IMPACT INVESTMENT WORKSHOP REMARKS
BY MICHAEL RANGLIN
THURSDAY, MAY 30
JAMAICA PEGASUS HOTEL
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Mrs. Marlene Street Forrest, Dr. Edward Jackson, ladies & gentlemen, Good morning
For 91 years, GraceKennedy has been investing in Jamaica in a number of ways. It has always been a part of our DNA, because we know that “what is good for Jamaica is good for GraceKennedy.” That is a saying that was made popular by one of our former Chairmen and CEOs, Carlton Alexander, and two arms of GraceKennedy Corporate – the Grace and Staff Community Development Foundation and the GraceKennedy Foundation – are living testimonies to the philosophy we live.
If Impact investments are those investments made into companies, organizations, and funds with the intention to generate measurable social and environmental impact alongside a financial return, we’d like to think we’ve been doing it for some time in both or Food and Finance Divisions.
Today, I want to tell you about one of the examples of which we are most proud.
The example is taken from our Foods Division, which is my ‘baby’. In 2011, we made another step in signaling our commitment to Jamaica’s agro-processing industry by making another significant investment. This was through our post-harvest processing plant at Hounslow in St. Elizabeth. Although we engage farmers all across the island, that plant, a $43 million investment, allowed us to invest in the farmers in and around the community of Hounslow. We needed reliable supply and support, particularly to support our new Fresh n’ Ready Line of vegetables.
The farmers needed us too, because to them we represented a steady market for their crops.
Seventy farmers are now contracted to us, and while they provide food for us to continue production, we are helping them to provide for their families and grow as business people. We also work closely with them with regard to the provision of seeds and chemicals for their crops through our Agro Grace subsidiary, and we also invest in them through a variety of workshops done in partnership with RADA. We have a technical officer who provides them with technical advice. Through this collaboration we have done what impact investors strive to do – actively seek to place capital in businesses and funds that can harness the positive power of enterprise. Done right, it is a reciprocal process, and many people benefit.
The support of those farmers is huge to us, because they allow us steady supply, for our local market, as well as our international market. Pepper is a hot market for us right now and, as we target both the local and overseas markets, we are proud to say that our hot pepper mash is among those of the best quality worldwide.
We are able to supply our factory in Wales as well, that in turn produces authentic pepper sauces for the European markets.
We are currently working on a project that will see us partnering with agricultural institutions, to provide interns with practical work experience on a pilot farming project being developed by GK Foods & Services Limited. The proposal is to allow students to use one of our areas to experiment with various crops, using best practice techniques and technology to identify and develop viable models that can be used to train farmers across the country. Not only will our project be graced with the technical skills developed by those final year students, but the students from these institutions will be given tangible experience in the development and commercialisation of a farming business. This has great potential for us, for the students and for farmers.
At GraceKennedy, we have a commitment not only to our shareholders, but all stakeholders in the communities in which we operate. We take this very seriously, knowing all too well that our investments have the potential to create great impact on individuals, groups, institutions and organizations alike. And we do it with pride, because if it is good for Jamaica it will be good for GraceKennedy.
Thank You.
