antilles Imports of Processed Chicken and Poultry (except Turkey)  

1996 1997 1998 1999 2000MTs US$000s MTs US$000s MTs US$000s MTs US$000s MTs US$000s

US 82 116 132 544 227 926 795 1,367 308 518Netherlands 12 89 8 34 8 46 12 37 63 148France 1 1            Canada 23 45                Total 118 251 140 578 234 969 807 1,404 371 666Source: Official Trade Statistics of the US, EU, and CanadaIncludes all processed chicken and non-turkey poultry products except sausages and homogenized products like chicken franks.

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Table 5.5: Netherlands Antilles Imports of Processed Pork  

1996 1997 1998 1999 2000MTs US$000s MTs US$000s MTs US$000s MTs US$000s MTs US$000s

US 46 193 25 104 10 48 23 24 56 171Netherlands 43 318 61 318 46 258 72 297 98 3,560Denmark 111 469 133 469 122 385 69 226 50 112France 8 37 7 37 5 22 1 6 2 8Belgium 5 6 3 6 5 8 1 2 3 5Italy 1 9   11 2 21 5 44 3 29Canada             12 29 20 21Total 214 1,032 229 943 190 742 183 628 232 702Source: Official Trade Statistics of the US, EU, and CanadaIncludes all processed pork products except sausages and homogenized products like frankfurters.

Table 5.6: Netherlands Antilles Imports of Processed Beef  

1996 1997 1998 1999 2000MTs US$000s MTs US$000s MTs US$000s MTs US$000s MTs US$000s

US 25 41 20 70 13 31 14 32 17 15Netherlands 38 108 11 39 8 25 7 31 5 22Denmark 3 10 3 7 1 3     2 5Total 66 159 34 116 22 59 21 63 24 42Source: Official Trade Statistics of the US, EU, and CanadaIncludes processed and canned beef products (corned beef, shredded beef, etc.) except sausages and homogenized products like frankfurters.

Table 5.7: Netherlands Antilles Imports of Other Meat Products, Mixed or Otherwise  

1996 1997 1998 1999 2000MTs US$000s MTs US$000s MTs US$000s MTs US$000s MTs US$000s

US 13 8 4 20 2 16 17 26Netherlands 24 50 22 42 48 111 37 56 18 24Total 37 58 26 62 50 127 37 56 35 50Source: Official Trade Statistics of the US, EU, and CanadaIncludes all processed meat mixtures except sausages and frankfurters

5.3 Distribution

5.3a Structure and Trends

Food distributors supply most of the retail market, although larger retail outlets such as Centrum have vertically integrated their importing and wholesale activities. These typically extend beyond food products to include household goods and other consumer products, and provide an established and working distribution network as well as marketing support. In addition to their sister supermarkets, these distributors also supply product to other retail outlets, hotels, restaurants, and smaller wholesalers. In some instances, large distributors will enter into exclusive agreements with foreign brand manufacturers.

5.3b Importer-distributors

In Curaçao, the major food distributors include Consales Curaçao, JP Maal & Co, Posner’s Agencies Curaçao, and C. Winkel & Zomen. JP Maal is one of the largest importers of deli meats. Compra supplies its sister company Centrum Supermarkets in Curaçao and Aruba. A list of major importer-distributors in Curaçao carrying processed meat products is provided below:

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Table 5.8: Curaçao Importer-DistributorsFraal Import and Export Werslstraat Z/N Willemstad, Curaçao, Netherlands Antilles Contact: Mr. Francisco de Freitas Bras, DirectorTel: 599-9-461-7831; Fax: 599-9-461-7829E-mail: [email protected]

Importer / wholesaler / distributor of a wide variety of food products. Sources many products and brands direct from the US.

Consales Curaçao, NV Majoorsweg 2-12PO Box 3005Willemstad, Curaçao, Netherlands AntillesContact: Floris A. DrabbeTel: 599-9-737-3244; Fax: 599-9-737-2421E-mail: [email protected]

Distributor of deli and value-added processed meat products. The company also supplies a wide variety of other foods. Sources product direct from the US and Europe.

