By: Kimberly Ramkhalawan
July 21, 2023
This year’s Trade and Investment Convention (TIC) is boasting to be the largest convention in its 24-year history, as it is set to see some 36 foreign countries registered as exhibitors and buyers at this year’s gathering.
Marking a return to the pre-pandemic level of the gathering, so much so this year, President of the Trinidad and Tobago Manufacturer’s Association (TTMA), TIC’s host agency, Roger Roach, shared while speaking at the launch of the event on Wednesday night that it has outgrown the Centre of Excellence, with 260 booths and three pavilions, accounting for over 234 companies exhibiting directly at the convention.
He noted that some 60 exhibitors had to be turned away in the last two weeks, as the event was sold out two months ago. However, the TTMA, is proposing to build Trinidad and Tobago’s first international sized convention center, as it is prepared to enter into a public-private partnership with the government in order to make this a reality. Roach, told government officials present that all it needed from them was for it to provide 10 acres of suitable land and the TTMA, with the assistance of its members, will bring to it the financing and other resources, thus building the centre themselves.
He is proposing a centre, some 160,000, to 200,000 square feet of covered space, with “adequate parking, best in class lighting, audio, visual, and exhibition equipment, along with technologically advanced meeting rooms and the ability to adjust the space based on the means of the user”.
Participating businesses often range from a wide cross section of the manufacturing sector, to financial services, agriculture, services industry, printing including a sprinkling from the energy sector, while government agencies have also been known to have exhibits present.
One such agency willing to provide financial support for the expansion of business investment is the EXIM Bank of Trinidad and Tobago. Its CEO, Navin Dookeran says while it “stands ready to support businesses in the manufacturing sector that are embarking on renewable energy and energy efficiency projects” with a push for more sustainable practices, via installing energy solutions aimed at reducing their electricity bills by providing financing for the upgrade of equipment that allows for these new efficient production practices, the EXIM bank is also pushing a second area of interest among companies, in order to advance their progress in terms of technology development, is specifically cyber security resilience.
He says with an “increasingly interconnected world manufacturing companies are more vulnerable to cyber-attacks than ever before, with a successful cyber-attack holding the ability to have a devastating impact on a manufacturing company leading to production delays, financial losses, and even reputational damage.” And because he notes that “one transaction could mean hundreds of thousands of US Dollars lost,” Dookeran urged investors and businesses present to invest in cyber security resilience including monitoring and firewalls.
In his address, Dookeran underscored technology deployment as a critical success factor for the manufacturing sector, by improving their technological infrastructure, manufacturers and manufacturing companies can reduce costs, increase output, and improve that competitive list in the global market.
Part of the EXIM bank’s approach includes its recently “developed new loading segments for companies pursuing not only technology deployment but also product quality improvements, a new market strategy execution. This product’s segment strategy reflects the bank’s forward thinking approach to sectoral development”.
As CEO, Dookeran added that given its assessment of financial services delivered to the small, medium and, larger enterprises, together, companies that will be able to move the needle on national exports, making it essential to provide this targeted segment with attractive low cost financing opportunities to enhance productivity, innovation and increase International competitiveness again”, something he notes the membership of the TTMA has been calling for, including lowered interest rates.
He anticipates the launch of its catalytic fund, expected to come on the end of the year or early 2024, with many benefits for clients. And while a major issue that has seen manufacturers struggle locally includes the issue of Forex, where TTMA members say they remain globally competitive from factory to gate, but when they leave the gate, they encounter constraints and hurdles, Dookeran says the EXloan provided by the bank allows for a TT dollar loan with US Dollar proceeds for equipment, preventing the constraints of foreign exchange to invest in their manufacturing plans.
Trade and Industry Minister, Paula Gopee-Scoon shared that according to the January 2023 economic bulletin put by the Central Bank, economic activity improved in the second quarter of 2022, reflecting also a resurgence and non energy sector performance, data published by the central statistical office indicated that real GBP expanded by 6.6 percent year on year during the second quarter of 2022, who is the same period in 2021 She says growth in the non-energy sector was also accounted for coming in at a strong 10.5 percent for this compiled period
Further afield, Junes Monetary policy announcement this before month is continued into the first. Quarter of 2020 three, there’s a strengthened of big business activity in the non energy sectors. She noted that “the performance of non energy exports was noteworthy, particularly, as there was a 12 percent increase in knowledge, non-energy exports from TT$15.5bn, and 2021 to TT$17.5bn dollars in 2022. Notable areas of increase, Gopee-Scoon highlighted the food and beverage production sector seeing a 6.5 increase in dollar value to $139, 883,758.00 dollars, while into tobacco manufacturing, a 29.3 percent was recorded, paper related products, accounting for 34.4 percent, while clothing and textiles, aparallel marked 39.3 percent.
With CARICOM playing a major role in its exports, the Trade Minister highlighted that the region ranked only second only to the United States in being a critical export market for Trinidad and Tobago’s export products, with data from its Central statistical office, recording Trinidad and Tobago’s total exports to CARICOM over the period 2012 to 2022, the last decade standing at TT$112bn, averaging TT$10.2bn per year.
However, in contrast, the minister also highlighted that in 2022 CARICOM also imported approximately US$31B in food. She added that also included extra regional imports, and without Trinidad and Tobago’s exports in the region being just about five percent of their demand, she said this was proof that there was still much room to grow within the CARICOM region. According to the Minister, “an empirical analysis conducted by UN ECLAC, also confirmed that Trinidad and Tobago’s strongest trade complementarity lies with Caribbean economies, and therefore this sends a strong message of the possibilities that still exists for trade within the region”.
The three day event comes to a close on Saturday.