Caribbean Trade Law and Development

Category: Trade

  • Caribbean Trade and Development News Digest – April 19-25, 2020

    Caribbean Trade and Development News Digest – April 19-25, 2020

    Welcome to the Caribbean Trade & Development News Digest for the week of April 19-25, 2020! We are happy to bring you the major trade and development headlines and analysis from across the Caribbean Region and the world from the past week.

    THIS WEEK’S HIGHLIGHTS

    The fifteenth session of the UNCTAD Ministerial Conference (UNCTAD 15), which was to be held in October this year in Barbados, has become the latest trade conference to be postponed in the midst of the COVID-19 pandemic. Official word of this came from the Barbados Government this week which can be read here.

    The USMCA will go in effect on July 1, 2020. Read more

    The CARICOM Secretariat’s live blog on CARICOM Member States and Associate Members’ figures in relation to the COVID-19 pandemic may be accessed here.

    REGIONAL NEWS

    COVID-19 to cause biggest economic contraction ever in Latin America & Caribbean

    UN: The COVID-19 pandemic will herald the worst economic contraction in the history of Latin American and the Caribbean, with a projected -5.3 per cent drop in activity this year, according to a report by the UN office for the region, ECLAC, published on Tuesday. Read more

    Talking Exports: How Caribbean Export Will Support Region’s Private Sector through COVID-19

    CARICOM: The COVID-19 pandemic will have a significant impact on the private sector and economies globally. The economic slowdown will severely affect MSMEs, as they suffer from the impact of government decreed shutdowns, supply chain disruption and demand contraction. Read more

    Measures agreed upon to allow travel between Guyana, Suriname

    CARICOM: Some new ground rules have been agreed to by both Guyana and Suriname on travels between the two neighbours, in light of the novel Coronavirus, COVID-19 pandemic. Read more

    IICA will assist the Caribbean to boost trade in goods and agricultural information exchange, as well as to strengthen food security

    St Lucia News Online: Thirteen Caribbean Ministers of Agriculture participated in a videoconference with the Director General of the Inter-American Institute for Cooperation on Agriculture (IICA), in which they discussed strategies to bolster agricultural activity and to safeguard the food supply amidst the ongoing health crisis, in a region that relies heavily on food imports and on tourism. Read more

    INTERNATIONAL NEWS

    Govt sees GDP, investment boost if joins CPTPP trade pact

    Bangkok Post: Thailand could expect a boost to its economic growth, investment and exports to help offset the negative impact of the new coronavirus pandemic if it participates in an Asia-Pacific trade agreement, the commerce ministry said on Monday. Read more

    Covid-19 response: New Zealand and Singapore launch initiative to ensure free flow of essential goods

    New Zealand Government: New Zealand and Singapore today launched a new trade initiative to ensure supply chain connectivity and the removal of blockages to trade in a list of essential products that includes medicines, medical and surgical equipment. Read more

    WTO and IMF heads call for lifting trade restrictions on medical supplies and food

    IMF: As our members grapple with their response to the global health and economic crisis, we call for more attention to the role of open trade policies in defeating the virus, restoring jobs, and reinvigorating economic growth. Read more

    80 countries are hoarding medical supplies – here’s why it damages the global response to COVID-19

    WEF: Eighty countries and customs territories have banned or limited the export of face masks, protective gear, gloves and other goods to mitigate shortages since the coronavirus outbreak began, the World Trade Organization reported on Thursday. Read more

    New USMCA trade pact to go into effect on July 1

    Financial Post: U.S. Trade Representative Robert Lighthizer on Friday said he has notified Congress that the new U.S.-Mexico-Canada trade agreement will take effect on July 1, a month later than initially proposed. Read more

    U.S. should avoid phased approach in trade talks with Kenya: Chamber of Commerce

    Reuters: The United States should work to achieve a single, comprehensive agreement with Kenya that removes barriers to trade and investment, instead of pursuing a phased approach, the U.S. Chamber of Commerce said in a document viewed by Reuters. Read more