J.P. Maal & CO, NVPO Box 510Kaya Panacea #8 Curaçao, Netherlands AntillesContact: Sergio A Leon, Managing DirectorTel: 599-9-461-5225; Fax: 599-9-461-7363E-mail: [email protected]

One of the largest importer-distributors in the country, supplying many supermarkets, hotels, restaurants, convenience stores and grocery stores. They do not source products from Florida consolidators; rather, their products are shipped direct from manufacturers including Butterball, Swift Premium, Armor, Eckridge and Oscar Mayer products.

Interested in receiving product information and price lists from potential suppliers.

Compra NVS.B.N. Doormanweg z/nCuraçao, Netherlands Antilles Contact: Mr. Henry Ribeiro, DirectorTel: (599-9)-736-5914;Fax: (599-9)-736-1732E-mail: [email protected]

Sister company to Centrum Supermarkets, supplying all goods for their stores. Also supply other buyers such as grocery stores, restaurants, hotels, etc. Sources many products from the US, mostly via Florida consolidators.

Interested in receiving product information from potential suppliers.

5.4 Retail Sales

According to USDA, supermarkets in Curaçao were responsible for over 80 percent of all retail sales. The major supermarkets are located mostly in and around the Willemstad metropolitan area. Large supermarkets are modernized with an area averaging between 25,000 and 30,000 square feet. There are also a number of smaller supermarkets (averaging 10,000 square feet or less), as well as mini-markets and small grocery stores.

The layout of these stores is similar to US supermarkets, with separate deli, bakery, meat, frozen, seafood and produce sections, as well as scanners and electronic inventory control systems. Smaller supermarkets also offer value-added meats although their deli sections are not as elaborate as in the super centers. Esperamos, a supermarket that caters mostly to middle-class consumers,

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usually offers lower prices than Centrum and the others. One importer even commented that he prefers selling to stores like Esperamos, as they tend to liquidate their volumes faster than the major chains.

The average consumer tends to shop around for bargain prices. Canned meat products are a huge seller among the low to mid-incomers. The wealthier areas of the island have more purchasing power; hence customers there can afford more expensive items such as imported deli meats. Wealthy consumers tend to shop for brand name and quality. In Curaçao, there is a keen preference among wealthy consumers for European, especially Dutch, deli meat products.

5.4a Major Supermarket Chains

The major supermarkets with a sizeable representation of deli meat products are Centrum Supermarkets (2 stores), Pita Supermarkets (2 stores) and Mangusa (2 stores), and, to a lesser extent, Esperamos (1 store). These four account for over 60 percent of retail food sales according to sources. There is also a large-sized hypermarket, Cost-U-Less (similar to Price Club in the US).

Table 5.9: Curaçao SupermarketsMangusa Supermarket Schottegatweg noordWillemstad, Curaçao Contact: Francisco Do Streito, DirectorTel: 599-9-737-6271; Fax: 599-9-737-6271

Chain of 2 stores. Mangusa 1 caters to middle-class families; Mangusa 2 which is newly renovated offers a full line of grocery items and non-food products.

The deli counter in Mangusa 1 is small, that of Mangusa 2 is well-developed.

Centrum SBN Doormanweg z/nCuraçao, Netherlands Antilles Contact: Henry Ribeiro, Director Tel: 599-9-736-7337; Fax: 599-9-737-1732E-mail: [email protected]

Chain of 2 stores. Centrum is the sister company of Compra Wholesale. Centrum 1 is located in the Punda area, and caters to middle-income shoppers. Centrum 2 is located in the wealthy Mahai neighborhood and caters to expatriates and Dutch consumers.

Stores feature a modern deli counter.

Esperamos Supermarket Jan Noorduynweg 60Willemsted, Curaçao Contact: Joa D’Silva de Freitas, ManagerTel: 599-9-868-1473; Fax: 599-9-868-5871

Supermarket catering to middle-income consumers, direct competitor of Centrum (1) located nearby.

This store maintains a poorly displayed deli counter.

Pita SupermarketPrairieweg 79Willemstead, Curaçao, Netherlands AntillesContact: Jorge R. PitaTel: 599-9- 737-4324; Fax: 599-9-736-0856

Chain of 2 stores, catering to upper-income consumers. Interested in purchasing direct from US manufacturers, provided it is possible to obtain a mixed container of different products.

Features a modest deli counter.

