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  • Caribbean Trade and Development News Digest – June 20 – 26, 2021

    Caribbean Trade and Development News Digest – June 20 – 26, 2021

    Welcome to the Caribbean Trade and Development News Digest for the week of June 20-26, 2021! We are pleased to bring you the major trade and development news headlines and analysis from across the Caribbean Region and the world from the past week.

    THIS WEEK’S HIGHLIGHTS

    According to the World Trade Organization (WTO), first quarter 2021 global merchandise trade “continued to bounce back from its collapse earlier in the pandemic, but the pace of recovery has diverged strongly across countries and regions.” Read more here.

    In its latest World Investment Report (2021) released this week, UNCTAD revealed that “foreign direct investment flows plunged globally by 35% in 2020 to $1 trillion, with fall heavily skewed towards developed economies, where FDI fell by 58%. UNCTAD predicts a recovery in 2021, but uncertainty remains. Read the full report here.

    The UK and CPTPP nations will formally commence negotiations for the UK’s accession to that trading bloc. Read more here.

    The Financial Action Task Force (FATF) held its June meetings this week. Among the outcome documents, Barbados, Jamaica, and Cayman Islands remain on its list of jurisdictions subject to increased monitoring (the FATF greylist) and Haiti was added. This and other outcome documents from the June meetings may be accessed here.

    IFC Review’s Big Debate on “Is the G7 tax initiative another form of economic colonialism”?

    I’m delighted to have been one of the contributors to IFC Review’s Big Debate on “Is the G7 tax initiative another form of economic colonialism?” Read the varying reflections of myself and others on this topic here.

    REGIONAL NEWS

    Local content requirements not restrictive to CARICOM investment

    South Florida Caribbean News: The requirements for certain levels of local content involvement in investment and development projects in Guyana should not in any way negatively impact investment by businesses from CARICOM member states which want to do business with its South American sister CARICOM member state. Read more

    Grenada’s Prime Minister spearheads CARICOM engagement with Telecoms Providers on removal of Roaming Charges

    CARICOM: Grenada’s Prime Minister, Dr. the Right Honourable Keith Mitchell is spearheading a CARICOM initiative to eliminate roaming charges for Caribbean nationals traveling within the region. Read more

    Haiti, Other CARICOM Member States on Allocation Plan for Second Tranche of Vaccines From US

    CARICOM: Haiti, and other CARICOM Member States are among countries that will receive vaccines from the 55 million doses that the United States will share through the COVAX Facility. The doses are the remainder of the 80 million that President Joe Biden had pledged to allocate by the end of June. Earlier in the month, the US had indicated its allocation plan for the first 25 million doses to be shared globally. Read more

    CDB president wants Caribbean institutions to advance regional development agenda

    Jamaica Observer: President of the Barbados-based Caribbean Development Bank (CDB), Dr Gene Leon, has proposed the formation of a regional action group, combining the strengths and capacity of key regional institutions to drive the Caribbean’s economic and social development agenda. Read more

    Cement shortage in Grenada

    Nation News: Grenada is seeking permission from the Caribbean Community (CARICOM) Council for Trade and Economic Development (COTED) to be allowed to import cement from outside of the region because the main supplier in Trinidad and Tobago is not exporting product because of reduced business activities linked to containing and controlling the spread of coronavirus (COVID-19) in the neighbouring CARICOM country. Read more

    Approximately 500 head of cattle to be exported from Belize to Mexico next week

    BBN: Next week Belizean cattle farmers will be exporting approximately 500 head of cattle to Mexico as formal cattle exports to the neighboring countries continue and as the government negotiates a partial-scope agreement with Mexico. Read more

    National strategy for commodities, especially sugar, recommended

    Demerara Waves: An International Labour Organisation (ILO)-supported study on the impact of the closure of four of Guyana’s sugar estates has recommended the crafting of a strategy to withstand market volatility of commodities and gear up the sugar industry to invest in ethanol production. Read more