    The AfCFTA Gets Locked Down for the Year

    AllAfrica: The African Continental Free Trade Agreement (AfCFTA) has become the latest in the many casualties of the devastating coronavirus pandemic which has so far infected over 2.7 million people and killed more than 191 000 globally. In Africa the toll is over 27 000 cases and 1 298 deaths. Read more

    UK will need to extend Brexit transition, Merkel ally warns Britain

    The Guardian: Boris Johnson must extend the UK’s transition out of the EU for up to two years to avoid compounding the economic damage of the coronavirus pandemic with a hugely disruptive and disorderly Brexit, according to a close ally of Angela Merkel. Read more

    Argentina to Exit Mercosur Trade Talks to Focus on Problems at Home

    New York Times: Argentina has decided to withdraw from ongoing trade negotiations with South American trade bloc Mercosur as it turns its focus on the growing economic crisis at home, the bloc said in a statement late on Friday. Read more

    Mercosur: Argentina only interested in block’s negotiations with Europe

    Mercopress: In the midst of the chaotic situation caused by the pandemic, the Argentine government announced the abandonment of Mercosur negotiations to prioritize the country’s domestic economy and the struggle against the virus. Read more

    STRAIGHT FROM THE WTO

    NEW ON THE CTLD BLOG

    The Caribbean Trade & Development Digest is a weekly trade news digest produced and published by the Caribbean Trade Law & Development Blog. Liked this issue? To read past issues, please visit here. To receive these mailings directly to your inbox, please subscribe to our Blog below:

  • Caribbean Trade & Development News Digest – March 22-28, 2020

    Caribbean Trade & Development News Digest – March 22-28, 2020

    Welcome to the Caribbean Trade & Development News Digest for the week of March 22-28, 2020! We are happy to bring you the major trade and development headlines and analysis from across the Caribbean Region and the world from the past week.

    THIS WEEK’S HIGHLIGHTS

    The COVID-19 pandemic continues to dominate regional and international headlines. In the Caribbean, several countries have now implemented states of emergency and instituted curfews.

    According to the IMF, the world economy has entered a recession that will be at least as bad as during the global financial crisis or worse. Watch the IMF’s video here. The IMF has also launched a COVID-19 policy tracker which may be accessed here.

    Updated estimates by UNCTAD on COVID-19’s economic impact now suggest that the downward pressure on FDI flows could range from -30% to -40% during 2020-2021, much higher than the previous projections of -5% to -15%. Read here

    The G20 has agreed to inject over $5 trillion into the global economy to counteract the social, economic and financial impacts of the pandemic. The full statement from the Extraordinary G20 Summit may be read here.

    The WTO has not only launched a special page dedicated to COVID-19 and world trade on its website but has asked members to notify COVID-19 trade-related policy measures. A list of these measures may be found here.

    On March 27, 2020, several Members of the World Trade Organization (WTO) agreed on a stop gap measure to ensure the continuation of a two-step system for the peaceful and orderly settlement of trade disputes amongst them at the WTO. The new temporary arrangement agreed on, known as the Multiparty Interim Appeal Arbitration Arrangement (MPIA), is based on Article 25 of the WTO’s Dispute Settlement Understanding. Read more here.

    REGIONAL NEWS

    Jamaica: $2 Billion Grant For Tourism, Small Business Operators

    Magnetic Media: Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, has announced the provision of approximately $2 billion in grant assistance for tourism and small businesses impacted by the Coronavirus (COVID-19) outbreak in Jamaica. Read more

    Responding To The COVID-19 Pandemic: Jamaica Will Recover” Statement From JAMPRO Chairman, Senator Don Wehby

    JIS: These are unprecedented times. The Coronavirus disease 2019 (COVID-19) has wreaked havoc globally with the way we live and our way of doing business. Read more

    Guyana paid US$55M for first oil cargo -royalties expected next month

    Stabroek: Guyana has been paid US$55 million for its first cargo of crude oil sold in February and the country will receive royalties from production by ExxonMobil in its Liza-1 field on the offshore Stabroek Block next month. Read more

