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From: "Martin Braunstein" <[log in to unmask]>
To: "Informed Discussion of Beekeeping Issues and Bee Biology"
<[log in to unmask]>
Subject: RE:      World Honey Markets (today's installment)
Date: Thu, 11 Mar 1999 08:19:01 -0600
 
Hi all,
 
Do you want to know more about some of the people who determine the
price of honey worldwide? This group was created back in 1983 at the
Apimondia Congress held in Budapest (Hungary).
 
Please find below part of the interview made by "Bee Biz" (Issue 8 -
July 1998) to Mr. Arno Meier (German exporter of Argentine honey and
secretary of IHEO)
 
 
Bee Biz :
Arno, thank you for giving us so many insights into part of the business
that is a mistery to most of us.  I would like to discuss, if that is
convenient, another side of your activities.  You are secretary of IHEO,
the International Honey Exporters' Organisation.  Can I ask you about
that body and how it operates ?
 
Arno Meier :
Yes, of course.  The basic idea goes back to 1983, when during the
APIMONDIA at Budapest several exporters from different countries met
and talked about the need to be better informed about the world honey
market in order to obtain better honey prices.
 
Its objectives are : to achieve stable conditions in the international
trade of honey, taking into consideration world production, stocks,
consumption, variations of rates of exchange as well as general world
economic conditions.  But the first and most important point to date is
to develop a communication link between the world's honey exporting
countries to exchange views on a regular basis.  These reports are
exchanged monthly.  Every country makes one report which goes to the
Secretary, who makes one general report with all the information
received, which is returned to each IHEO member country.
 
Meetings are every two years, at APIMONDIA, but if the market requires
it, IHEO can meet each year, as it did during the first six years.  This
was important to strengthen the relationship between members, in order
to create confidence between them.  And we succeeded.
 
Bee Biz :
Who can belong to IHEO ?
 
Arno Meier :
A member can be only a country which is a bulk honey exporter. Members
include the main bulk honey exporters, ie China, Argentina, Mexico,
Australia, New Zealand, Chile, Uruguay, Cuba and Canada, but also
smaller exporters like Nicaragua and Vietnam.  From Europe we have
Bulgaria, and in the past Hungary was a very active member.
 
To join us, we prefer a group of traders from each country ; they have
the market information and they need an overview of world honey
situation, but as a first step we also accept an individual export
company.  IHEO is not a place for government officials, universities,
beekeepers, importers or packers.  All of them have their own
organisations.
 
Bee Biz :
Does the organisation have any power ?
 
Arno Meier :
There is no visible power, but the point is that understanding and
communication between members has helped to improve and create stable
market conditions.  For example, if China knows that Argentina will have
or has a very bad crop, there is no reason to drop their prices; or if
Argentina knows about a good eucalyptus harvest in Australia it makes no
sense to speculate with pushing up prices for the darker grades.
 
Bee Biz :
What are the benefits of joining ?
 
Arno Meier :
Tomorrow there can be considerable benefits even if we only think that
IHEO can help with information about items as : honey regulations in
different buyer countries (mostly unknown to exporters) ; exchange of
information about notorious claimers in the world ; collection of
anti-economic practices of port authorities or inspection offices at
some places ; rejection of an excess of clauses in sales contracts ;
advice or legal help in case of unjustified pressure on clients, or in
cases of complaints or claims.  All this information can be received,
classified and stored, in a database.  Nowadays these things are simple.
 
But let's understand this clearly, we will not defend defaults or
justified quality claims.  We are not an arbitration office, we are also
not a place where problems between member countries and foreign
customers will be analysed.  This is a problem between business partners
and no part of the work of IHEO.  We will take note only if the member
country asks us for help or advice.
 
Bee Biz :
How do members contribute ?
 
Arno Meier :
IHEO is conducted on a non-financial basis e.g. no membership fees are
asked for, each member country must bear its own costs, such as faxes,
costs of administration and attending meetings.
 
Any member country may withdraw from IHEO at any time by written notice
to the Secretary.
 
Bee Biz :
Any snags ?
 
Arno Meier :
Reliable statistics is a big problem.  We are mainly working with those
from the import countries.  Argentina has a good Statistics and Census
Bureau, but often honey is not an important export item, so some export
countries carry honey together with cheese, eggs and dairy products in
their statistics.
 
Bee Biz :
Arno Meier, thank you for your time and interest. Many of our readers
will be at the next Apimondia - I expect they will be able to meet you
there ?
 
Arno Meier :
Of course. As you imagine honey, the market, competition, crops,
quality, etc. are topics on which we can talk for hours, so I appreciate
your questions. Thank you.
 
------------------------------------------------------------------------
 
My comments :
 
-How come this IHEO group never received media attention ?
You can read back issues of the American Bee Journal, Bee Culture, The
Speedy Bee and some non-US bee journals you will not find any reference
whatsoever (except "Bee Biz").  Strange, isn't it ?
 
-Are there still any candid beekeepers willing to believe that a
non-producers organization will "defend the price of honey" ? According
to Mr. Meier's perspective "defend the price of honey... to obtain
better honey prices", well... I doubt his assertion suggest to pay
better prices to beekeepers.
 
-Mr. Meier says that IHEO "has no visible power", this makes me think
IHEO has some sort of "invisible" power.
 
-World honey exportes have their own organization : IHEO, European honey
packers have theirs too EFHP ; US packers have the NHPDA. They all
compete among them but they defend the common interest : to obtain a
cheap raw material.
 
-Don't you think it is high time now not to create false antagonisms
between US and Argentine beekeepers and so on ?
 
-Who are our true competitors ? I think you know the answer. Those who
depress our prices.
 
 
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