    Barbados making a case for keeping corporate tax rate amid global move

    Barbados Today: Barbados is mounting a case against the introduction of a global minimum corporate tax rate that would see the island having to almost triple its current rate and lose its status as a low-tax jurisdiction. Read more

    Senator Adams: Choose to respond positively

    Barbados Advocate: One Barbados government senator believes Barbados can still profit from the international business sector regardless of the stipulations being imposed by the European Union and other international organisations. Read more

    Association of Jamaicans in China Continues to Provide Support

    JIS: Minister of Foreign Affairs and Foreign Trade, Senator the Hon. Kamina Johnson Smith, says the Association of Jamaicans in China will continue to be leveraged as an outreach mechanism, which complements the Diplomatic Mission, to serve nationals residing in the Asian country. Read more

    Honorary Investment Advisor appointed for Toronto, Canada

    JIS: JAMPRO and the Ministry of Foreign Affairs and Foreign Trade (MFAFT) have officially appointed Mr. Jerrold Johnson to be Jamaica’s Honorary Investment Advisor (HIA) for Toronto, Canada. Johnson will work to promote Jamaican investment opportunities in Toronto and will facilitate business connections to attract investment to Jamaica. Read more

    Gov’t Provides Greater Safeguards For Brand Jamaica

    JIS: The Government is providing greater safeguards for brand Jamaica on the international marketplace through passage of amendments to the Trade Marks Act in the House of Representatives on Tuesday (June 1). Read more

    Global Jamaica Diaspora Councils Operationalised

    JIS: The Global Jamaica Diaspora Council and the Global Jamaica Diaspora Youth Council have been operationalised following the establishment of working groups and the preparation of a programme to guide their work. Read more

    INTERNATIONAL NEWS

    WTO to hold key meeting of trade ministers on July 15 over fisheries subsidies

    Business Today: The aim is to conclude the negotiations soon and after that, a text is finalised so that an agreement on fisheries can be reached in the forthcoming ministerial meet of WTO in December in Geneva. Read more

    UK begins talks to join Asia-Pacific CPTPP trade treaty

    The Guardian: The UK is beginning negotiations to join a free trade alliance with Asia-Pacific countries, a key part of its attempts to pivot trade away from Europe after Brexit. Read more

    Brexit: Irish fishing fleet stages protest over EU-UK trade deal

    BBC: People working in the Irish fishing industry are protesting at Dublin Port over the impact of the Brexit deal. Read more

    What’s behind China’s anti-dumping complaint against Australia at the World Trade Organization?

    ABC (Australia): On Thursday, China’s government suddenly announced it would raise a dispute at the World Trade Organization (WTO) against Australian anti-dumping duties on three of its exports. Read more

    Building business engagement ahead of the WTO’s 12th Ministerial Conference

    ICC: ICC joined business leaders and World Trade Organization (WTO) Ambassadors to discuss and exchange ideas on ensuring the equitable distribution of COVID-19 vaccines. Read more

    WTO head says South Africa, Senegal, Rwanda and Nigeria considered as vaccine production hubs

    Reuters: Africa is working with the European Union and other partners to help create regional vaccine manufacturing hubs in South Africa, Senegal and Rwanda, with Nigeria under consideration, World Trade Organization Director-General Ngozi Okonjo-Iweala said. Read more

    Global minimum tax faces ‘long and rocky path’ to implementation after G20 endorsement

    SCMP: A new global minimum corporate tax could take up to five years to come into effect if endorsed by the Group of 20 (G20), with countries such as India likely to be beneficiaries, tax consultants say. Read more

    Taiwan, U.S. to hold long-stalled trade talks next week

    Reuters: Taiwan and the United States will hold trade talks next week, the de facto U.S. embassy in Taipei said on Friday, resuming long-stalled discussions as Washington seeks to deepen its support for the Chinese-claimed island. Read more

    Scotch whisky tariffs suspended in UK-US trade deal

    BBC: The Scotch whisky industry has welcomed the suspension of US tariffs on its products after the UK and US resolved a long-running trade row over subsidies given to Airbus and Boeing. Read more

