B U S I N E SS T R I N I DA D A N D TO B AG O 2 0 1 6 - 2 0 1 7
EDITORIAL BOARD Richard Lewis – Chairman, Prestige Business Publications Ltd Keith Miller – Chief Executive Officer, Caribbean Business Publications Inc, Barbados Wade George – Caribbean Tax Managing Partner, Ernst & Young Services Limited Kristine Thompson – Director, Chuck E. Cheese’s Trinidad & Tobago Trevor Liebert – CEO, iGovTT Shurla Henry-Gibson – Manager, Marketing & Communications, InvesTT Trinidad and Tobago Joan Ferreira – V.P. Corporate Services, Trinidad & Tobago International Financial Centre (TTIFC) Yolande Agard-Simmons – Manager, Corporate Communications, Ministry of Trade and Industry Kara Enightoola – Business Facilitator, Ministry of Trade and Industry Patricia Lewis – Director, Prestige Business Publications Ltd Marie Gurley – Director, Prestige Business Publications Ltd Bavina Sookdeo – Editor, Business Trinidad & Tobago Dixie-Ann Dickson – Contributor Soraya Gonsalves – Prestige Business Publications Ltd
CREDITS Joint Publishers - Richard Lewis, Keith Miller Editor - Bavina Sookdeo Contributor - Dixie-Ann Dickson Design - 809 Design Associates Inc. Layout & Artwork - Patrice Letren, Soraya Gonsalves, Patricia Lewis Production - Patricia Lewis, Soraya Gonsalves Photography - Christopher Anderson, Aujourd’hui Studio, Nicholas Bhajan, Edison Boodoosingh, Stephen Broadbridge, Caristock.com, Allan V. Crane, Marcus G. Productions, Inken Janning, Ryan Jagessar Carnival Central, Stephen Jay Photography, Gary Jordan, Maria Nunes, Peter Sheppard, Jason Sookermany, Video Aerial Ground Solutions, Angostura Limited, AMCHAM, Shipping Solutions and Services Ltd., TDC, TTMA, The Energy Chamber of Trinidad & Tobago.
2 • Business Trinidad and Tobago
Business Trinidad & Tobago is published and produced by: Prestige Business Publications Ltd The Film Centre, 9 Humphrey Street, St James, Trinidad and Tobago Tel: (868) 622-0738/9 Fax: (868) 622-0426 Email: info@whoswhotnt.com Website: www.whoswhotnt.com Copyright© 2016 Prestige Business Publications Ltd All information in this publication has been carefully collected and prepared, but it is still subject to change and correction. Use these contents for general guidance only and seek extra assistance from a professional adviser with regard to any specific matters. Copyright reserved. None of the contents in this publication can be reproduced or copied in any form without permission in writing from the publisher. Printed by: ScripJ, Republic of Trinidad & Tobago.
FROM THE PUBLISHER
Innovation, Diversification and Intensification
Richard Lewis Chairman Prestige Business Publications Ltd
Keith Miller Chief Executive Officer Caribbean Business Publications Inc
A
s is the case with many vibrant economies around the world today, two of the most popular buzzwords in Trinidad and Tobago are innovation and diversification. With the protracted fall in global oil prices underscoring the country’s traditional over-dependency on the energy sector, it is both inevitable and laudable that leaders within private enterprise and government should feel compelled to highlight the dire need for innovative entrepreneurs and businesses to diversify their areas of operation. While in complete agreement and fully aligned with the ideals of delivering real success stories of greater innovation and diversification within the economy, we also think that Trinidad and Tobago should be striving to add another buzz word to our national psyche – that being intensification, with special regard to our productive private sector.
4 • Business Trinidad and Tobago
If we intensify our efforts to improve and expand those non-traditional sectors that offer real sustainability and capacity to earn foreign exchange, then that will automatically result in increased diversification and generate more growth opportunities outside of Trinidad and Tobago, while providing a reasonable medium term return on investment. However, where intensification really has enormous potential to drive solid economic growth is simply by turning current challenges into advantages and working harder to do what we already do better and with greater efficiency. If, as expected, the TTD, which is already overpriced due to the relationship with the USD, depreciates in a similar vein to foreign exchange availability, then Trinidadian manufacturers and service providers will benefit from a good opportunity to dominate the regional markets from a pricing standpoint. Furthermore, the comparatively low cost of input for locally sourced goods and services, in particular the cost of labour from a productivity perspective, could encourage significantly increased direct foreign and local investment in TTD high value-added businesses offering great export potential. By focusing on import substitution as the base for expanded export of goods and services, Trinidad and Tobago could once again find itself becoming the regional powerhouse of manufacturing for the entire Caribbean. At the same time, with a vast supply of specialist building equipment and largescale project experience already in place, Trinidadian companies could also be well poised to assume the role of Caribbean leaders in infrastructure construction and
real estate development. And given that there exists a large surplus of TTD cash in Trinidad banks, there is real scope for them to finance major projects in other countries throughout the region, and then be paid in USD for the services. With no meaningful recovery for the oil industry on the horizon for at least another four years or so, it is imperative that we now step up into a higher gear to launch a new influx of export-driven investment. It is this renewed sense of commitment and revitalized drive to expand the economy that combine to currently set this country apart as an extraordinarily attractive jurisdiction for global investors. Throughout the following pages of Business Trinidad and Tobago we present a wide range of interesting articles and relevant information with the intention of providing a full overview of the many other factors that make our country a compelling choice for investment. We hope you find the publication to be informative and useful and we look forward to welcoming you to our shores one day soon.
Richard Lewis
Keith Miller
C A L E N DA R 2 01 6 - 2 01 7
Miguel at Tobago Jazz Experience 2015 Photo: Edison Boodoosingh
April 2016 1st Mar-31st Aug – Leatherback Turtle Watching 5th-9th – TTGFA ‘Marlin Madness Tournament’, Tobago www.ttgfa.com 7th – World Health Day 11th – Distinguished Leadership & Innovation Conference (DLIC) 2016, Hyatt Regency Trinidad Contact: Arthur Lok Jack Graduate School of Business – 868-645-6700 ext. 299 www.dlictt.com 13th – St. Andrew’s Golf Club - Sports & Tourism Golf Challenge www.golftrinidad.com 16th-24th – Tobago Jazz Experience http://tobagojazzexperience.com/ 23rd-24th – St. Andrew’s Golf Club Sagicor SAGC Invitational www.golftrinidad.com 27th – Administrative Professional’s Day
27th-1st May – NGC Bocas Lit Fest www.bocaslitfest.com 28th-1st May – Decibel Conference & Expo, Queen’s Hall, Port of Spain www.decibelexpo.com 30th – Point Fortin Borough Day Celebrations www.pointfortinborough.com
May 2016 7th – St. Andrew’s Golf Club – SAGC Corporate Tournament www.golftrinidad.com 12th-14th – Region 14 Annual Leadership Conference, Magdalena Grand Golf & Beach Resort, Tobago Contact: Project Management Institute Southern Caribbean Chapter (PMI SCC) 868-658-4200 Ext. 2179 Email: secretariat@pmiscc.org or Jemma. Ramjattan@petrotrin.com www.pmiscc.org
14th-22nd – Trinidad and Tobago Fashion Week Contact: 868-718-4191 www.dus1.org 18th-20th – 2nd Biennial Conference Sport Studies and Higher Education http://sta.uwi.edu/conferences/16/ sportstudies/ 19th-22nd – The 2nd Caribbean Conference of National Trusts and Preservation Societies 2016, Port of Spain Email: caribbeanheritageconference@ gmail.com 20th – Scotiabank Against Breast Cancer www.golftrinidad.com 23rd-24th – NOVA SME Conference 2016, Trinidad Hilton and Conference Centre Contact: Trinidad and Tobago Chamber of Industry and Commerce Sharmin Boodoo – 637-6966 Ext. 1252 Email: sboodoo@chamber.org.tt or events@chamber.org.tt 26th – Corpus Christi (Public Holiday) 30th – Indian Arrival Day (Public Holiday)
Photo: Nicholas Bhajan 6 • Business Trinidad and Tobago
C A L E N DA R 2 01 6 - 2 01 7
Tobago International Cycling Classic Photo: Allan V. Crane
June 2016
July 2016
September 2016
3rd-11th – WeBeat Festival, St. James, Trinidad. Contact: 868-622-7622 www.webeat.org
9th-11th – Angostura Rum Festival hosted by Angostura Limited, Laventille Compound
5th – World Environment Day
July-November – Tobago Heritage Festival, Various Villages, Tobago Contact: 868-639-5016/4441 www.tobagoheritagefestival.com
11th – Massy Rainbow Cup 2016 International Triathlon, Tobago www.rainbowcuptobago.com
6th-9th - Trade & Investment Convention (TIC), Centre of Excellence, Macoya www.tic-tt.com
11th – St. Andrew’s Golf Club – Gentlemen Seniors Classic Tournament www.golftrinidad.com
10th – St. Andrew’s Golf Club - TTMCO Sponsored Tournament www.golftrinidad.com 11th – Caricom Day
24th – Republic Day (Public Holiday)
13th-15th – Society of Petroleum Engineers (SPE) Trinidad & Tobago Section Energy Resources Conference, Hyatt Regency Trinidad. Contact: 868-717-7388 www.spettconf.org
27th-31st – Great Fete Weekend, Tobago
27th – World Tourism Day
TBD – Eid-ul-Fitr (Public Holiday)
27th-2nd Oct – Tobago International Cycling Classic www.trinbagowheelers.com
18th-19th – Tobago Dragon Boat Festival Contact: 868-639-2125 www.lanternfestivaltt.com
12th-14th – TTGFA’s Tarpon Thunder Fishing Tournament www.ttgfa.com
August 2016 1st – Emancipation Day (Public Holiday)
19th – Labour Day (Public Holiday)
27th – 2016 Carib Great Race www.ttpba.net
23rd-24th – Commonwealth Electoral Network Conference www.thecommonwealth.org
30th – Carib Woodbrook Playboyz annual pre-Independence Day steelband parade along Tragarete Road, Newtown. 31st - Independence Day (Public Holiday)
8 • Business Trinidad and Tobago
10th-11th – St. Andrew’s Golf Club – AIB Ladies Open Tournament www.golftrinidad.com 15th-2nd Oct – trinidad+tobago film festival (ttff) www.ttfilmfestival.com 17th – International Coastal Clean Up Day
C A L E N DA R 2 01 6 - 2 0 1 7
Panorama Photo: Maria Nunes
October 2016
November 2016
January 2017
1st-5th – Crime Stoppers Annual International Conference
12th – Champions of Business, Hyatt Regency Trinidad Contact: Trinidad and Tobago Chamber of Industry and Commerce Sharmin Boodoo – 637-6966 Ext. 1252 Email: sboodoo@chamber.org.tt or events@chamber.org.tt
1st – New Year’s Day (Public Holiday)
8th-9th – AMCHAM T&T’s 20th Annual HSSE Conference & Exibition Contact: AMCHAM – 622-4466 http://hsse.amchamtt.com/
25th – National Panorama Finals (Medium & Large Conventional Bands) www.pantrinbago.co.tt
18th – San Fernando Day
27th-28th – Carnival Monday & Tuesday – Parade of the Bands (most offices closed) www.ncctt.org
8th-9th – 11th Chinese Arrival Dragon Boat Festival www.lantern festivaltt.com 9th – St. Andrew’s Golf Club - Living Waters Community Charity Golf Tournament www.golftrinidad.com 11th – Hosay Festival 13th-14th – 34th Annual Caribbean Conference of Accountants Contact: ICATT - 868-623-8000 16th – World Food Day 16th – Tobago Blue Food Festival, Tobago www.visittobago.gov.tt 16th-19th – Caribbean Shipping Association AGM www.caribbeanshipping.org 19th-20th – Celebrating World Food Day, Tobago 24th – United Nations Day TBD – Divali (Public Holiday)
December 2016 4th – St. Andrew’s Golf Club – Junior Christmas Hamper Tournament, Parang & Party www.golftrinidad.com
February 2017 6th-8th – The Energy Chamber’s Energy Conference of Trinidad and Tobago www.ttenergyconference.org
27th – J’Ouvert
29th – Ash Wednesday
March 2017
10th – St. Andrew’s Golf Club - Men’s Christmas Hamper www.golftrinidad.com
1st-31st Aug – Leatherback Turtle Watching
11th – St. Andrew’s Golf Club - Ladies Christmas Hamper www.golftrinidad.com
30th – Spiritual Baptist Liberation Day (Public Holiday)
25th – Christmas Day (Public Holiday) 26th – Boxing Day (Public Holiday)
Business Trinidad and Tobago • 9
CONTENTS
Opportunity Driven – Prosperity Focused 50 – Regional Reach Joy Francis, Team Lead - Trade Unit, Trinidad and Tobago Manufacturers’ Association 57 – Franchising as an Investment Opportunity Kristine Thompson, Director, Chuck E. Cheese’s Trinidad & Tobago 58 – Selling the Vision Bavina Sookdeo
Page 60 - Trinidad and Tobago gives the Green-light to Renewable Energy Photo: Edison Boodoosingh
12 – Message from the Minister of Trade and Industry, Paula Gopee-Scoon
Why Choose Trinidad & Tobago 16 – Why Choose T&T Bavina Sookdeo 18 – The Perfect Time to Invest in T&T InvesTT 24 – Tobago on the Cusp of Economic Transformation Marissa Williams, Tobago House of Assembly (THA) 27 – Where the World Meets Roslyn Carrington 30 – Corporate T&T driving the economy towards new & exciting frontiers Trinidad and Tobago Chamber of Industry and Commerce 32 – Where To in Latin America AmCham T&T
Finance and Wealth Management 36 – T&T’s Energy Sector Will Survive Raphael John-Lall 39 – Promoting Transparency of our Energy Revenues Sherwin Long, Head, Trinidad and Tobago EITI Secretariat 40 – The P3 Imperatives… Creating Value Zack Nadur, Partner in the Transaction Advisory Services, Ernst & Young Services Ltd; Kristin Forsyth, Senior Manager in the Transaction Advisory Services, Ernst & Young Services Ltd. 42 – Building the Right Environment for Growth Kay Baldeosingh-Arjune
10 • Business Trinidad and Tobago
60 – Trinidad and Tobago gives the Green-light to Renewable Energy Cherisse Moe 62 – Innovate & Create in Tobago E-IDCOT
The Trinidad and Tobago Advantage 66 – Technology in T&T, Partnerships Key to Prosperity Bevil Wooding 68 – Empowering Exporters Ryan De Souza, Team Lead Policy & Research, TTCSI 72 – BPO... Creating and Adding Value Vijay Parabdeen, Director, Aegis 74 – A New Business Process Outsourcing (BPO) Industry Varun Maharaj, Senior Executive, T&T International Financial Centre (TTIFC)
New Opportunities In Tourism 78 – Cruise Industry, Great Potential for T&T Bavina Sookdeo, Team Lead Policy & Research, TTCSI 80 – Right Time for Tourism in Trinidad and Tobago Tourism Development Company Limited (TDC) 83 – Relocating to Trinidad, Like Coming Home Roslyn Carrington 84 – The Role of the Creative Industries in the Diversification Thrust Ministry of Trade and Industry 86 – T&T’s Sports Tourism: Ready, Set, Go! Sheldon Waithe 90 - USEFUL INFORMATION - Stock Market Review 2015 - Fast Facts Guide - Trinidad Contact Information - Tobago Contact Information - Advertisers
Champion! by Sheldon Waithe
E
uphoria! In four magnificent strokes, Carlos Brathwaite sent a region into ecstasy and reminded the world of the Caribbean’s penchant for doing things in its unique way. Triumphing against the odds, teamwork, motivation, belief....the superlatives and adjectives are too numerous to mention. Throw in the fact that the last boundary sealed a treble of the Under 19 World Cup in February and the Women’s T20 World Cup won mere hours before the Men’s team took to the field, and the mantra about punching above its weight quickly comes to mind. No other cricket team could have done it that way; no other cricket team has the peculiarity of being made up of different nations. The base of its makeup forges its organisational culture. Naturally, there are complications that arise from that infrastructure, yet when it gels it becomes an unbeatable force propelled by momentum and engulfed in its rhythm. Time after time the region’s cricketers have dominated the global game, entirely from a home grown system. They became the best team to ever play Test cricket, when One Day Internationals debuted, they duly won the first two World Cups. Now that T20 dominates the sport in the 21st century, they have become the first team to win it twice (the first in 2012) with a fairytale performance that will go down in history as one of the greatest, in any sport! It is a fantastic advertisement for the Caribbean. Cricketing aficionados mourn the decline of West Indies in longer formats of the game; such is the attraction of the way the Caribbean plays. What other nation has rivals hoping for its resurgence for the sake of creating magnetism for a global audience? - None. The popularity of the Windies’ athletes makes them the most sought after players in the sport’s new billion dollar industry and has led to growth of the local franchise sport industry, the Caribbean Premier League, attracting major foreign investment. The dynamic has changed, where international teams once visited, now individuals play for territories regardless of nationality, as television revenue rules the roost. The Caribbean has embraced these changes and every time they cross the rope to play - anywhere in the world - they showcase the best of the Caribbean, both stereotypical and original. It resonates further that the region can now boast of the success across genders and with firm confirmation of the future potential. That epic victory encapsulates unity, hard work, flair and success, a perfect Caribbean melting pot; long may it continue. “Champion!”
Marlon Samuels
Business Trinidad and Tobago • 11
12 • Business Trinidad and Tobago
Message from the Minister of Trade and Industry Paula Gopee-Scoon ‘Opportunity Driven-Prosperity Focused’
D
espite the great challenges posed by the need to adjust to energy prices, Trinidad and Tobago still has enormous strengths. These were the words of the International Monetary Fund as it concluded the 2016 Article IV Consultation in March 2016. It is no secret that Trinidad and Tobago, like many energy rich economies, had to adjust to the precipitous fall in commodity prices over the last 18 months. We however find ourselves better placed than several countries facing the same challenges due to our stable political system, well-educated work force, the largest manufacturing sector in the Caribbean, robust financial system, several exportable services and significant financial savings. The Government’s approach to facilitating new areas of economic growth includes attracting investment into the non-energy sector. This will be done by developing and implementing policies and efficient systems that will ensure an enabling environment to facilitate globally competitive businesses that generate much needed foreign exchange. In addition, we are committed to provide additional economic spaces for business expansion. A new Industrial Park in Point Fortin was recently completed and the Tamana Intech Park will be operationalised by September 2016, with 21 lots to be completed and available for investment
activity. The Piarco Aero Park will be commissioned in 2016. Construction of specialised Industrial parks will also commence in the short-term. Under review is the implementation of a National Special Economic Zones (SEZ) Policy for Trinidad and Tobago which will be aimed at facilitating economic development across all regions of the country. A central component of the SEZ Policy will include new opportunities for the private sector to occupy and, more importantly, own and operate SEZs throughout Trinidad and Tobago. This Government recognises the importance of local manufacturers and service providers being able to penetrate markets within the Caribbean region and extra regionally. Efforts are therefore being focused on the promotion of greater trade and investment between Trinidad and Tobago and the rest of the world. Specifically, we intend to target markets in Guyana, Suriname, Central and Latin America, Cuba, the UK and Europe. Our Policy Framework identifies specific areas for development and investment. These include Tourism, Agriculture and Agro-processing, Maritime Services, Fish and Fish-processing, Aviation Services, the Creative Industries, Financial Services and ICT with emphasis on Software Design and Applications. With respect to the Maritime Industry for instance, we will lead efforts in further developing Ship Repair and Dry
Docking, Bunkering, and Transhipment services. Overall, measures will be put in place to encourage and attract new, highquality large investments in the maritime sector. The Government of Trinidad and Tobago is treating this current challenging economic environment as an opportunity to re-build a stronger, more competitive economy with diversified revenue streams. This is no small feat for any government but we have done it in the past and have demonstrated that we are capable of undertaking complex structural reforms and while making difficult decisions in the best interest of our citizenry. History has shown that governments and companies which emerged strongest during challenging economic times were able to identify opportunities for sustainable development and had taken strategic decisions that distinguished them from their competitors. This Government is committed to working with the private sector to ensure that new opportunities are taken advantage of. We have full confidence that our forward-thinking private sector will continue to innovate in order to gain and optimise competitive advantages which will ultimately support the recovery and growth of the Trinidad and Tobago economy.
