Guyana has admirable record of trade within CARICOM
GUYANA’S trade and economic performance within the Caribbean Community in 2110, the last year for which complete data is available, has been rated highly by CARICOM Secretary General, Ambassador Erwin LaRocque. Against that backdrop, he conceded that CARICOM continues to be a business opportunity for Guyana’s Private Sector.
Mr. La Rocque made the observation as he delivered the feature address at the Business Luncheon of the Guyana Manufacturing and Services Association (GMSA), in Regency Suites Hotel, in Georgetown, on Wednesday.
He said, even with the Caribbean finding itself virtually at the crossroads and at a crucial juncture in its integration arrangements, Guyana has been able to forge ahead and record an admirable record of trade for the year under review.
La Rocque said: “In 2010, the last year for which complete trade data is available, Guyana exported US$118.3 million worth of goods to the rest of the Caribbean Community (CARICOM). This ranked it third in the Community, with respect to exports for that year to Member States and was six million dollars more than in 2009.”
He said the principal exports were rice, fish and sugar, in that order, noting that those three to the CARICOM market amounted to 13 percent of Guyana’s total exports.
Even though the three products dominated the exports, he said, it, nonetheless, demonstrated that the CARICOM market is valuable to Guyana and stressed that, given Guyana’s vast economic and business potential, he is of the view that, with sustained attention, these exports can grow.
On whether the CARICOM Market can remain a business opportunity for the Guyana Private Sector, La Rocque pointed to the Common External Tariff (CET), an important element in CARICOM’s regional trading arrangements intended to provide an equal level of protection for goods of CARICOM origin. That arrangement has created a preferential market for regional producers, he said, observing that the rules governing the CET make provisions to allow Member States to suspend the tariff on products not available in sufficient quantities in the Community.

Several products
Pointing Guyana to the way forward, he observed that there are several products for which suspensions are regularly sought, many of which can be produced for export, right here in Guyana. The Secretary General said it would be to Guyana’s advantage to zero in on the export of such products.
Meanwhile, giving examples of products for which suspension was sought in 2011, La Rocque said: “In 2011, for example, the Secretariat received eight requests for suspension of the CET for pineapple juice concentrate and cherry concentrate, amounting to approximately 1.1 thousand metric tons and 420 metric tons, respectively. In addition, twelve requests were received for turmeric, amounting to approximately 2,000 metric tons. There were fourteen requests for soya bean oil, amounting to 32,000 metric tons. Seven requests were received for peanuts, amounting to 7.5 million kilogrammes; five requests for ginger, amounting to 89,000 kilogrammes and four requests for thyme of a total 53,000 kilogrammes, were also received.
“These are but a few of the many opportunities which Guyanese and other regional producers and manufacturers could and must grasp. If they do, intra-regional trade can be increased significantly,” the diplomat advised.
La Rocque said the Secretariat is engaged in collating the list of items for which Member States have requested suspensions of the CET over a number of years. That listing, he told the business grouping, is intended to be shared with them, so they can identify opportunities for investment.
“This is against the background that the suspensions and derogations relate to products either not available, or not available in sufficient quantity to satisfy regional demand,” he informed.
Ambassador LaRocque disclosed that a study, conducted by the Inter-American Development Bank (IDB), found that CARICOM intra-regional trade can double from its current 16 percent of total if issues relating to trade facilitation and transportation are addressed.
He said, given the Region’s high food import bill, agricultural production for export, an area in which Guyana, Suriname and Belize enjoy certain comparative advantages, suggests itself naturally for such expansion of trade.
The Secretary General also addressed the issue of ‘hassle free travel’ and ‘freedom of movement of skills.

Such measures
“The Secretariat must also acknowledge its part in the failure of the Community to achieve such measures as hassle free travel and free movement of skilled Community nationals. These are issues that tug at the heart of CARICOM’s people and, for many, it is the measure of successful integration,” Ambasador LaRocque said.
He said that, in order to achieve results from the priorities laid out by the Heads of Government, the Private Sector must play a crucial role, adding that, valid questions to be asked, would be “What are we doing at the level of the Community to create an environment for you to prosper and contribute to the development of this Region and to advance your prospects in the global market place?”
President of the GMSA, Mr. Clinton Williams expressed gratitude to the Ambassador, on behalf of the business community and the Diplomatic Corps present, for his continuing support and to their constantly increasing activities and said it was a distinct honour and pleasure to have him and others attend the forum.
He said the Caribbean region, like the rest of the world, is still attempting to pull itself up by the proverbial bootstraps after being knocked off course by the still lingering global economic crisis.
Williams said the Private Sector, aware of this, has been responding to the challenges, both for their individual countries and for CARICOM.
Others among the distinguished gathering at the luncheon included other members of the Diplomatic Corps, the GMSA Board, the Private Sector Commission and other business support organisations.