    U.S. trade nominee urges ‘robust monitoring’ of aircraft subsidy truce with EU

    Reuters: The United States must carry out “robust monitoring” of its five-year truce with the European Union in a 17-year battle over aircraft subsidies, Jayme White, President Joe Biden’s nominee to serve as deputy U.S. Trade Representative, said on Thursday. Read more

    U.S. trade boss Tai: We will not incentivize firms to move jobs overseas

    Reuters: The Biden administration said on Monday it was working closely with the United Autoworkers union in pressing Mexico to probe alleged labor rights violations at a General Motors Co (GM.N) plant in that country, and vowed to fight for a worker-focused trade policy. Read more

    China slams‘bandit-like’ US over trade restrictions on Xinjiang firms

    SCMP: China on Friday hit out at a “bandit-like” US government after Washington banned imports of solar panel materials from a Chinese company and placed trade restrictions on four others for alleged use of forced labour in Xinjiang. Read more

    Economy Minister says Brazil has “major problem” with Argentina in MERCOSUR negotiations

    The Rio Times: The Minister also complained that international criticism of Brazil, supposedly for environmental issues, is really motivated by protectionism. Read more

    Chemical industry calls for current MERCOSUR rules to be respected in TEC revision

    The Rio Times: The joint document expresses concerns of domestic chemical firms in Brazil, Argentina, and Uruguay, which fear competition from abroad if tariffs are reduced. Read more

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  • SDG Index 2021: How did Caribbean countries perform?

    SDG Index 2021: How did Caribbean countries perform?

    Photo credit: The United Nations

    Alicia Nicholls

    The novel coronavirus (COVID-19) pandemic has been a significant setback for countries’ achievement of the 17 United Nations Sustainable Development Goals (SDGs) and their 169 targets. This was one of the main takeaways from the virtual launch of the Sustainable Development Report 2021: The Decade of Action for the Sustainable Development Goals on June 14.

    Released annually, the Sustainable Development Report is a key resource for tracking countries’ progress towards achievement of the SDGs which are part of the 2030 Agenda for Development agreed to by UN Member States, including those in the Caribbean, in 2015. The goals are ambitious, balancing all three elements of sustainable development: economic, social and environmental. Countries agree to achieve these goals by 2030 and this decade has been declared the ‘Decade of Action’ for the SDGs.

    A country’s rank on the SDG Index is determined by its overall score. This overall score measures a country’s total progress towards achieving all 17 SDGs, with a score of 100 being a perfect score, that is, complete achievement of all 17 SDGs. The score can be interpreted as a percentage of SDG achievement. The report also contains dashboards showing countries’ trends on the individual goals, subject to data availability.

    Top performers globally

    This year’s report ranked 165 countries. Overall, member states of the Organisation for Economic Cooperation and Development (OECD) are nearer to achieving the targets than any other country group, according to the Report. Finland tops the SDG Index 2021 with an overall score of 85.90, followed by Sweden, Denmark, Germany and Belgium to round out the top 5 performing countries. However, no country in the world has a perfect score nor is on track for achieving all the goals by 2030.

    Bangladesh has registered the most progress towards SDG achievement, followed by Afghanistan and Cote d’Ivoire. Indeed, East  and South Asia was revealed to be the region which has progressed the most on the SDGs. Brazil, Venezuela and Tuvalu were the countries which registered the most marked declines.

    Caribbean countries’ performance

    Many SIDS, including from the Caribbean, are not ranked on the SDG Index due to insufficient data. For those Caribbean countries ranked, Cuba was the highest with a rank of 49 followed by the Dominican Republic (67). Among countries of the Caribbean Community (CARICOM), Jamaica is the highest ranked at 81 out of 165 countries and a score of 69, a modest improvement from its score of 68.7 on the 2020 index.

    Jamaica is followed in rank by Barbados (83), Suriname (91), Belize (104), Trinidad & Tobago (108), Guyana (128) and Haiti (150). Jamaica and Barbados were the only two CARICOM countries to see an improvement in their overall score compared to 2020 levels. Suriname, Belize, Trinidad & Tobago, Guyana and Haiti saw declines in their overall scores towards SDG progress.