Minister of Trade and Industry, Paula Gopee-Scoon Business Trinidad and Tobago • 13
Why Choose Trinidad & Tobago
Photo: Marcus G. Productions
Why Choose T&T
Bavina Sookdeo
P
lunging oil prices – many thought this meant ‘disaster’ for Trinidad and Tobago, a country that is heavily dependent on the energy sector. However, Trinidadians and Tobagonians remain resilient and continue to explore all sectors in order to maintain the country’s global competitiveness. Many experts are saying that the fall in oil prices is indicative that now is the ideal time to invest in Trinidad and Tobago as the nation stands on the brink of a new era. Although President and CEO of the country’s Energy Chamber, Dr Thackwray ‘Dax’ Driver, believes the sector will survive and continue to attract investment, all sectors are now being carefully looked at to help spur diversification – new policies and large sums of money are being pumped into various sectors in attempt to encourage investment and ensure the stability of Trinidad and Tobago. Business Tourism is one area that holds great promise in boosting the economy. According to a World Travel and Tourism Council (WTTC) assessment, approximately US$3.6 billion is spent worldwide and T&T ranks third in the region. The country boasts of conveniently located conference centres and has attracted many tourists and investors through the years. A gateway location to growing markets in Latin America and a nearshore hub at 3.5 hours from North
16 • Business Trinidad and Tobago
America, its two international airports and the new and improved road network make the islands accessible. In addition to its accessibility, many corporate executives have opted to visit T&T (which has been the host for several notable conferences) due to low business costs. Attractive incentives and benefits are also being offered by the T&T government in a bid to attract investment for the development of the tourism industry. In Tobago, over TT$12M has been pumped into improving tourism with special emphasis being placed on beach facilities upgrades and restoration of historical sites. More projects are underway to encourage investment in boutique hotels, villas, guest houses, restaurants, sport bars and entertainment. Discussions are being held on Designated Development Areas (DDA’s) where foreign investors will not need a licence to develop the areas. According to the Tourism Development Company Limited, “2015 year-end data showed an increase of 6.6 percent in visitor arrivals to the destination over 2014. The average number of visitor arrivals per month was 36,600.” This is expected to increase since many wish to enjoy the 400 species of birds, flora, beautiful beaches, festivals sumptuous dishes and all that T&T has to offer. Innovation is key to this twin-island state with its universities and scholars promoting green living. The University of Trinidad and Tobago (UTT) has introduced an electric bus and the nation’s first and only fully-functional 100 percent solar powered house. Solar manufacturers can keep their eyes on T&T thanks to such introductions. With more than 7000 tertiary and vocational graduates being bred from the educational system annually, investors are quite impressed with the capacity and efficiency of its people. The government is also committed to creating a new industry providing Finance and Accounting and Banking, Financial Services and Insurance services. Attracting Business Process
Outsourcing (BPO) firms to set up locally is one way of accomplishing this and the advantages to operating such firms in T&T are many – low operating costs, reliable and modern infrastructure and government and institutional support are just some of the advantages. When it comes down to its exports, from 2014 to 2015, its manufacturing sector exports to CARICOM countries increased by 30.5%. T&T has the largest manufacturing output within the Caribbean. And while T&T is known throughout CARICOM for its quality produce, it is now spreading its agricultural wings internationally. Its Scorpion Moruga pepper is the hottest naturally growing pepper in the world, rated by the New Mexico State University’s Chile Pepper Institute in February 2012 – this is just one example of the country’s international reach. Within the Maritime industries too, a billion dollar opportunity exists for investors through the establishment of dry docking facilities in the country. InvestTT which focuses on the country’s key nonenergy sectors noted, “Currently there exists just one major dry dock in operation servicing small to medium-sized ships. With only one dry dock, the capacity for additional repairs, even in this size range, is limited. Thus, consortium, equity or joint-venture partners are being sought for a proposed project in Trinidad which would allow the country to capture some of the growing demand for large ship repairs along the eastern seaboard of the Americas.” Great potential is seen in the Cruising, Sport, Agriculture, Tourism and Creative industries – there is much to be done within these industries and therefore, a lot of opportunities for investment. So whether you plan to invest in the country or go on that highly anticipated business trip, you are guaranteed to spend your time on both islands as if you were on that long awaited vacation. The opportunities in T&T are endless.
The Perfect Time to Invest in T&T
T
here’s a remarkable story to be told about Trinidad and Tobago. Since it became an independent nation in 1962, the country has moved from a cocoa and sugar plantation economy to housing one of the largest natural gas industrial processing facilities in the Western Hemisphere. It also became the world’s largest exporter of ammonia and the second largest exporter of methanol (Ministry of Energy and Energy Industries). This is a significant achievement for a Caribbean country, which also nobly weathered the fallout from a global economic crisis in 2008. Plunging oil prices in 2016 indicate to the best visionaries that now is the ideal time to seek out investment opportunities in Trinidad and Tobago. Studies have shown that during recessions, progressive companies develop new markets and invest to enlarge their asset bases. According to business expert Warren Buffet, “the best time to accumulate wealth is during a recession.” So, instead of applying a retrenchment approach to business strategy during a recession, why not consider an investment approach? Look for an opportunity to help you survive the recession, get ahead during a slow-growth recovery, and be ready to win when good times return. Some of the benefits of investing during contractionary times are: Access to human resources, motivated Governments and increased creativity borne from necessity. The opportunities available include those in the agribusiness, manufacturing, creative and maritime sectors. Agribusiness According to the Food and Agriculture Organization of the United Nations (2015),
18 • Business Trinidad and Tobago
some 795 million people in the world do not have enough food to lead a healthy, active life. That’s about one in nine people on earth. Food insecurity is a serious global concern as prices continue to rise while production levels decline. In the midst of these concerns, however, Trinidad and Tobago’s agriculture industry is thriving with opportunities to promote the improvement of food security across the region. The local food and beverage sector offers significant investment opportunities, particularly for manufacturers who utilise unique regional agro-products to develop goods. For example, Trinidad and Tobago’s Scorpion Moruga pepper is the hottest naturally growing pepper in the world, rated by the New Mexico State University’s Chile Pepper Institute in February 2012. Pepper production for export is a potentially lucrative opportunity for local farmers to enjoy a sustainable income. Companies such as Caroni Green Limited (CGI) are already seeing the earning potential of investment in peppers. CGI has exported just over US$100,000 worth of hot peppers to the United States in the last quarter of 2015 and their farm model has been cited by regional organisations as being worthy of replication in other Caribbean countries. Another opportunity exists for partnership with SIMPLEX which features an integrated farming system called the EcoPolyTunnelTM (EPTTM) that provides an innovative solution to address farming in remote locations. This type of investment is ideal for large farms seeking the latest technology to increase crop yields and larger exporting companies seeking to diversify or extend supply chains. The key benefits of partnering with SIMPLEX
Photo: Stephen Broadbridge
are increased crop production and R&D opportunities to try new crops like ‘biocrops’ and ‘pharma-crops’. Energy/Downstream Manufacturing: Unlike the rest of the Caribbean, Trinidad and Tobago has a wellestablished, energy-based economy. The availability of the country’s hydrocarbon resources, and in particular its natural gas, lends to a current ranking as the most cost effective investment environment in the Caribbean and Central American region, according to fDi Intelligence, a specialised unit of the Financial Times Group. Given this scenario, an opportunity exists for a group of investors to participate in an innovative project called the Power Interconnection Project, which is designed by the ENMAN Group of Trinidad and
Tobago and operates under a public/ private partnership model. Valued at US$1.0Bn, the objective of the project is to connect power and telecommunications between Trinidad and Tobago, Guyana and Suriname via a submarine cable from Trinidad to Guyana and an overland/ submarine connection from Guyana to Suriname. Another major billion dollar investment downstream energy project is the establishment of a Silicon Industrial Cluster in Trinidad and Tobago. A report entitled ‘Global Market Outlook for Solar Power 2015-2019’ published by SolarPower Europe states that the global solar photovoltaic (PV) sector reached a cumulative capacity of 178 GW in 2014 and is expected to reach 540 GW by 2019/20. Silicon-based PV continued to dominate
the market in 2014. The report also states that the global industry is on a new cycle of investment after rapid price declines in previous years. Market growth is expected in emerging markets which will increase production capacities and at the same time herald a wave of innovative solar solutions. Hence the proposition for a Silicon Industrial Cluster in Trinidad and Tobago based on the results of an independently conducted feasibility study. Trinidad was ranked most cost competitive against any global source of glass currently imported into Latin America, the Caribbean and the United States. The study also shows Trinidad and Tobago to be in the top quartile for low cost silicon processing and is potentially a launch pad for the exporting of low cost and high quality PV
Business Trinidad and Tobago • 19
The Government of the Republic of Trinidad and Tobago offers incentives to both local and foreign investors in all industries.
panels across the Americas. Solar investors participating in this manufacturing project will benefit from low costs of doing business while accessing wider markets across the region. Creative Industries “Human creativity is the ultimate economic resource,” Florida, Richard (2002), The Rise of the Creative Class. And How It’s Transforming Work, Leisure and Everyday Life, Basic Books. Globally, the creative industries have become increasingly important to economic well-being especially during contractionary times. Trinidad and Tobago’s creative industry is bursting at its seams with investment opportunities in film, music and fashion. There are a wealth of opportunities available for investment including: • On-location filming shoots for four television series and a Bollywood style movie • Sound and music equipment facilities • Carnival entertainment centres • Sound Stages • Dubbing and subtitling facilities • An Industrial Park dedicated to “Made in TT” apparel and Carnival costume production • Joint venture relationship/partnership with animation studio Full Circle Animation Limited Maritime Industries A billion dollar opportunity exists for investors interested in the maritime industries via the establishment of dry docking facilities in Trinidad and Tobago. Currently, there exists just one major dry dock in operation servicing small to medium-sized ships. With only one dry dock, the capacity for additional repairs, even in this size range, is limited. Thus, consortium, equity or joint-venture partners are being sought for a proposed project in Trinidad which would allow the country to capture some of the growing demand for large ship repairs along the eastern seaboard of the Americas. Shipping companies are also encouraged to invest in the establishment of an Offshore Bulk Transshipment Port which would promote Trinidad and Tobago as a preferred destination along the eastern coast of the Americas for safe and strategic
20 • Business Trinidad and Tobago
transshipment of bulk goods. The Government of the Republic of Trinidad and Tobago offers incentives to both local and foreign investors in all industries. For example, incentives for the creative industries include duty free concessions for filmmakers on machinery, equipment and production material. The Trinidad and Tobago Film Company conducts a competitive production rebate programme for investors and provides cash rebates of up to 55% for expenditure on local labour and 35% on other local expenditures. A variety of rebates are also available for agribusiness projects. For manufacturing and other industries the range of applicable fiscal and other incentives include exemptions from customs duties, VAT and duty-free treatment of raw materials, machinery and equipment. InvesTT Trinidad and Tobago is qualified to link interested parties to such viable investment opportunities through its facilitation services. The company has forged for itself a solid track record for attracting investment and has won the attention of international rating agencies: • Ranked within the top 20% of Investment Promotion Agencies in the world by the World Bank 2013; • Winner of UNCTAD’s Investment Promotion Award for Excellence in Promoting FDI for Sustainable Development 2014; • Winner of Site Selection Magazine’s Best to Invest Top Agencies Award 2015 (Latin America and the Caribbean). Its Investor Sourcing and Investor Services teams provide investors with pertinent and customised information to make a decision on investing in Trinidad and Tobago. InvesTT has assisted in the establishment of foreign companies in various industries such as logistics, telecommunications, maritime and creative industries. It has also been a key factor in the re-investment by local companies in retail and maritime. InvesTT focuses on the country’s key non-energy sectors: Aviation Services, Creative Industries, Fishing and Fish Processing, Maritime Services, Software Design and Applications.
www.investt.co.tt
T R I N I DA D A N D TO B AG O B U S I N E SS B U ZZ
Avoid Costly Mistakes – Optimize Your IT Resources
D
o you know how to reduce your software spend? Do you have control over your software deployments? Do you know the current state of your software compliance? Many organizations incur unnecessary costs due to a lack of knowledge around their software portfolio. Software Asset Management (SAM) can help. Unaware of the conditions of their technology tools – especially the intangible ones, like software – makes effective management of the software portfolio very difficult for many organizations. These same organizations attempt to innovate as quickly as technology evolves. Often times, their ambitious endeavor to offer their customers the latest cutting edge solution leads to troubling mistakes. The questions below will help you analyze the current state of your software portfolio and avoid those costly mistakes: Are you sure you know what Software Asset Management is? Many organizations believe SAM is only about license compliance. While discovering your current state of compliance is a crucial component, a solid SAM methodology will provide much more to an organization’s stability than merely a one-time audit defense. An optimized SAM practice is defined as all of the infrastructure and processes necessary for the effective management, control, and protection of the software assets throughout all stages of the software lifecycle. Why/when do companies need to perform a SAM evaluation? When you want to control costs -> “Can we avoid or reduce software spend?” When you want to optimize licensing -> “How can we re-model our licensing to benefit us?” When you want to build a foundation to enable IT growth -> “What available technology can we leverage, and which mission-critical applications need to be upgraded to support our evolving infrastructure?”
22 • Business Trinidad and Tobago
Edgar Pérez, SoftwareONE’s SAM leader for the Caribbean, introduced the Software Asset Management methodology during Microsoft’s M4 event in Trinidad & Tobago.
What are the main benefits of SAM? - Roadmapping the transition of your legacy software. - Adopting step-by-step asset management processes. - Mitigating vendor audits through proactive techniques. - Optimizing your IT resources to ensure efficient investments. - Re-allocating over-licensed applications and under-utilized licenses. - Analyzing the risk of deployed software products against your total software spend. Optimizing the use of your IT resources always leads to more intelligent investments: “Implementing the proper SAM tools and processes helps businesses obtain insight into their software infrastructure. Determining what software you own and how you use it maximizes that investment, which forms the basis for
We at SoftwareONE combine our commercial, technology and compliance expertise into a balanced service offering.
creating a roadmap that verifies any future technology needs.” Edgar Pérez, SAM Leader at SoftwareONE West Indies. www.softwareone.com
Photo: Jason Sookermany
Tobago on the Cusp of Economic Transformation
W
hile Tobago is known as a haven for many tourists, many Trinidadians too, flock to the beautiful sister isle to enjoy the beauty that it has to offer. With the downturn in the energy sector thanks to the drastic drop in the price of oil, diversification is now necessary and what better industry to look to than the Tourism industry? Tobago has found itself on the cusp of Trinidad and Tobago’s economic transformation. The old saying “adversity breeds opportunity” rings true. Tobago has been thrown into the spotlight as this sector is now being seen as the driver of economic diversification for the country. Due to this, many would agree that there is no better time to invest in the beautiful island of Tobago like the present! Spearheading development on the island is The Tobago House of Assembly (THA) and it recognises that Tourism is to Tobago what the oil and manufacturing industries are to Trinidad. The THA knows and understands the importance of the sector to the survival of the residents since a high percentage of the island’s population is employed in the sector which contributes about 39% to Tobago’s GDP. As with any tourist destination, it is important to maintain global competitiveness. In addition to constantly seeking new airlift to the destination and increasing cruise arrivals, over TT$12M has been invested in improving the island’s tourism product particularly in beach facilities upgrades and restoration of historical sites.
Business Trinidad and Tobago • 25
Blue Waters Inn Photo: Aujourd’hui Studio
While there is a current shortage of quality hotel rooms on the island that is being addressed so investment and specifically, new hotel development, continues to be of high priority for the Division of Tourism and Transportation. In the absence of real foreign investment activity on the island, the THA, through the Tourism Division has acquired the Sanctuary Resort Limited (Grafton Estate) which is currently being renovated to 4-star status with 56 guestrooms and the Manta Lodge (Speyside) which is being upgraded to a 3-star property with 22 guestrooms. It is expected that these properties, when completed, will lead the way in establishing standards in service delivery for other properties to follow. This, according to President of the
26 • Business Trinidad and Tobago
Tobago Hotel and Tourism Association, Christopher James, is critical to the tourism sector since there is a need for approximately 1500 more high-end rooms on the island. According to the Tourism Division, the island’s capacity currently stands at over 4000 rooms inclusive of large and small hotels, apartments and bed and breakfast establishments. The Comprehensive Economic Development Plan (CEDP 2.0) that has the diversification of the Tobago economy as a core tenet also identifies several key areas for investment and business opportunities within the tourism sector. These include: Investment in Boutique hotels and villas, Guest Houses, Restaurants, Sport Bars and Entertainment. The THA, in an effort to address some of the challenges and shortfalls in the accommodation sector and to boost foreign investment in the Tourism industry, has considered engaging in Public/Private Partnership arrangements with possible investors. The Public/Private Partnership concept is being used by the various divisions of the THA as a key tool to finance major development projects and the Division of Tourism & Transportation is no exception as it seeks to attract investment to the sector. As a result, discussions on the issue of Designated Development Areas (DDA’S) to facilitate development in the tourism sector are ongoing. Several areas have been identified as designated areas for development by the Town and Country Planning Department of the Tobago House of Assembly. These include: COURLAND ESTATE: State owned. Final approval granted for resort development. A Certificate of Environmental Clearance
(C.E.C.) is necessary for hotels with more than 30 rooms. FRIENDSHIP ESTATE: State owned. Environmental Impact Assessment (E.I.A.) is required. Crown Point, known as Tobago’s St. James for its mix of tourism, residential and commercial development, was recently added to the DDA’s. Foreign investors will not be required to own a licence to develop the DDA’s. Recent back-to-back visits by Gordon “Butch” Stewart, founder and chairman of the Sandals and Beaches all-inclusive chain of resorts, will no doubt encourage keener interest by investors. The potential for the industry does not end here. A few properties including the Goldsborough Estate and Studley Park Estate on the eastern end of the island have been approved for Agriculture and Commercial development. With these measures being put in place to stimulate growth on the island, the opportunities for spin-off industries are endless. And as sports and entertainment tourism continues to grow through anticipated annual events like Tobago Dragon Boat Festival, Tobago International Cycling Classic, Tobago Jazz Experience, Tobago Blue Food Festival, and the Tobago Heritage Festival, business opportunities also abound for service providers of tents, tables, stages, lighting and general supplies and infrastructure. Christopher James cited several services that are lacking on the island but noted that the development and sustainability of these businesses depend on a strengthened tourism product – solar power panels and water heaters, organic farming - both agriculture and live stock, fish farming and processing, recycling, food processing, warehousing, Dutyfree retail, wider range of restaurants and activities for visitors and professional entertainment services are among a few mentioned. There is no doubt though that these will be fast in coming since diversification is now necessary and the tourism sector is indeed being strengthened. www.tha.gov.tt
Trinidad and Tobago Fast Becoming “Where the World Meets”
Roslyn Carrington
W
hen it comes to the Meetings, Incentives, Conferences and Exhibitions (MICE) sector, Trinidad and Tobago enjoys a unique position among southern Caribbean territories. While many other locations offer just a few of the most desirable criteria that determine the location of an international conference, Trinidad and Tobago hits target after target, because of its economic position, accessibility, wide range of accommodation options and rich and diverse culture. Trinidad and Tobago enjoys its position as an energy powerhouse, with a strong economic base in oil and natural gas and related downstream products. Diversification efforts have led to increasing attention being paid to sectors such as finance, manufacturing, service, sports, culture and entertainment and tourism.
The country also offers a choice of accommodation and conference centres. There are larger venues such as the Hyatt Regency Trinidad, the Radisson Hotel Trinidad and the Trinidad Hilton and Conference Centre, along with smaller venues such as Cara Suites in the south and The Banquet and Conference Centre, Movietowne and Courtyard by Marriott in Port-of-Spain and Tobago. The Shaw Park Complex in Tobago, with a 5,000-seat main hall, was recently opened. Locations such as the Pigeon Point Heritage Park, the Magdalena Grand Hotel and Blue Waters Inn are also popular. Most centres offer packages that take the stress of planning and catering off the hands of the organiser. Two international airports and a complex road network make it easy and reasonably inexpensive for delegates to come to the country, and to move between locations. There are frequent flights and ferries between Trinidad and Tobago. Because of the country’s high standard of living and sophisticated lifestyle, the business traveller will find easy access to the services required, including banking, a reliable cellular phone network, and temporary office services such as printing, Internet, faxing and typing. Convention delegates and their families expect to explore their destination and soak up some of the culture of their host country, and Trinidad and Tobago has more than enough to offer. Its rich and nuanced heritage results in an array of cuisines that are as varied as its cultural offerings: visitors can indulge in spicy East Indian cuisine while enjoying Indian classical or tassa drum performances, or
sway to the unique sound of the steel pan under the open sky while sipping on corn soup. According to a World Travel and Tourism Council (WTTC) assessment, approximately US$3.6 billion is spent worldwide on business tourism, and T&T’s slice of this attractive pie ranks third in the region. The Trinidad and Tobago Convention Bureau (TTCB) was established in 2009 to facilitate rapid growth within the MICE sector. Among their initiatives were their first North American Road Show, with stops in New York, Washington D.C. and Atlanta. Trinidad and Tobago was also represented at IMEX America, the largest tradeshow in North America for incentive travel, meetings and events. The TTCB has become the first point of contact with many international conference organisers, and offers complimentary services like site inspections, conference publicity, airport pickup, welcome packages for delegates and coordination of tours. Recent major events held in this country include International Conference and Panorama (ICP), hosted by Pan Trinbago; the Caribbean Medical Providers Practising Abroad (CMPPA) Conference, as well as conferences on energy, manufacturing, finance, health and wellness, education, arts and culture and the environment. With international organisers being offered knowledgeable advice and planning services by experienced providers, comfortable accommodation, good food and an enjoyable business tourism experience, it’s no wonder that Trinidad and Tobago is fast becoming known as “Where the World Meets”.