    Guyana operations could take a ‘hit’ from Exxon’s Coronavirus measures

    Stabroek: The outbreak and subsequent spread of the Coronavirus has had a “devastating effect” on the global oil & gas industry and the likelihood that the effects could be felt in the current phase of Guyana’s fledgling oil & gas sector, which is proceeding under the control of the US super major, ExxonMobil, cannot, it seems, be ruled out. Read more

    INTERNATIONAL NEWS

    G20 pledges $5 trillion to defend global economy against COVID-19

    Al Jazeera: In a show of crisis unity, leaders commit to implement and fund all health measures needed to stop the virus’s spread. Read more

    WTO sees sharp fall in trade, calls for global solutions to tackle COVID-19 crisis

    Economic Times: WTO Director-General Roberto Azevedo said cross-border trade and investment flows have a role to play in efforts to combat the COVID-19 pandemic, and will be vital for fostering a stronger recovery once the medical emergency subsides. Read more

    IMF chief Georgieva says the world is in a recession, containment will dictate strength of recovery

    CNBC: International Monetary Fund chief Kristalina Georgieva said Friday that the global economy is now in a recession thanks to COVID-19, but that she’s heartened to see world leaders finally realizing that only a coordinated effort will be able to stem the spread of the novel coronavirus. Read more

    Brexit: EU-UK meeting to go ahead via video link

    BBC: A post-Brexit meeting between the EU and UK will go ahead as planned next week, despite the coronavirus crisis. Read more

    Kenya-US Free Trade Agreement challenged at regional court

    Ventures Africa: Kenya’s plan to sign a free trade deal with the United States is set for a long legal tussle after two lawyers challenged the controversial move at the East African Court of Justice. Christopher Ayieko and Emily Osiemo filed a petition at the regional court challenging the proposed Free Trade Agreement, which is seen as a violation of the East African Community (EAC) Treaty and its protocols. Read more

    AUC swears in AFCFTA Secretary General

    GhanaWeb: Mr Wamkele Mene, the newly elected Secretary-General of the African Continental Free Trade Area (AfCFTA) Secretariat has been sworn-in Thursday to give him legitimacy to commence business. Read more

    AfCFTA secretary-general urges Africa to seize trade opportunity

    CGTN: The Secretary-General of the African Continental Free Trade Area (AfCFTA) Wamkele Mene urged Africa not to be discouraged by disruptive effects of the coronavirus pandemic from a trade perspective. Read more

    Assessing the economic impacts of COVID-19 on ASEAN countries

    East Asia Forum: The effects of COVID-19 are hitting ASEAN economies at a time when other risk factors, such as a global growth slowdown, were already rising. Read more

    Oil Below $20 Will Wipe Over 10% Off Many Exporting Countries’ GDP

    Forbes: The oil market has taken a hammering in recent months following a slump in crude demand caused by the global coronavirus or CoVid-19 pandemic and the collapse, on March 6, of market co-operation between Saudi and Russian-led group of OPEC and non-OPEC exporters dubbed OPEC+ by the wider market. Read more

    WTO chief sees sharp fall in trade, calls for global solutions to COVID-19 crisis

    Xinhua: Seeing a very sharp decline in global trade, Roberto Azevedo, director-general of the World Trade Organization (WTO), on Wednesday said a global solution is needed to address the global challenge brought about by the COVID-19 pandemic. Read more

    Brexit: UK ‘will not seek trade talks extension’ despite Barnier having COVID-19

    Euronews: London insists it won’t request an extension to EU-UK trade talks despite the EU’s lead negotiator Michel Barnier announcing he has contracted COVID-19. Read more

    Should Coronavirus Delay Brexit Trade Talks?

