Local Manufacturer calls for Enforcement of CSME

[dropcap]A[/dropcap]s part of Business Month in November, the Inter-American Institute for Cooperation on Agriculture (IICA), alongside the island’s Chamber of Commerce, hosted an agriculture forum dubbed ‘Business and Trading Opportunities for the Regional Agri-Food Private Sector’. The event brought together various stakeholders from the island’s agricultural sector to discuss topics: exploring trade opportunities in the EU, revisiting the CARICOM market, and proposals for the removal of non-tariff barriers. Presenting at the event were IICA representatives Mr. Greg Rawlins, Ms. Diana Francis and Mr. Allister Glen. Also in attendance was CEO of Baron Foods Ltd, Ronald Ramjattan, who wondered from the onset if the event would be just another talk-shop.

“Every single issue that will be discussed today has been discussed over the last thirty-five years,” he said at the opening. “That is our problem; we are not getting the problems resolved via CARICOM or via our own governments.” One of his major concerns centred on the many difficulties associated with regional trade. “My problem is simple,” he said. “There is the Caribbean Single Market Economy (CSME) policy – free trade of goods, movement of money, ideas and everything else. Is it working in all the countries? The answer is no.” He says that within the member states of the Organisation of Eastern Caribbean States (OECS), trade is working fine, since all countries allow skills and money to come and go through. The problem lies within the wider CARICIOM region. “The businessmen are richer and they have the politicians in their pockets. Guyana and Trinidad, especially. The policies are there. What we need is the enforcement of the policies in terms where we can all benefit from the CSME.”

Last November Baron Foods expanded to Trinidad and Tobago with the grand opening of a US$5 million manufacturing facility in Chaguanas. It became the company’s third facility, with one each in Saint Lucia and Grenada. Notwithstanding the substantial investment in Trinidad, operating in the twin-island republic has been anything but smooth sailing. Ramjattan revealed that it took him five years just to build the facility, thanks to several stumbling blocks such as getting the requisite permission and licenses for the phases of construction. “Having done that,” he said, “when you start manufacturing, you’re reaching a new stumbling block in terms of importing raw materials. The customs department gives you issues, and in terms of getting products into the chain supermarkets, they are taking from bottom-up instead of top-down.”

He went on: “Why would a supermarket want to take the lowest selling item instead of your fastest selling? If I am forced to withdraw myself from Trinidad, I may very well, but I want to give it my best shot.” He called for the enforcement of policy already established, so that trade can be fair. How soon does he expect this to happen? He returned to his opening comments: “At the starting of the meeting, I said this thing has been going on for thirty years. I would not be surprised if it will take another thirty years.”

On 3-4 December, CARICOM leaders met in Trinidad for the 18th Special Meeting of the Conference of Heads of Government. On the agenda was a discussion on the CSME, following which the St. Ann’s Declaration was issued. It states that the heads of government are “convinced that the CSME continues to be the most viable platform for supporting growth and development in the Member States of CARICOM.” It recognizes the need to make it more closely attuned to the needs and priorities of member states to contribute more visibly to growth and development. Having reviewed its progress and acknowledged that it should have been further advanced, they declared: “We are committed to take action at the national level to advance the regional integration agenda.” The declaration states agreement in many areas, including: a mechanism to facilitate dialogue between councils of the community and the private sector; that Member States willing would move towards full free movement within the next three years, and mandates that steps be taken to deepen cooperation and collaboration between the Secretariats of CARICOM and the OECS.