    Country profiles are however included even for those countries which are unable to be ranked on the index due to data shortages.

    Some key take-aways from the report

    The authors described 2020 as a ‘major setback for sustainable development’. For the first time since the SDG Index has been published, there has been a global decline in goal achievement driven in great part by an increase in extreme poverty and unemployment largely as a result of the COVID-19 pandemic.

    The report noted that there remains a gap between countries’ SDG commitments and implementation/mainstreaming. This must be addressed if the goals are to be achieved by 2030. The Report called for strong multilateral action to make the ‘Decade for Action’ count.  The authors further pointed to the need for a significant increase in fiscal space, global tax reform and expanded financing by multilateral development banks and debt relief to restore SDG progress in developing countries.

    The Report also contained a 2021 International Spillover Index which demonstrated how rich countries can generate negative socioeconomic and environmental spillovers undermining poorer countries’ ability to mobilise the financial resources needed to achieve the SDGs. Indeed, it highlighted how unsustainable trade and supply chains and tax havens and profit shifting in many rich countries undermine other countries’ ability to mobilize needed financial resources to achieve the SDGs.

    The report was prepared by teams of independent experts at the Sustainable Development Solutions Network (SDSN) and the Bertelsmann Stiftung and was authored by Jeffrey Sachs, Christian Kroll, Guillaume Lafortune, Grayson Fuller and Finn Woelm.

    The full SDG Report 2021 may be accessed here.

    Alicia Nicholls, B.Sc., M.Sc., LL.B. is a trade and development consultant with a keen interest in sustainable development, international law and trade. All views herein expressed are her personal views and should not be attributed to any institution with which she may from time to time be affiliated. You can read more of her commentaries and follow her on Twitter @LicyLaw.

  • What might a global minimum corporate tax mean for Caribbean International Financial Centres (IFCs)?

    What might a global minimum corporate tax mean for Caribbean International Financial Centres (IFCs)?

    Image by Gerd Altmann from Pixabay 

    Alicia Nicholls and Tammi Pilgrim

    Finance ministers of the world’s seven richest democracies (the Group of 7 or G7) have committed to an “at least 15%” global minimum corporate income tax (CIT) rate. This decision in principle has been lauded as a ‘landmark’ deal to ensure big multinational corporations (MNCs) pay their ‘fair share’ of tax. While the details of the proposed tax are still unknown, the decision, if implemented, could potentially have non-negligible implications for no-tax or low-tax jurisdictions globally. This article provides our initial reflections on what this development might possibly mean for Caribbean international financial centres (IFCs), including Barbados.

    What does a global minimum CIT entail?

    The global minimum CIT would require a corporation from a country which implements this floor (the “home country”) to pay taxes on its profits at this particular rate, even if those profits are declared overseas, such as in a lower-tax jurisdiction. It works as a “top up” tax, where the corporation’s home country (Country A) could charge the difference between the tax rate the corporation paid in the lower-tax jurisdiction (Country B). That undermines any advantage of shifting to a lower-tax jurisdiction.

    The idea of a global minimum CIT is not new. The introduction of common global minimum tax rules is presently part of Pillar 2 of the Organisation for Economic Cooperation and Development (OECD) Base Erosion and Profit Shifting (BEPS) Initiative which aims to stop corporations from exploiting gaps and mismatches in countries’ tax systems to avoid taxes.

    Why is this being proposed?

    Fundamentally, this worldwide minimum CIT seeks to discourage MNCs from moving profits to countries with low CIT rates in order to avoid paying the higher CIT imposed by their home countries. This inevitably results in reduced tax revenue for the home country.

    The OECD argues that “BEPS practices cost countries $US 100-240 billion in lost revenue annually, which is the equivalent to 4-10% of the global corporate income tax revenue”. Large countries, especially certain high tax European countries like France and Germany, blame this tax competition for the erosion of their tax bases and point to the higher rates paid by small businesses and the ordinary taxpayer. However, very little is said about the tax codes of these large countries which generally allow this ‘inequity’ to occur, by permitting corporations to take advantage of various tax loopholes. It also discounts the legal principle espoused by many common law jurisdictions, allowing taxpayers to legitimately arrange their affairs to minimize tax liability.

    Under the Trump Administration’s massive tax reform done pursuant to the Tax Cuts and Jobs Act of 2017, the US statutory CIT rate was lowered from one of the highest in the world at 35% to in the mid-range (21%). However, the Biden Administration initially sought to raise the statutory CIT rate to 28% to help finance its ambitious $2 trillion dollar infrastructure plan to stimulate the US economy. Therefore, the implementation of a global minimum CIT gained renewed traction in April 2021, when US Secretary of the Treasury Janet Yellen called for such a tax at a rate of 21%.

    This “call to action” was enthusiastically greeted by many European countries, the Organisation for Economic Cooperation and Development (OECD) and the International Monetary Fund (IMF). Perhaps not surprisingly, it has not received a similarly enthusiastic response in the Republic of Ireland, which has a CIT rate of 12.5% and is home to the European headquarters of US tech behemoths Apple, Facebook and Google.

    How does this impact Caribbean IFCs?

    Many countries, including Caribbean IFCs, have traditionally attracted foreign direct investment thanks in part to lower CIT rates. Among Caribbean IFCs, there are ‘no-tax’ jurisdictions like the Bahamas and the British Overseas Territories of the Cayman Islands, the British Virgin Islands (BVI) and Bermuda which charge no personal or corporate income tax. Then there are ‘low-tax’ jurisdictions, like Barbados, whose CIT rate (1% – 5.5%) is now the lowest in the world.

    These countries are now at risk of losing that business and the benefits that come along with it, as the global minimum CIT might act as a disincentive for companies to stay in no/low tax jurisdictions. While empirical data is limited, the global or international business sector is an important source of foreign exchange and direct employment in the Caribbean, while also providing spill-over benefits through skills transfer, corporate rental income and being a vital income source for corporate services providers. Corporate tax receipts from the global business sector comprise the lion’s share of Barbados’ CIT revenues and have proven resilient even in the face of the COVID-19 pandemic. Any negative impact on the global business sector at this time could inflict even greater economic devastation on these countries’ vulnerable economies.

    Aside from the potential loss of business and tax revenues, Caribbean IFCs may also be exposed to significant international pressure (including reputational damage) to conform to the global norm. Although the ability to levy taxes is a sovereign right flowing from statehood, Caribbean IFCs would not be unreasonable to fear they might be strong-armed into adopting the global minimum CIT rate through tactics such as blacklisting or denying corporations from receiving deductions on income earned in a jurisdiction which has not adopted the minimum CIT.

    Barbados, for example, lowered its CIT rate from 30% to the current low rate in response to the OECD’s allegations of ring-fencing, since international business companies (now abolished) then enjoyed a lower CIT rate than that imposed on domestic companies. Barbados also passed significant economic substance legislation requiring companies to demonstrate that they are carrying on their core income generating activities in the countries in which they declare profits. This has made it even harder for jurisdictions to compete for investment simply on tax rate.

    Finally, Caribbean IFCs following these developments might find it increasingly necessary to pivot to alternative methods of boosting their investment appeal. Indeed, a look at Invest Barbados’ “why Barbados” page reveals that Barbados has increasingly based its value proposition on non-tax factors, including facilitating businesses of substance, its human resources, lifestyle and tax treaty network

    Barbados’ response to this latest initiative seeks to attract more businesses to headquarter here where they would be taxed as Barbados companies. As stated by Advisor to the Barbados Government, Professor Avinash Persaud, at a recent business forum “America and the UK may decide to have a global minimum tax rate… they can decide how they tax a Barbadian subsidiary of a British company, but they cannot determine how they tax a Barbados-headquartered company. So we need to bring these companies to Barbados to do real business in Barbados and be headquartered here”.