    Forbes: Untangling a relationship four decades in the making, the post-Brexit trade talks were never going to be easy. Throw in a suffocatingly tight time frame—significant progress by June, completion by December—and things looked trickier still. Read more

    APEC economies urged to end trade-restrictive policies to help fight COVID-19

    China.org: Asia-Pacific Economic Cooperation (APEC) economies must put an end to trade-restrictive policies to help fight COVID-19, the APEC Business Advisory Council (ABAC) said on Saturday. Read more

    Singapore, 6 other Pacific countries pledge to keep trade, supply chains going during Covid-19 crisis

    Business Times: Singapore and six other Pacific Rim countries have pledged to keep their supply chains open during the Covid-19 pandemic, despite ongoing shocks to trade flows. Read more

    STRAIGHT FROM THE WTO

    NEW ON THE CTLD BLOG

    The Caribbean Trade & Development Digest is a weekly trade news digest produced and published by the Caribbean Trade Law & Development Blog. Liked this issue? To read past issues, please visit here. To receive these mailings directly to your inbox, please subscribe to our Blog below:

  • COVID-19: How have Caribbean governments responded so far?

    COVID-19: How have Caribbean governments responded so far?

    Alicia Nicholls

    Declared a pandemic by the World Health Organisation (WHO) on March 11, 2020, the COVID-19 outbreak has now spread to well over 100 countries worldwide, including most Caribbean countries. As of March 22, Belize and St. Kitts & Nevis are the only English-speaking Caribbean countries to have not yet reported a confirmed COVID-19 case.

    Globally, the number of confirmed cases is over 300,000. In the Caribbean, the number is over 300 (if the Dominican Republic and Cuba are included). Detailed COVID-19 statistics for each English-speaking Caribbean country as at March 21, may be found here.

    While the number of cases and deaths in the Caribbean currently remain low compared to other regions, the economic fall-out is far more daunting. Tourism associations across the region have reported booking cancellations, a reduction in flight bookings and the real possibility of some accommodations having to close their doors temporarily. Similarly, many businesses across the region have begun to feel the economic pinch from declining patronage and event cancellations.

    This article takes a brief look at some of the various policy responses instituted by Caribbean governments so far to mitigate the human and economic impact of the highly contagious virus.

    Caribbean Government Policy Responses

    As the COVID-19 pandemic spreads across Caribbean shores, regional governments have stepped up their responses which vary according to the severity of the outbreak in the country concerned.

    Based on media reports and government public announcements, below is a non-exhaustive list of some of the major COVID-19 policy measures implemented by Caribbean governments to date:

    A. Containment Policies

    1. Mandatory quarantining of all travellers (both nationals and foreigners) coming from selected countries – mainly the US and Europe, China, South Korea, and Iran e.g: Barbados
    2. Temporary restrictions of entry of foreign nationals from selected countries e.g: many Caribbean countries
    3. Restrictions on non-essential travel by nationals to certain affected countries e.g: many Caribbean countries
    4. Suspension of international flights or flights from certain countries e.g: Dominican Republic, Jamaica, Trinidad & Tobago
    5. Refusal of docking for cruise ships with cases of respiratory illness onboard e.g: most Caribbean countries now
    6. Temporary closures of land borders, and most or all ports of entry (except for citizens or permanent residents returning home – they will be placed in quarantine on arrival) e.g: Belize, Dominican Republic, Jamaica, Suriname, Trinidad & Tobago
    7. Restrictions on mass events, public gatherings and public events over a certain number of persons, e.g: in Barbados the number is now restricted to 25 persons
    8. Closure of beaches e.g: Tobago has closed beaches to control public gatherings
    9. Mandatory closures of bars, restaurants, casinos e.g: Jamaica, Trinidad & Tobago
    10. Restrictions on public visits at hospitals, polyclinics and geriatric hospitals e.g: Barbados, Trinidad & Tobago
    11. Temporary closures of schools and other educational institutions e.g: several Caribbean countries
    12. Declaration of state of emergency e.g: Haiti, Dominican Republic
    13. Imposition of curfew with penalties for non-compliance e.g: The Bahamas, Haiti

