-Brazil, Venezuela targeted
Finding extra money to splurge on a keepsake, it seems is more difficult for visiting Guyanese, as the craft sector is reporting declining revenues from its main support base.
But looking ahead – as traditional target markets for the local craft sector scale back on orders or dry up altogether – Latin America specifically Venezuela and Brazil are being eyed to give a jump start to the sector.
Nicholas Young, president of the Guyana Arts and Craft Association, confirms that “there is a little slowdown in people purchasing and even ordering.” Young operates from the Hibiscus Plaza, at the Guyana Post Office Corporation and works mainly in pottery depicting Amerindian art. Young said that business from overseas visitors accounts for at least 80% of the market and trends show that they are not spending as much. He remarked that due to the limited spending power of these visitors he has seen a decrease in business and an overall drop in business of 25%. The industry operates across eight sectors: namely, wood and bamboo; leather; ceramics and pottery; home décor; jewellery; painting; sculpting and fabric design. And the decrease in business is more pronounced when it comes to the more expensive items, he disclosed. He remains optimistic that business will improve and in the meantime plans to introduce new products. Apart from looking at the domestic market, craft producers are still looking outward. Young this year has attended the Caribbean Gift and Craft Show in Barbados and reported that some of the local participants did receive some orders as a result of the show. The president posited as well that while some members have possible export markets, they will try to get support from the government through a matching grant programme, under the Inter-American Development Bank (IDB) to enter new markets. Next month a trip is planned to Brazil to attend an exhibition there and then possibly Venezuela he says, to be able to tap into a market that is reachable, in terms of relatively cheaper transportation access and to promote neighbourhood trading. “We are open to any possible markets,” he summed up.
Irene Bacchus-Holder, of Irene’s Creative Handicraft at the Industrial Incubator Kara Kara, Linden told Stabroek Business that although business is still there, “I have to maintain a minimum level of staff to keep business going.” The staff was reduced to two from five. As a result of this reduction Bacchus-Holder has resolved to concentrate on enhancing production techniques and to overcome design imperfections, in preparation for when business is better. “Basically I know the market is slow,” said Bacchus-Holder, so they are doing development, instead of making four bowls a day (this producer makes craft from exotic wood species and from leather with pyrography engravings on the items). In addition, she believes that the business must be able to do volume production and is concentrating on this, along with creating new products.
Thus she is “not really looking at sales because we know things are really tight in the craft industry.” She is staying afloat by “doing little sales from last year stock.”
This handicraft entrepreneur is setting her sights on Latin America rather than traditional markets in the Caribbean, and in North America, the centre of the financial crisis. This is so, she says because the Caribbean economies are dependent on what is happening in Europe and North America and if these giant markets shrink the Caribbean will not be looking at stocking up on items for tourist, which largely comes from these countries. Further, she has decided not to travel to the Caribbean to enquire about re-stocking options for items already in those markets. She admitted that there was an order from Barbados but it did not “make economic sense”. In relation to the Latin American market she opined that “hopefully it is going to be a little better,” since it is not affected like North America. Next month Go-Invest will be joining craft producers on a trip to Brazil, which Bacchus-Holder plans to participate in.
Craft entrepreneur Neil Stephenson, of De Kinderen also affirmed that the sector is suffering from the fall-out from the recession overseas. Once you are already in the market, it is his view that it is not a problem to get by – clarifying that craft retailers are not taking in new suppliers. For example, he reiterated that persons who already are suppliers have seen their quantities reduced by half or more, and new products are not being taken on. Another scenario is that new products if taken are not receiving down payments and it is a case of, when the products are sold you are paid. Even though a lot of Guyanese are returning home, the tourism base, the purchases are mainly souvenir and functional craft items, he said and sales for the big ticket items have decreased. Again it is his view that it is going to be difficult for new persons trying to get products launched.
For him, the response from his overseas markets so far is “not bad,” even though it is “slow here and there,” resulting in reduced orders from his purchasers. Currently, his income is coming from a lot of retail sales. Stephenson is supplementing this by going on trade shows and has for the year gone to St. Thomas and St. Croix, US Virgin Islands and plans to take a trip to Toronto next month for the Independence Festival and then to Panama and Grenada. In addition, he is also tapping into the agro-processing industry by selling casareep and cassava-bread overseas.
Signs of strain in the craft industry have come around the time that one of Guyana’s most recognized exporters of furniture products to Europe, the Caribbean and North America has closed for restructuring. It was reported last month that Precision Woodworking, at Industrial Estate, Ruimveldt had closed its doors as a result of dwindling export markets. These specialist designers and manufacturers of hardwood leisure and garden furniture, according to its website, had outlets stocking its products in Anguilla, Barbados, St.Kitts and Nevis, St. Lucia and the US Virgin Islands. The over one hundred employees were let go over phases before the final numbers were let go last month. Precision began in 1983 to export furniture to Europe and then expanded.
