Hi David and all, > I am not saying your topic is not worthy of discussion, but delegates are already >forced into making a numberof choices as what sessions they can attend. Delegates should bear in mind ALL aspects regarding our industry. Beekeeping economics, world trade of honey and the impact of Argentine exports are a hot topic. I was invited to give a lecture on this subject at the VI Iberolatinoamerican Beekeeping Congress which was held in Merida, Mexico on August 1998. There I met Dr. Gard Otis -one of the Canadian organizers to whom I proposed my presence in Apimondia. As you imagine, according to the interests of IHEO members, my perspective of world trade is very controversial. None of them want beekeepers to realize who and how fixes the price of honey. I am not sure but I presume Apimondia gets some kind of financial support from companies involved in the trade of honey. Therefore they have power to choose who will speak and who will not. Thus it is not surprising I was not in their list of candidates, and off course not after the meeting in Mexico. You can ask Dr. Medhat Nasr (Canada) and Dr. Shimanuki (USA) whether or not they liked my presentation. As soon as I came back from Mexico (end of August 1998) I got in touch with Dr. Mark Winston. Again he said the agenda was full. I was really surprised to hear that more than one year prior to the Congress, there was no room for a 30 minute speech. When should I have asked for permission....? Two years ago maybe. Don't you think it is imperative for NorthAmerican beekeepers to hear the message of Argentine beekeepers? If Apimondia organizers have set another priorities...well, they should have their reasons. It is up to us to find out what interests they represent. >Already asked Mr. Rumball's firm and other buyers that question. The answer >we get: Argentinian beekeepers had a bumper crop and are giving it away >again. When the Argentine product came on stream, prices which had already >been sliding in anticipation, dropped another $.05 US almost overnight. Like I said in a previous message, Mr. Rumball is the head of the IHEO (Int'l Honey Exporters Organization). His business is not to defend beekeepers and the price they get but to obtain the cheapest possible price for the honey he buys. What makes you think he and his company are a reliable source of information? Any buyer (no matter where he/she is located) will always try to pay the least possible money for whatever sort of goods he/she purchases. On the other hand, producers of any goods will try to sell at the maximun possible price. This antagonistic reality is inherent to all economic relationships where one party sells and the other buys. >You're right that eventually we have to match it, but how do your exporters >get so much cheap honey in the first place? The majority of your producers >must be happy with the prices they recieve or they would organize and bypass >the exporters/importers. Your conclusion is a bit superficial. Neither we are happy with the price we receive nor it is so easy to bypass importers/exporters. Argentina has doubled its production in ten years. Unfortunately, domestic consumption has remain very low, it only absorbs about 6,000 Tns every year and it represents less than 10% of total production. Therefore, the bigger the crop the larger our share of exports. Seven exporting firms concentrate over 90% of honey exports in Argentina. You can be sure all of them will be present in Apimondia. These companies are: ACA, HONEYMAX, CEASA, NEXCO, TIMES, CONAGRA and RADIX. Since domestic consumption is so low, our prices are determined by these seven guys (all members of IHEO). Although they are competitors among them, they do not compete when they have to depress the prices paid to beekeepers. This is what in Economics is called an OLIGOPSONY. It is true this honey crop will be very good in some parts of Argentina. However, it does not compensate the poor crop in China. What gives a lot of power to IHEO members is their monthly exchange of information. They monitor the inventories of honey and decide when and how much to buy. Why don't you ask Mr. Rumball to include you in his mailing list? I am pretty sure you'll be astonished to read the kind of info they share. I was very fortunate to read a few of their monthly reports and I know what I am talking about. I will just give you an example. During last January 1998 (more than one year ago) Argentina exported over 13,900 Tns of honey, then in February only 975 Tns. The volume exported in January represented over 20% of the total honey exported during 1998. The volume exported in Feb. 98 was next to nothing (1,40%). When beekeepers needed to sell their honey in Jan. 98, exporters didn't show any interest, consequently very little honey was exported a month later. Why? Because the volume that should have exported in two months was shipped out in just a single month (Jan. 98). When our honey floods the world markets in this way we all suffer. I am retyping into e-mail format part of the interview made by Bee Biz to the current secretary of IHEO. Then you will make your own conclusions concerning this group. Cordially yours, Martin Braunstein Queen Breeder & Exporter Criador de Reinas y Exportador Malka Cabania Apicola e-mail: [log in to unmask] Phone (54+11)4446-8350 Fax (54+2322)487564