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Table 5.9: Curaçao SupermarketsCost-U-Less Jan Noorduynweg, z/nCuraçao, Netherlands Antilles Contact: Alejandro Perozohttp://www.costuless.com

Large, warehouse-style membership store.

No deli counter.

5.4b Meat Departments

Deli meats are offered either fresh at the deli counter or else pre-packed in the chilled meats section. The volume of imported products and brands from the US (Butterball, Premium Swift and Jennie O) were strongly in evidence in certain supermarkets, however Dutch products were in greater display than US products at more up-scale supermarket deli counters. With respect to canned meats, Vienna sausage from the Netherlands and Brazilian corned beef were the most widely available products. Hormel’s Spam was also plentiful but expensive by comparison.

The frozen food sections commonly offer franks, sausages, and value-added products such as chicken nuggets and breakfasts links. US bacon and franks were also highly evident.

5.4c Products and Prices

Value-added meat products found at supermarket chains granting permission to record store data (Mangusa, Centrum, Esperamos and Pita) are provided in the tables below, along with brand names, countries of origin and retail prices converted to US dollars.

Table 5.10: Products and Prices – Mangusa, CuraçaoProduct Brand Origin Size Price

Deli sectionBologna Butterball USA 9 oz $1.49 Bologna, turkey Butterball USA 9 oz $1.49 Ham, Boerham Imperial Netherlands 16 oz $4.00 Ham, boiled Swift Premium USA 16 oz $4.50 Ham, cheese loaf Oscar Mayer USA 8 oz $2.44 Ham, Jubilee Oscar Mayer USA 16 oz $9.57 Ham, prosciutto Villan Italy 16 oz $5.50 Ham, smoked Oscar Mayer USA 8 oz $2.67 Ham, turkey Jennie O USA 16 oz $3.57 Pastrami, turkey Butterball USA 16 oz $3.01 Pepperoni Carando USA 16 oz $2.21 Salami, Cotto, sliced Oscar Mayer USA 8 oz $2.22 Salami, “Danish Gold” Danish Best Denmark 16 oz $2.00 Salami, hard Premium Swift USA 16 oz $2.22 Sausage, Liver Oscar Mayer USA 16 oz $2.28 Turkey breast Butterball USA 9 oz $1.63 Turkey breast, seasoned Butterball USA 16 oz $4.05 Turkey, roast Oscar Mayer USA 8 oz $2.44 Canned sectionChicken, luncheon meat MacFoods Trinidad 12 oz $2.53 Corned beef Valrico Brazil 12 oz $1.10 Corned beef Maple Leaf Brazil 12 oz $0.98 Corned beef hash Libby’s Brazil 25.5 oz $3.34 Deviled ham Underwood USA 6.75 oz $2.67 Ham, luncheon meat Tulip Denmark 7 oz $0.87

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Table 5.10: Products and Prices – Mangusa, CuraçaoProduct Brand Origin Size Price

Ham, luncheon meat Zwan Netherlands 12 oz $1.74 Ham, luncheon meat Black Label USA 12 oz $1.49 Ham, shoulder, cooked Zwan Netherlands 16 oz $2.75 Sausage, cocktail Tulip Netherlands 9 oz $1.60 Sausage, cocktail Zwan Netherlands 5 oz $0.78 Spam Hormel Foods USA 12 oz $2.78 Frozen sectionFranks Kunzler USA 12 oz $0.84Franks Rockingham USA 12 oz $0.84Franks Armour USA 16 oz $1.24Franks, Turkey Jennie O USA 16 oz $1.10Franks, Turkey Ecrich USA 16 oz $2.58Salsicha Perdigao Brazil 12 oz $0.89Source: Fintrac store surveys

Table 5.11: Products and Prices – Centrum, CuraçaoProduct Brand Origin Size Price

