Friday, 11 April 2014

Commodity Chain: Mc Cain French Fries in Trinidad




Mc Cain French Fries Commodity Chain from New Brunswick, Canada to Trinicity, Trinidad


Drawing shows the transport of Mc Cain's Potato Fries from New Brunswick, Canada to Trincity, Trinidad
 by Siobhan Cumming-Lumsden



COMMODITY CHAIN FROM CANADA TO TRINIDAD








FROM THE SOIL TO MY PLATE



The journey begins deep below the Canadian soils in the state of New Brunswick. After potatoes are reaped under sustainable farmer friendly conditions they are transported by Mc Cain’s Transport Company, Day and Ross Transport Company to the processing plant (represented on the drawing by a green rectangle). Here, potatoes are sorted, graded and packaged and branded. Next, the finished products are purchased from food distributors. Branded frozen fries are then containerized and shipped in cold storage. The produce begins its journey across the Altantic Ocean on cargo vessels. It enters Trinidad via the Gulf of Paria. In Trinidad it is collected by Hadco Limited, the local distributor of Mc Cain“French Fries”. Trinidad and Tobago’s local distributor shuttles the fries in cold storage trucks five ton trucks to local supermarkets, like Tru Value. At the supermarket,, Hadco Workers shelf items. They are usually shelved at eye level and within arm’s reach. Tru Valu Supermarket , Trinicity is located approximately a ten minute drive from my home, I purchase Mc Cain Fries drive home and then follow the following simple recipe:
  
INGREDIENTS:
1 12oz pk of Mc Cain French Fries
PROCEDURE:
1. Heat oven at 400 degrees
2. Place fries in baking dish
 


SHORT HISTORY OF MCAIN POTATO INDUSTRY FROM 1955 -2014



In 1955 two brothers, Harrison and Wallace Mc Cain were looking for new business to start. Growing up on a farm, it was natural to look towards the agriculture. On February 23, 1957 they decided to open a factory that would freeze potatoes and other vegetables in Florenceville, Canada. By 1970’s Mc Cain Ltd move from being a “family business into a business family” said G. Wallace (Stoffman 2007, 1). The company’s success in the seventies can be attributed to a very contagious economic and social change throughout most of the Western World. We see women entering the work force hence the increase in demand of frozen foods to make quick meals, the appeal in the demand for convince, the growth of fast food chains for example Kentucky Fried Chicken, Burger King and Mc Donald’s. By 2007, Mc Cain Foods had 57 factories around the world (Stoffman 2007, 225) including in China and India. Also in 2007 the company experience sales of approximately six billion dollars, with 77% of sales located outside of Canada. (Stoffman 2007, 3). Today, after 57 years in the potato and French fries industry it has earned internationally popularity and has positioned its name next to many global brands like Blackberry, Mc Donald and Coca Cola. In 2003, A.C Nelson declared Mc Cain Foods a “global mega brand.” (Stoffman 2007, 4)



SOCIAL AND ENVIRONMENTAL CONDITIONS UNDER WHICH POTATOES ARE GROWN

   

“If you don’t get the agronomy right nothing else matters”.
                                                                      Harrison Mc Cain. (Stoffman 2007, 22)      



How are McCain Potatoes Grown?
Sustainable Development = Sustainable Agriculture
“Creating Good Food and a Better Life “. (Mc Cain Foods Limited 2009, 4)  . All growers must comply with Mc Cain’s sustainable agriculture guidelines when growing potatoes. The McCain Food Company prides itself in a “Growing together business strategy”.   The following programs are part of the company’s guidelines:
·         Global food safety and environmental sustainability Group:
               The Group focuses on research and transfer of knowledge to all growers and plants.
·         Good Agriculture Practices (GAP):
               Sustainability and food safety at every stage of the process
·         Sustainable Agriculture Initiatives (SAI):
               Is committed to SAI codes of conduct
·         Genetically Modified Organisms (GMO):
               From 1999, Mc Cain Foods has prided itself in not using genetically modified          
              potatoes but aims at a nutritious selection of potato varieties

Where is it Grown?
The company today averages 3,200 growers worldwide. (Mc Cain Foods n.d.)  The island of Trinidad gets there produce from New Brunswick and neighboring farms in Canada.
Processing plants are located as close as possible to plantation, to decrease the impacts of vehicular transport on the environment.

Suppliers & Partners?
All partners must be in compliance with human rights, proper working conditions and environmental standards as was mention before.

COLOUR MARKETING AND IMAGINERY




Red and Yellow the Dynamic duos


Colours used on packages play a role in one’s purchasing appetite. Red as is used on most of McCain’s products is considered to be a passionate colour, it encourages adventure, lust, and rebellion. It is commonly used in action oriented products. (CBC Radio Canada 2013)
Red and Orange together are said to boost appetite, red stimulates one’s appetite and yellow means fun. Hence, many fast food logos and packaging use these colours in an attempt to increase purchases. All companies seek to create visual imagery in consumers’ minds through pictures. Claude Hopkins (1923) referred” to this as the power of pictures” (Rossiter 1982)
In the Caribbean it has been the trend to look to the West for high quality products. Mc Cain packaging and logos immediately give the feel and visual pleasure of a high end product. The package is bright and thick unlike our locally produced French Fries which have vey soft exterior plastic packaging and many lack colour and are name less.


MEANING IN TODAY’S SOCIETY
Domestification
The islands of Trinidad and Tobago are examples of countries whose food supply is heavily dependent on imports. (Gereffi 2010) Today, the ever popular French Fries commodity has great popularity within the islands. So much, that domestic manufactures are now defining themselves within the frozen staple industry value adding chain by producing a variety of frozen local staples. For example under the Trinidad and Tobago business Association, Island Flavors’ are producing cassava and sweet potato crinkle cut fries, as shown below.

Source: (Caribbean Agribusiness: Caribbean Business is our business 2011)



Government Policy

The islands current local purchasing policy implemented by the government in Trinidad and Tobago has enhanced the relationship between the “French Fries” industry and the consumer.  In November 2012, the government instituted a removal of Value Added Tax (VAT) free policy.  “French Fries” and “Frozen Potatoes” were list as some of the (VAT) free items. (Kowlessar 2012)  With the 15% VAT on these items being removed it thus increased the purchasing power of the consumer.
The increasing Westernization of Caribbean Diets                 

The Caribbean and Trinidad in particular has a long history of supporting fast foods.  Prestige Managers which represent Pizza Hut, TGI Fridays and KFC, opened Trinidad’s first KFC over 40 years ago. (Bridglal 2011)  With this came the acquired taste for “French Fries” and the proliferation of the fast food industry. Today, local fast food companies, for example the Pizza Boys Group, Grill/Bar-be-que hunts and event Chinese restaurants have mirrored the trend of serving “French fries”.
How has “French Fries” become part of a Caribbean region identity and consumption ritual?
 Simply put, lifestyles have changed in a similar manner to that of the developed world.  The trend towards convince and accessibility and pleasure (Sloan 2003)(Keijbets 2008)  are paramount, also youth perception have easily incorporated “French Fries” into the islands food culture. Urbanization, modernization, technology, advertizing, economic growth
bolster western diet trends, in Latin America. (Morrow and Jecha-Based 2003; Agriculture and Agri-Food Canada 2007)(Keijbets 2008) and the developing world.  Some critics see this process as the “globalization of Western consumption patterns”.  These tasty high fat, high sugar and sodium rich foods have now become the go to foods.  Today, it is clear that in Trinidad, consumption habits have become increasingly westernized.  Furthermore, as the developing world continues to experience the burdens of over nutrition and under nutrition, cheap foods and low quality diet continue to increase, placing these populations at the risk of diet related illness. (Hawkes 2006:2:4)

 MULTINATIONAL CORPORATION
“The Good, the Bad and the Ugly” 
(Multinational Corporations: The Good, the bad and the Ugly. n.d.)
Globalization which is characterized by the opening up of trade barriers is also closely associated with the domination of trade markets by Multinational Corporations (MNC). (Multinational Corporations: The Good, the bad and the Ugly. n.d.)  Mc Cain Foods represents a typical MNC; the parent company is located in the West where decision making and profits accumulation take place.  Yet, we see Mc Cain Foods has used its power in many admirable ways.  The company has for example encouraged in all of the subsidiaries, producers and partners the need to protect human rights and the environment.  However, profitability is of supreme importance.  Like many MNC’s when profits decline solutions may involve removal of companies’ resources.  When faced with high labour costs, a high exchange rate and competition, Mc Cain in December 2013, closed of Mc Cain’s Penola plant in South-east, Australia. It closure leaves 59 employees redundant and growers concerned for their futures. (Ockender 2013)

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