Industry
From The Report: Trinidad & Tobago 2016
View in Online Reader

In his October 2015 budget speech, newly appointed finance minister Colm Imbert underscored the fact that Trinidad and Tobago’s manufacturing sector had fallen below 10% of national GDP. Estimates from the Central Statistical Office put the figure at 8.1% in 2015, with food, beverages and tobacco accounting for around 4.5% of GDP. Despite having the largest manufacturing base of any CARICOM country, the government focus on energy and relative neglect of manufacturing, as well as a shortage of unskilled labor, has held back the sector in recent decades. Nonetheless, T&T holds many comparative advantages that have yet to be fully exploited. It has a handful of globally recognized industries, a strong food and beverage segment, and a strategic geographical position for the maritime industry. The coming two years will see a renewed focus on diversifying the economy away from hydrocarbons, providing alternative pillars of growth during times of low oil prices.

This chapter contains interviews with Arthur Lok Jack, Executive Chairman, Associated Brands, and Racquel Moses, President, InvesTT.

Articles from this Chapter

Overview

One step ahead: New initiatives should help the sector regain lost ground
OBG
plus

In his October 2015 budget speech, the newly appointed minister of finance, Colm Imbert, underscored the fact that Trinidad and Tobago’s manufacturing sector had fallen below 10% of national GDP. Estimates from the Central Statistical Office (CSO) put the figure at 8.1% in 2015, with food, beverages and tobacco accounting for around 4.5% of GDP. As of the fourth quarter of 2015, the manufacturing sector employed around 8.1% of the country’s workforce. However, despite having the largest manufacturing…

Interview

Enhanced competitiveness: OBG talks to Arthur Lok Jack, Executive Chairman, Associated Brands
OBG
plus

Interview:Arthur Lok Jack To what extent are the conditions that allowed a manufacturing cluster to be created in Trinidad and Tobago still present today? ARTHUR LOK JACK: In the 1980s the T&T government managed to turn a comparative advantage in energy resources into a competitive advantage. Factors like a functioning democracy, an English-speaking workforce and the rule of law made it possible for investors to take a risk in a country of the size of T&T. In addition, our import…

Interview

Investment opportunities: OBG talks to Racquel Moses, President, InvesTT
OBG
plus

Interview:Racquel Moses What segments are best positioned to receive foreign direct investment (FDI) in 2016? RACQUEL MOSES: There are several industries that are ready to welcome FDI, given T&T’s comparative advantages. Although some of these industries – being relatively under-explored areas – have the capacity to attract relatively low levels of investment in the short term, they have the potential to grow over time as a larger ecosystem is built, especially in terms of human…

Analysis

Good neighbours: Regional cooperation is opening up new doors for the country
OBG
plus

Alongside the renewed impetus to diversify Trinidad and Tobago’s industrial sector, businesses are pursuing new export markets for products and services. Traditionally, exports have been focused on the member countries of CARICOM, established in 1973. The largest export market is Jamaica, which received $182m worth of T&T products in the first 11 months of 2015 and accounted for 25% of T&T’s trade with countries with which it shares a trade agreement. Guyana ($141m), Barbados ($112m)…

Analysis

Bon appétit: The country’s food and beverage sector offers new potential
OBG
plus

Unsurprisingly, given its relatively small land area and high average income, Trinidad and Tobago is dependent on food imports. Between 2010 and 2014, food imports rose from TT$4bn ($616m) to TT$5.8bn ($893.2m), according to data from the Central Statistical Office (CSO). A few main categories – cereals and cereal preparations, fruits and vegetables, dairy products and birds’ eggs, and meat and meat preparations – have traditionally accounted for approximately 80% of T&T’s food import…