Deli sectionBeef, thuring Hickory Hill Farms USA 16 oz $6.94 Bologna, beef Lykes USA 16 oz $2.64 Bologna, beef “Lite” Oscar Mayer USA 8 oz $2.16 Bologna, chicken / pork, “Lite” Oscar Mayer USA 12 oz $1.87 Bologna, sliced pack, “Low Fat” Louis Rich USA 8 oz $2.16 Bologna, turkey Hormel USA 16 oz $3.30 Chicken breast Honey Suckle USA 16 oz $3.77 Chicken breast, golden Dietz & Watson USA 16 oz $3.98 Ham, Boterhamworst Boekus Netherlands 16 oz $3.50 Ham, Boterhamworst Stegeman Netherlands 16 oz $4.88 Ham, deli thin sliced Butterball USA 6 oz $2.16 Ham, turkey, smoked, sliced Louis Rich USA 8 oz $1.59 Ham, turkey, smoked, sliced Honey Suckle USA 16 oz $3.04 Ham, turkey, smoked, sliced Louis Rich USA 8 oz $1.60 Ham, Virginia Carando USA 16 oz $3.43 Salami, Dushi (Sweet) Danish Viking Food Denmark 16 oz $3.20 Salami, hard Swift Premium USA 16 oz $3.25 Salami, Heritage Hard Patrick Cudahy USA 16 oz $5.15 Turkey breast, “Deli Tradition” Healthy Choice USA 16 oz $2.83 Turkey breast, Hickory Smoked Louis Rich USA 12 oz $1.94 Turkey breast, sliced Oscar Mayer USA 6 oz $2.16 Turkey breast, smoked Hormel USA 16 oz $6.85 Turkey breast, smoked, sliced Louis Rich USA 6 oz $2.71 Turkey, sliced, “Extra Lean” Jennie O USA 12 oz $3.21 Canned sectionBeef, corned Libby’s USA 12 oz $1.07 Beef, corned Hereford Brazil 12 oz $1.24 Beef, corned Goya USA 12 oz $1.13 Beef, corned Exeter Netherlands 7 oz $1.08 Beef, corned Exeter Netherlands 12 oz $1.26 Beef, roast Hereford Brazil 12 oz $1.71 Franks, beef Kip Netherlands 10 oz $1.71 Franks, beef Unox Netherlands 10 oz $2.20 Ham, picnic Normeat Netherlands 17 oz $3.43 Ham, picnic Tulip Netherlands 16 oz $3.48 Pork, luncheon meat Goya USA 12 oz $1.37 Pork, luncheon meat Lupack Netherlands 12 oz $1.71 Pork, luncheon meat Tulip Holland 12 oz $1.35 Pork, luncheon meat Hormel USA 12 oz $2.00 Potted meat Hormel Foods USA 3 oz $0.87 Potted meat Goya USA 3 oz $0.54

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Table 5.11: Products and Prices – Centrum, CuraçaoProduct Brand Origin Size Price

Sausage, cocktail Lupack Netherlands 10 oz $1.04 Vienna sausage Zwan Netherlands 7 oz $0.93 Vienna sausage Goya USA 9 oz $0.93 Vienna sausage, Chicken Valrico USA 5 oz $0.63 Chilled section Bacon Stegeman Netherlands 4 oz $2.30 Bacon, cooked, “Ready To Eat “ Patrick Cuhady USA 16 oz $3.65 Bacon, sweet smoked Armour USA 16 oz $4.83 Bacon, turkey Hormel USA 16 oz $1.41 Bacon, turkey, “Extra Lean” Jennie O USA 12 oz $3.35 Bacon, turkey, smoked Butterball USA 6 oz $3.63 Ham, “Shouderham” Slager Netherlands 4 oz $2.28 Frozen sectionChicken breast filet Pilgrim’s Pride USA 2 lb $7.19 Chicken burgers Olymel (Flamingo) Canada 26 oz $7.19 Chicken fingers Olymel (Flamingo) Canada 26 oz $7.19 Chicken Request, breaded Butterball USA 14 oz $6.00 Chicken, Cordon Bleu Tyson USA 12 oz $6.44 Franks, beef Eckrich USA 16 oz $1.15 Franks, beef, Jumbo Gwaltney USA 16 oz $3.46 Franks, cheese Louis Rich USA 16 oz $2.53 Franks, chicken / pork Doux Brazil 16 oz $0.85 Franks, Jumbo Dubuque USA 16 oz $2.61 Franks, Jumbo Armour USA 16 oz $2.05 Franks, Jumbo Lykes USA 16 oz $3.23 Franks, turkey Jennie-O USA 12 oz $1.10 Franks, turkey Jennie-O USA 16 oz $1.38 Meat, patty Patty Palace Canada 2 lb $4.19 Sausage, bacon Swift Premium USA 7 oz $1.58 Sausage, breakfast links Swift Premium USA 7 oz $1.67 Sausage, breakfast links Swift Premium USA 7 oz $1.58 Sausage, turkey Swift Premium USA 7 oz $1.54 Source: Fintrac store surveys