Business Trinidad and Tobago • 27
T R I N I DA D A N D TO B AG O B U S I N E SS B U ZZ
Pigeon Point Heritage Park, Tobago
T
he acclaimed and award winning Pigeon Point Heritage Park is widely known for it’s clear, calm waters and all the amenities that you can possibly ask for to enjoy a full day at the beach; including excellent food, cocktails and drinks, even shopping! The park however has a lot more going on than just a beach excursion. A series of upgrades and projects over the last year has resulted in a facility that really is “More than just a beach …. ” • Accommodation - The Bungalow offers the only overnight accommodation at the park. This cosy unit offers 3 bedrooms, full kitchen, living and dining areas. All rooms are air-conditioned. Direct TV, Wi-Fi and BBQ pit included. • Conferences & Seminars – perhaps the most exciting addition to the amenities at Pigeon Point is the hosting of Conferences, Meetings, Corporate Dinners / Functions and other such corporate or social events at the Heritage Pavilion. With approximately 6,000 sq. ft. of function space, users have the added choice of having their meetings open air or air conditioned. The setting and view of the calm Caribbean Sea are unrivalled from this spectacularly designed, beach front facility. A variety of catering and recreational options are found within the park to ensure your
28 • Business Trinidad and Tobago
event is a success and easy to co-ordinate. For those with smaller requirements, a private Meeting Room caters to such needs with appropriate break-out space. Whether your next trip to Tobago is for business or pleasure, be sure to take time to visit the Pigeon Point Heritage Park! www.pigeonpoint.tt
Conferencing and Event Facilities, Trinidad and Tobago
Corporate T&T driving the economy towards new & exciting frontiers
I
ntroduction Trinidad and Tobago is a middleincome, energy-rich country with relatively strong institutions and political stability. As the most industrialised economy in the English-speaking Caribbean, growth is driven by export revenue of hydrocarbons. This accounts for about 45% of GDP, 80% of exports and over 90% of foreign exchange. 1 Indeed, much of this has been made possible by private foreign investors from the hydrocarbon sector. But there have been cases of business people from Trinidad and Tobago’s private sector who responded proactively to adversity, leaving an indelible footprint on the nation’s economic landscape. Two such cases from the energy and non-energy sectors will be discussed in this article – the latter being culled from the Food and Beverage sub-sector. To demonstrate the significant role private initiative can play in driving development, the first example is presented in an historical context, while the second highlights an exemplar of the new wave of entrepreneurship. Energy sector: Port development and natural gas-based exports In 1939 when Port-of-Spain upgraded its sea port with a deeper harbour, allowing cargo ships to dock, it eventually gave rise to a new drive by the private sector community in south Trinidad. In an effort to rebound from the lost revenue that resulted when the shipments were split between Port-of-Spain and San Fernando, Robert Montano, a prominent businessman, set about organising the private sector of the southland. Feasibility
30 • Business Trinidad and Tobago
studies were subsequently undertaken, and demonstrated that the cost of building a similar port for San Fernando would have been high. The private sector group then determined that instead of pursuing the idea of a comparable sea port, they would build an industrial port which would facilitate exports. Because southern Trinidad had the largest deposits of on-land and shallow-water acreage for hydrocarbons, the group sought to expand the energy sector, using natural gas as feedstock for the development of the downstream industry for export. More importantly, it was believed that it would generate unprecedented economic growth and wealth from the resources within the southern region. Support from the colonial government was, however, lukewarm. Thus, by the 1950s, the cement plant in Claxton Bay and Federation Chemicals – an ammonia plant in Savonetta – depended on private initiative. The companies built their own ports in order to take advantage of the development of the downstream energy sector. Federation Chemicals was built to service the markets of the then West Indies Federation, with ammonia as an agricultural input. When the West Indies Federation fell through in 1958, exports switched to the United States with the first plant producing 250,000 tonnes and earning US$25.00 per tonne for annual revenues of US$6.25 million from 1959 into the 1960s. Undoubtedly, there was potential for growth, but the existing ports just did not have the capacity to traffic additional volumes efficiently. By 1965, the Government of the newly independent Trinidad and Tobago took notice of the full potential of the private sector-led growth of the new downstream energy sector. Additional resources from the Government sought to broaden the scope of the development. From there, two ideas were formalized - the Point Lisas Industrial Port Development Corporation and the Point Lisas Industrial Estate.
By 1976, these projects would launch Trinidad and Tobago in the export world of natural gas derivatives and build the framework for this country’s worldrenowned Natural Gas economy, which still attracts investment today. As mentioned earlier, 80% of all exports today come from the energy sector and it is estimated that exports of natural gas and its derivatives, account for roughly 60% of energy sector revenue. However, it all started from the efforts of a relatively small, but determined, private sector group and the vision of the country’s leaders at that time. The non-energy sector: Initiative in the Food and Beverage subsector. The private sector has also taken the lead in expanding the Trinidad and Tobago economy outside of the parameters of the energy sector. Two key non-energy sectors which have demonstrated forwardthinking and proactive approaches are the manufacturing and services sectors. Both of these have demonstrated solid growth, extending themselves beyond the borders of Trinidad and Tobago. The manufacturing and services sectors, according to Review of the Economy 2015, have contributed TT$7,633.2 million and TT$52,795.2 million respectively. Within the services sector, the strongest contributors to Gross Domestic Product (GDP) were Distribution & Restaurants and Finance, Insurance & Real Estate which added some TT$15,740.4 million and TT$13,015.1 million respectively. The sector grew at a rate of 2.5% of GDP for 2015 as opposed to 0.7% of GDP for the previous year. In the manufacturing arena, the private sector has shown its tenacity, registering growth in the exports of goods to CARICOM by some “30.5 percent to $1,255.5 million over the period” according to Review of the Economy 2015. Statistics from the same publication outlined that manufacturing, grew by “1.3% in real
terms in calendar 2015”. This figure is a significant turnaround from the downturn recorded “in the two preceding years; 1.0 percent in 2013 and 4.0 percent in 2014”. The biggest manufacturing subsectors are Food, Beverages, and Tobacco; it accounted for 6.8% growth in terms of GDP earning capacity, as opposed to a decline of 4.2% for 2014. Notwithstanding government facilitation through bilateral agreements, trade missions, or domestic policies aimed at boosting competitiveness, the private sector has been instrumental in growing the economy based on the above data. One outstanding example of this proactivity is SM Jaleel & Company Limited. Established in 1924, this company is one of the oldest and largest manufacturers in the English-speaking Caribbean.
SM Jaleel has successfully penetrated markets in the wider Caribbean region, the United States, Canada, United Kingdom, Latin America, Europe and Asia. In most of these cases, the company initiated business in those territories ahead of any policy that government may have created to make trade more accessible for local business. As a soft drink manufacturer, SM Jaleel has long been at the vanguard of business. In the 1980s, it was the first company in the world, in collaboration with Reynolds Metals Company, to introduce fruit juices in aluminum cans through the use of nitrogen technology. This eliminated the need for artificial preservatives in the product. Pushing the proverbial envelope even further in 2009, the company launched production of one of its signature products, Chubby, in South
Africa. Although there are currently no trade agreements between Trinidad and Tobago and South Africa, SM Jaleel has successfully extended its operations to this distant territory. The two examples presented here – Montano and his private sector group and SM Jaleel – provide fitting demonstrations of the private sector’s initiative and endurance in Trinidad and Tobago. Not surprisingly, corporate T&T today continues to drive the economy towards new and exciting frontiers. www.chamber.org.tt
1 Moya, Ramiro, Mohammed, Anne-Marie, Sookram, Sandra, “Productive Development Policies in Trinidad and Tobago,” Inter-American Development Bank: IDB WP-115, 2010.
Business Trinidad and Tobago • 31
Where To in Latin America
T
he economic challenges that Trinidad and Tobago is faced with currently have undoubtedly led to renewed calls for action regarding diversification. These challenges, stemming largely from depressed oil and gas prices, have led both the public and private sectors to focus with renewed vigour on diversification in product/services terms. While a wider product/service offering is a sine qua non of a steady economy, we have not paid sufficient attention to the diversification of export markets. This is to say that although product and service diversification is a medium to long term goal, diversifying our export markets can be achievable in the short to medium term in some respects. Take, for example, the largely untapped Latin American market, with strong global links, close proximity to Trinidad and Tobago, and resilient economies. While a number of trade agreements between CARICOM as a group and Trinidad and Tobago individually with the Latin Americans have been negotiated and signed, our market presence is still wanting. Speaking at AMCHAM T&T’s Doing Business in Latin America event in September 2015, Trade Minister Paula Gopee-Scoon noted that while there are over 200 exporters to North America, there are less than 15 domestic firms exporting to Latin America. Here, we look briefly at two markets in Latin America with great potential, the conditions that make them favourable for exports from Trinidad and Tobago, and how AMCHAM T&T can help you take advantage of these opportunities.
32 • Business Trinidad and Tobago
Markets To Look At Trade agreements (between governments) are one way in which countries strive to overcome international and domestic regulations, sanitation measures, tariffs and other measures, which can hinder or prohibit trade. The negotiated conditions make it easier for local exporters to get their goods and services into the corresponding territory under a more predictable arrangement. Therefore, a great place to start in Latin America would be countries where we have existing agreements. Here, we will focus on two: Costa Rica and Panama.1 The Central American countries are projected to grow by 4.1% on average in 2016 according to the IDB, with Panama’s growth estimated at 6%.2 Costa Rica In 2004, CARICOM signed a free trade agreement with Costa Rica, which was ratified in T&T in 2005. Through the agreement, 95% of products are traded duty-free between the countries. While there has been a slow uptake of these opportunities by the private sector, it is interesting to note that T&T’s exports to Costa Rica were valued at $40 million in 2004 (including petroleum products, rum and beverages).3 In 2014, exports totalled over 68M giving T&T a trade surplus of 8.7M USD. While this may seem sizeable, it is noteworthy to add that Costa Rica accounted for only 0.4% of T&T’s total exports and 0.97% of total imports. There is the possibility for increased trade. The Agreement, although it contains comprehensive provisions on trade in goods, contained a built-in agenda for trade in services. Developing provisions in the area of services were in fact raised in June 2015 when the parties held their first Joint Council4 meeting, which signalled their efforts at working together to improve trade and eliminate barriers. However, challenges to trading with Costa Rica have mainly been classified as administrative burdens. (For example, product registration, which can cost
between $300 to $1000 USD and take up to six months along with other procedural requirements). As with many other Latin American countries, Costa Rica also enacted distribution restrictions which were reformed in 2007. However, a greater issue looms: transportation. Smaller volumes of cargo would attract a higher cost and given the low volume of trade there are limited direct shipping lines. These challenges can be overcome by improving supply side constraints and access to information. With a population of over 4.7M people, Costa Rica has been classified as an upper middle-income country with a GDP growth rate of approximately 3.5% and a GDP of 49.55 billion (2014). Steady economic expansion over the past 25 years means that Costa Rica remains a prime Central American market within which T&T can enhance trade and investment. Panama In October 2013, T&T signed a partial scope agreement with Panama, one of the fastest growing economies in Latin America, which gave T&T access to that market for over 230 products.5 With shipping lines from Panama to the Caribbean, goods can be transported to market in approximately four days. The Colon Free Zone, the second largest in the world, can be used as a distribution point for T&T goods to enter other Latin American markets – an added opportunity. Due to its open economy, Panama has few market access problems and the appointment of an agent or distributor is common along with identifying a local partner. Panama has a population of over 3.8M people and a GDP of approximately 46.21 billion (2014). Its economy is supported by the services provided to the Panama Canal and the country’s banking system. The country has experienced an expansion in infrastructural development and the 2015/2016 fiscal plans propose an expansion of the education system to create a bilingual and competitive
workforce to support the services industry. These are great signals for the buoyancy of the economy, along with Panama’s attractiveness as an FDI destination. Like any other market, there are barriers to trade including the cost of transportation; burdensome regulations and documentation (particularly for food, beverages and chemicals) which adequate preparation and strong business links can combat. What is certain is that greater trade with Panama can enable T&T to deepen its economic penetration and investment opportunities in Central/Latin America.
Other Markets In addition to countries where trade agreements with T&T/CARICOM have been negotiated, a number of other territories remain attractive areas for T&T exporters to pursue market access activities. These include countries like Argentina, Peru and Colombia. Especially at a time when government revenues are down, impacting the national landscape, a strong, export-led private sector, less reliant on government contracts locally, would be a better support to the economy. Let us look to Latin America, where AMCHAM T&T can be a strong business connection.
1Trinidad and Tobago has signed a number of agreements as part of the CARICOM grouping with countries like Venezuela, Colombia, Costa Rica, Dominican Republic as well as a number of bi-lateral agreements (at various stages – completed; ratified, currently being negotiated) with Panama, Guatemala and El Salvador. Moreover, Bilateral Investment Treaties have also been negotiated. 2http://www.estrategiaynegocios.net/ lasclavesdeldia/934017-330/panam%C3%A1-yrep%C3%BAblica-dominicana-locomotoras-delcrecimiento-en-la-regi%C3%B3n
3Imports
Photo: (Front Row L-R): Nicole Galt Trinidad Systems Limited; Nicholas Galt, Chairman AACCLA; Her Excellency Pamela A. White, US Ambassador to Haiti; Ravi Suryadevara, President AMCHAM T&T; Sandra Honoré, Special Representative and Head of the United Nations Stabilization Mission in Haiti (MINUSTAH) (Second Row L-R): Christian Tom Yew, Energy Dynamics Limited; Nirad Tewarie, CEO AMCHAM T&T; Roger Lee Pack, House of Paper; Shaun Rampersad, Ramps Logistics Limited (Back Row) – Vincent Ramlochan, ExporTT; Deonarine Goodoosingh, Trinrico Steel & Wire Products Limited.
from Costa Rica over the same period amounted to $70 million and included commodities such as pharmaceuticals, detergents and lumber. 4A Joint Council was established under the agreement to deal with the review and operationalization of the agreement and to work together to reduce trade barriers. 5The agreement also provided for reduced tariffs on 248 products from Panama into T&T and contains a built-in agenda for services.
Business Trinidad and Tobago • 33
Photo: Edison Boodoosingh 34 • Business Trinidad and Tobago
Finance and Wealth Management
Business Trinidad and Tobago • 35
T&T’s Energy Sector Will Survive
I Raphael John-Lall
Photo courtesy: Shipping Solutions & Services Limited (SSSL) Photo: Video Aerial Ground Solutions
36 • Business Trinidad and Tobago
nternational Energy companies continue to see Trinidad and Tobago as an investment destination despite damp conditions in the global energy sector. This country has over 100 years experience in the energy sector and has seen sky high oil prices as well as downturns through economic recessions, war, natural disasters, through eras where OPEC has been weak and other times strong in defending the cartel’s interest. And this era of low oil prices is no different. Dr Thackwray ‘Dax’ Driver, President and CEO of the Energy Chamber of Trinidad and Tobago, believes despite difficult times in the local and global energy sector, T&T’s energy sector will survive and will continue to attract much needed investment. He spoke about the Trinidad and Tobago Energy Conference and Trade Show which took place at the Hyatt Regency Hotel in the capital city, Port-of-Spain, from February 6 to 8. He called the conference a successful one. “We had participation, notwithstanding the fact that the Energy sector is in a very difficult situation at the moment. The major mood at the conference was people were looking for the positives,” he said. Driver noted what has really stood out for Trinidad and Tobago is continued investment for the energy sector especially in the upstream sector. “The investment has continued despite the low price environment and that is a positive feel. Of course no one is underestimating the trouble that we are in as we are in a very difficult position. The fact that investment is still coming in is a positive.” He referred to BP’s investment with the Juniper project, there is also EOG Resources investing in the Sercan project, and there is BHP investing in the Angostura Phase 111 Project. “With all these things happening, it sends the
signal that there is activity in the sector in Trinidad and Tobago. Clearly, the sector is in a very difficult situation as there is the problem of oil prices and low production.” The CEO also spoke about the growing unemployment rate in the energy sector in T&T as companies have been shedding staff because of the difficult situation. He said with prices being much lower since 2014, some energy companies have been going through an adjustment process with costs. The energy companies look at their suppliers, the efficiency of their operations, they examine their capital expenditure programme and there have been major cuts in all those areas. Very importantly, he said these companies are looking at their human resource costs and will rationalise and reduce such costs. “Unfortunately, that will sometimes lead to job cuts and we have seen some of that in the energy sector. There has been a move to reduce the expatriate job count because expatriate staff comes with additional costs (in addition to salaries) like housing, school fees and flights. Also, where Trinidad and Tobago staff is working outside of the country, they are trying to bring that staff back,” he said. Driver also referred to the recent closure of the multinational steel giant ArcelorMittal’s operations in Trinidad. He said while it is not directly an energy sector company, it is closely associated with the sector because its major competitive advantage has been the price of gas and the price of electricity in Trinidad. “This is reflective of the downturn in the steel prices with similar roots to the energy sector,” he said. The CEO of the Chamber said in the long term it is important for Trinidad and Tobago to continue attracting capital investment into the country’s upstream
Photo: Trinidad and Tobago Energy Conference 2016 (L-R) Professor Jeffrey Sachs - Director of Earth Institute – Columbia University, Sen. the Hon. Paula Gopee – Scoon Minister of Trade and Industry, The Hon. Nicole Olivierre - Minister of Energy and Energy Industries, Mr. Norman Christie -Regional President, BPTT, Dr. the Hon. Keith Rowley – Prime Minister of the Republic of Trinidad and Tobago, Mr. Vincent Pereira – Chairman, Energy Chamber of Trinidad and Tobago and President BHP Billiton Trinidad and Tobago, The Hon. Colm Imbert, Minister of Finance, The Hon. Stuart Young- Minister in the Office of the Attorney General and Legal Affairs and Dr. Thackwray Driver – President and CEO, Energy Chamber of Trinidad and Tobago at the ribbon-cutting to formally open the Tradeshow at the Trinidad and Tobago Energy Conference 2016. Photo courtesy: The Energy Chamber of Trinidad and Tobago.
38 • Business Trinidad and Tobago
with a focus on gas. He spoke about the challenges in the shortfalls in gas production and the only way to solve that is to invest in gas production. “We need to attract the investment dollars into new gas production, this is what the focus of the industry and the Government has to be. We also need to do all the things to ensure that investors feel confident to put the capital into this country, especially in an environment where they are cutting capital around the world. We have to make sure that one of the places they do not cut investment money is in Trinidad.” Driver does not want to speculate about the price of oil and where it will eventually stabilise. However, he said most of the industry predicts that oil prices will be trending back up but slowly. “But we are not expecting prices to get back up to their pre-2014 levels anytime soon. There has been a structural change in the global oil and gas industry. Those structural changes are not going away in the short term,” he said.
He added that the growth of the oil industry in regional countries like Guyana will help the energy services companies in Trinidad and Tobago. Last year, US based energy giant, Exxon Mobil announced that a massive offshore column of oil was found. It may hold 700 million barrels of oil or more. Driver said it looks like there is a major oil find from Exxon and it is drilling appraisal wells at the moment and looking for what could be a major oil discovery there. If that happens, that will transform Guyana and create opportunities for T&T’s service companies. “There will be opportunities for T&T’s energy companies to service the growing energy sector in Guyana. Actually at the moment, a lot of the energy services already come out of Trinidad and Tobago.” He added that if there is oil production in Guyana, this means more revenue and greater economic growth which will provide more avenues for Trinidad and Tobago’s energy sector.
TTEITI Promoting Transparency of our Energy Revenues
Sherwin Long Head, Trinidad and Tobago EITI Secretariat
A
t a time when declining oil and gas prices and reduced production are negatively impacting Trinidad and Tobago’s energy sector, keeping an eye on trends in revenue earned from the sector is of paramount importance to citizens, business leaders and Government policy makers. Here is where the Extractive Industries Transparency Initiative (EITI) plays an important role. The initiative, the global gold standard for resource revenue transparency, is geared towards increasing transparency and accountability within a country’s extractive sectors by reconciling payments made by extractive companies to the Government and the Government’s declared corresponding receipts. The resulting “independently verified” data is published in an annual report. Apart from specific tax payments, the report also highlights important contextual information on the sector including Heritage and Stabilisation Fund balances, total oil and gas production, dividend payments by state-owned energy enterprises and how much we spend on the fuel subsidy. The TTEITI Steering Committee oversees the EITI process in the country and the committee, made up of an equal number of representatives of Government, companies and civil society, helps prove that diverse groups with competing interests can sit at the table,
put aside their vested interests and, in the country’s interest, agree on the key tenets of resource revenue transparency. This successful move towards collective governance has been acknowledged internationally. And, in January 2015, Trinidad and Tobago earned EITI Compliant Country status having passed a rigorous examination of its fulfilment of all the EITI Standard requirements. These requirements centre on how well a country can demonstrate tripartite cooperation in EITI implementation and encourage public debate on the extractive sectors in addition to providing detailed reconciliation of taxes paid by companies to government. In the interest of the Government, participating in the initiative promotes an anti-corruption agenda and sends a
signal to the investment community that our country wants to attract the right type of investor. Participating companies build trust with fence-line communities and give assurance to their stakeholders while civil society is armed with important data to strengthen their demands for sustainable development. The initiative, therefore, bolsters a participatory democracy and underscores that the country’s energy resources belong to the people of the country. The EITI Report provides important information on our energy resource revenues that can serve as the cornerstone of any debate or call for action. Our commitment to resource revenue transparency must remain steadfast. www.tteiti.org.tt
The EITI Report 2013 Highlights The EITI Report 2013 details payments directly or indirectly made to Government by 51 participating oil and gas companies involved in upstream and associated activities. It compares them with the corresponding revenues reported as received by Government agencies. It includes an analysis and reconciliation of material payments and receipts. The Report is assembled by an independent Administrator, represented for the third consecutive year by the local/UK alliance of BDO Trinity Limited as the lead consultant, supported by Hart Nurse Limited. The Report shows that, after reconciliation, Government reported receiving TT$21,186 billion (previous year TT$20.925 billion) in revenue from the country’s major oil and gas companies. There was a difference between Government receipts and energy companies reported payments of TT$195 million accounted for by: • Foreign exchange differences which arise when payments are carried out in US$ and different exchange rates are used to report the amounts in TT$
by the Government and company. • Timing differences between the date of payments at the end of one fiscal year and the date of clearing the Ministry of Energy and Energy Industries’ bank account at the start of the next fiscal year. • Local insurance premium tax on foreign policies • Payments not related to exploration and production which the companies do not report but which the Government includes in reporting the total of payments received. Due to an absence of adequate information, unidentified receipts differences totalled TT$32 million i.e. 1.5% of total receipts. The latest EITI Report gives a snapshot of the country’s greenhouse gas (GHG) emissions reduction strategy and highlights projects that oil and gas companies are implementing to reduce emissions. In the report the Steering Committee included vital data on sectoral (GHG) emissions, gas reserves and even unreconciled payments by mining sector companies.
Business Trinidad and Tobago • 39
The P3 Imperatives… Creating Value
Zack Nadur Partner in the Transaction Advisory Services, Ernst & Young Services Ltd.
Kristin Forsyth Senior Manager in the Transaction Advisory Services, Ernst & Young Services Ltd.