    B. Communication Policies

    1. Establishing dedicated COVID-19 hotlines e.g: several Caribbean countries
    2. Regular press briefings on the status of the outbreak in the country and measures being taken e.g: Barbados
    3. Public service announcements/campaigns e.g: many Caribbean governments are running public service announcements on respiratory hygiene and social distancing

    C. Social and Economic Policies

    1. Stimulus package e.g: the Government of Barbados, which is currently undergoing an IMF-sanctioned adjustment programme, announced a BBD $20 million stimulus package to assist people and businesses impacted by the outbreak. The Jamaica government has also outlined a JAM $25 billion fiscal stimulus package.
    2. Tapping into disaster funds e.g: Cayman Islands has tapped into its National Disaster Fund to set aside $3 million for its COVID-19 response.
    3. Anti-price gouging policies e.g: Barbados has instituted a COVID-19 basket of goods
    4. Additional benefits for affected workers, such as extending the period of non-certified sick leave and increasing the duration period of unemployment benefits e.g: Barbados
    5. Providing assistance to affected families and small businesses e.g: increasing welfare cheques and recapitalising funds for assisting businesses
    6. Enlisting private sector and civil society support
    7. Reinstatement of standpipes e.g: Dominica
    8. Efforts to stimulate local food production e.g: The British Virgin Islands has set aside $2 Million to stimulate local food production and assist fisherfolk under its stimulus package “The Rapid Response Fishing and Farming Production Programme”.

    D. Providing external assistance to other affected countries

    Cuba has reportedly sent 144 health care workers to assist affected countries.

    This article will be updated periodically .

    Alicia Nicholls, B.Sc., M.Sc., LL.B., is an international trade and development consultant. You can also read more of her commentaries at www.caribbeantradelaw.com and follow her on Twitter @LicyLaw.

    DISCLAIMER: All views expressed herein are her personal views and do not necessarily reflect the views of any institution or entity with which she may be affiliated from time to time.

  • Caribbean Trade & Development News Digest – March 15-21, 2020

    Caribbean Trade & Development News Digest – March 15-21, 2020

    Welcome to the Caribbean Trade & Development News Digest for the week of March 15-21, 2020! We are happy to bring you the major trade and development headlines and analysis from across the Caribbean Region and the world from the past week.

    THIS WEEK’S HIGHLIGHTS

    COVID-19

    Several Caribbean countries are now among those well over 100 countries worldwide which have reported cases of COVID-19. Globally, cases have reached over 200,000 while Italy has overtaken China’s death toll.

    Caribbean governments’ policy responses to mitigate the human and economic impact of COVID-19 have varied. Read more about Caribbean governments’ COVID-19 policy measures in my latest article here: COVID-19: How have Caribbean governments responded so far?

    CARICOM Agricultural Ministers met 19 March 2020 to chart a COVID-19 food and nutrition security and availability response.

    CCJ delivers first Advisory Opinion

    On March 18, the Caribbean Court of Justice (CCJ) has released its first Advisory Opinion. Among other things, the Court has opined that freedom of movement of skilled nationals is a ‘fundamental objective’ of the Community, but that the opt-out granted by the Conference of Heads of Government to two Member States (Antigua & Barbuda and St. Kitts & Nevis) from the enlargement decision of Feb 2019 extending freedom of movement to security guards and agricultural workers is not prejudicial to this fundamental objective. Read more about the Advisory Opinion here.

    REGIONAL

    Cuba and China send aid and doctors around the world in fight against Covid-19

    Morning Star: China and Cuba continued to lead the global fight against the coronavirus pandemic today. Read more

    New CARICOM/ private sector body formed

    Barbados Today: A new CARICOM/Caribbean private sector organization has been established to facilitate the planning processes of the Caribbean Community (CARICOM), and to help with implementing some of the various initiatives under the CARICOM Single Market and Economy (CSME). Read more

    Barbados PM rolls out COVID-19 economic plan

    Nation News: Prime Minister Mia Amor Mottley last night rolled out several initiatives expected to help Barbados keep its head above water in the battle with the Covid-19 pandemic. Read more