Table 5.12: Products and Prices – Esperamos, Curaçao*Product Brand Origin Size Price

Sliced meats (chilled section)Bologna Oscar Mayer USA 16 oz $3.43Bologna, chicken Gwaltney USA 16 oz $5.03Ham Espina Spain 16 oz $3.81Leverhorst Stegeman Netherlands 16 oz $3.50Salami, Cervelaat Stegeman Netherlands 16 oz $3.80Salami Danish Gold Denmark 16 oz $3.62Canned sectionBeef, dried Hormel USA 5 oz $3.57 Beef, roast Hereford Brazil 12 oz $1.68 Chicken, breast Hormel USA 5 oz $2.33 Chicken, chunks Maple Leaf Canada 6 oz $1.21 Chicken, flakes of white Maple Leaf Canada 6 oz $1.57 Chorizo carne Sicasal Portugal 12 oz $6.71 Corned beef Sussex Brazil 7 oz $0.81 Corned beef Maple Leaf Brazil 7 oz $1.01 Corned beef Exeter Argentina 7 oz $0.84 Corned beef Libby’s Brazil 7 oz $0.81 Franks Unox Netherlands 16 oz $3.09 Franks Sicasal Portugal 13 ct pack $5.05 Ham, chopped Tulip Denmark 12 oz $1.71 Ham, cooked Maple Leaf Brazil 16 oz $3.25

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Table 5.12: Products and Prices – Esperamos, Curaçao*Product Brand Origin Size Price

Ham, deviled Underwood USA 5 oz $1.43 Ham, shoulder Libby’s Canada 6.35 oz $1.31 Luncheon meat Black Label US 12 oz $1.40 Meatball in sauce Unox Netherlands 15 oz $2.76 Pate, liver Roland France 2 oz $1.83 Pate, liver Roland France 3 oz $1.99 Potted meat Hormel USA 4.75 oz $0.81 Potted meat Libby’s USA 5.5 oz $0.42 Sausage, cocktail Unox Netherlands 12 oz $2.39 Sausages (“Salchichas”) Zenu Venezuela 13 oz $0.77 Spam Hormel USA 12 oz $3.01 Spam Hormel USA 12 oz $2.80 Spam, garlic Hormel USA 12 oz $3.57 Spam, hot & spicy Hormel USA 12 oz $3.57 Spam, spread Hormel USA 3 oz $0.79 Spam, turkey Hormel USA 12 oz $3.57 Spam, turkey Hormel USA 12 oz $3.55 Vienna sausage Jaja Dominican Republic 5 oz $0.48 Vienna sausage Hormel USA 5 oz $0.59 Vienna sausage Promos USA 5 oz $0.56 Frozen section Bacon Aberdeen Farms USA 16 oz $3.30 Bacon Swift Premium USA 16 oz $4.35 Bacon, turkey Butterball USA 12 oz $1.99 Beef burger, bun size Eckrich USA 16 oz $2.58 Beef patties Grill Master USA 5 lbs $10.65 Beef, croquettes Mora Netherlands 20 oz $1.62 Chicken nuggets, “Homestyle” Armour USA 18 oz $3.96 Chinese Hot Dogs Canada 16 oz $0.73 Franks, beef Oscar Mayer USA 16 oz $3.96 Franks, chicken Madison USA 16 oz $0.81 Franks, chicken Perdue USA 12 oz $0.84 Franks, chicken Rockingham USA 12 oz $0.90 Frikandellers Beckers Belgium 11 oz $2.24 Hamburger Beckers Belgium 11 oz $1.43 Meat Ball Butherhuis Snacks Netherlands 35 oz $7.08 RookWorst Unox Netherlands 10 oz $1.73 Sausages, “Braunschweiger” Oscar Mayer USA 16 oz $4.80 Sausages, “Great Smokies” Gwaltney USA 16 oz $1.54 Sausages, beef Swift Premium USA 6.6 oz $1.69 Sausages, breakfast Mora Netherlands 20 oz $2.85 Sausages, breakfast Swift Premium USA 7 oz $1.58 Sausages, breakfast, links Swift Premium USA 7 oz $1.58 Source: Fintrac store surveys*There is no deli section at this supermarket

Table 5.13: Products and Prices – Pita, CuraçaoProduct Brand Origin Size Price

Deli sectionBologna, Beef Swift Premium USA 1 lb $4.03Liverworst Dekeger Netherlands 1 lb $3.25Mortadella Cantadina Italy 1 lb $4.59Salami, Cotto Oscar Mayer USA 1 lb $ 2.31Salami, Turkey Carolina Turkey USA 1 lb $3.20Turkey, Lean white Butterball USA 1 lb $2.86Worst Salu Generic 1 lb $3.01Canned sectionBeef, roast Hereford Brazil 12 oz $1.71

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Table 5.13: Products and Prices – Pita, CuraçaoProduct Brand Origin Size Price

Boterhamworst Lupack Netherlands 12 oz $1.84 Chicken, premium chunks Hormel USA 10 oz $5.02 Corned beef Exeter Netherlands 12 oz $1.26 Corned beef Valrico USA 7 oz $0.98

Corned beefHereford Brazil

7 oz $0.92

Corned beef Exeter Netherlands 7 oz $1.04 Corned beef Hereford Brazil 12 oz $1.04 Corned beef Atlas Brazil 12 oz $1.01 Corned beef Exeter Netherlands 7 oz $1.08 Franks Tulip Denmark 10 oz $0.72 Franks, beef Zenu Colombia 13 oz $0.99 Franks, beef Lupack Netherlands 12 oz $1.55 Franks, beef Zwan Netherlands 19 oz $1.78 Ham, “Jamon Picado” Zenu Colombia 13 oz $3.00 Ham, “Jamoneta” Zenu Ecuador 13 oz $1.48 Ham, devil’s meat Zenu Ecuador 3 oz $0.92 Luncheon meat, chicken Tulip Denmark 12 oz $2.05 Luncheon meat, pork Tulip Denmark 12 oz $2.05 Luncheon meat, pork Lupack Netherlands 12 oz $1.71 Meatballs Lupack Netherlands 15 oz $1.84 Potted meat Hormel USA 3 oz $0.87 Potted meat Goya USA 3 oz $0.54 Sausage, cocktail Valrico USA 5 oz $0.68 Spam Hormel Foods USA 12 oz $3.19 Spam, hot & spicy, garlic Hormel Foods USA 12 oz $3.48 Spam, turkey, smoke flavor Hormel Foods USA 12 oz $3.48 Turkey, in water Hormel USA 5 oz $2.80 Vienna sausage Zwan Netherlands 7 oz $1.14 Vienna sausage Armour USA 5 oz $0.85 Vienna sausage, chicken Hormel USA 5 oz $0.78 Frozen section Bacon Oscar Mayer USA 8 oz $2.95 Bacon, “Sweet Smoked” Armour USA 16 oz $4.83 Bacon, turkey, smoked Butterball USA 6 oz $3.63 Dinner strips, beef / chicken Swift Premium USA 12 oz $2.05 Franks, chicken Rockingham USA 12 oz $0.98 Franks, chicken Kinzler USA 12 oz $0.81 Franks, chicken, Jumbo Georgia Boy USA 12 oz $1.15 Ham, “Schouderham” Slager Netherlands 4 oz $2.28 Source: Fintrac store surveys

5.4d Products in Demand Popular meat products include salamis and “specialty” Dutch products (pork-based). Turkey and chicken products from the US are also in demand in wealthier neighborhoods, with buyers noting that upper-income consumers and European tourists generally favor mostly Turkey and chicken meats from the US and ham products from the Netherlands. Lower-income consumers tend to favor canned meats such as corned beef and less expensive fresh meats. Healthy eating trends were not observed to the same degree in Curaçao as they were elsewhere in the Caribbean.