A
chieving continued economic and social development is a key factor in improving the standard of living and welfare for all of the citizens of Trinidad and Tobago. To achieve sustainable longterm development, substantial and timely investments in local infrastructure are required; especially in the face of contraction in the energy sector and uncertainty in the global economy. The Public-Private Partnership (PPP or P3) modality of procurement presents itself as a viable option to bridge the current financing gap without compromising the country’s infrastructural needs. A P3 is a long term contractual arrangement between a Public Sector Entity and a Private Sector Entity under which the Private Sector Entity provides or contributes to the provision of a public asset and/or service and bears the significant risk and management responsibility. Through this contractual arrangement, the Private Sector Entity receives a revenue stream in the form of agreed service payments from government budget allocations, user charges, or a combination of the two - the common, defining characteristic is that payment is contingent on performance. Given the urgency and scale of T&T’s
40 • Business Trinidad and Tobago
public infrastructure needs, and the lack of fiscal resources to satisfy all of these needs through public procurement only, it is imperative to consider P3 arrangements as an alternative mechanism to deliver more public projects and achieve better value for money. The value for money concept is fundamental to PPP projects and leverages the resources of the second P, the private sector, which is expected to bring the best of business to bear on public sector projects: innovation, risk management, discipline, and a culture of delivering on time, on budget and to specification. An EY 2014 global survey showed that in traditional public sector procurement over 70% of projects are over budget and late on delivery; whereas, with PPP procurement this percentage is significantly reduced to around 20% leading to greater efficiency. P3 provides opportunities to deliver more of T&T’s infrastructure needs in a more transparent, efficient and effective manner within existing constraints. Given the deteriorating fiscal conditions, it is imperative that the private sector be engaged to play a pivotal role in bridging the infrastructure gap. With quality infrastructure being a key pillar of social and economic development, the Government has identified a number of public sector projects to be undertaken with public monies. Some of these infrastructure projects as articulated in the Public Sector Investment Programme (PSIP) 2016 and the State Enterprises Investment Programme (SEIP) 2016 are: • Construction of new highways and road infrastructure • Upgrading/construction of Fishing Facilities in several areas • Construction of various new health care facilities • Construction of new and upgraded CNG fuel stations • Reconstruction/Rehabilitation of Ramps/ Runways at Piarco International Airport • Construction of 16 Fire Stations • Construction of 11 new Police Stations Traditionally, the PSIP and SEIP projects have been procured via the Design
Build or Design Bid Build model with the Government paying upfront for the constructed asset and taking on the brunt of the project risks pre and post completion. Due in part to a maintenance approach, skewed to restiveness, we generally see the quality of the asset deteriorating after handover. The citizenry suffers when public infrastructure is inadequate, untimely or of a poor standard and when value for money is not achieved and quality expectations are not met. According to the World Bank, ‘when designed well and implemented in a balanced regulatory environment, PPPs can bring greater efficiency and sustainability to the provision of such public services as water, sanitation, energy, transport, telecommunications, health care and education’. The Government has taken some initial steps towards making P3 implementation a reality in T&T. A P3 Unit and a National P3 Policy have been put in place with a P3 Ministerial Committee established to oversee the development and implementation of projects. The P3 Unit has already screened and prioritised potential projects. GORTT, with the technical support of the Inter-American Development Bank (IADB) and a consortium of consultants (including EY), has already explored the feasibility of two pilot P3 projects in the education and healthcare sector, which are earmarked to proceed to the next phase. The Minister of Finance and the Economy, Colm Imbert, in his 2016 Budgetary speech indicated that funds would be set aside to facilitate the roll out of the infrastructure framework to promote the growth and development of P3’s aimed at assisting primarily in the technical and operational aspects of these partnerships. The momentum must continue to be built upon given the imperative to advance the P3 agenda, particularly at this juncture in T&T’s development with the deteriorating fiscal conditions on one hand and the demand for improved public services on the other. www.ey.com/TT/en
Photo: Marcus G Productions
Photo: Video Aerial Ground Solutions
Building the Right Environment for Growth
Kay Baldeosingh-Arjune
B
uoyed by oil and gas revenues post-2008 international financial crisis - and buffered by a well-funded Heritage & Stabilisation Fund (HSF) as well as institutional and household savings following plunging oil prices in 2014-2015 - energy-based Trinidad and Tobago has weathered these economic shocks better than many other countries in the developed and developing world. But it is now struggling to reignite a dynamic growth momentum that would propel the country out of its current still economic waters. In this interview, Business Trinidad and Tobago asked President of the Bankers Association of Trinidad & Tobago (BATT) Darryl White, who is also the Managing Director of RBC Bank, a subsidiary of the Royal Bank of Canada and one of the largest banks in the country: Does Trinidad and Tobago have the right environment in place to help businesses grow and to achieve economic growth?
God is a Trini The reality of T&T, the banker explained, is that: “When the winds are in our sails we do fantastically well because we are a small number of people sitting on a considerable amount of resource.” When the winds die down, we don’t do well. So it is no surprise that we continually go through that boom/bust cycle along with the rest of the world.
Business Trinidad and Tobago • 43
Building The Right Environment For Growth Breaking this cycle is difficult because of the Trini philosophy that: “When things are good, God is a Trini. When things are bad - God is still a Trini and things will get better.” So, in good times, the adjustments we should make such as removing the fuel subsidy or reducing specific transfers, we don’t make because we can’t justify it; and when times are bad it’s even tougher to make those adjustments, White noted.
Subsidies To an extent, subsidies can nurture things and make you more competitive but we need to focus our scarce financial resources in subsidising the right areas, White said. He sees great potential for growth in Tourism, Agriculture, Shipping, Trade with South America, and exporting Energy Services. “I absolutely believe that we have more than enough happening in Trinidad to develop tourism” he stressed. In agriculture, there is so much opportunity through import substitution to drive development in this sector, that “we have to try and feed ourselves just a little more,” he said. T&T’s location is another untapped opportunity. “I think we sit in a space where we are a gate-way for a resource belt which is South America… How does T&T connect to Guyana, to Suriname and all those resources there? How does Trinidad connect in terms of goods and services to the rest of the Caribbean that don’t have the power resource that we have? That’s where the obvious opportunities are. How do we capitalise on that?” Relatedly, White would like to see T&T become bilingual. “That would make us absolutely more competitive.” I believe we have missed opportunities to develop these sectors, he said. Hopefully, this time, we’ll put some more attention to them and maybe necessity will drive that, he said.
Strong Pillars of Growth - Education, Technology Platform, Financial Capital Do we have the right environment to achieve growth in these and other sectors? White believes we have three important pillars that are strong and well-established: Education, Technology Platform and Financial Capital. Trinidad and Tobago has a rich pool of
44 • Business Trinidad and Tobago
educated human resources, particularly at the middle to top management strata which is very strong and productive. So while there are problems, as in other countries, with an under supply of workers at the lower or transient levels, if an investor wants management skills at a certain level, “you are absolutely going to get that,” he said. To the extent that an investor can get technology to help with productivity, he will also be in a strong position, White said, adding that: “Our technology platforms are also pretty strong in terms of getting businesses connected to the rest of the world” and has already helped make T&T attractive as a call centre and exporter of financial services. He would like to see T&T reach the stage where access to the Internet is considered a right of a citizen. With respect to financial capital, White believes T&T’s high level of savings has helped save the country thus far. We have three levels of savings that have helped buffer us from the economic shocks and revenue shortfalls in the last few years, he explained. At the level of the State: the government has access to some US$5 billion in the HSF, access to international borrowing capacity given T&T’s relatively low level of borrowing, and room for local borrowing. At the institutional level - there are substantial savings in the insurance, pension and mutual funds that are looking for places to invest. Finally, at the household level, there is some US$3 billion in T&T banks. “This means we have a significant amount of savings so we have a fair amount of buffer,” he said. “The question is - how do we move those savings into productive investments?” Other positives are T&T’s strong and stable banking sector with international networks that can connect businesses and bring world class solutions, as well as a fair enough sized local market for both labour and for products that are locally produced. “We’re not a huge market but we are a good access point to other markets…Those are things that are pretty encouraging,” the banker said. There are other pillars that White believes should and could be stronger: Innovation, Public Institutions - with respect to greater efficiency and transparency, and Physical Infrastructure - such as relocating the Port of Port-of-
Spain and solving the access problem to Chaguaramas.
Innovation T&T needs to become creative and innovative in removing obstacles to growth as well as in producing goods and services, White stressed. We’ve seen innovative thinking at the macro level in the development of the country’s energy sector, but we need to bring that innovativeness down to the SME (small and medium sized enterprises) level, he said, adding: “If you have enough SMEs hiring a certain number of people you will have economic prosperity.” Noting that there were a number of local examples of innovativeness in the food and beverage sector, he believes there is great potential in building on the country’s rich culinary delights and resources. Two ideas he would like to see bear fruit: packaging and exporting doubles (popular Trinidadian street food) and high yielding, quick growing coconut trees to take advantage of this highly demanded, health trending product. Building a culture of innovation has to be done in schools as well as at the business level where you help enterprises, whatever their size, get to the next level, White said. He sees the need to build a highway that links creativity to execution and that finds and funds ideas, builds out prototypes and brings them to fruition. “Yes, a lot of cars will run off the road but a few will reach the end of the highway,” he said.
Economic Outlook Concerning the outlook for Trinidad and Tobago in 2016/2017, the BATT President sees the outlook as “benign” although it will get slightly worse before it gets better. There are investment opportunities but it’s going to be difficult to encourage people to invest as businesses opt to play it safe, he noted. But there will be opportunities and he sees strong businesses taking the opportunity to consume smaller ones, people look to exit from markets they cannot serve effectively, and people who are very strong in selecting small spaces/ niches taking up those opportunities. He believes the country could survive and be quite comfortable at oil prices of around US$50-60. www.batt.org.tt
T R I N I DA D A N D TO B AG O B U S I N E SS B U ZZ
A Compassionate and Committed Beacon
W
elcome to Beacon…an insurance company considered by many to be an emerging giant in the industry. Beacon’s operations are headquartered in Trinidad, with a significant regional presence that spans Tobago, Barbados, Dominica, Grenada, St. Kitts & Nevis, St. Lucia, and St. Vincent. The confidence placed in the stability of Beacon by its reinsurers and the company’s continued strength and adherence to the highest standards of underwriting, led to Beacon being awarded a CariArating by the Caribbean’s first financial rating agency, CariCRIS. Beacon remains steadfast in its commitment to delight its customers by providing a diverse range of products and services, reputable claims service and focus on building meaningful relationships. Through its superior technology platforms, Beacon takes its service to customers where and when it is convenient to them. In 2014, they launched the ‘Beacon Buddy’ mobile app, an easy-to-use interface that allows customers to access their policy information and make payments on-the-go. Another industry milestone was the launch of Beacon’s online motor insurance product ‘UChoose’, which enables customers to build a motor policy that suits their specific needs and budget.
Though technology puts Beacon at its customers’ fingertips, they have also proven to be an active and conscious corporate citizen as Beacon remains dedicated to its regional community engagement programmes. One of its most significant projects yet was the ‘Beacon Sober Zone’, an initiative formed with local NGO, Arrive Alive, to engage and educate the public at various events on the importance of safe driving habits through the administration of Breathalyzer tests and sharing of safe driving tips. As Beacon continues to grow, the company is unrelenting in its mission ”to provide our customers and employees with a life transforming experience that will help them achieve their goals and recover from setbacks through the compassionate delivery of our services.” The pursuit of this goal has defined who Beacon is and what its customers and communities can continue to expect in many years to come.
www.beacon.co.tt
Business Trinidad and Tobago • 45
T R I N I DA D A N D TO B AG O B U S I N E SS B U ZZ
A Wealth Mindset
T
he Power of Focus Do you wear spectacles? Ever had those go foggy on you? It’s quite a bother isn’t it? Did you ever misplace them and felt like a ‘fish out of water’ as you experienced a humorous irony of life? - ‘You need your glasses to search for your glasses’. A lack of focus is one of the key reasons we fail to progress in almost any endeavour, successful wealth management definitely being one of those. It’s almost as if money hitting a bank account injects a short-term high in the minds of people; there is a temporary lapse in memory, planning goes out the window and we indulge in our senses. Spend first and check balances after…a bad habit. We lose focus easily when there is a temporary reprieve. In the Art of War Sun Tzu says, “The more you sweat in peace, the less you bleed in war”. Just as you have a Health Plan, you must have a Wealth Plan. Focus on the important things and don’t lose sight. The Magic of Compounding As it applies to investing, compounding essentially is interest earned on interest earned on interest earned, right up until the end of your investment horizon. The exponential effect of this seems magical over time. What’s very important to note though, is that the compounded benefit over time is lost if we do not take the right action. Wrongful actions and habits or inaction can also compound…on the down side! Good habits and actions compound uphill, to your benefit. Bad habits and actions compound to
your detriment, often to a crisis situation. Don’t wait for a crisis situation to force you to act. Don’t wait for a life-changing event to force you to change your life. Take baby steps starting today. The Danger of Safety The ‘Danger of Safety’…quite an oxymoron isn’t it? I have learnt and observed and continue to learn and observe just how dangerous ‘playing it safe’ can be. Many people are of the misconception that if they play it safe and if they take no risk with their funds, they would have nothing to worry about. This could not be further from the truth. What high blood pressure is to our health, inflation is to our finances…the silent killer! What makes cash valuable is its buying power. When that buying power falls, we lose money. A 7% fall in value of 1 dollar means 1 dollar is now 93 cents. The dollar therefore ceases to exist. The physical dollar is there, but you realise how that can be an illusion. The silent nature of inflation makes its impact deadly. If our money was displayed to us like a battery meter on our cell phones, then we could probably see the fall in value, and take appropriate action, but unfortunately it isn’t. At Guardian Asset Management we can help you to focus on the right things and put things in perspective to ensure that your wealth grows. Contact us at 1 (868) 632 6000.
myguardiangroup.com
Business Trinidad and Tobago • 47
Opportunity Driven – Prosperity Focused Photo: Maria Nunes
Regional Reach
Joy Francis Team Lead - Trade Unit, Trinidad and Tobago Manufacturers’ Association (TTMA)
T
rinidad and Tobago (T&T) has the largest manufacturing output within the Caribbean region. In 2015, the sector was estimated to grow by 1.3% with a projected output at TT$7, 633.2 million. The following industries mainly drive the sector: Food, Beverages and Tobacco Industry, the Chemicals and Nonmetallic Mineral Industry and the Assembly type and Related Industries. These sub-sectors account for more than approximately two-thirds of the manufacturing sector’s output. Further, from 2014 to 2015, (T&T) exports from the manufacturing sector to CARICOM countries increased by 30.5% and this has become an annual trend where goods are exported primarily to the CARICOM market. This is why there is a need to place more emphasis on the opportunities and the markets identified in CARICOM for local exporters. The Caribbean, which is often seen as a tourist destination and known for its diversity with different ethnic groups, provides potential market opportunities to meet a wide range of different consumer tastes and lifestyle. The 15 Member States referred to as CARICOM occupy approximately a total land space of 462,472 kilometers and an estimated population of generally 15 million people. Further, in the last decade, statistics from the Central Statistical Office (CSO) have revealed that Trinidad and Tobago’s
50 • Business Trinidad and Tobago
exports to the CARICOM region have grown. Thus, CARICOM has become one of T&T’s major exporting partners. Under the Caribbean Single Market, companies that wish to export into the CARICOM region can benefit from the free movement of goods among all CARICOM Member States. In other words, there are no import duties placed on goods of CARICOM origin compared to the import duty regime for third-country goods. The import duty regime ranges from 40% of agricultural products to 25% of finished goods and 0-5% for inputs. Further, tariffs and quantitative restrictions on CARICOM goods have been removed and there are initiatives detailed in the Revised Treaty of Chaguaramas to support a regime for the free circulation of capital, free movement of services in the Single Market, and for the harmonisation of rules on nontariff barriers. This is why CARICOM is a breeding ground for exports. Jamaica, for example, is seen as one of Trinidad and Tobago’s largest trading partners in CARICOM. With a population of 2.8 million people and $15 billion GDP, Jamaica’s proximity and historical connections have encouraged Trinidad and Tobago exporters to enter the Jamaican market and there are trading possibilities for potential exporters. As such, more than 10% of the Trinidad & Tobago Manufacturers’ Association’s (TTMA) membership trade with Jamaica gives impetus to showcase the trading prospects in this CARICOM country for exports. Based on trade statistics, potential sectors that can be targeted for exports include Food and Beverage, Pharmaceuticals, Chemicals, Energy Production, and Telecommunications. Forbes (2015) reported, “Barbados enjoys one of the highest per capita incomes in the Eastern Caribbean”. Against this background, Trinidad and Tobago continues to trade favourably with Barbados in that more than 15% of TTMA’s membership exports to Barbados. Therefore, the country has been a major importer of T&T goods. Additionally, due its stable political environment, the investment climate of Barbados has
become open for investors. Offshore finance and information services are important foreign exchange earners and due to the same time zone as the eastern Unites States, Financial Centers and a highly educated workforce, Barbados will continue to be export earners for local manufacturers. The potential markets include construction, food and beverage, renewable energy technologies and hotel and restaurant sectors. Trinidad and Tobago exporters can also look towards the Dominican Republic (DR) market. The DR with a population of 10 million people and a GDP per capita of US$10, 060 (EST. 2013) can generate economic and export opportunities for T&T exporters. Trinidad and Tobago exporters can benefit from the CARICOM-Dominican Republic Trade Agreement, which facilitates the preferential treatment of goods and also enables other benefits such as aiding investment and trade promotions between the parties. Some sectors that can be targeted for T&T exports include food products, petroleum, chemicals and pharmaceuticals. Haiti is also another potential market for Trinidad and Tobago exporters. Haiti has the lowest import tariffs in the Caribbean and imports more than 70 percent of market goods. Even though it is not part of the CSME and therefore, there is no duty-free access, the vast majority of the population requires basic goods. T&T exports can take advantage of this. Apart from the vast opportunities in the trade of goods and services, T&T investors can look forward to investment opportunities in tourism and hospitality, business, and transportation services, construction, and manufacturing sectors – particularly for agricultural products. Some targeted sectors for T&T exports include Food and Beverage, Telecommunications Services and Equipment and Building Materials. Foreign Investment is a major economic driver for many Caribbean economies and therefore, the business climate of these economies is usually open to foreign investors. Caribbean governments are very receptive to foreign investments, especially those designed to make a contribution
5-Column Still for rum production. Photos courtesy: Angostura Limited
to the region’s economic development. For example, in the OECS Business Focus Magazine, it was stated, “The Government of St. Kitts and Nevis strongly encourages foreign direct investment. St. Kitts and Nevis’ foreign direct investment policy is to attract FDI priority sectors identified under the country’s national diversification strategy. These sectors include Financial Services, Tourism, Agriculture, Information Technology, and Light Manufacturing.” Trinidad and Tobago investors have identified the CARICOM region as being geographically located between two continents; acting as a gateway to North and South America as well as to Europe. The other Member States are rich in natural resources, for example, bauxite in Jamaica, gold in Guyana and Suriname, and vast forest resources and arable lands in Guyana. Suriname and Belize are key potential sectors for investment. There have been improvements in the infrastructural support of the region such as road developments, improvements in air and sea transport and electricity and telecommunications sufficient to support foreign businesses. T&T investors can also enjoy these developments. Further, several Member States offer
varying incentives to investors, including liberal tax holidays, duty-free import of equipment and materials and export incentives. In some countries, the OECS Commission revealed in the OECS Business Focus Magazine that “Government treats foreign investors and local investors equally with respect to acquisition, establishment, operation, management and there are even instances where foreign investors may hold 100% of an investment.” In the Dominican Republic, the Latin American Trade and Investment Association reported that “there is an extensive network of industrial free zone parks which houses more than 600 international companies, all of which operate under a tax-free regime and special customs treatment.” For example, the Santo Domingo Cyberpark specialises in Information Technology open to international investors that focuses on software development, computer design, and manufactured technology products. JAMPRO reported, “Jamaica’s economy has accommodated over US$6 billion in foreign direct investments (FDI) over the past 10 years and experienced a 66% of
FDI growth in 2012, mainly attributable to expanding investments in Business Process Outsourcing (BPO) and Tourism”. Investment opportunities are also available in sectors such as Agribusiness, Mining, Energy and Manufacturing, as well as sectors such as Medical Tourism and the Animation arts. The Caribbean region continues to be a growing market for Trinidad and Tobago exporters. As CARICOM expands, Trinidad and Tobago exporters have a greater opportunity to expand with the region. Understanding the trading dynamics of the region, the different market structures and the consumer preferences of the country are key to being a successful exporter. www.ttma.com
Business Trinidad and Tobago • 51
T R I N I DA D A N D TO B AG O B U S I N E SS B U ZZ
TIC2015 Photo: Maria Nunes
TIC2016 Creating Pathways to Expand Your Business
T
he Annual Trade and Investment Convention (TIC2016) will be held on July 6–9th, 2016 at the Centre of Excellence, Macoya, Trinidad and Tobago. TIC2016, hosted by the Trinidad and Tobago Manufacturers’ Association (TTMA) will mark the 17th year of its existence. The theme of this year’s Convention “Creating Pathways for Business” will focus on creating new avenues for business opportunities between Trinidad and Tobago and the rest of the world. TIC is considered to be one of the largest business to business fora of its kind in the region/hemisphere and is specifically geared toward creating business, trade and investment prospects for local businesses. “In light of the decline in energy prices, the diversification of the economy is now absolutely necessary for the country to continue to prosper. TIC2016 serves as a catalyst to do this by offering trade and investment opportunities to the local manufacturing sector by using the show as a platform to create a vast network and linkages to regional and international buyers and businesses. When our local businesses are offered services of value, such as the business to business (B2B) meetings between exhibitors and buyers, company matchmaking between local and foreign companies and business education seminars; they are thus given the opportunity to truly flourish” CEO of the TTMA, Dr. Ramesh Ramdeen explains. At the TIC2016 Launch in November, 2015, the President of the TTMA, Dr. Rolph Balgobin expressed that after oil and gas, manufacturing is a substantial and proven earner and defender of foreign exchange reserves in the T&T’s economy. The Ministry of Trade and Industry (MIT) has been involved with TIC since inception and Paula Gopee-Scoon, Minister of Trade and Industry and the feature speaker at the TIC2016’s Launch, highlighted the wellestablished relationship between the TTMA and the MIT over the last 16 years. The TTMA has had several meetings with local Chambers of Industry and Commerce and Business Associations with the hope of strengthening relationships amongst business stakeholders especially given the economic climate. It is TTMA’s hope that these various business stakeholders in T&T’s economy can come together at TIC2016 and use the convention as a valuable networking tool to expand their businesses. Further, this year at the TIC show there will be an international Business Forum where international speakers will be in attendance. When confirmed, the international speakers will be made known to the attendees whom we expect to be owners and CEOs of business. To gain access to TIC and its services, you can register at www. tic-tt.com. Registration as a Buyer at TIC is free. B2B meetings and Seminars take place from the 6th-8th July, 2016 from 10am-6pm at the Centre of Excellence and you can contact TTMA’s offices at 675TTMA for more information on how to set up a business meeting or attend or host a seminar. On Saturday 9th July, 2016 the convention will be open to the public. The TTMA encourages exhibitors to take advantage of the early bird discounts on booths and looks forward to another successful Trade and Investment Convention. www.tic-tt.com Business Trinidad and Tobago • 53
T R I N I DA D A N D TO B AG O B U S I N E SS B U ZZ
Franchising as an Investment Opportunity
Kristine Thompson Director, Chuck E Cheese’s Trinidad and Tobago
M
any of us dream of starting an entrepreneurial venture, but worry about the risk of betting the farm or, at least, putting our hard-earned savings at risk. For my business partner and I, franchising offers a palatable solution because it mitigated the risks associated with starting a new venture. The franchisor typically has been operating a successful business model for a prolonged period of time and has had the opportunity to redesign or tweak it to respond to market needs. Much of the testing and market research has already been done. The franchisor is, therefore, able to offer a complete package of product specifications, facilities design and layout, documented operating procedures and service standards that would otherwise cost the investor both time and money to figure out. The franchisor has invested significant sums internationally in brand building and advertising, which in our digital age, spills into your markets, creating brand awareness for a product or service before it is even available in your market. This creates pent-up demand, which is extremely helpful in a local brand launch. By way of illustration, I can share our experiences launching the Chuck E. Cheese’s brand in Trinidad. Chuck E. Cheese’s is a family entertainment restaurant featuring arcade and skill
games, kid-friendly food such as pizza, sandwiches and chicken products as well as menu items to appeal to adults such as a salad bar and a coffee/dessert bar. It’s a place “Where a Kid can Be A Kid” and provides an environment where kids can run and be free in the safety of a secure, indoor facility. Our “Kid Check” process ensures that families that come together leave together by stamping families on the way in, and checking for matching numbers on the way out. Birthday parties are also a key feature of the offering. When we started the business, we were directed to use the franchisor’s architects, who have designed hundreds of the brand’s restaurants globally, for the interior layout. While the final layout they produced seemed straightforward, there was quite a bit of science involved, all designed to maximise revenue and optimise the guest experience. The training team (whose expenses we covered and who prepared our team to open the store and operate) ensured that, apart from setting the exacting operating standards, the foundation was set for the service culture we wanted to create. We are very proud of this service standard and continue to invest in it. The brand and the mascot were socialised to our market, before our launch. Many local families have experienced Chuck E. Cheese’s in travels abroad, or have seen the iconic mouse. The power and value of this brand are derived from years of marketing spend, and the brand has a cache that would be expensive and difficult to create from scratch. The downside, of course, is that this comes at a cost. Franchise fees are typically 5-7% of revenues, and are taken off the top line, so the franchisee is paying whether you are making money or not. Franchisees are also required to contribute to an overall marketing and operational support fund. It is important to note, that contractual arrangements under a franchise agreement as relates to breaches and termination are typically heavily skewed in favour of the franchisor, and
extra support is not free. In light of these “constraints”, as an investor, there is still much due diligence to be done. Of primary importance is the potential fit between the offering of the franchisor and the local market – does this product/service appeal to local tastes? To what extent will the franchisor allow changes to the offering to adapt to the local environment? What is the local competition for this product/service? Can I as an investor cost effectively access the resources I need to roll out this product/ service locally? In our experience, we firmly believed that there was a gap in the market for wholesome family entertainment, which our offering has been able to successfully address. We have in many ways adapted the concept to our local culture – Chuck E., was dressed in a traditional sailor costume for Carnival, with an hourly “road show” dance, choreographed to Mighty Trini’s “All Aboard”. Real estate has been a challenge, particularly in light of the 14,000 sq. ft. footprints and the need for ample parking. This called for creativity in sourcing and structuring real estate deals, all of which so far, involved Greenfield site development. The space just wasn’t available to simply occupy as it is in the United States and this translated into delays in delivering on our development schedule. While many warned us about the woes of the local labour market, we have found that a new management model based on respect for the individual has yielded phenomenal results, and we have created a motivated, cohesive workforce, which is critical to delivering on a superior guest experience. Service is everything. The net result was that the Chaguanas restaurant was the best performing international store in the first few months of operation. The brand was launched largely through cost-effective social media, and we look forward to our next location, opening soon in the C3 Centre in San Fernando. www.chuckecheese.com.tt
Business Trinidad and Tobago • 57
Selling the Vision by Bavina Sookdeo
While many are looking for new and innovative ways to diversify, one farmer states that Trinidad and Tobago can turn to a sector that has endured for many years – the Agriculture sector.