    Major losses, tourism business slumps in Barbados

    Barbados Today: Hoteliers are reeling from cancellations and no-shows from the COVID-19 pandemic, with millions of dollars in losses, some attractions reporting up to 70 per cent decline in business and others facing possible closure, tourism officials and executives said today. Read more

    JSE Roiled By Virus As Investors Head For Safe Haven

    Jamaica Gleaner: Jamaican stocks suffered another collapse on the first day of a government shutdown Wednesday as a virus-containment strategy, then clawed back a tiny portion of those losses on Thursday. Read more

    Business Continuity Insurance Not On Offer – It’s Too Difficult To Price, Says IAJ Spokesman

    Jamaica Gleaner: Business continuity insurance will not cover Jamaican companies in the event of losses arising from the effects of the COVID-19 coronavirus. That’s the word from the general insurance sector, while businesses contemplate the likely fallout from forced absence and low productivity as they scale back to mitigate the spread of the virus. Read more

    Entire closure of Jamaica’s tourism industry due to COVID 19

    Jamaica Observer: Tourism Minister Edmund Bartlett is admitting that the entire tourism industry in Jamaica is facing imminent closure given the travel restrictions on many of its source markets as well as local containment and restriction protocols. Read more

    INTERNATIONAL

    Coronavirus: E.U. announces sweeping ban on most nonessential incoming travel

    NBC: “We need to do more to reduce huge pressure on our health care system,” said Ursula von der Leyen, the European Commission president. Read more

    COVID-19 Pandemic and Latin America and the Caribbean: Time for Strong Policy Actions

    IMF Blog: COVID-19 is spreading very quickly. This is no longer a regional issue—it is a challenge calling for a global response. Countries in Latin America and the Caribbean have been hit later than other regions from the pandemic and therefore have a chance to flatten the curve of contagion. Read more

    Statement on COVID-19 economic policy response

    EU: Following up on the videoconference on 10 March 2020 between European Council Members, as well as the ECB President, the Eurogroup President and the High Representative, the Eurogroup held an in-depth discussion today, together with non-Euro Area Members, on how to respond to the extraordinary human and economic crisis caused by the Corona virus. Read more

    Majority of Britons support extending Brexit transition period amid coronavirus outbreak, new poll shows

    The Independent: The majority of Britons want the Brexit transition period to be extended after negotiations were put on ice due to the coronavirus outbreak, a new poll shows. Read more

    World Bank Group Increases COVID-19 Response to $14 Billion To Help Sustain Economies, Protect Jobs

    World Bank: The World Bank and IFC’s Boards of Directors approved today an increased $14 billion package of fast-track financing to assist companies and countries in their efforts to prevent, detect and respond to the rapid spread of COVID-19. Read more

    Kenya, US start talks on trade agreement

    Business Daily: The US trade department has started negotiations on comprehensive trade agreement with Kenya in a move that will extend Kenya’s preferential access after the current deal ends in 2025. Read more

    Turkey challenges EU steel import curbs at WTO

    Daily Sabah: Turkey has launched a legal challenge at the World Trade Organization (WTO) against an EU-imposed curb on steel imports after the effective closure of the U.S. market. Read more

    U.S. to boost tariffs on Airbus planes Wednesday, adding pressure on airlines

    Reuters: The United States is expected to increase U.S. tariffs on Airbus planes by 50% on Wednesday, U.S. and European officials say, dealing a further blow to U.S. airlines already hammered by sharp drops in travel due to the coronavirus pandemic. Read more

    Japan Wants WTO Panel on India’s Smartphone Tariffs

    Nippon: The Japanese government Thursday asked the World Trade Organization to set up a dispute settlement panel over India’s tariffs on smartphones and some other electronic products. Read more

    STRAIGHT FROM THE WTO

    NEW ON THE CTLD BLOG

    The Caribbean Trade & Development Digest is a weekly trade news digest produced and published by the Caribbean Trade Law & Development Blog. Liked this issue? To read past issues, please visit here. To receive these mailings directly to your inbox, please subscribe to our Blog below: