PHILIPSBURG — The public in recent days has been a roller-coaster of emotions over the pending auction of bakery inventory of one of St. Maarten’s iconic businesses—Carl and Sons Unique Bakery. The auction under the auspices of the St. Maarten tax administration is designed to recoup taxes owed by the company and features a wide variety of bakery equipment and furniture including tables, chairs, freezer, slow cooker among other things.
The ads of the auction published in the local newspaper, triggered strong sentiments from some on social media and in the public domain; saddened by the fact that an established business that has been serving the St. Maarten community faithfully for over four decades, could be on the verge of closure.
But according to Kenrick Housen, the son of the founder of the business and the manager of the day-to-day operations, Carl & Sons remains in business and is still in operation, while it continues to negotiates with the authorities on resolving the matter. Housen appreciates the public outpouring and support from the general public, but when contacted by this media house, he refrained from commenting on the matter until the issue has been fully ventilated. He promised to provide an update when there has been progress.
Carl & Sons is a family-owned local business since 1982, baking fresh bread every day. The company expanded its menu and services, adding catering for events such as parties, weddings, luncheons, full holiday meals etc. The bakery operates from two locations: Cole Bay and Philipsburg. The business got a high rating on TripAdvisor and continues to be a household name among St. Maarten for fresh baked products.
Some persons on social media assumed that unfair and increased competition from foreign owned bakeries allowed to operate on St. Maarten, is among the reasons for an established local bakery like Carl & Sons being in financial problems. Others surmised that the tax office and by extension the government, could do more to assist the business recover from its financial woes. Only time will tell the future of Carl & Sons and whether it can work out an arrangement with the tax administrators and remain in business.
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COMMENTARY
Carl & Sons Bakery Faced Down Auction Amid Heated Community Debate Over Competition and Local Business Support
In a tense standoff with the tax office, Carl & Sons Bakery narrowly avoided an auction that threatened to shutter its doors permanently, sparking a passionate debate within the community about local business support, competition from Chinese-owned supermarkets, and the role of government regulation.
Background on the Auction Threat
Earlier this month, it was revealed that Carl & Sons Bakery, a well-established local bakery with a loyal following, owed 300,000 guilders in back taxes. Despite raising 200,000 guilders, the tax office insisted on the full amount, scheduling an auction of the bakery’s inventory and equipment for August 16. The planned auction, which was published in the local newspaper, would have meant the end of the bakery, putting its employees out of work and removing a beloved staple from the island.
Community Outcry and Support for Carl & Sons
News of the impending auction led to a groundswell of support from the community. Many took to social media, particularly Facebook, to voice their solidarity with Carl & Sons. One post by Natasha Serrant emphasized loyalty to local products: “Exactly. If the shop doesn’t have Carl & Sons bread, I walk out. Period. I have never and will never buy a next bread.”
The passionate defense of the bakery extended beyond individual posts. Some, like Romuald Benjamin, suggested organizing a dollar drive to help raise the necessary funds to cover the tax bill. Others, such as Maryland Powell, called for a more structured community effort to support all locally owned businesses facing similar financial difficulties.
The Debate Over Competition and Government Regulation
The threatened auction also ignited a broader debate about the impact of competition from Chinese-owned supermarkets and bakeries on local businesses. Many community members expressed frustration over these supermarkets not only selling groceries but also baking bread and preparing hot food, which some see as an infringement on the local bakery’s market.
Former politician Romain J. Laville highlighted this issue, noting the long-standing concerns about Chinese supermarkets diversifying their offerings under a single license, while local businesses like Carl & Sons struggle to compete under more stringent regulations. Paul G. Ellinger echoed this sentiment, lamenting the perceived erosion of cultural business practices due to unchecked competition from Chinese enterprises.
However, others, like Farley R. Elshot, pointed out that the real issue lies with government policies and the Ministry of Tourism, Economic Affairs, Transport, and Telecommunications (TEATT), which regulate these business activities. “Stop blaming the Chinese when it’s the Ministry of TEATT who’s responsible for the regulation and enforcement of business activities for shops, supermarkets, and bakeries,” Elshot stated.
Call for Government Action and Community Solutions
Many community members argued that the government should provide more support to local businesses and enforce regulations that prevent market oversaturation by foreign-owned entities. There was also a call for clearer licensing policies to ensure that businesses operate within their designated scopes and do not encroach on other sectors without proper authorization.
In a broader sense, the Carl & Sons controversy has spurred discussions on economic policies and the need for a more robust framework that supports indigenous businesses. Commentators like Clayton Felix underscored that, unlike in many Caribbean nations, St. Maarten’s government often fails to prioritize local entrepreneurs.
Current Status and the Way Forward
While the auction has been postponed, the future of Carl & Sons remains uncertain. The bakery’s supporters continue to rally behind it, emphasizing the need to preserve local businesses that have served the community for decades. Meanwhile, discussions about competition, government responsibility, and community support are likely to persist, as the island grapples with finding a balance between fostering entrepreneurship and maintaining fair business practices.
The Carl & Sons saga serves as a poignant reminder of the challenges local businesses face in a globalized economy and the critical role that community and government support play in ensuring their survival. As the island watches the unfolding situation, the hope remains that a fair and sustainable solution can be found to keep Carl & Sons baking for years to come.
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