B
y now every Trinidadian and Tobagonian fully understands what the word ‘diversification’ means. After the announcement by former Central Bank Governor, Jwala Rambarran, that the country is in recession, diversification has been a major topic of discussion. While many are looking for new and innovative ways to diversify, one farmer states that Trinidad and Tobago can turn to a sector that has endured for many years – the Agriculture sector. Andy Fabien Badal, who comes from a family of farmers, lives in the rural village of Tabaquite. In the fifties, his father started planting on state lands close to a river in Tabaquite. The area has expanded across the river and is now being cultivated by more than 50 farmers. “This is our survival” explained Badal, “And this is how we have survived for a very long time.” Now called ‘Tabaq’, farmers cultivate crops on approximately 45 acres of land on either side of the river and Badal insists that this industry is one that holds tremendous potential. While his father started along with five other farmers, there are now approximately 30 farmers cultivating Tabaq and each farmer employs others. A Tabaquite Vegetable Farmers Association has also been formed and now has 65 members. With their main crops being tomatoes, cabbage, cauliflower, sweet peppers, cucumbers, pumpkins and beans, ‘Tabaq’ produce is known throughout the Caribbean as high quality and healthy. “When our cabbage went to Barbados, the people there said they never thought Trinidad had such beautiful garden” stated Badal. He boasts of crops that are healthy, brightly coloured and stated that he has never had a problem with residue on his produce. Yes, no longer is Tabaq’s
produce being sold in Tabaquite only but it has found itself at regional markets such as St Lucia and St Vincent. Badal noted that Trinidad and Tobago exports a lot of pumpkin and ‘chadon beni’ (Scientific name: Eryngium foetidum) to the European market. Therefore, there is great potential for export. Even locally, the industry has great potential for growth. There is a high demand for certain crops like cabbage. Badal wholesales his produce to restaurants, supermarkets such as Xtra Foods and PriceSmart, caterers and retail vendors who sell at the local markets. And while prices fluctuate and fertilisers are expensive, Badal noted that they “always have to plant a little more to supply demand” which is a good thing. He specialises in planting cabbage, tomatoes and cucumbers. What is the demand like for such produce? “In any one day I may sell 80 boxes of cabbage (approximately 4000 pounds), 120 boxes of tomatoes (approximately 4,800 pounds) and almost 100 bags of cucumbers (approximately 4000 pounds).” The farmer added that the concept many Trinidadians and Tobagonians have that farming is something that is done by those who did not succeed at school is rapidly changing. Farmers now have to get this business down to a science and our country needs to become self sufficient. “What better way to do it than by farming?” he asked. This sector, insisted the farmer, is rapidly growing with new and innovative ways of farming and practices being developed all the time. Badal said that this sector has supported many families in years gone by and should continue to do so for a long time to come, since the potential for growth and export is evident and since our country is known for its quality produce.
Photo: Christopher Anderson 58 • Business Trinidad and Tobago
Trinidad and Tobago gives the Green-light to Renewable Energy
Cherisse Moe
T
he terms ‘Going Green’ and ‘Renewable Energy’ are all the rage these days as countries around the world move towards creating a more sustainable and eco-friendly environment for its citizens. Trinidad and Tobago is no exception and has been taking considerable strides to get there – albeit there is a long way to go. Last year, the government, for the first time, set a specific and ambitious target of increasing energy supply from renewables to 10 percent by 2021 and reducing carbon emissions by 15 percent by 2030. Government also gave its commitment to the Paris Agreement under the United Nations Framework Convention on Climate Change (UNFCCC) held in Paris in December. It said the time has come to diversify the economy away from its dependence on oil and gas, reduce the effects of harmful greenhouse gas emissions and achieve its renewable energy objectives. The University of Trinidad and Tobago (UTT) has risen to the challenge and is moving at an accelerated pace to do its part to make that happen. Director of the Energy Institute, UTT, Rampersad Motilal, says the university has given the green-light to three alternative energy Wind turbines located at UTT, Point Lisas Campus. Photo: Edison Boodoosingh
60 • Business Trinidad and Tobago
pilot projects to get the ball rolling on making renewable energy technologies the norm rather than the exception. One such initiative is the electric bus - the first of its kind in the country. Manufactured in China and purchased jointly with the European Union through the Ministry of Planning and Development, the bus boasts of a seating capacity of 52. Motilal says plans are to purchase more, which can revolutionise the transport industry by significantly reducing diesel and petrol vehicles emitting harmful carbon dioxide and paving the road for a cleaner and safer environment. “This bus is fully air-conditioned and very comfortable with proper facilities for the differently-abled. But more importantly, this bus demonstrates that it is indeed possible to go the route of renewable energy in Trinidad and Tobago. Unlike buses which use compressed natural gas (CNG), which give off that greenhouse effect, the electric bus has zero emissions with absolutely no greenhouse gases.” The energy expert notes that the bus, which currently transports university students to and from the university’s campuses, takes only five hours to be fully charged and can travel an impressive 500 kilometers, more than adequate for the normal daily run. He says the UTT soon hopes to purchase smaller electric buses in the near future as it leaves the world of non-renewable energy behind. “The bus is fantastic. It’s a proven technology and a standard part of fleets around the world. These buses can eventually phase out the older Public Transport Services Corporation (PTSC) vehicles as Trinidad and Tobago embarks on this journey towards renewable energy.” Meanwhile, situated at the Point Lisas Campus of the UTT is the nation’s first and only fully-functional 100 percent solar powered house. This groundbreaking project was completed last year and Motilal believes it is a step in the right direction. Some of its energy-saving elements, he says, can soon be incorporated into house designs nationally in a bid to conserve energy. “We have sophisticated solar panels, which convert the rays of the sun directly to electrical energy so that you can power just about anything. In the house, all the
appliances are powered by solar energy – the television, air conditioners, electrical stove, fans, lighting, you name it.” Students from primary and secondary schools as well as members of the public have been visiting the UTT in droves to witness first-hand the smooth operation of the solar house as the university continues its drive to sensitise the public on the importance of alternative energy resources. “The only way to make a dent in any one of the targets set by the Government is to go towards renewable energy. The framework and targets are there and the UTT is demonstrating that,” he said. But the ‘green’ initiatives do not stop there. The UTT has also installed two wind turbines at its Point Lisas Campus to illustrate that wind energy is another smart option. Wind turbines work by converting the kinetic energy in the wind into mechanical power. This mechanical power can then be used for specific tasks or a generator can convert this mechanical power into electricity. But the concept of using the wind to produce electricity isn’t exactly new. In fact, we have been harnessing the wind’s energy for hundreds of years in the form of windmills used for pumping water or grinding grain on farms around the world.
“Because the energy comes directly from the wind it’s not going to run out. Oil and gas are non-renewable assets and it will run out eventually and even if it doesn’t, at some point it may become uneconomic for us to produce. The Stone Age didn’t become unprofitable because of the lack of stone but because something else came along and replaced it. Likewise, oil and gas won’t be the prime fuel source forever.” He added, “Over the last few years, natural gas production has reduced significantly so the move towards the wind and solar energy is timely. It’s clean energy and the source is almost inexhaustible. This downturn in oil and gas production is a very clear signal to all and sundry that we can’t be putting all our eggs in the oil and gas basket.” As a significant producer of greenhouse gases, Trinidad and Tobago is taking necessary steps to overcome these challenges and utilise the readily available forces of nature to supply its energy needs. And while the country cannot take for granted the major role oil and gas has and continues to play in its development, times are changing. The ‘green’ age is here and Trinidad and Tobago is on board. https://u.tt/
Risk. Reinsurance. Human Resources.
Insurance Broking / Risk Consulting 1 Murray Street | Woodbrook | Port of Spain | Trinidad & Tobago t + 1.868.625.3212 | 1.868.624.7766 | f + 1.868.623.4349 | 1.868.625.8285 aonenergy@aon.com www.aon.com ww
Business Trinidad and Tobago • 61
Innovate & Create in Tobago by E-IDCOT
140 acres of land at Cove (the Cove Eco Industrial and Business Park), was allocated to establish an eco-friendly, state-of-theart estate that would attract investors.
W
hile many see Tobago as the ideal vacation spot, the island is slowly establishing itself as an eco-friendly business and investment hub through the establishment by the Tobago House of Assembly of a company to stimulate enterprise development on the island. The Eco Industrial Development Company of Tobago (E-IDCOT) was established in 2009 as a wholly-owned, private limited liability company, with the mission to “transform and diversify the Tobago economy”. Consequently, 140 acres of land at Cove (the Cove Eco Industrial and Business Park), was allocated to establish an eco-friendly, state-of-the-art estate that would attract investors. The first eco-park in the Caribbean, the Cove is located on the southern coast of the island just 10 minutes from the international airport at Crown Point and approximately 15 minutes to the seaport in Scarborough. So what makes the Cove unique? E-IDCOT officials explained, “The street-lighting system is solar-powered and water is stored and recycled. The commercial electricity generating plant, commissioned in 2009 can power the island with its capacity of
64MW. The natural gas receiving facility was completed in 2010 and fibre-optic cables that will afford instantaneous communications and information trading worldwide have been deployed.” E-IDCOT insists that “The traditional agro-industry is ripe for development.” Tobago has its own special brands and the company pointed out that “Production facilities for any or all of these products would find a home at Cove.” E-IDCOT’s CEO, Bernard Mitchell, indicated that he anticipates data processing companies, call centres, on-line marketers, designers, recording artistes and creators of many innovative and new products should find a home at Cove. Creators of furniture, ceramics, art and craft can all be housed at Cove, spurring industry, innovation and entrepreneurship. It is expected that international companies too will exploit the opportunities of an eco-friendly park with a compatible business sector and ready supply of human resource. The Cove has been planned to accommodate existing and enterprising new businesses with a variety of different and flexible spaces. Among these are: • An administrative centre which houses the Cove’s management team, offices and conference facilities • A business incubator complex for assisting start-up companies • Factory shell buildings which comprise of working and storage areas with office cores • An innovation centre which provides an administrative meeting and lab/research block • Availability of professional services to assists businesses with planning and operations. The Cove will be a model Caribbean ecoindustrial park from its flagship design to its day-to-day practices. www.e-idcot.co.tt
62 • Business Trinidad and Tobago
Business Trinidad and Tobago • 63
The Trinidad and Tobago Advantage
Technology in T&T Partnerships Key to Prosperity
Bevil Wooding Internet Strategist, Packet Clearing House; Chief Knowledge Office, Congress WBN
T
rinidad and Tobago has long held a special reputation as one of the Caribbean’s most vibrant and progressive economies. The twinisland republic’s investments in education, energy, telecommunications and manufacturing capacity have transformed it into a regional powerhouse. Recently, however, global energy prices have been in decline. Yet, in the face of falling oil and gas revenues, the country stands well poised to diversify its economy and foster a new era of local innovation.
ICT - Enabling Development The essential elements for Trinidad and Tobago’s success are already in place. The country boasts of a skilled, creative and highly educated workforce; a long history of public-private partnerships; and, crucial to securing its place in today’s technologyenabled global economy, a modern and extensive information and communications technology (ICT) infrastructure. ICT, is a critical enabler of modern economies. ICT provides important benefits, including improved productivity, lower operating costs and greater service delivery options. Trinidad and Tobago has
66 • Business Trinidad and Tobago
already signalled its intention to develop its ICT sector as part of the country’s drive to improve its competitiveness and secure a place in the global economy. There are four key objectives in the country’s ICT development agenda: 1. Catalyst for Improved Business Efficiency: A developed ICT sector will prove a significant driving force for improved efficiency in the business sector. Easier management of information makes for more efficient operations, which results in lower operating costs, greater productivity, and improved competitiveness. 2. Increased Access to Government Services: A robust ICT sector facilitates increased connectivity and provides the foundation for increased access to government services with the public as well as regional and international stakeholders. Trinidad and Tobago has invested heavily in the telecommunications sector and in building out its domestic Internet infrastructure. 3. Accelerated Diversification of the Economy: Development of the local ICT sector facilitated development of other sectors. The Trinidad and Tobago government has prioritised development of non-oil sectors, particularly ICT, services, food and agro-industry, textile, tourism and leisure, among others. 4. Greater Opportunities for Citizens: Citizens themselves have much to gain from a developed ICT sector. Greater access to essential services such as health and education can all be delivered more effectively when the right technology is applied. For example, education can be made more accessible to the public through distance learning and online tuition. Electronic health records can be made securely available to allow citizens better, more efficient health-care. Protective services, tourism, agriculture and other sectors also
stand to benefit tremendously from the application of technology.
Work in Progress To some extent, these benefits are already being experienced. The local ICT sector has experienced progressive growth in contribution to GDP since 2006. ICT currently contributes an estimated 3.5% to the Trinidad and Tobago economy in areas such as software and web development, multimedia design, data processing, ICT consulting and training. The country boasts of a local Internet exchange point (IXP); a dedicated national ICT agency, iGovTT; and tt-connect, a service that allows citizens to access Government and state agency programmes and services online. The country is investing heavily in the development of relevant human-resource skills. Due to education assistance programmes like the Government Assistance for Tuition Expenses (GATE) Programme, Trinidad and Tobago currently boasts of a local labour force equipped with over 6,000 engineering and ICT graduates. A further 400-plus graduates in ICT-related fields are churned out annually from the country’s tertiary-level education institutions. These government initiatives are supported by significant private sector investment. It is also aided by entities such as the Council for Competitiveness and Innovation, the National Entrepreneurship Development Company Limited (NEDCO) and an eBusinesss Roundtable which draw on expertise from the private sector, civil society and academia.
Quickening the Development Pace Still, there is opportunity for improvement. In spite of its robust infrastructure, high literacy, Internet and device penetration rates and sound economic capacity, the country lags some distance behind the global leaders in ICT. Trinidad and Tobago’s Network Readiness
Index 2014-2015 is 70 out of 148 countries. The country’s Global Competitiveness Index 2015–2016 ranking stood at only 89 out of 140 countries. These ratings are an indication that development in Trinidad and Tobago can and should be taking place at a faster rate to keep pace with global developments. The good news is successive governments have made steady investments in education, improved business facilitation and policy reform. The country also continues to strengthen its regulatory environment and focus on fostering ICT-enabled innovation. It’s a matter of time before these initiatives bear fruit in the form of social and economic benefits.
Facing the Future The ICT sector is like an ecosystem in which policy, infrastructure, applications, financing and human resource lie in delicate balance. In this ecosystem it takes a collective effort to achieve that balance. Greater effort and investment is needed to create an enabling environment that can better encourage and sustain local enterprise. For this, the legislative and policy environment has to evolve
more rapidly to better facilitate business creation, intellectual property protection and electronic transactions. This will require a more deliberate and coordinated approach to development. The test for Trinidad and Tobago will be its ability to optimally use local resources and innovative technology to realise its national development agenda. The country is currently a net consumer of technology. The future demands that it develops capacity to become a producer of technology to be able to service local as well as global needs. The future also requires the public and private sectors to work in concert to support development of new local industries that can meet local as well as global needs. This will require more than technology innovation or policy change. It will necessitate leadership and fundamental shift in how the country perceives itself and its place in the world. No doubt, Trinidad and Tobago will have its challenges in achieving its development goals. However, it can face the future confident that it has the strength, ingenuity, capacity and collective will of its people, to transform those challenges into opportunities for growth, development and ultimate success.
ICT provides important benefits, including improved productivity, lower operating costs and greater service delivery options.
Business Trinidad and Tobago • 67
68 • Business Trinidad and Tobago
Empowering Exporters
Ryan De Souza Team Lead Policy & Research, TTCSI
T
he word ‘services’ covers a wide range of intangible and heterogeneous products and activities that are difficult to encapsulate within a simple definition. The World Trade Organisation (WTO) uses 12 broad headings to capture what is termed as the ‘Services Sectoral Classification List’. The list covers Business, Communication, Construction and Related Engineering, Distribution, Education, Environment, Financial, Health and Related Social, Tourism and Travel Related Services, Recreational, Cultural and Sporting, Transport, and other services not included elsewhere. Services currently represent more than twothirds of World Gross Domestic Product (GDP). The share of value added services in GDP tends to rise significantly with the countries level of income, standing at 73% on average in high-income countries, against 54% and 47% respectively in the middle and low income countries. Even in the latter group, the production of services is generally a core economic activity, whose contribution to GDP is above that of both industry and agriculture. In Trinidad and Tobago, services contribution to GDP in 2015 was estimated at approximately 84.9%, while industry and agriculture stood at 14.6% and 0.5% respectively. Late last year, the former Governor of the Central Bank, Jwala Rambarran, declared that the country was officially in a recession. With volatile oil prices, our energy-dependent economy suffered four consecutive quarters of negative growth with calls once again being heard about the need to diversify.
Business Trinidad and Tobago • 69
The majority of SME operators in the country operate within the services sector and it is imperative to assist them to become more competitive internationally.
70 • Business Trinidad and Tobago
This can only happen through services and according to the Central Bank’s Review of the Economy 2015, there was a 2.5 percent increase of real growth in services. The positive growth is a reflection of improved performances in five service subsectors with the strongest growth being in finance, insurance, and real estate services. It is clear that services should play a major role towards economic recovery for the country. Trinidad and Tobago is a party to the WTO and as such is held to its rules and regulations which affect trade in goods and services. One of the most important achievements of the Uruguay Round of trade negotiations (1986-1993) is to bring international trade in services under common multilateral rules. Entering into force on 1 January 1995, the WTO General Agreement on Trade in Services (GATS) is the first set of multilaterally negotiated and legally enforceable rules covering international trade in commercial services (i.e. excluding government services).