    What happens next?

    The commitment in principle by G7 countries on a global minimum CIT is a major decision, but not yet a ‘fait accompli’. Talks will continue in the Group of 20 (G20) and OECD with the aim to reach a consensus by July. However, the fact that the G7 communique utilizes the wording “at least 15%” speaks to possible disagreement, even among proponents, on whether the rate should indeed be 15% or even higher. There are, of course, other issues that are yet to be resolved, such as to which companies would this tax be applicable.  

    Since the G7’s announcement, further dissension has come to light. The City of London (UK), as well as Hungary and Poland, have signalled their intention to seek carve outs (from the global minimum CIT rate) for financial services companies and income derived from a company’s substantive activities within a jurisdiction, respectively. It is possible that such exemptions might be necessary in order to achieve international consensus.

    The issues raised by the introduction of a global minimum CIT rate are complex. They bring sharply into focus the friction between the competing needs of a home country (to retain tax revenue) versus those of another country (to attract foreign direct investment), usually with the shared aim of promoting their own development and achieving their respective economic and social goals. Without doubt, therefore, the issue of MNCs paying their “fair share” in taxes is one which needs to be addressed multilaterally. However, arguably, this discussion should be occurring in a forum like the United Nations where all the world’s countries – big and small, developed and developing – are at the table, to avoid the perception that rich countries are setting the rules, changing them at will and moving goal posts, based on their own narrow political interests and economic exigencies.  

    Moreover, as too often happens, in seeking to go after the ‘big fish’, it is the little ones – small IFCs – which will likely feel the brunt of any economic fall-out. Caribbean IFCs should, therefore, strategize on how best to tackle this latest onslaught. One possibility might be to join forces with other similarly situated IFCs internationally, to voice objection to this proposal and demand a seat at the table. As Barbados is currently doing, they must also implement alternative strategies to attract investment if this latest proposal achieves ‘global’ agreement.

    Alicia Nicholls, B.Sc., M.Sc., LL.B. is an international trade consultant and founder of www.caribbeantradelaw.com. Tammi C. Pilgrim is an Attorney-at-Law, specializing in resolving commercial disputes by arbitration, litigation and mediation. She is the lead partner for arbitration at Lex Caribbean, Barbados, and is admitted to practice in Barbados, St. Lucia, New York and St. Kitts and Nevis. The views expressed in this article are solely those of the authors and do not necessarily represent the views of any entities with which they might be affiliated.

    This article also appeared in the Barbados Business Authority (Barbados’ leading business magazine) and Barbados Today.

  • Caribbean Trade and Development News Digest – June 6 – 12, 2021

    Caribbean Trade and Development News Digest – June 6 – 12, 2021

    Welcome to the Caribbean Trade and Development News Digest for the week of June 6-12, 2021! We are pleased to bring you the major trade and development news headlines and analysis from across the Caribbean Region and the world from the past week.

    THIS WEEK’S HIGHLIGHTS

    Lots of interesting developments happened this week. Where do we start? Leaders of the Group of Seven (G7) are meeting in Cornwall, United Kingdom (UK) on June 11-13, for their first in-person G7 summit since the start of the COVID-19 pandemic. Among the decisions so far has been a declaration on pandemics and a commitment to increase climate change finance contributions.

    Ahead of the Summit, US President Joe Biden and UK Prime Minister Boris Johnson agreed on a New Atlantic Charter covering US-UK bilateral and multilateral cooperation in a number of areas, including climate change and security. Access the new document and the Joint Statement by the two leaders here.

    Rebeca Grynspan of Costa Rica has been chosen to be the new head of UNCTAD, becoming the first Central American to hold the position and the first woman appointed. She will take over from interim SG Isabelle Durant. Read more here

    According to a WTO press release, WTO members have moved closer to a text-based process to address the proposals put forward by delegations aimed at improving the international response to COVID-19 and to providing equitable access for COVID-19 vaccines and medical supplies. Read here.