High demand supermarket items include baked turkey breast, boiled and smoked hams, hard salami, and bologna. Popular brands include Butterball, Swift Premium, Carolina Turkey and Perdue. Sources indicate the demand for value-added poultry products has increased significantly. Popular brands include Butterball, Healthy Choice, Oscar Mayer and Louis Rich. These products are originally targeted at the higher income consumers and American tourists, although many have

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also been successful at supermarkets catering to more price-sensitive consumers.

5.5 Import Regulations and Requirements

Processed meat exporters sending goods to Curacao should be aware of the country’s various customs and administrative requirements.

5.5a Customs Requirements

Importers are required to provide customs agents with the following documents:

1. Commercial Invoice (2 copies) 2. Bill of lading (4 copies)

5.5b Import Duties

Tariff – Processed meat products are permitted duty-free entry into the Netherlands Antilles (apart from the Expenditure Tax; see below)

Value-Added Tax – Calculated at 5 percent of the product’s CIF value.

Expenditure tax – Pork products are assessed an additional expenditure tax of $0.62/kg (fresh meat and poultry are exempt from the expenditure tax).

5.5c Health Registration

Meats products entering the Netherlands Antilles should comply with USDA or equivalent health regulations. Since imports from the United States are usually of good condition, they are rarely singled out for inspections, although an inspection may be carried out by the Department of Public Health if deemed necessary.

5.5d Trademark Registration

Brand name products are registered with the Bureau of Industrial Property. It is not compulsory, but advisable.

5.5e Labeling Requirements

US labeling practices are accepted in the Netherlands Antilles. No additional information is required, but all products imported from the US should follow USDA and Food and Drug Administration (FDA) guidelines.

5.6 Summary

Although prospects in the Netherlands Antilles market are not as marked as in Aruba or the Bahamas, the country’s poor agricultural output makes it dependent on consumer-food products from outside suppliers. Consumers in the Netherlands Antilles still enjoy greater purchasing power on average compared to other countries in the region, and GDP is one of the highest in the

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Caribbean. There is abundant imports and consumption of US processed meats across the price scale, from canned Vienna sausage and potted meats to Louis Rich low-fat turkey breast, to suggest that US products are well-known and received, and enjoy a solid share of the local market.

Furthermore, supermarket visits in Curaçao reveal a greater number of value-added frozen meat products compared with other Caribbean markets, including Tyson’s chicken cordon bleu, Pilgrim’s Pride chicken breast fillets, and Swift Premium’s breakfast links. Sources also agree that there has been an increase in the consumption of deli meats over the past ten years, with more and more supermarkets carrying a wide selection of pre-sliced and pre-packaged meats (mostly in populous areas). Store visits indicated that lavished deli counters are mainly found in wealthier areas of Curaçao where US and European deli cuts are popular. In lower- and middle-income areas, deli counters were either non-existent or else poorly displayed.

Distributors note that opportunities exist but are mainly limited to those products which are aimed at the mass market and competitively priced, and suggest that value-added turkey and pork products would have the strongest potential. Moreover, exporter should be aware of the taste preference of locals, including a slight preference for European over US deli meats. This is despite the BSE scare in recent years, as many European products were present in local supermarkets. (Furthermore, the lack of a local meat industry removes the pretext for adopting trade barriers aimed at protecting local livestock production).

5.7 Surveys

The following surveys were carried out during meetings with importer-distributors and visits to local supermarkets utilizing the questionnaire forms provided in the Annex.

J.P. Maal & Company NV Activity: Food importer / consolidator / distributorAddress: Kaya Panacea 8, Curaçao, Netherlands AntillesContact: Sergio A. Leon, Managing DirectorTel: 599-9-461-5225; Fax: 599-9-461-7363Email: [email protected]

JP Maal is one of the largest meat importers in the Netherlands Antilles. This company is the exclusive distributor for Swift Premium, Armor, Eckridge, Oscar Mayer and Butterball products. Roughly 50 percent of Curaçao’s supermarkets are supplied by this company. All imports are sourced direct from manufacturers.

Products belonging to these brands generally cater to a small, wealthy consumer niche, as middle-income consumers prefer traditional products such as hams and pork sausages. They do not supply fancy products like turkey burgers or honey-glazed turkeys, as local consumers prefer home-made foods. Many of their customers prefer European types of deli products to US products, although US meat products are also well known (especially turkey products).