Following the entry into force of GATS, there has been an increasing demand for detailed, relevant and internationally comparable statistical information on the international supply of services. Trade negotiators require statistics, possibly by mode of supply, as a guide to negotiating specific commitments and to monitor their economic impact for each type of service. Among others, statistics are necessary to evaluate market access opportunities, compare liberalisation commitments, assess the extent of liberalisation reached in specific sectors/markets and provide statistical background for the settlement of disputes. The majority of SME operators in the country operate within the services sector and it is imperative to assist them to become more competitive internationally. To do this, information must be made available to educate and inform them of trade flows, market trends, and international opportunities. The Trinidad and Tobago Coalition of Services Industries
Empowering Exporters (TTCSI), as the voice of the services sector, operates with a clearly defined mandate which is to contribute effectively to the creation of a more competitive and diverse services sector. Our activities and projects are intended to strengthen the institutional capacity of service sector operators with the overall goal of increasing services exports. Recognising the advantages to gain by having up-to-date statistical information on the international supply of services, the TTCSI is in the process of establishing a Service Sector Registry. The Registry is intended to be a database able to process, store and disseminate statistics of trade in services for local service sector organisations. This database will be held within the remit of TTCSI and will assist the government by collecting data on trade in services in addition to assisting private and other public sector institutions to fill the dearth of services data within the local industry. The registry will also be used as a resource for business decisions and to find
matchmaking and B2B opportunities for exporters. A project of this scope requires the input of stakeholders throughout the country and consultations are currently underway to determine how best to compile, analyse, and disseminate the information to help operators within the sector make informed decisions based on the information derived. Another key initiative of the TTCSI aimed at empowering exporters is its SERVICES Go Global (SGG) programme. SGG is the only export readiness training programme for service exporters and would-be exporters in the world. The programme follows a logical, sequenced approach to exporting - a Roadmap - that takes the exporters through four stages and 12 modules of export preparation. With the completion of each module, elements of the service provider’s export plan are developed. Service providers who undertake the course will complete the essential elements of their export plan and
will gain the valuable skills necessary to successfully engage in the international marketplace. Globalisation continues to strip away geographical hindrances to trade and specifically as it relates to services. No one country is too small to export. Empowering exporters by giving them the tools necessary to make the most of the market opportunities internationally is a core component of our future. Strong service providers positively result in increased competitiveness, exports, and foreign exchange – indicators of growth in any economy, ideally ours.
www.ttcsi.org
Business Trinidad and Tobago • 71
BPO...Creating and Adding Value resources can be invested in the processes which make it more competitive while managing its supply chain more efficiently and cost-effectively. Public sector entities also take advantage of BPO services as they focus on their core mandate and procure services to support these mandates.
Time Constraints
Vijay Parabdeen Client Services Director Aegis Business Solutions Limited
B
usiness Process Outsourcing (BPO) is when a business places part of its business process in the hands of an external service provider. BPO services can be delineated into two main categories – Back Office (Accounting, Payroll, Corporate Secretarial) or Front Office (most often called centres). The three main and interrelated benefits when businesses outsource are: • Flexibility • Core focus • Time constraints
Flexibility BPO gives organisations flexibility as they can procure specialist services without needing to create the institutional framework for those services. The capacity questions organisations ask themselves about overheads are then removed from their strategic decision making. Instead, firms need only to manage the relationship with their BPO service provider to ensure that their growth demands can be met by the provider.
Core Focus Closely related to flexibility is the core focus that BPO enables in an organisation. If a company is in the business of manufacturing and exporting, its internal
72 • Business Trinidad and Tobago
In this globalised world, companies are setting up businesses in new markets on a daily basis. There are several risks that come with entering new markets and businesses that enter these markets simply do not have the time to build all the functions necessary to support a thriving business. Thus, some services can be defined in terms of needs and placed in the hands of a BPO provider that is able to deliver with little or no lead time.
Benefits of BPO to the Economy One benefit is increasing the employment potential created by attracting foreign investment. Employment is created in the industry within which the firm operates as well as the particular service being procured via BPO. In theory, growth in BPO firms should also improve the knowledge/human capital within a particular economy.
How Can a BPO Create its Own Niche? For any industry to grow, it must be adequately profitable, commensurate with the associated risks. Thus, there must be an attractive demand and a supply of resources to meet the demand. On the demand side, attracting foreign investment is an imperative. The particular tools and philosophies are outside the scope of this article. However, foreign investment is not enough. A mindset needs to be created whereby local firms – both private and public – recognise the benefits of procuring BPO services and contributing to a growing market for such services. With regards to the supply side, the local economy must have robust training
institutes or provide access to tertiary education and the pursuit of professional designations. Trinidad and Tobago has created adequate access to training and professional qualifications.
Strategic Considerations for BPO Firms BPO firms come with their uniqueness in terms of how they formulate their business strategies. Whilst a lot of the operational planning is driven by the external demand, there is a constant need to innovate and offer new services or how the existing services are packaged. BPO essentially leases human resources. Hence, the assets, though not valued and placed on the company’s balance sheet, are the team members available for outsourcing. As these team members progress through the natural career path, retaining this valuable asset becomes more challenging. Another consideration is the balance between recruiting for external outsourcing engagements (i.e. where persons are sent out to client premises to fill shortterm demands for services) and internally outsourced engagements (this is where firms send their documents and data to the BPO firm for processing). In external engagements, there is a need to recruit persons able to deliver high levels of client service with limited supervision from the BPO’s supervisory team. The internal engagement is different and has team members working on several engagements at any one point in time. Both types of engagement, however, demand strong capacity management skills. BPO creates or adds value from many perspectives. I have confidence that market forces and the dictates of business efficiency will see this industry thrive. It allows businesses to specialise in areas of core service delivery and institutional strength. Such a model promotes organisational flexibility and frees up both capacity and resources. www.aegistt.com
T R I N I DA D A N D TO B AG O B U S I N E SS B U ZZ
Helping You Build a Better Business in the Caribbean
A
egis is the leading business outsourcing and advisory services provider serving international and local clients across industries. We offer you a comprehensive suite of business support services that allows you to focus on your core objectives. Our local knowledge and industry insights can assist you in making better business decisions regarding how you manage your operations from inception through growth. Accounting Outsourcing - We help you reduce the Financial Close Cycle, prepare statutory financial statements, assist your business in meeting the regulatory requirements or manage accounting activities of a specific project. Tax - All companies must comply with the Income Tax Act, Corporation Tax Act and Value Added Tax Act (VAT). We can assist you in planning and managing timely submissions and advise on complex tax issues. Human Resources - Our advisory services enable you to effectively manage your entire employee life cycle, attract and retain top talent, support compliance with local laws and advise on complex issues including industrial relations and severance issues. Payroll - With payroll legislation changes, it is often difficult for international as well as local clients to know all the required changes to the law. We have the expertise to apply changes to your company’s payroll, process them efficiently, accurately and ensuring confidentiality. Corporate Secretarial - We can act on your behalf to manage the range of services that are required throughout your company’s growth such as incorporation services, statutory compliance and maintenance. Work Permits - We deliver work permit services to our clients in various industries who need to employ foreigners with required expertise to lend support to their businesses. Financial Advisory - Aegis can evaluate your business needs and extend access to resources and financing/capital sourcing. Assurance Services - Aegis & Co, delivers audits in compliance with International Financial Reporting Standards (IFRS) without absorbing large global overhead costs. Aegis & Co. is a member of Kudos International Network, which is a member of the Forum of Firms, London, U.K. Aegis is now delivering services from two convenient locations – Scott Bushe Street, Port-of-Spain and Hosein Drive, Chase Village. Contact us to schedule a free consultation: info@aegistt.com or +1 868 625 6473
Business Trinidad and Tobago • 73
A New Business Process Outsourcing (BPO) Industry
Varun Maharaj Chief Executive Officer, Trinidad and Tobago IFC
T
he Government of Trinidad & Tobago (T&T) began a diversification thrust in the last decade, to minimise its reliance on the oil and gas sector. One of the objectives is to create a brand new industry providing Finance and Accounting (F&A) and Banking, Financial Services and Insurance (BFSI) services. The approach adopted to accomplish this is to attract Business Process Outsourcing (BPO) firms to establish a presence, hiring locals to service the needs of their foreign clients as well as any local clients they win. The country is supportive of companies seeking to centralise core processes at a Trinidadian hub and is committed to facilitating the establishment of Shared Service Centres (SSC) in this regard.
Key Considerations For An Outsourcing Industry The following are all factors, which directly contribute to the feasibility of a location as an outsourcing destination: 1. Low operating costs To be considered competitive, a country must be capable of offering relatively inexpensive costs in areas such as salaries, real estate, electricity and utilities and government taxes, when compared to the same costs in the client/buyer’s market. 2. Government, and institutional support A location’s potential can be further realised through state support in the areas
of relevant incentives and policy creation. This can take the form of industry-specific infrastructure such as Special Economic Zones (SEZ) – which are aimed at providing specific benefits in a designated operational environment. 3. Reliable and modern infrastructure This is the physical medium, which allows outsourcing companies to run sustainable business operations. It includes core components such as Internet connectivity, availability of leased line providers and transportation facilities.
T&T’s resources and support for outsourcing When the key factors, described above, for operating an outsourcing industry are considered with regard to the T&T market, there are numerous advantages and matches to be found. 1. Low operating costs · With its inexpensive yet reliable supply of electricity, Trinidad is the 8th lowest energy cost location in the world (US$0.05 per kilowatt), and the cheapest in the Caribbean. It also boasts of the lowest utility overheads in the region. · The English-speaking local talent pool is an attractive one for outsourcing firms. The country has a large number of accounting professionals due to the the ACCA programme which has a high concentration of graduates. · Notwithstanding the high skill of the educated workforce, the average annual base BPO salaries would range from US$14,000-18,000 in T&T, compared to US$42,000-US$56,000 annually in the USA. 2. Government and Institutional support · The Government of Trinidad & Tobago established the Trinidad & Tobago IFC (TTIFC), to provide outsourced clients with end to end business facilitation services and operational support in setting up BPO or SSC’s. These services include: Assisting with feasibility studies of a company’s outsourcing option, recruitment assistance from the talent pool of trained F&A BPO professionals, facilitating BPO Training Programmes
and other concierge services relating to developing a company’s outsourcing model. · Special Economic Zones One of the incentives, which the Government offers to encourage the growth of the outsourcing industry, is certain exemption to companies that export at least 50% of its services. Such entities are allowed to register under the Free Zones Act, as a virtual free zone, enjoying benefits such as 100% exemption in perpetuity from: Corporation, Income, Capital Gains, Withholding, Land and building and Value Added taxes. 3. Reliable and modern infrastructure · Currently, the country boasts of excellent network readiness with sufficient bandwidth (up to 2000 GBPS) available through the optical fibre and wireless radio networks. · The TTIFC offers a pilot programme for first movers whereby an incubation space is offered for up to nine months for a company starting up its outsourcing operations. This Plug and Play facility is available in prime real estate in the nation’s capital city. · With a well-developed air transport infrastructure, the country sits a mere 3.75 hours from Miami, five hours from New York and 5.5 hours from Toronto.
Conclusion The initial inroads made by this nascent industry are very positive. The country was ranked for the first time in January 2016 in the top 50 in a Global BPO location index [1]. RBC and Scotia Bank already enjoy SSC’s located in Trinidad, servicing their local and regional branches. Both organisations employ on average, 450 employees, each with a combined annual contribution to GDP of some TT$300MM. As a result, the local BPO industry has already attracted several global companies that offer outsourcing services, as well as those simply seeking to establish a presence in the region. www.ttifc.co.tt
[1] Trinidad was ranked No.42 out of 55 in the A.T. Kearney Global Location Services Index
74 • Business Trinidad and Tobago
New Opportunities In Tourism Photo: Marcus G Productions
Cruise Industry Great Potential for Trinidad & Tobago by Bavina Sookdeo
There is great opportunity for investment in the Cruise business since not only the numbers are growing but the complexity as well.
The following table (courtesy TDC) shows Cruise Tourism Arrivals, by Calendar Year for 2010 to 2014.
W
ith the drastic drop in the price of oil, the dreadful announcement came that Trinidad and Tobago – a country dependent on its energy sector – is now in recession. While many may see such an announcement as a negative thing, it has not stopped its people from finding ways to diversify and truly tap into the many avenues that will sustain the country’s competitiveness and ultimately its survival. We are ranked as the third most competitive tourism economy in the Caribbean according to the 2015 Travel and Tourism Competitiveness Report. Within that industry is one in particular, said to have “great potential” – the Cruise industry. According to Charles Carvalho, CEO of Carvalho’s Agencies, “The industry has grown tremendously and this country has a lot of potential.” Carvalho who started his business in the eighties with a capital investment of $850 now handles almost 99 percent of the cruises in Trinidad and Tobago. “The industry is the largest growing in the world today” said the business man, “and everyone with a waterfront is tapping into this industry. Everywhere I have been in the world – China, Japan, India – they are
Sources: Cruise statistics are provided by the Port Authority of Trinidad and Tobago and THA, Division of Tourism and Transportation, Tobago.
78 • Business Trinidad and Tobago
all tapping into the cruise industry.” Indeed, it is evident that the business is growing here. According to the Tourism Development Company (TDC), in the 2014-2015 cruise season, ship passengers to Trinidad and Tobago increased by 2% following previous years of consistent negative growth. According to BREA (Business Research and Economic Advisors) the estimated per passenger spend in Tobago was US$74.18 and in Trinidad US$42.58. This suggests cruise expenditures in Tobago at US$2.3million and Trinidad at US$668,450. Where exactly does the potential for the industry lie in Trinidad and Tobago? Carvalho stated boldly that it lies in the uniqueness of our islands and it is for this reason that Trinidad and Tobago was recently added to the Carnival Cruise Line itinerary. “The Carnival created a new initiative to sail to unique destinations and Tobago picked up on it and met the requirements” he said. “The usual for a tourist experience is snorkelling and beach, beach, beach but what we have here is truly unique – we have so much of nature and so many activities to offer” said the cruise expert. Some of the places the tourists coming in on cruises visit in Trinidad are the Caroni Bird Sanctuary, ASA Wright Nature Centre, Mount Saint Benedict and Lopinot. They also experience the scenic drive to Maracas, cultural shows, local cuisine and steel-pan. In Tobago, tourists visit the Argyle Waterfall, Fort King George, cocoa estates, Plymouth, the rainforest, get an island tour and very soon the Great Race experience will be included. “Investors in similar business throughout the Caribbean tell me if they had what we have here they would be so happy – all they can provide is sun, sea and sand but we provide so much more” said Carvalho. He noted that a lot more European tourists visit our shores and they truly enjoy the experience here.
Photo: Stephen Jay Photography
Proof that Trinidad and Tobago is truly unique with its amicable people and attractive sites is the 2007 Florida/ Caribbean Cruise Association Conference which was hosted at Hyatt (Trinidad). “Every conference I have been to since then, the talk is always that the conference in Trinidad was the best that was ever put out. There is a lot of potential for this industry in Trinidad” Carvalho reiterated. “The cruise industry has allowed smaller Caribbean islands close to us (with limited resources) to become really advanced in the industry.” He insisted that we need to grasp this golden opportunity to invest and develop this industry with more efficient and effective laws. One may wonder if crime has impacted on the cruise industry. The cruise expert
insists that it has not. This season, there will be close to 100 cruise ship calls between Trinidad and Tobago with the frequency being between two to three ships per week for the year. Samuel Henry, Transportation Coordinator, Division of Transport, Tobago, said that for last season (October 2014 to May 2015), Tobago saw 56,000 cruise visitors which was a 216 percent increase from the previous season. For last season there were 45 cruise calls – a 125 percent increase from the previous season. “This season” said Henry, “We will see close to 90,000 cruise visitors and 54 cruise calls.” The Transportation Coordinator pointed out that while there is an increase in the number of cruise visitors, the number is greater than cruise calls since cruise
ships are getting bigger. “When we look at the patterns of new ships, we see that companies are ordering larger ships, therefore, the number of people coming on a ship will be greater but the number of ships coming in will decrease.” Henry added, “There is great opportunity for investment in the Cruise business since not only the numbers are growing but the complexity as well. There are a lot of opportunities too for the private sector to get involved in the island tours.” Based on such statistics and Carvalho’s many years of experience in the industry, there is no doubt that the Cruise industry of Trinidad and Tobago holds great potential thanks to the uniqueness of the islands.
Business Trinidad and Tobago • 79
Right Time for Tourism in Trinidad and Tobago
T
Photo: Ryan Jagessar Carnival Central
80 • Business Trinidad and Tobago
rinidad and Tobago has developed a reputation as the Caribbean’s economic capital due to the success of the energy industry and associated off-shoot industries, including financial support services, banking, technology and manufacturing. The country’s economic vitality as well as the government’s investor-friendly policies over the years have inspired the confidence of international investors and attracted investments in both the energy and non-energy sectors. With energy and its related industries earning the bulk of the nation’s revenue for decades, the country has not fully tapped into the potential of the tourism industry. However, with the volatility of the global economic environment, and continued low oil price projections by energy pandits into the medium term, sustainable tourism has emerged as a viable industry rife with opportunities for growth and development and making significant contributions to gross domestic product (GDP). In fact, 2015 year-end data showed an increase of 6.6 percent in visitor arrivals to the destination over 2014. The average number of visitor arrivals per month was 36,600, with February 2015 experiencing the greatest number of visitors (48,000) and September having the lowest (29,100). With continued investments in the development and marketing of desirable tourism products, the upward trend of visitor arrivals is expected to continue into 2016 and beyond. Trinidad and Tobago is much more than your typical Caribbean destination. Idyllic, year-round tropical weather, sandy beaches and clear, blue skies merely skim the surface of the Caribbean facade. Recognising the importance of distinguishing the destination’s brand from the region’s mass-tourism-focused destinations, the attention of Trinidad and Tobago’s tourism marketing is based
on specific niches, which provide the destination with a competitive advantage. These niches include culture and heritage, eco and soft adventure, and meetings and conferences. Trinidad and Tobago’s appeal as a destination is credited to the variety of immersive experiences available to visitors. As a result of the country’s cultural diversity and history, several cultural and religious festivals including Carnival, Tobago Heritage Festival, Christmas, Divali and Hosay, allow visitors to participate in national celebrations. This cultural diversity is also evident in the destination’s cuisine, which is influenced by the fusions of African, East Indian, Chinese, Middle Eastern and European heritage. From street food to fine dining, Trinidad and Tobago’s cuisine is as diverse as it is delicious.
Eco Tourism and Soft Adventure Due to its proximity to the South American mainland, Trinidad and Tobago also boasts of unmatched biodiversity in the Caribbean region, with a wide variety of flora, wildlife, and terrain, from plains to wetlands and rainforests. Approximately 400 species of birds await discovery by enthusiastic birders and the destination is one of the largest nesting sites for thousands of majestic leatherback turtles annually. The dozens of secluded beaches, rivers, gorges and waterfalls tucked among numerous hiking trails in the lush forests of the Northern, Central and Southern mountain ranges provide great of adventure for explorers. Currently, projects are underway to upgrade and improve the visitor amenities at a number of sites and attractions including the Maracas, Vessigny and Manzanilla beach facilities. Sustainability is a key consideration of these projects with emphasis on reducing the carbon footprint of all sites through the use of solar power, energy efficient equipment and recycled
Right Time for Tourism in Trinidad and Tobago material. Also underway is a project to develop 1000 kilometres of existing ecotrails throughout the rainforests of Trinidad and Tobago over a five-year period. These rehabilitated trails follow ancient pathways that were once traversed by Trinidad and Tobago’s First Peoples. In addition to a walk through the island’s history, the trails project will also offer locals and visitors an extensive range of eco-adventure and leisure experiences.
The categories of tourism projects eligible for incentives are: • Tourism Accommodation Facilities including hotels, resort developments, camp sites and retreats. • Tourism Ancillary Facilities including transportation services, golf courses, marinas, dive operations, cruise activities, recreational spaces, cultural centres, sailing charters and water sports. • Tourism Infrastructure including communications, roads and irrigation, heliports, sea ports and airports and public utilities. • Other Tourism Projects including convention centres, shopping facilities, historical landmarks and heritage sites.
Meetings and Conferences Trinidad and Tobago’s strategic location, direct airlift from South and North America and Europe, great yearround weather, world class meeting facilities and accommodations backed by international hotel brands as well as the dedicated support of the Trinidad and Tobago Convention Bureau, make planning meetings, conferences and exhibitions a breeze for meeting planners. Some of the major conferences and events scheduled to take place in Trinidad in 2016 are: • Commonwealth Electoral Network Conference (June 23 – 24) • Trade and Investment Convention (July 6 – 9) • Crime Stoppers Annual International Conference (Oct 1 – 5) • Caribbean Shipping Association AGM (Oct 16 – 19)
Opportunities for Investment Ranked as the third most competitive tourism economy in the Caribbean according to the 2015 Travel and Tourism Competitiveness Report, the potential of Trinidad and Tobago’s tourism industry is enormous. Both the small and large investor would find viable opportunities for new business, private partnerships and public-private partnerships in the sector, supported by a stable political climate. The destination also boasts of outstanding transportation and telecommunications infrastructure, skilled and professional labour, competitively priced utilities, limited restrictions on the movement of capital, profits and dividends and minimal export and import restrictions. The government has indicated its commitment to attracting investment for the development of the tourism industry
82 • Business Trinidad and Tobago
by offering attractive incentives and benefits to investors in approved tourism projects. These include tax exemptions for up to seven years, free repatriation of capital and dividends for non-resident investors, allowances for the purchase of approved equipment and waived or reduced customs duties and taxes on vehicles and building materials and articles for tourism projects to be used exclusively in connection with construction and equipping of approved tourism projects.
