Chairman Of The Jamaica Coffee Exporters Association (JCEA) Urges Jamaica Withdraw Mandatory Use Of Blockchain Platform – CoffeeTalk
Dr Norman Grant, chairman of the Jamaica Coffee Exporters Association (JCEA), has recommended that the Jamaica Agricultural Commodities Regulatory Authority (JACRA) withdraw the mandatory use of the blockchain platform to digitize Jamaica’s coffee exports and safeguard access to key international markets. The platform has raised concerns among some farmers and processors over risks including exposure to trade secrets, data ownership, and increased costs associated with the phased rollout of the platform. Dr Grant outlined his position in a letter addressed to JACRA Acting Director General Wayne Hunter and copied to the Minister of Agriculture, Fisheries and Mining, Floyd Green.
In regard to transparency, Dr Grant said that despite several meetings with JACRA and numerous requests to obtain a copy of the contract between JACRA and the sole-source service blockchain provider, this has not been provided. This lack of access affects the membership’s ability to assess the value and terms and conditions of the contract. He further noted that this contract would bind JCEA members to use a platform and pay fees to the blockchain provider, but there was no input from JCEA members.
On the point of lack of necessity, Dr Grant outlined that the system is not required for compliance with the European Deforestation Regulation (EUDR). He explained that the European Union market currently purchases only two per cent of total Jamaican coffee exports, and the existing buyers already utilise systems such as Hazard Analysis and Critical Control Points (HACCP), Safe Quality Food (SQF), and International Organization for Standardisation (ISO) certifications to meet EUDR requirements, including traceability.
As for the cost to stakeholders, Dr Grant said that based on the charges to be imposed on individuals using the blockchain platform, costs are expected to increase by over J$100 million or J$1,000 per box, which will ultimately reduce the price paid to coffee farmers. He stressed that this traceability will not result in increased revenues in the short term and represents a net cost to the coffee industry and its farmers, which he said the industry simply cannot afford, given rising operating expenses, declining productivity, and resistance from buyers to price increases.
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Source: Coffee Talk