We told em so Dept: Caribbean Rum is really dying!

[Capn Jimbo]

Newsflash!


For the monkeys and arsehole promoters who refused to face the truth, here is the latest sad news...

"Ambassador Beal revealed that Barbados’ rum exports to the US have dropped by 21 per cent and he warned that the industry is in danger of being ‘wiped-out’.

This latest statement from the Barbados Ambassador should be no surprise to anyone. Throughout 2012, I and my friend and fellow columnist, David Jessop, wrote repeatedly about the grave dangers confronting the CARICOM rum industry by the subsidies to large rum producers in the USVI and Puerto Rico and we urged robust action by CARICOM governments collectively."

I really do hate to say it but this is not just bad news, it is imminently fatal news. Barbados - and no other island for that matter - simply cannot suffer a 21% loss and survive as we know it. Already the Wards of Mount Gay have bailed, and Richard Seale holds on only based on his marketing acumen and his major deal with Total Wine. In fact when I was in TW last week, the sales assistant complained that they'd run out of Mount Gay for a couple months (!) recently. There was very little on the shelves and the prices had been raised, a sign of desperation.

More sad facts:

1. CARICOM countries and the Dominican Republic (DR) – collectively known as ‘CARIFORUM’ – stand to lose US$700 million - annually! This is not survivable.

2. Job losses will be about 15,000 rum workers and another 60,000 related jobs. That is a massive loss in these small islands.

3. The governments will lose $250 million in tax revenue and public services and the infrastructures will be devastated, as if things were not already bad enough.

4. CARICOM is sitting on its hands, and continues to avoid filing an official WTO complaint, the one and only action that is needed, as they fear Diageo and the United States, not to mention the substantial cost of litigation.

Please read the article below for more details and stay tuned - BTW I spoke with Richard Seales who has little hope that CARICOM will act. Folks, our dear rums will fall soon and it is a real tragedy.

If you haven't spoken out, or promoted the petition elsewhere, now is the time. Of course, you could always buy rye from MGP...




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http://www.caribbean360.com/opinion/ron ... 1-39363741

[Capn Jimbo]

Threaten much?

"Much valuable time has been lost and the rums of CARIFORUM countries are being displaced in the US market. Meanwhile, Diageo has been particularly aggressive in its marketing in the US mainland, as it has been forthright in intimidating both rum producers and individual CARICOM governments.

For instance, in August 2012 Stuart Kirby, spokesman for Diageo Latin America and the Caribbean, said that the British multinational company, which also buys bulk rum from CARICOM producing companies, said “These valuable relationships could be disrupted by a CARICOM challenge at the WTO which would force Diageo to re-evaluate its activities in the Caribbean.”

(From the same article, linked above)

What you have here are bullies in the form of Diageo and their buttlicker US politicians. Diageo strategically purchases LOTS of bulk rum (think DDL and their new column still factory), designed specifically to keep the natives dependent and quiet. Although Carl Kanto has spoken out, DDL hasn't. Enough bulk rum is purchased in the islands that the threat of losing a major customer is effective. Moreover the Big Three (Bacardi, Diageo and Fortune) are all VERY political and spread millions of lobbying dollars available (thanks to the politicians who gave them billions of dollars in taxpayer money in the first place).


Round and round we go.

Further the price of litigation is high and out of reach for even Barbados, much less the smaller producing islands; thus, they must rely on CARIFORUM to act as a group - but - even CARICOM's fears the having to go up not only against the Big Three, but also against the US government (who is unlikely to fight against their own islands, PR and the USVI). In short...

They're facked and so are we if we continue to stand by and watch it happen.

Consumer action can be very effective, so their fondest hope is that we will all just stand by and be good little, quiet boys and girls. Now I know that most of our regulars are not afraid to speak out once again. I hope that over these years you now understand that the world of rum is actually rather a small one. I can say that the alteration of rum, added sugar, the dreaded Zee rums, the notion of styles - all were raised here early on, and with over a quarter million monthly visits, the word spreads.

Post, post elsewhere, and post often. Fight for rum, the time is now very, very short...

[Kevin]

I've heard whispers about several well known Caribbean distilleries being for sale or shuttering because business just doesn't make sense anymore. Really sad.

[Dai]

Shit that's bad news. Like you say if this situation carries on it will be higher priced rum all round as once the competition is gone the big three can raise prices anyway.

[JaRiMi]

Challenging the USA in WTO ends up badly in 99% of the cases, I think. EU has lost every fight, and is now close to being forced to accept every trade agreement the USA wants to shove down our throats - all in the name of "free trade". These agreements include for example that water would become a commercial commodity (as it is in USA) - not every man's right. Similarly we have slowly but surely been forced to accept GM foods for example. As the Guardian's article said also, TTIP "deal will erode sustainability standards, open resources to exploitation and create a mechanism for corporations to sue countries who try to regulate their environmental impact." This is just an example.

We fought for ex-colonies' banana trade - and lost. Chiquita's of the world, giant corporations won. Somehow the USA seems to always know opponents strategy and arguments, and also own WTO's decision making.

As is, I seriously doubt CARICOM would win anything even if they tried, because US's "divide and conquer" tactics in this highly disagreeable, divided organization formed from many small countries that generally cannot agree on anything would kill the initiative easily.

Sad - but true. The biggest joke is that many people promote "free trade" as some kind of a mantra that will save the world. Actually it is the current "free trade" that is causing more economical inequality and dire poverty in the world than anything before, whilst the billions end up in the hands of less people than ever before. These people, their corporations own politicians, and as a result they also get everything they want, while even the so-called middle classes disappear and become more poor.

[Dai]

Challenging the USA in WTO ends up badly in 99% of the cases, I think. EU has lost every fight, and is now close to being forced to accept every trade agreement the USA wants to shove down our throats - all in the name of "free trade". These agreements include for example that water would become a commercial commodity (as it is in USA) - not every man's right. Similarly we have slowly but surely been forced to accept GM foods for example. As the Guardian's article said also, TTIP "deal will erode sustainability standards, open resources to exploitation and create a mechanism for corporations to sue countries who try to regulate their environmental impact." This is just an example.

We fought for ex-colonies' banana trade - and lost. Chiquita's of the world, giant corporations won. Somehow the USA seems to always know opponents strategy and arguments, and also own WTO's decision making.

As is, I seriously doubt CARICOM would win anything even if they tried, because US's "divide and conquer" tactics in this highly disagreeable, divided organization formed from many small countries that generally cannot agree on anything would kill the initiative easily.

Sad - but true. The biggest joke is that many people promote "free trade" as some kind of a mantra that will save the world. Actually it is the current "free trade" that is causing more economical inequality and dire poverty in the world than anything before, whilst the billions end up in the hands of less people than ever before. These people, their corporations own politicians, and as a result they also get everything they want, while even the so-called middle classes disappear and become more poor.

Well said!