Trinidad and Tobago has the right blend of natural and human resources to successfully become a major player in the global tourism industry. The government, through the Tourism Development Company is enabling an environment that is attractive for investors to sustainably exploit the potential of the islands by developing products and services that would make Trinidad and Tobago a preferred tourist destination in the key travel niches identified. www.tdc.co.tt
Relocating to Trinidad Like Coming Home by Roslyn Carrington
F
iona Greensides is originally from Scotland. She has a BSc in Radiography from Robert Gordon’s University, Aberdeen, and a PGC (MRI Imaging) from Bradford University. She lives in south Trinidad with her husband, Paul Greensides, and works as Senior Radiographer CT/MRI at Southern Medical Clinic. Her decision to relocate to Trinidad was not so much a new adventure as it was a return to her childhood home: in 1975 her missionary father moved here with his young family, and was posted to the Princes Town Baptist Church. In 2007, Fiona and Paul came for a holiday, got married here and decided they would one day like to settle in Trinidad. In 2011, she contacted the Society of Radiographers TT and asked about job opportunities and started to work in Trinidad by September 2011. One would think that the onus would have been on Fiona to persuade her husband to live here, but actually he was the instigator. “One day, while we were swimming in the rain at Mayaro, he jokingly asked me, ‘How soon can we come over here for good?’ I was stunned but elated.” Leaving her home was hard but fortunately, the nitty-gritty of relocating was made easier as she reached out to the contacts her family had made in her childhood. She remembers the day they unpacked the container they had shipped with their belongings. “By the time I got home the apartment was full of boxes, suitcases, tables, camping equipment…you name it. It was then that we felt that we were finally home, and it felt great.” As with most Europeans, her greatest source of culture shock is poor timekeeping, which sees patients and even workers arriving late for appointments. Second on her list is probably inconsiderate driving. Being white and female also doesn’t escape comment, but though she doesn’t consider being called “white girl” offensive, it does take some getting used to when patients defer to the male in the room, even if he is the attendant supporting her. She is also often questioned by patients about how they can relocate to the UK! Having made the decision to apply for residency, Fiona has begun sending down deep roots. She is part of the Princes Town Baptist Church Sports Committee, a member of an adventurous women’s athletics group called ‘Yes She Can’, takes Latin/ Ballroom classes, does swim training, attends a gym, is a licensed Zumba instructor and helps out in the Kallicharan Mas Camp making costumes. Paul has his own hobbies and takes care of things at home. Her advice to those wishing to relocate here includes doing research. “Come on holiday, not just once but several times. Visit
the government ministries. If you go with specific questions you get good information.” Culturally, Trinidad and the UK are very different. “Keep an open mind and don’t worry about some things being said and how they are said…worry about it after, with a cold beer or glass of wine. Trinidad is a very friendly place, and the locals like to party. They will offer drinks and or food if they meet you on the beach or at a fete. It is a sharing culture, but you do have to be careful. If locals warn you of certain things, it’s best to listen, as they know their fellow countrymen better, so take heed.” “But the best thing about relocating is that I feel I have come back home. I am happy and settled and have no desire to go anywhere else.”
Business Trinidad and Tobago • 83
The Role of the Creative Industries in the Diversification Thrust
T
he Creative Industries today include some of the biggest and most powerful businesses in the world and is becoming an increasingly significant part of the global economy. In this new global economy based on innovation, progressive leaders acknowledge that creativity now drives global competitiveness. As a result, those countries that can foster an environment in which creativity can thrive will be able to efficiently drive economic success. The Government of the Republic of Trinidad and Tobago recognises this new economic paradigm. This is evidenced in the National Policy Framework in respect of attaining sustainable growth and diversification of the economy. This policy has identified a number of industries with the necessary attributes for successful penetration of international markets. One of these industries is the Creative Industries. This industry within T&T comprises a great number of subsections such as Dance, Theatre, Visual Arts, Preforming Arts, Film, Fashion, and Music. The Ministry of Trade and Industry (MTI) has been charged with the development of the Film, Fashion and Music subsectors in an effort to increase their financial contribution to the economy. The Ministry has mandated the Trinidad and Tobago Creative Industries Company (CreativeTT) to stimulate and facilitate the business and export development of the Film, Fashion and Music Industries in
84 • Business Trinidad and Tobago
Trinidad and Tobago to generate national wealth. It is actively strengthening the legislative and regulatory framework through the development of policies geared toward the creation of an enabling environment where the industry can thrive. In an effort to fulfill its mandate, CreativeTT and its subsidiaries FilmTT, FashionTT and MusicTT have undertaken a series of projects geared toward building capacity and transforming business entities into commercially viable enterprises in the industry. One such project is the hosting of a Music Intellectual Property Valuation Workshop undertaken by MusicTT, in collaboration with the Intellectual Property Office (IPO). This Workshop will explore the methods used in the valuation of intellectual property for music. It will enable artistes to assess the value of their songs and to increase their leveraging power when approaching investors and record executives in potential international deals. To provide local designers with manufacturing facilities, FashionTT is currently collaborating with the University of Trinidad and Tobago (UTT) to establish a local Fashion Production Cooperative. Local designers who have relied on outsourcing to international locations will have an opportunity for their orders to be produced locally. The aim is to increase employment, revenue generation and exports and for this facility to become selfsustainable. Another initiative is the Production Expenditure Rebate Programme which provides a cash rebate to local and foreign film producers on production expenditure incurred whilst filming in T&T. It is expected to contribute to increased foreign exchange earnings as a result of increased spending by foreign crews. Increased recruitment of local personnel translates into further sustainable employment. Whilst these projects are being
administered, the MTI is simultaneously undertaking strategic planning and foresight initiatives to determine the economic potential of the Film, Fashion and Music subsectors as well as identify the gaps that prevent these subsectors from realising this potential. Once these gaps have been identified, informed national policy decisions regarding the industry can be made. The Ministry is currently analysing incentives which are provided by other governments in an effort to develop its Creative Industries to determine which of these incentives can be applied locally. During the course of this analysis, it has been observed that many countries have local content rules in the broadcasting sector to protect and promote local programming. There is increasing evidence that local content legislation provides the opportunity for increased revenue collection by local copyright and related rights management organisations. At present, the greater part of this revenue collected from broadcasters is exported to owners and creators of foreign content. A change in this paradigm will subsequently lead to an increase in royalty distribution to local composers, film producers, publishers, artistes, musicians, and producers. As a result, options regarding local content regulations that can be financially rewarding for the industry is being examined. It is acknowledged that the rapid changes taking place in the global energy markets mandate that the Ministry adopts a more strategic approach if it is to develop the Creative Industries as a major source of revenue in the near future. The initiatives outlined above are intended to achieve this purpose. www.creativett.co.tt
Photo: Gary Jordan
T&T’s Sports Tourism: Ready, Set, Go!
T Sheldon Waithe
BagoSports International Beach Soccer Tournament Photo: Allan V. Crane
rinidad and Tobago, through the previous and current incarnations of the Ministry of Sport, have made a firm commitment to exploiting the virtues of a tropical training ground that is the geography and topography of the twin islands. Long past a simple idea, the Sports Tourism project is now ready to be executed, following the establishment of three world class facilities that join the impressive stadia that already dot the landscape of a relatively small T&T. There are few nations with a population of just over one million people that can boast of at least five proper football stadiums, six cricket grounds, two tennis centres, an Olympic level indoor velodrome and an aqua sports centre. While that augurs well for the training and progression of the local athletes, it begs the question as to how to generate revenue from the investment made to construct these facilities. Minister of Sport, Daryl Smith, highlighted that tourism generated from participation or viewing a sport event was a priority, especially as the nation seeks to diversify an economy heavily reliant on the energy sector for so long. Upon assuming office, Smith said, “Our Government is cognizant that mega and small scale sports tourism have the potential to contribute to the social and economic development of our country.” Our Caribbean neighbours may have gained a head start in leisure tourism, but T&T stands perfectly poised to take competitive advantage of its existing infrastructure and tap into the fastest growing sector in the holiday market. Allied to the aforementioned facilities,
there is a strong sporting legacy and some experience of hosting international sporting events such as the Caribbean Premier League, two junior football World Cups (men and women), a senior cricket World Cup, the only UCI (Union Cycliste Internationale) approved race in the Caribbean and the T&T Marathon. There is the variety of sport; golf, mountain biking, tennis are but a few of the sports quickly gaining in popularity. So how does T&T create the attraction to its sporting shores? Firstly, there is exposure. Nothing says sporting excellence is readily available like success on the international stage. Witness the plethora of athletes from the United Kingdom and the USA that suddenly went to train in Jamaica following the Caribbean isle’s athletes victories in the 2008 and 2012 Olympics. T&T enjoyed its most successful Olympic Games in London and with elite athlete funding programmes in place, should create the same exposure in Rio 2016. The window of opportunity has to be created by immediate support for the cause; a T&T marketing presence in Brazil should be in place to make the world realise and be enticed by sport as the primary motivation for travel to the country. The winter season alone offers scope for an elongated stay by nations affected by cold weather preventing training. That has to be the long term view, but as the Minister stated there is the desire for small scale sports tourism and reaching out to our immediate neighbours in the Caribbean and South America – who do not have the facilities – has to be the first step to gain the experience and more importantly the knowledge, to create a sound
Business Trinidad and Tobago • 87
T&T’ Sports Tourism: Ready, Set, Go!
Rainbow Warriors Triathalon Photo: Allan V. Crane
process derived from the trickle down industries and revenue streams (transport, accommodation, leisure activities outside of sport). There are an estimated 12 million trips annually derived from sports tourism, many of those are for training camps and the increasing market of amateur events. Given its size, there are limitations to T&T’s ability to host large events and that certainly eliminates mega events such as the Olympics, Commonwealth and Pan Am Games. However, large amateur mass participation events offer the best option. The State board that deals with the execution of these plans, the SporTT Company, has recognised this. Its Chairman, Michael Phillips, has wide experience of sports promotion and participation events and has his goals set on developing the foundation before mounting the podium. “We have heard ‘sport tourism’ as a term being presented in many speeches, but what I
88 • Business Trinidad and Tobago
would really like to start with is an actual definition for sport tourism and how that definition can form the basis of a policy. The decisions that we make would have to be made on the events that we support and we should start with our winners first; products (athletes) that are already within the market that need that boost, in terms of potentially bringing people to the destination.” Phillips also recognises that while it has been on the national agenda for some time, sports tourism is very much in its infancy awaiting development and that progress has to be made on reliable sources. “Remember, sport tourism may be marketing an event, facilities in a geographical location and expertise whether it be health, coaching and all those different things that may cause somebody to have movement from one location to the next and spend money. What we are looking for is that generation of income and that upward propulsion
or elevation of our own athletes. We are going to be very big on consultation. We are not going to make an egotistical type of movement”. If required, SporTT will enlist from outside its own organisation to ensure that the best expertise creates likewise outcomes. The recent completion of the tennis, cycling and swimming centres now means that T&T have several jewels in the sports crown to offer to the global tourism market. There may be a sense of urgency to sprint towards immediate results, but given the worldwide competition its best to continue to build a solid base, incorporating all the stakeholders, as SporTT is attempting to do. Carefully laid plans will entice the private sector, a crucial element for success. The race is not for the swift but for those willing to endure and create the vision. It’s an exciting time as T&T’s sports tourism faces the starter’s pistol.
Business Trinidad and Tobago Fast Facts Guide
B U S I N E SS T R I N I DA D A N D TO B AG O FAST FAC TS G U I D E
Stock Market Review 2015
Ravi Kurjah Senior Analyst, Research & Analytics, First Citizens Investment Services
I
n 2015, the Trinidad and Tobago Stock Exchange recorded mixed results across all sectors. The Composite Index advanced by 11.39 points or a marginal 0.99% over 2014 levels to close at 1,162.30. Conversely, the All T&T index declined by 34.69 points or 1.75% when compared to 2014, to close at 1,948.50, as seen in Figure 1. However, the Cross Listed index advanced by 7.79 points or a significant 18.67% over 2014 values to close at 49.51. The best performing sector in 2015 was Manufacturing II, which rose 45.81%, largely due to Trinidad Cement Limited’s (TCL) share price growth. Also, the Manufacturing I sector index grew 3.48%, driven by National Flour Mills’ (NFM) performance. Unlike 2014’s positive results, the performance of the Conglomerates sector retreated in 2015, falling 2.51%, attributed mainly to Massy Holdings Limited (MASSY).
Major Developments in 2015 • In January 2015, the Sagicor Group approved a recommendation from the Management to prepare a plan to relocate its Registered Office from Barbados to another jurisdiction. • In February, The Board of Trinidad Cement (TCL) passed a resolution to raise a maximum of TTD362 million in new capital through a rights issue of 124,882,568 new shares at a price of TTD2.90 a share. • In March, Ghana’s Securities and Exchange Commission (SEC) fined Republic Bank for breaching that country’s takeover code. • In April, Jamaica Money Market Brokers Limited (JMMB) delisted and JMMB Group Limited (JMMBGL) was listed. • In May, CIBC sold its stake in Butterfield, Bermuda’s oldest bank. • In June, GraceKennedy Limited divested shares in Subsidiary Hardware & Lumber. • In August, Sagicor entered into an agreement to acquire a convention hotel in Orlando, Florida, which is affiliated with a major hotel franchise. • The T&T National Gas Ltd (TTNGL) traded TTD200,000,000 worth of shares in just one week after the launch of its Initial Public Offering (IPO) on October 19. • In December, Republic Bank announced the formation of its holding company, Republic Financial Holdings Limited (RFHL). Trading Activity Market activity in 2015 declined 14.63% when compared to the previous year. A total of 78,163,210 shares crossed the floor in 2015 compared to 91,559,129 shares in 2014. Overall market activity resulted from trading in 38 stocks of which 20 advanced, 13 declined and 5 traded firm. CLICO Investment Fund was the volume leader with 15,324,908 units, 19.61% of total market volume traded or TTD346,367,512,87 in traded value, followed by Trinidad Cement Limited with 13,801,014 (17.66%) or TTD40,612,595 and Trinidad and Tobago NGL Limited with 12,329,132 units (15.77%) or TTD296,227,512 in traded value.
Advances and Declines National Flour Mills (NFM) was the top performer for 2015, increasing a noteworthy 134.78% or TTD1.55 to close the year at TTD2.70. The second best performing stock was National Commercial Bank of Jamaica (NCBJ), which recorded a substantial 82.61% improvement or TTD0.95 to end the year at TTD2.10. The next best performing stock was TCL, up 59.60% or TTD1.49 to close 2015 at TTD3.99. Table 1 Top 5 Advances 2015 Change Closing Price 2015 (TTD) (TTD) Change % NFM 1.55 2.70 134.78 NCBJ 0.95 2.10 82.61 TCL 1.49 3.99 59.60 JMMBGL 0.12 0.55 27.91 GKC 0.40 4.05 10.96 Source: Trinidad and Tobago Stock Exchange, First Citizens Research & Analytics
One Caribbean Media Limited (OCM) was the worst performing stock for 2015, falling 12.00% to TTD22.00, Massy Holdings Limited (MASSY) followed, down 9.96% or TTD6.80 to close at TTD61.45. The third worst performing stock for 2015 was Republic Financial Holdings Limited (RFHL) with a decrease of 6.52% or TTD7.81 to TTD11.93. Table 2 Top 5 Declines 2015 Change Closing Price 2015 (TTD) (TTD) Change % OCM -3.00 22.00 -12.00 MASSY -6.80 61.45 -9.96 RFHL -7.81 111.93 -6.52 NEL -1.05 16.37 -6.03 FIRST -2.06 35.00 -5.56 Source: Trinidad and Tobago Stock Exchange, First Citizens Research & Analytics
The Trinidad and Tobago Stock Exchange The TTSE was established under the provisions of the Securities Industry Act 1981, which was later repealed and replaced by the Securities Industry Act 1995. There are currently 29 first tier stocks listed on the Trinidad and Tobago stock exchange, one-second tier, two TTD preference shares, one USD preference share and five mutual fund shares. Locally there are six (6) licensed stockbrokers operating within Trinidad and Tobago, including First Citizens Brokerage and Advisory Services. Before investing in the stock market, consult a stockbroker, who acts as a liaison between the investor and the stock exchange. www.firstcitizenstt.com
DISCLAIMER This report has been prepared by First Citizens Investment Services Limited, a subsidiary of First Citizens Bank Limited. It is provided for informational purposes only and without any obligation, whether contractual or otherwise. All information contained herein has been obtained from sources that First Citizens Investment Services believes to be accurate and reliable. All opinions and estimates constitute the author’s judgment as at the date of the report. First Citizens Investment Services does not warrant the accuracy, timeliness, completeness of the information given or the assessments made. Opinions expressed may change without notice. This report does not constitute an offer or solicitation to buy or sell any securities discussed herein. The securities discussed in this report may not be suitable to all investors, therefore Investors wishing to purchase any of the securities mentioned should consult an investment adviser.
Business Trinidad and Tobago • 91
B U S I N E SS T R I N I DA D A N D TO B AG O FAST FAC TS G U I D E
OFFICIAL NAME Republic of Trinidad and Tobago LOCATION The southern end of the Caribbean archipelago: Latitude 10.5° North / Longitude 60.5° West TIME ZONE Summer: EST equivalent to GMT – 5 hours Winter: EST + 1 hour, GMT – 4 hours. No daylight saving time in T&T CLIMATE Mean temperatures of 85 degrees Fahrenheit with 60% humidity in the dry season of January to May, and 90 degrees with 75% humidity June to December. Nighttime temperatures can drop to around 70 degrees in the cooler months. CAPITAL CITY Port-of-Spain, Trinidad, seat of the national democratic government. Scarborough, Tobago, seat of the local government body, the Tobago House of Assembly (THA). POPULATION Estimated population 1.3 million of which 55,000 reside in Tobago. THE GOVERNMENT Trinidad and Tobago’s government is a parliamentary democracy. The head of state is the President, who is elected by an Electoral College of members of the Senate and House of Representatives for a five-year term. Executive power, however, is vested in the Prime Minister and Government following elections every five years. Citizens of Trinidad and Tobago must be 18 years or older to be eligible to vote. The next general election is constitutionally due in 2020. LEGAL SYSTEM The legal system is based on common law and statutes. The judicial system comprises Magistrates Courts and the Supreme Court, which comprises the High Court and the Court of Appeal. There is a separate Industrial Court that deals with most labour matters. The Judicial and Legal Service Commission appoints judges to the Supreme Court. Final appeal is to the Privy Council in England, but consideration is being given to replacing the Privy Council with the Caribbean Court of Justice, inaugurated in April 2005 with headquarters in Port-of-Spain. www.ag.gov.tt/, www.legalaffairs.gov.tt/, www.moj.gov.tt ETHNIC PROFILE 35.4% East Indian descent 34.2% African descent 22.8% Mixed descent 1.4% Other (European, Arab and Chinese) OFFICIAL LANGUAGE English (Spanish is being promoted as Trinidad and Tobago’s first foreign language) 92 • Business Trinidad and Tobago
CURRENCY Trinidad and Tobago dollar tied to the US$ and floating at: US$1 = TT$6.60 Notes: $1, $5, $10, $20, $50 and $100 Coins: 1, 5, 10, 25 and 50 For daily Foreign Exchange Rates: www.central-bank.org.tt/ BUSINESS DRESS CODE Trinidad is more formal with lightweight suits worn, but in Tobago jackets are optional except on formal occasions. Outfits with sleeves must be worn to conduct business in Government offices. BUSINESS HOURS Generally 0800 to 1600 Monday to Friday, retail outlets 0800 to 1600 except at Malls where opening time is 1000 and closing is 1900. MAJOR BANKS The major banks have their main corporate offices in Port-of-Spain with branches in strategic locations throughout Trinidad and Tobago. They maintain international links through their affiliates in North America and Europe. • Bank of Baroda (Trinidad only) • CIBC FirstCaribbean International Bank (Trinidad only) • Citi (Trinidad only) • First Citizens Trinidad & Tobago • IBL (Intercommercial Bank Ltd, Trinidad only) • RBC Royal Bank • Republic Bank • Scotiabank Banking hours are 0800 to 1400 Monday to Thursday, 0800 to 1200 and 1500 to 1700 Friday. Mall branches: usually 1000 – 1700. All banks have Automatic Banking Machines (ABMs) and major shopping malls contain either full service branches or ABMs. The ABM
banking system features LINX, which enables clients to access accounts from any ABM regardless of agency in the country. LINX can also be used to make purchases at retail outlets throughout the country. ABMs also offer access to advance cash withdrawals for VISA, MasterCard and VISA Plus clients. TRAVELLER’S CHEQUES AND CREDIT CARDS Accepted in most establishments. Customs & Excise Division accepts cash only. Other Government agencies may accept cash or LINX only. DUTY FREE SHOPPING Available at the Cruise Ship Complex, Piarco and A.N.R Robinson International Airports Apadoca’s at Crews Inn for boats leaving the country, and selected downtown Port-of-Spain stores. TAXATION TAX Departure Tax
RATE TT$200 is included in the cost of the airline ticket (local currency only). Citizens over the age of 60 years old are exempted Hotel Tax 10% service charge Hotel Room Tax 10% service charge Value Added Tax 12.5% on consumer goods (VAT) and services Income Tax 25% Corporation 25% on Chargeable Profits Income Tax 15% on Long-term Insurance Business Insurance 6% Premium Tax Withholding Varies Taxes TELEPHONE 1 (868) + seven digit number ELECTRICITY 115 volts / 230 volts (+/- 6%) and 60Hz
Summary Economic Indicators 2009 2010 2011 2012 2013 2014 2015p DOMESTIC ECONOMY Real Sector Activity Real GDP Growth (%) (2000 = 100)1 -4.4 3.3 -0.3 1.3 2.3 -1.0 -2.1 Energy Sector -1.8 2.4 -3.9 -2.8 1.3 -2.4 -4.6 Non-Energy Sector -4.9 3.2 3.2 2.3 2.6 0.1 -0.6 Agriculture -32.4 32.1 0.3 -12.6 -0.1 2.9 -3.2 Manufacturing 1.9 1.5 -0.3 0.9 -1.0 -4.0 -1.6 Construction -7.1 -28.4 -8.8 -2.0 6.4 2.9 -1.5 Financial Services -4.5 8.1 5.3 3.0 8.9 -1.2 1.9 Inflation Rate (%) Period Average 7.0 10.5 5.1 9.3 5.2 5.7 4.7 End of Period 1.3 13.4 5.3 7.2 5.6 8.5 1.5 Unemployment Rate (% average) 5.3 5.9 4.9 5.0 3.7 3.3 3.4* Sources: Central Bank of Trinidad and Tobago and Central Statistical Office. * For the period January-September 2015. 1 Real GDP growth rates for 2015 are derived from the Central Bank’s Index of Quarterly Gross Domestic Product (the QGDP Index), which is based on indicators of economic activity rather than on value added. Real GDP growth for the period 2009 to 2014 are sourced from the Central Statistical Office (CSO), the official source of GDP statistics.