There are no major problems with importing processed meats from the US, apart from competition. Consumers who usually buy deli meats prefer to buy European cuts, especially those from Germany that enjoy a solid reputation.

Taste is the number one influence when making the decision to carry a product. Client requests and price

came second and third, respectively.

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It is cheaper for them to purchase canned meats from Brazil and Europe than the US, which offer reasonable quality and prices that are acceptable to local consumers.

They are not interested in any one particular product at this point. Nevertheless, interested suppliers are welcome to submit product catalogues together with price lists for consideration.

Their promotions typically consist of newspaper flyers and in-store promotion (tasting) by supermarkets.

What would help US suppliers is greater local advertising. By not strongly advertising their products locally, the US will lose market share to growing competitors such as Europe and Brazil.

Compra NVActivity: Food importer / wholesaler / distributorAddress: S.B.N. Doormanweg z/, Curaçao, Netherlands AntillesContact: Mr. Henry Ribeiro, DirectorTel: 599-9-736-5914;Fax: 599-9-736-1732Email: [email protected]

Compra is a sister company to Centrum Supermarkets, and also acts as wholesale/distributor to the rest of the island.

Most of their US products are sourced from Florida consolidators.

It is generally felt that Italian, Dutch and Belgium deli meats are more popular among local consumers than their US counterparts. Customers tend to prefer European style deli cuts.

Christmas and Easter are the busiest time for deli meats, as that is when deli “party platters” are prepared.

The company has no special interest for a specific product at this time. Nevertheless, interested suppliers are welcome to submit product catalogues together with price lists for consideration.

Pita Supermarket (Mary Pompoom)Activity: Supermarket Address: Dr. Schaepmanstraat #19, Curaçao, Netherlands AntillesContact: Jorge R PitaTel: 599-9-737-4324; Fax: 599-9-736-0856

Pita is a chain of two supermarkets operating in Curaçao. It is a family-owned company, mostly catering to middle / upper-income consumers.

The majority of their products are sourced from the Netherlands. US products are mainly sourced from a

Florida consolidator.

The most popular products are deli meats, including Swift Premium Turkey products and others from Holland. Turkey and chicken meat have become more popular with consumers recently; low sodium and low fat products are also experiencing an increase in demand. Oscar Mayer, Swift, and Louis Rich turkey and chicken deli meats are the most popular brands. Liver products from France and the Netherlands are also popular.

Promotional campaigns are not done extensively at the store. They rarely spend money on promotions, except during major holidays like Christmas. At Christmas time there is a noted increase in sales of ham and turkey products. Shoulder hams are so popular that they purchase a full container each year.

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Tastes are changing slowly in Curaçao. People are buying more and more deli meat products, and the past 10 years have seen an increase in demand for these items. Nevertheless, US prices are still high compared with other brands.

There is interest in direct purchasing from US manufacturers, provided it is possible to obtain a mixed container of deli meat products. There is a general need for additional brands that can offer the same good quality as other US meats at better prices.

Centrum Supermarket Activity: Retailer Address: S.B.N. Doormanweg z/, Curaçao, Netherlands AntillesContact: Mr. Henry Ribeiro, DirectorTel: 599-9-736-5914; Fax: 599-9-736-1732Email: [email protected]

Centrum has two supermarkets, one located in Mahai and the other in Pescadera (Otrobunda). Each caters to a different market segment. The processed meats on display vary between stores: the Mahai store offers a wider variety of US deli meat products, whereas the other offers more Dutch meats. The Mahai area is comprised mostly of European descendants (80 percent), while Pescadera has a higher local concentration.

Centrum sources product from its sister company Compra, as well as direct from manufacturers. The decision to carry specific products is influenced by (1) price, (2) client requests, and (3) quality. A special incentive to carry a new line of items would be for suppliers to offer an assortment of US and European style deli meat products.

Both supermarkets (specially the Mahai store) carry Swift Premium, Louis Rich and Butterball products. US turkey products are strong sellers at this store.

The most popular deli meat product in the Pescadera Centrum is European salami and other meats.

The supermarkets spend heavily on promotions through newspaper ads and radio. They occasionally have some TV advertising.

Christmas and Easter are busy seasons for deli meats, although demand still depends on other factors even during holiday periods such as the state of the economy.

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