After we had spoken with Shon Adams for less than ten minutes we discerned that his interest in the agro- processing sector extended way beyond his own entrepreneurial pursuits as Managing Director of Fresh Press Enterprises, a Granville Park, Beterverwagting, fruit juice factory. The company, he says, is making a mark, the current slowdown in commerce across the wider economy notwithstanding.
But that, from Shon’s perspective, gives no cause for doom and gloom. Despite the national preoccupation with oil and gas, he appears determined that the agro-processing sector will ‘lead the charge’ in the direction of ensuring that the country’s agriculture sector does not get left behind and he wants the fruit juices sub-sector to be in the forefront of that charge.
When you ask him about the constraints that inhibit the growth of the agro-processing sector, there is no hint of equivocation in his response. First, he zeroes in on what he believes is the role of commercial banks in inhibiting the growth of the sector. The agro-processing sector, he says, is populated in the main by large numbers of still modest but growing business ventures and the inherently risk-averse nature of the country’s commercial banks runs the risk of stifling their growth. Afterwards, he talks about the limited efforts of the state, over many years, to support the creation of adequate physical infrastructure for the realisation of a robust agro-processing sector.
As it happens, Shon is not waiting for miracles to emerge from a less than encouraging circumstance. He is calling for a multi-stakeholder national forum on agro-processing where “a national policy on agro-processing that can serve as a guide to all the players – farmers, agro-processors, government, investors and bureaucrats – can provide guidelines to take the sector forward.” Put differently, Shon says that the talk about taking the sector forward has not been matched by the commensurate action. “As far as policy is concerned we have not even scratched the surface up until now,” Shon says.
He returns to the theme of confronting the challenges facing the agro-processing sector. The proliferation of plastics in the packaging of products is one of the more important issues that the sector has to find a way around, Shon says. “Plastics cannot be the future of the sector. Single-use plastic packaging ends up deposited as garbage that becomes a problem. We have to look for biodegradable options to plastic but then everything depends on cost. On the other hand I believe that sooner rather than later, countries with advanced environmental regulations will begin to frown on single-use plastic packaging. There is evident need for a recycling plant. We cannot wait until our market is threatened by packaging issues before we act,” he says, asserting that this is an issue on which the Guyana Manufacturing and Services Association (GMSA) should already have had a draft policy.”
Even as he busies himself with growing Fresh Press, Shon says that he wants to be part of the change which he says is necessary if the agro-processing sector is to grow and prosper.
“I am keen to be part of the solution to the challenges facing the agro-processing sector. Equipment is an issue. A lot of the equipment which the sector needs can be sourced in China and much of it may even be affordable. The problem has to do with whether or not what they are offering is dependable. There are other options in countries like the United States and Turkey. Part of the process of growing the industry involves familiarising ourselves with the best possible options for sourcing equipment. Where both government and the commercial banks come in has to do with their role in providing grants and loans that have this equipment brought down to Guyana so that we can create a technology-driven agro-processing sector. One acknowledges the steps that have been taken including the creation of the Small Business Bureau, but the process does not end there,” Shon says.
He continues; “Lack of access to financing means small businesses cannot grow. If we did not come in with our own money, Fresh Press would have been non-existent. The banks do not make it easy on you when it comes to securing a loan. Government needs to send a strong signal to banks about the importance of financing emerging enterprises. The number one reason why small businesses fail is because of a lack of cash. Access to financing provides opportunity for investment and for risk-taking.”
Peculiarly enough for an entrepreneur seeking no less than his competitors, to grow his business, Shon mentioned little about Fresh Press Enterprise during the earliest stages of our discourse. He seemed more preoccupied with his pursuits as a business mentor to small enterprises in his community and with the need for local small and medium-sized enterprises to have a greater say in the national discourse on creating a more progressive business culture. Looking ahead, he has already outlined an agenda that devotes much time to contributing to the fashioning of changes in the national business culture.
Whilst seeking to ‘grow’ Fresh Press Enterprises, Shon is aiming, simultaneously, to create what is perhaps best described as a like-minded agro-processing community. To build that grouping, he is seeking to stage what he describes as a Young Entrepreneurs Extravaganza, a gathering where young minds mesh with entrepreneurial bent and creative flair to offer the country the best that they have to offer. He envisages a major role for the agro- processing sector in that venture. “We need to create the opportunities for creativity to come to the fore,” Shon declares.
Product quality apart, Shon says that the environmental considerations that will, going forward, confront the packaging requirements of the agro-processing industry loom large as a challenge that has to be met. Between September 23rd and 25th, he will be attending Pack Expo Las Vegas, in the US, in order to secure exposure to the latest developments in packaging technology as well as state-of-the-art advances in packaging machinery, converting machinery and container components. In Las Vegas, exhibitors will bring their top technicians and engineers to provide packaging solutions to even the toughest packaging challenges.
While committing himself to using what knowledge he gains in Las Vegas to benefit the local agro-processing community as a whole, Shon believes that a stage has been reached where the GMSA and the relevant state agencies should benefit from exposure to events in order to be better positioned to upgrade the manufacturing sector. “The reality is that a great many people buy with their eyes so that in a highly competitive environment we simply cannot afford to ignore packaging.”
And according to Shon, a key to the growth of the country’s agro-processing industry lies in the harmonising of the raw material supplies provided by the farming community and the production pursuits in the manufacturing/processing sector. Fresh Press secures its supplies through various informal contractual arrangements with farmers who supply fruit on both a daily and a weekly basis. Fruit supplies, Shon says, is a critical aspect of his own operations. Increasing competition arising out of growing demand coupled with the seasonal nature of some fruit and storage & spoilage considerations means that the management of fruit supplies is a key strategic issue in the fresh juice industry.
Fresh Press has the capacity to produce upwards of 400 gallons of juice daily. The company presently supplies juices in five-gallon, one-gallon and 400ml & 500ml containers. The company’s customers include Banks DIH, Beacon Cafe, UNDP Secretariat and canteens at University of Guyana, Mae’s, St. Rose’s and Marian Academy. Several small food stands and individual private homes are also the company’s regular customers. Delivery is free to all the company’s customers and the prices range from $3,500 per 5-gallon container and $1,000 per 1- gallon container to $195 per 500ml bottle and $171 per 400ml bottle. All prices are VAT inclusive. The company boasts the ability to fulfill any order within 24 hours and can be reached at 604-0883 or through email at freshpressent@gmail.com.
Shon says that one of the company’s immediate-term goals is to, as far as possible, have its juices delivered to schools across the nation. The range of flavours include cherry, passion fruit, soursop, guava, golden apple, fruit punch, sorrel, tamarind & ginger, lemonade (swank) and mango.
Cherry and passion fruit are Fresh Press’ best sellers and Shon says that while cherry, particularly, is usually available all year round, the volumes vary from one period to another, a circumstance that challenges the company to guard against price shocks. “In order to get the balance right one has to be in constant contact with the farmers.”
Setting aside his already established links with farmers, he is constantly on the lookout for further links with the wider farming community in order to consolidate the reliability of his fruit supplies, More than that, considerations associated with the perishable nature of some fruit coupled with storage requirements give rise to the need for careful planning as part of the company’s overall management process.
At the end of a conversation with Shon one gets the impression that he is in the agro-processing for the proverbial ‘long haul.’ He believes, however, that the growth of Fresh Press can be more assured if he immerses himself in pursuits that can redound to the agro-processing industry as a whole. That, in the period ahead, is a large part of his preoccupation.