    US Trade Representative (USTR) Ambassador Katherine Tai outlined the Biden Administration’s “Worker-Centred Trade Policy”. Read her full remarks doing so here.

    Post-Brexit relations between the UK and the European Union (EU) remain tense as the latter has fired a warning that it would react swiftly if the UK acted alone to change post-Brexit trading arrangements for Northern Ireland. Read the full story here.

    Articles on the Proposed Global Minimum Corporate Income Tax

    I was pleased to co-author an article with Tammi Pilgrim entitled “What might the proposed global minimum corporate income tax mean for Caribbean International Financial Centres (IFCs)?”. I thank the Barbados Business Authority (the leading business magazine in Barbados) and Barbados Today for publishing.

    I also highly recommend Bruce Zagaris’ excellent recent article for Tax Notes on this same issue here.

    REGIONAL NEWS

    Caricom concerned about G7 tax initiative

    Jamaica Observer: Caribbean Community (Caricom) Secretary General Irwin LaRocque says Caribbean countries must be “concerned about the soundings” being made by the Group of Seven (G7) nations that last week announced a landmark deal that could help countries collect more taxes from big companies and enable governments to impose levies on United States tech giants such as Amazon and Facebook. Read more

    There could be greater achievements, says CARICOM SG

    Jamaica Observer: Outgoing Caribbean Community (Caricom) Secretary General Irwin LaRocque is suggesting that “another mechanism” be utilised in getting member countries to greater strengthen their existing cooperation and collaboration for the future development of the region. Read more

    Irwin LaRocque recommends other mechanism for quicker implementation of CARICOM decisions

    Dominica Online: Outgoing Secretary-General of the Caribbean Community (CARICOM), Ambassador Irwin LaRocque is proposing that another mechanism be put in place to speed up the implementation of decisions for greater achievement among countries in the region. Read more

    Campbell to CARICOM: Build resilience at front end of all future planning

    EyeWitness News: If the global COVID-19 Pandemic has taught regional countries one lesson, it would be the need for regional planners to place greater focus on building resilience at the front end of all future planning to create sustainable, preventative programmes for potential crises. Read more

    Tobacco sector generates more than 110,800 jobs in the Dominican Republic

    Dominican Today: Of the 15 products leading the Dominican Republic’s total exports during 2021, tobacco (or cigars) ranks second, trailing only gold, according to data published by the Dominican Republic’s Export and Investment Center (ProDominicana). Read more

    The US continues as the DR’s main export destination

    Dominican Today: According to data published by the Center for Exportation and Investment of the Republic Dominicana, of the 15 products that lead the total exports of the Dominican Republic during 2021, tobacco (or cigars) occupies second place, only remaining below gold (ProDominicana). Read more

    Cuba suspending cash bank deposits in dollars, citing U.S. sanctions

    Reuters: Cuba said on Thursday it would temporarily stop accepting cash bank deposits in dollars, blaming tighter U.S. sanctions that are restricting its ability to use greenbacks abroad, although it will still accept transfers. Read more

    Cuba: locally-made disposable face masks to be sold

    OnCuba: The distribution of Cuban masks will begin with health workers, while their commercialization will be carried out in establishments in freely convertible currency and in others in Cuban pesos (CUP) “at very affordable prices.” Read more

    Dominica Signs Agreement To Begin Construction Of International Airport

    News 784: A monumental signing for the Commonwealth of Dominica’s international airport took place at Windsor Park Stadium on Wednesday. The agreement saw the Government of Dominicaand Montreal Management Consultants (MMCE) move one step closer to the development and construction of the airport. Read more

    GOB Optimistic that Belize will see an Increase in Exports to Guatemala

    LoveFM: Following the formalities between the leaders and delegations for Belize and Guatemala, the official discussions began with one of the main topics being the idea of a partial scope agreement. Read more

    Antigua calls for tax cuts in airline ticket prices in region

    Jamaica Observer: Antigua and Barbuda Prime Minister Gaston Browne says the novel coronavirus pandemic has provided Caribbean governments with the opportunity to implement tax cuts for airline tickets across the region. Read more