B U S I N E SS T R I N I DA D A N D TO B AG O FAST FAC TS G U I D E
ROAD SYSTEMS Driving is on the left side of the road. DOMESTIC FERRY SERVICE Trinidad and Tobago offers an inter-island fast ferry service between Port-of-Spain in Trinidad and Scarborough in Tobago. The T&T Express and T&T Spirit and conventional, slower ferry – the Warrior Spirit - transport passengers and cargo. Tickets can be purchased on the same day or in advance at various Travel Agencies and Internet Cafés in Trinidad or Tobago. Photo identification is required. • Adult passengers on the Fast Ferry service TT$50 one way and TT$100 round trip • Children (3-12 years): TT$25 one way and TT$50 round trip • All children under the age of 3 and senior citizens of T&T 60 years & over travel free. • Private cars cost TT$150 one way and TT$250 round trip. For more information: https://ttitferry.com. WATER TAXI SERVICE The Water Taxi sails from San Fernando to Portof-Spain and back ($15 one-way) from Monday to Friday. The Water Taxi Service is closed on Saturdays, Sundays and Public Holidays. Tickets can be purchased at the Water Taxi Terminals located at Lady Hailes Avenue in San Fernando or the Cruise Ship Complex in Port-of-Spain. Free parking is available at both ports. Minors 1 year & under and senior citizens of T&T 65 years & over travel free. PTSC’s Bus Shuttle Service is available for Water Taxi passengers on arrival in Port-of-Spain. For the sailing schedule and other information, visit: www.nidco.co.tt or www.facebook.com/ watertaxiservice or call 624-5593. Customer Care Hotline: 800-4WTS (4987). N.B. Personal photo identification is needed when travelling between isles and water taxi services and when purchasing tickets for the ferry, water taxi and airline service. MEDIA Daily Press includes: Trinidad Express, Trinidad Guardian and Newsday. Bi-weekly: TnT Mirror. Weeklies: Tobago News, Catholic News, Bomb, Blast, Metro, Showtime, The Weekend Heat, Sunday Punch and Newspaper Direct Trinidad and Tobago. Monthly: Trinidad and Tobago Review, Easterly and Westerly. Local television stations: CCN TV-6 (Channels 6 & 18 in Trinidad and Channel 19 in Tobago), CTV (Channels 9 and 13), Cable News Channel CNC3 (Channels 12 & 14), TV4 Government Information Services Ltd (Channels 4 &16), The Parliament Channel (channel 11), Gayelle Television (Channels 23 & 27), Advance Community Television Station Acts25 (Channel 25), Synergy TV (Channel 33), WINTV (Channels
37 & 39) and Tobago Channel (Channel 5 Tobago only). Local television programming via cable television: ieTV (Channel 1 Flow & 116 Blink), Cable News Channel CNC3 (Channel 3 Flow & 104 Blink), Government Information Services Ltd (Channel 4 Flow & 103 Blink), CCN TV-6 (Channel 5 Flow & 100 Blink), CTV (Channel 6), Gayelle Television (Channel 7 Flow & 106 Blink), Islamic Broadcast Network - IBN (Channel 8), ACTS (Channel 9 Flow & 112 Blink) The Parliament Channel (Channel 11), WINTV (Channel 12 Flow & 110 Blink), WI Sport (Channel 14), Synergy TV (Channel 15 Flow, 108 Blink), and Tobago Channel (Channel 5 Tobago only). There are about 36 radio stations operating on the FM band and two on the AM band (530 AM and 730 AM). EMERGENCY SERVICES Port-of-Spain General Hospital 623-2951, San Fernando General Hospital 652-3581 and the new Scarborough General Hospital 660-4SGH
(4744). Roxborough Hyperbaric Facility (RHF), the Dive Chamber, is the only recompression chamber available at the Roxborough Medical Clinic in Tobago. For more information about the facility you can call 660-5155.
EMERGENCY SERVICE TELEPHONE NOS: Ambulance/ Trinidad 811 Emergency Relief Tobago Emergency Relief 211 Coast Guard: 634-4440 Crime Stoppers 800-TIPS (8477) Fire 990 Police/Rapid Response 999; 911 The Office of 800-ODPM Disaster Preparedness (6376) and Management 640-1285; (ODPM): 640 8905 Trinidad: 640-8653; 640-6493 Tobago: 660-7489
AIRPORTS Piarco International Airport (POS) - 17 miles (27 km) from Port-of-Spain. A.N.R Robinson International Airport (TAB) - 7 miles (10km) from Scarborough. AIRLINES Piarco International Airport is serviced with scheduled flights: AIRLINES
IATA CODE DESTINATION
American Airlines AA British Airways BA Caribbean Airlines BW (National Carrier) Copa Airlines CM Conviasa Airlines VO LIAT (Regional Carrier) LI Surinam Airways PY United Airlines UA West Jet Airlines WS Jet Blue Airways B6
Miami (MIA) Barbados (BGI) St Lucia (UVF) London Gatwick (LGW) The Caribbean, North America Panama (PTY) Margarita (PMV) The Caribbean Surinam (PBM), Curacao (CUR) Houston (IAH), Newark (EWR) Toronto (YYZ) New York (JFK), Fort Lauderdale (FLL) Hollywood/Los Angeles (LA)
TELEPHONE CONTACT 1-868-627-7013 / 821-6000 1-868-669-6556 / 1-800-247-9297 1-800-247-9297 1-800-247-9297 1-868-625-7200 1-868-669-5949 / 800-271-2672 1-868-627-8172 / 1-868-627-8078 1-868-669-2982 / 1-868-627-6274 1-868-627-0102 / 1-868- 627-4747 1-868-669-8782 / 1-800-864-8331 1-403-444-2586 1-800-538-2583 (Reservations) 1-800-669-6556 (Baggage)
in addition to charter operators such as: AIRLINES
IATA CODE DESTINATION
Miami Country Airlines Sun Country Airlines
LL SY
Punta Cana (PUJ) New York (JFK)
TELEPHONE CONTACT 1-868-669-4688 1-868-669-4688
A.N.R Robinson International Airport, formerly known as the Crown Point International Airport, also sees scheduled flights from: AIRLINES
IATA CODE DESTINATION
British Airways BA Caribbean Airlines BW Condor Airlines DE
London Gatwick (LGW) The Caribbean North America Frankfurt (FRA)
TELEPHONE CONTACT 1-868-639-0588 / 1-868-639-0595 1-868-660-7200 1-868-639-0484 / 1-868-639-9744
For more information on scheduled dates and times log on to www.tntairports.com. The domestic “airbridge” is operated by Caribbean Airlines based in Trinidad, flying regular daily flights between 6 a.m. and 10 p.m. to Tobago. The domestic fare for an adult is TT$150 single and TT$300 round trip. Internet bookings are available at www.caribbean-airlines.com.
Business Trinidad and Tobago • 93
T R I N I DA D CO N TAC T I N F O R M AT I O N
Association of Real Estate Agents (AREA) Suite A4, Kencita Court 76 Picton Street, Newtown Port-of-Spain Tel: (868) 628-9048 Fax: (868) 628-9049 area-tt.assoc@gmail.com www.areatt.com
Chaguanas Chamber of Industry & Commerce (CCIC) 17-18 Biljah Road IDC Industrial Estate, Chaguanas Tele: (868) 671-2242 (CCIC) Fax (868) 671-2242 gccic@chaguanaschamber.org www.chaguanaschamber.org
Association of Trinidad and Tobago Insurance Companies (ATTIC) 8 Stanmore Avenue, Port-of-Spain Tel: (868) 624-2817, 625-2940 Fax: (868) 625-5132 mail@attic.org.tt www.attic.org.tt
Employers’ Consultative Association of Trinidad and Tobago (ECA) #17 Samaroo Road Aranguez Roundabout North Aranguez Tel: 868-675-9388/0273/5873 Fax: 868-675-4866 info@ecatt.org www.ecatt.org
Bankers Association of Trinidad and Tobago c/o Institute of Banking and Finance of Trinidad and Tobago 16 Gray Street, St. Clair Port-of-Spain PO Box 1259 Tel: (868) 622-0282; 628-2944 Fax: (868) 628-9718 secretariat@batt.org.tt www.batt.org.tt Caribbean Association of Industry and Commerce (CAIC) P.O. Box 6541 TT Post, Maraval Trinidad & Tobago Tel: (868) 622-8936 caic.admin@gmail.com www.carib-commerce.org CARIRI Centre for Enterprise Development Headquarters Address: University of the West Indies St Augustine Campus Tel: (868) 299-0210 Fax: (868) 662-7177 Trincity West Industrial Estate, Macoya Phone: (868) 285-5050 Email: mail@cariri.com www.cariri.com Central Bank of Trinidad & Tobago Eric Williams Financial Plaza, Independence Square P.O. Box 1250, Port-of-Spain Tel: (868) 625-2601/4921/4835/0121 Fax: (868) 627-4023 info@central-bank.org.tt www.central-bank.org.tt
94 • Business Trinidad and Tobago
Ernst & Young Services Ltd 5-7 Sweet Briar Road, St Clair Port-of-Spain Tel: (868) 628-1105 Fax: (868) 622-0918 www.ey.com/TT/en Evolving Tecknologies and Enterprise Development Company Ltd (eTecK) Flagship Complex 9-15 e TecK Blvd. Tamana InTech Park Wallerfield Tel: (868) 224-1989 Sales: (868) 224-1974 Fax: (868) 224-1980 info@eteck.co.tt www.eteck.co.tt exporTT Ltd Head Office: 151B Charlotte Street, Port-of-Spain Tel: (868) 623-5507; 624-3932 Fax: (868) 625-8126; 624-3919 info@exportt.co.tt www.exportt.co.tt InvesTT The Atrium Don Miguel Road Extension El Socorro Tel: (868) 225-4688 Fax: (868) 225-5820 info@investt.co.tt www.investt.co.tt Ministry of Energy and Energy Industries Levels 15 & 22-26, Energy Tower International Waterfront Centre #1 Wrightson Road, Port-of-Spain Tel: (868) 626-6334, (868) 623-6708, or (868) 62-MOEEI Fax: (868) 625-0306 info@energy.gov.tt www.energy.gov.tt
Ministry of Finance Level 8, Eric Williams Finance Building Port-of-Spain Tel: (868) 627-9700 ext. 2805-9 Fax: (868) 627-5882 comm.finance@gov.tt www.finance.gov.tt Ministry of Agriculture, Land and Fisheries Head Office: Ministry Food Production St. Clair Circle, St Clair Tel: (868) 622-1221 Fax: (868) 622-8202 www.agriculture.gov.tt Ministry of Foreign and CARICOM Affairs Level 10-14, Tower C Waterfront Complex 1A Wrightson Road, Port-of-Spain Tel: (868) 623-6894 Fax: (868) 624-4220 website@foreign.gov.tt www.foreign.gov.tt Ministry of National Security Temple Court 31-33 Abercromby Street Port-o-Spain Tel:(868) 623-2441-5 Fax: (868) 627-8044 info@mns.gov.tt www.nationalsecurity.gov.tt Ministry of Planning & Development Level 14, Eric Williams Financial Complex Independence Square, Port-of-Spain Tel: (868) 627-9700 www.planning.gov.tt Ministry of Sport and Youth Affairs 12 Abercromby Street, Port-of-Spain Tel: 625-5622-4 www.sport.gov.tt Ministry of Trade and Industry Level 9, 11-17, Nicholas Towers 63-65 Independence Square Port-of-Spain Tel: (868) 623-2931-4 Fax: (868) 627-8488; 627-0002 mti-info@gov.tt www.tradeind.gov.tt Ministry of Works & Transport Main Administrative Building Corner Richmond and London Streets Port-of-Spain Tel: (868) 625-1225 Fax: (868) 625-8070 www.mowt.gov.tt
T R I N I DA D CO N TAC T I N F O R M AT I O N
National Infrastructure Development Company Ltd (NIDCO) #3 Melbourne Street Port-of-Spain Tel:(868) 627-9474 Fax: (868) 623-0310 communications@nidco.co.tt www.nidco.co.tt Office of Disaster Preparedness & Management (ODPM) 4A Orange Grove Road Trincity, Tacarigua Customer Emergency Call Centre: 511 Tel: (868) 640-1285/8905/8653/6493 Fax: (868) 640-8988 info@nema.gov.tt; publicinfo.odpm@ gmail.com www.odpm.gov.tt Port Authority of Trinidad and Tobago Administrative Building 1 Dock Road Port-of-Spain Tel: (868) 623-2901-5 Fax: (868) 627-4945 www.patnt.com Port of Point Lisas PLIPDECO House, Orinoco Drive Point Lisas Industrial Estate, Couva Tel: (868) 636-2201 Cargo Handling: (868) 636-2202, 4388, 2137, 4006 Port Marine: (868) 636-7678, 2132 Fax: (868) 636-4008, 679-2907 plipdeco@plipdeco.com www.plipdeco.com Shipping Association of Trinidad & Tobago 15 Scott Bushe Street, Port-of-Spain Tel: (868) 625-2388 or (868) 623-3355 Fax: (868) 623-8570 om@shipping.co.tt www.shipping.co.tt Sports Company of Trinidad and Tobago 111-117 Henry Street, Port-of-Spain Tel: (868) 623-1954 OR (868) 623-2448 Fax: (868) 624-7184 Email: sportt@sportt-tt.com www.sportt-tt.com The American Chamber of Commerce of Trinidad and Tobago (AmCham) 62A Maraval Road, Newtown Port-of-Spain Tel: (868) 622-4466; 622-0340 Fax: (868) 628-9428 inbox@amchamtt.com www.amchamtt.com
The Energy Chamber of Trinidad & Tobago Suite B2.03 Atlantic Plaza, Atlantic Avenue Point Lisas, Couva Tel: (868) 6-ENERGY, 679-6623, 679-1398 Fax: (868) 679-4242 execoffice@energy.tt www.energy.tt The National Information and Communication Technology Company Ltd (iGovTT) Level 1-3, Lord Harris Court #52 Pembroke Street Port-of-Spain Tel: (868) 627-5600 Fax: (868) 624-8001 igovtt@gov.tt www.igovtt.tt The Trinidad Hotels, Restaurants and Tourism Association (THRTA) c/o Trinidad and Tobago Hospitality and Tourism Institute Airway Road, Chaguaramas Tel: (868) 634-1174/5 Fax: (868) 634-1176 info@tnthotels.com www.tnthotels.com Tourism Development Company Ltd (TDC) Level 1, Maritime Centre No. 29 Tenth Avenue, Barataria Tel: (868) 675-7034-7 Piarco International Airport Office: (868) 669-5196, 669-6044, 800-4TNT Fax Nos: Public Affairs (868) 638 7962 Legal and Corporate Services (868) 638-3560 Tourism (868) 675 7432 Marketing (868) 675 7338 Piarco: (868) 669-6045 info@tdc.co.tt www.tdc.co.tt Trinidad and Tobago Bureau of Standards (TTBS) 1-2 Century Drive Trincity Industrial Estate Macoya Tel: (868) 662-8827 Fax: (868) 663-4335 ttbs@ttbs.org.tt www.ttbs.org.tt Trinidad and Tobago Chamber of Industry and Commerce (TTCIC) Chamber Building, Columbus Circle, Westmoorings or P.O. Box 499, Port-of-Spain Tel: (868) 637-6965-6 Fax: (868) 637-7425 chamber@chamber.org.tt www.chamber.org.tt
Trinidad and Tobago Coalition of Services Industries Ltd (TTCSI) 45 Cornelio Street Woodbrook, Port-of-Spain Tel: (868) 622-9229 Fax: (868) 622-8985 info@ttcsi.org www.ttcsi.org Trinidad & Tobago Convention Bureau Level 1, Maritime Centre No. 29 Tenth Avenue, Barataria Tel: (868) 675-7034-7 Fax: (868) 675-7338 conventionbureau@tdc.co.tt www.gotrinidadandtobago.com Trinidad & Tobago Creative Industries Company Limited 47 Long Circular Road, St James Port-of-Spain Tel: (868) 622-1455, 628-1156, 628-1028 info@creativett.co.tt www.creative.co.tt Trinidad & Tobago Extractive Industries Transparency Initiative Secretariat 15th Floor, International Watefront Centre # 1 Wrightson Road Port-of-Spain Tel: (868) 623-6708 ext 2787 Fax: (868) 625-0829 secretariat@tteiti.org.tt www.tteiti.org.tt Trinidad & Tobago International Financial Centre (TTIFC) 15th Floor, Tower D International Waterfront Centre 1 Wrightson Road P.O. Box 735, Port of Spain Tel: (868) 627 3081 Fax: (868) 624 0794 info@ttifc.co.tt www.ttifc.co.tt Trinidad and Tobago Manufacturers’ Association (TTMA) 42 Tenth Avenue, Barataria Tel: (868) 675-8862 Fax: (868) 675-9000 info@ttma.com www.ttma.com Trinidad and Tobago Stock Exchange Ltd 10th Floor, Nicholas Tower 63-65 Independence Square Port-of-Spain Tel: (868) 625-5107, (868) 625-5109 Fax: (868) 623-0089 ttstockx@tstt.net.tt www.stockex.co.tt
Business Trinidad and Tobago • 95
TO B AG O CO N TAC T I N F O R M AT I O N
Chamber of Industry and Commerce, Tobago Chapter 2nd Floor ANSA McAL Building Milford Road, P.O. Box 47 Scarborough, Tobago Tel: (868) 639-2669 Fax: (868) 639-3014 office@tobagochamber.com www.chamber.org.tt Cruise Ship Complex Scarborough Tel: (868) 635-0934 Eco-Industrial Development Company of Tobago (E-IDCOT) Ltd First Floor, Isaac T. McLeod Building Sislyn Thomas-Craig Road Cove Eco-Industrial and Business Park Canoe Bay Road, Lowlands Tobago Tel: (868) 635-COVE (2683), 660-COVE (2683) Fax: (868) 631-COVE (2683), 635-2214 info@e-idcot.co.tt www.e-idcot.co.tt Environment Tobago (NGO) 11 Cuyler Street or P O Box 503 Scarborough Tobago Tel: (868) 660-7462 Fax: (868) 660-7467 www.environmenttobago.net Evolving Tecknologies and Enterprise Development Company Ltd (eTecK) Unit 2, Sangster’s Hill (Tobago) Scarborough Tel: (868) 639-6275 Fax: (868) 639-6275 info@eteck.co.tt www.eteck.co.tt exporTT Ltd E-Teck Mall, Sangster´s Hill Scarborough Tobago Tel: (868) 639-4067 or 639-2549 Fax: (868) 639-4340 info@exportt.co.tt www.exportt.co.tt Tobago Emergency Management Agency (TEMA) Office of the Chief Secretary Bacolet Street, Fairfield Complex Scarborough Tobago Emergency Contact: (868) 660-7489 www.tema365.com
96 96 •• Business Business Trinidad Trinidad and and Tobago Tobago
Customer Emergency Call Center: 211 Tel: (868) 631-CERT (2378) or 660-7489 temaeoc@gmail.com www.tema365.com
List of Advertisers
Tobago Hotel & Tourism Association Apt. 1 Lambeau Credit Union Bldg. Auchenskeoch Road, Carnbee PO Box 295 Scarborough Tobago Tel: (868) 639-9543 Fax: (868) 639-9543 tobagohoteltourismassoc@gmail.com www.tobagohoteltourism.com
Trinidad and Tobago Business Buzz
Tobago House of Assembly (THA) Division of Finance and Enterprise Development Victor E. Bruce Financial Complex 14-16 Wilson Road Scarborough Tel: (868) 635-1203, 635-2989 or 635-1254 Fax: (868) 639-4927 secretary@fed.tha.gov.tt www.tha.gov.tt Tobago House of Assembly (THA) Division of Tourism and Transportation 12 Sangster’s Hill Scarborough Tobago Tel: (868) 639-2125 or 639-4636 Fax: (868) 639-3566 contact@visittobago.gov.tt www.tha.gov.tt; www.visittobago.gov.tt Tobago House of Assembly (THA) Office of the Chief Secretary Administrative Complex Calder Hall Tobago Tel: (868) 639-2696 Fax: (868) 639-5374 chiefsecretary@tha.gov.tt www.tha.gov.tt Tourist Information Offices Crown Point International Airport Tel: (868) 639-0509
Aegis Business Solutions Limited.............. 73 Beacon...............................................................45 Guardian Group....................................... 46, 47 Movietowne....................................... 54, 55, 56 Pigeon Point Heritage Park.........................28 SoftwareONE............................................ 22, 23 TIC2016 - Trinidad and Tobago Manufacturers’ Association.......................53 Advertisers Angostura Limited............................................ 1 AON Energy Caribbean Limited.................61 BAG Consulting (Trinidad and Tobago) Ltd....................................................71 Bhagwansingh’s................................................ 5 Blue Waters Inn...............................................29 Cara Suites Hotel & Conference Centre..............................................................29 EXIMBANK ...................................................... 70 Hyatt Regency Trinidad....... 29, Back Cover Made-in-TNT.com........................................... 70 Magdalena Grand Beach & Golf Resort.....................................................29 Massy Technologies Applied Imaging......63 Radisson Trinidad...........................................29 Renew Star Serpentine Limited.................89 Republic Bank Limited.................................... 3 RBC Royal Bank...............................................21 Southern Sales & Service Company Limited..........Inside Front Cover The Banquet & Conference Centre...........29 Trinidad & Tobago IFC.................................. 75 Trinidad & Tobago Securities Exchange Commission...................................................63