    52nd meeting of COTED: emerging issues on regional affairs

    Jamaica Gleaner: The Council for Trade and Economic Development (COTED) of the Caribbean Community (CARICOM) held its 52nd session virtually on June 1-2. It was chaired by Jamaica’s Minister of Foreign Affairs and Foreign Trade, Senator Kamina Johnson Smith. Read more

    Vietnam, Barbados examine ways to step up bilateral cooperation

    VoV: Vietnamese Ambassador to Venezuela, and Barbados Le Viet Duyen on June 3 had an online meeting with Permanent Secretary of the Ministry of Foreign Affairs and Foreign Trade of Barbados Simone Rudder to discuss bilateral cooperative ties between the two countries. Read more

    INTERNATIONAL NEWS

    No movement: UK, EU show little sign of defusing post-Brexit row

    CNBC: Britain and the European Union showed little sign of defusing a post-Brexit trade dispute on Saturday, with both sides repeating their opposing positions even after U.S. President Joe Biden encouraged them to find a compromise. Read more

    ‘Whatever it takes’, UK’s Johnson warns EU over post-Brexit trade

    Reuters: Britain will do “whatever it takes” to protect its territorial integrity in a trade dispute with the European Union, Prime Minister Boris Johnson said on Saturday, threatening emergency measures if no solution was found. Read more

    Figures show Brexit continues to depress trade with EU

    Independent: Brexit is continuing to depress UK trade with the EU, with total imports and exports of goods in the first four months of this year down by a quarter compared to 2019, according to new official figures. Read more

    Ambassador Tai Outlined Biden’s Goal of Worker-Focused Trade Policy

    New York Times: The U.S. trade representative called for stronger worker protections in trade policy as the administration looks to curb the negative impact of globalization. Read more

    US, EU, and the unmaking of Donald Trump’s trade war

    DW: Brussels and Washington are expected to put an end to much of the trade tensions fueled by the former US president. DW takes a look at the various trade crises that have strained relations between the two allies. Read more

    EU in talks with US, UK on mutual recognition of COVID-19 travel certificates

    Euractiv: The European Commission is discussing with the United States and the United Kingdom the recognition of the COVID-19 travel certificate that will come into force in July in the EU, the European Commissioner for Justice has announced. Read more

    EU ministers approve strategy on climate change adaptation

    Euractiv: European Union environment ministers on Thursday (10 June) approved the EU’s new climate change adaptation strategy, which sets out a vision up to 2050 to make Europe resilient and “fully adapted to its inevitable impacts”. Read more

    UK-Africa Forum on Trade, Policy and Reform to examine the future of trade and avenues for policy reform

    Africa News: Invest Africa (www.InvestAfrica.com), a Pan-African business and investment platform, aims to build constructive dialogue between policy makers and business leaders from the UK and Africa during the Forum. James Duddridge MP, Minister for Africa, Emma Wade-Smith OBE, H.M. Trade Commissioner for Africa, and His Excellency Ken Ofori-Atta, Minister of Finance of the Republic of Ghana will feature in the programme. Read more

    WTO council offers hope for TRIPS vaccine proposal

    Devex: It has been more than eight months since South Africa and India’s delegations to the World Trade Organization tabled a proposal to waive intellectual property protections for COVID-19 vaccines and therapeutics. Yesterday, delegates to the global body’s Council for Trade-Related Intellectual Property Rights, or TRIPS, finally agreed to move to the next stage of text-based negotiations amid growing international support for some version of the waiver. Read more

    Argentina still resists drive to make Mercosur more flexible

    Mercopress: A top official from the Argentine Government spoke yet again against a bid from Brazil and Uruguay to make Mercosur more flexible and allow members to broker one-on-one deals with other countries or blocs. Read more

    Push to change Mercosur rules opens rift among members

    BNAmericas: The Mercosur trade bloc is confronting a rift among key members Argentina, Brazil, Paraguay and Uruguay over a potential rule change. Read more

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