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  • Caribbean Trade & Development Digest – October 6-12, 2019

    Caribbean Trade & Development Digest – October 6-12, 2019

    Welcome to the Caribbean Trade & Development News Digest for the weeks of October 6-12, 2019! 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.

    THE WEEK’S HIGHLIGHTS

    The WTO held its annual Public Forum. This year’s theme was ‘Trading Forward: Adapting to a Changing World’. The 2019 World Trade Report was also released.

    Commonwealth Trade Ministers met on October 10 and have called on world leaders to reject protectionism and reform the WTO. The communique may be read here.

    With just two weeks to go before the UK’s scheduled departure from the EU, Brexit talks between the UK and EU remain at a stalemate despite a weekend of intense negotiations. Read more

    REGIONAL NEWS

    EU slaps 5-year tariff on Trinidad & Tobago fertilisers

    Newsday: This follows a European Commission (EC) final ruling on October 8, based on a complaint by Fertilizers Europe in June last year, claiming TT, Russia and the US were dumping product, resulting in material injury to European producers. Read more

    Antigua drops demand for LIAT shares

    Barbados Today: In an abrupt move, Prime Minister Gaston Browne has declared that he has told Prime Minister Mia Mottley that Antigua and Barbuda has found $40 million to pump in LIAT and no longer wants to buy Barbados’ shares in the cash-strapped carrier, Antigua Newsroom has reported. Read more

    Caribbean trade ministers want end to protectionist policies, reform of WTO

    Jamaica Observer: Caribbean Community (Caricom) trade ministers have joined their counterparts from the Commonwealth in calling for an end to trade protectionism and an urgent reform of the World Trade Organisation (WTO), which sets the global rules for international trade. Read more

    Barbados Car imports feel ASYCUDA pinch

    Barbados Today: The inability to clear vehicles at the Bridgetown Port as a result of issues with the ASYCUDA World system is threatening to put the brakes on Barbados’ largest importer of electric vehicles. Read more

    Drought lands “major blow,” but CARICOM and Belize sugar will be protected

    Breaking Belize News: Last week key sectors of agriculture and aquaculture along with trade from across the Caribbean met in Belize simultaneously for a full week. Read more

    CARICOM countries on alert for major diseases affecting pigs and bananas

    Breaking Belize News: A pair of deadly diseases poses imminent risk to two key industries, according to the Council for Trade and Economic Development (COTED), which wrapped up its meeting in Belize on Friday. Read more

    Health Minister Highlights Negative Effects Of Illicit Trade In Tobacco Products

    JIS: Minister of Health and Wellness, Dr. the Hon. Christopher Tufton, says the growing illicit trade in tobacco products is a clear and present danger to public health in the Caribbean and the rest of the world. Read more

    Jamaica Competitiveness Ranking Dips

    Jamaica Gleaner: Jamaica, which suffers from high crime and lack of export-led growth, slipped by one spot in competitive rankings, according to the Global Competitiveness Report 2019, published this week by World Economic Forum, or Weforum. Read more

    TTCSI welcomes 2020 Budget incentives for export businesses

    LoopTT: Government’s prioritisation of the expansion of exports has found favour with the Trinidad and Tobago Coalition of Services Industries (TTCSI). Read more


    INTERNATIONAL NEWS

    RCEP trade ministers’ talks end in impasse

    Financial Express: No joint statement will be issued, as certain key issues are yet to be resolved, even after two days of intense negotiations on October 11 and 12, according to one of the sources. Read more

    Staying out of RCEP trading bloc will only isolate India: Piyush Goyal

    Livemint: In a clear indication of India’s intentions ahead of the final ministerial meeting of the Regional Comprehensive Economic Partnership (RCEP) grouping on Saturday, trade minister Piyush Goyal on Thursday defended the free trade agreement among the 16 economies, holding that India cannot remain isolated in a globalized world. Read more

    Asean nations to exchange trade documents via ASW by year-end

    Business Mirror: The Philippines and seven other members of the Association of Southeast Asian Nations (Asean) will exchange customs and trade-related documents over a platform that is intended to facilitate cargo clearance and economic integration of Asean countries by year-end. Read more

    US-China trade deal: What it is, is not and may become

    The Hill: The U.S.-China trade agreement outlined on Friday is an act of cooperative rivalry. It brings immediate value to both sides while deferring strategic questions about future relations between the world’s two superpowers. Read more

    WTO is in crisis and Europe Must Step Up

    Bloomberg: The World Trade Organization is in crisis and needs reform to play its global role effectively, according to the trade minister of Finland, which currently holds the rotating European Union presidency. Read more

    International Chamber of Commerce issues recommendations to reform global trade

    ICC: Recognising the challenges, criticism and unprecedented pressure faced by the World Trade Organization (WTO) system, the International Chamber of Commerce (ICC) has unveiled a groundbreaking set of recommendations to guide the future of international trade. Read more

    WTO urges quick ban on harmful fisheries subsidies

    France24: The World Trade Organization on Tuesday called for countries to speed up talks aimed at hammering out an agreement on banning harmful fisheries subsidies. Read more

    Asia-Pacific needs the WTO to stay relevant in an increasingly uncertain world

    South China Morning Post: To walk along the autumn shoreline of Lake Geneva to the headquarters of the World Trade Organisation (WTO), kicking fallen conkers from horse chestnut trees, is to occupy a steady, constant world light years away from the conflicts and challenges addressed by the many United Nations institutions settled there for the past 70 years. Read more

    UK Trade minister Truss backs WTO reform before Brexit

    Euronews: British trade secretary Liz Truss said she opposed protectionism but backed U.S. President Donald Trump’s calls to reform the World Trade Organization (WTO). Read more

    STRAIGHT FROM THE WTO

    NEW ON CTLD BLOG

  • US imports from Caribbean Basin Initiative beneficiaries grew in 2018

    US imports from Caribbean Basin Initiative beneficiaries grew in 2018

    The United States International Trade Commission (USITC) has released its twenty-fourth biennial report entitled “Caribbean Basin Economic Recovery Act: Impact on US Industries and Consumers and on Beneficiary Countries“.

    Seventeen Caribbean countries and territories currently benefit from duty-free access to the US market for many of their goods under the Caribbean Basin Economic Recovery Act (CBERA), one of the major pieces of legislation under the Caribbean Basin Initiative.

    The 150-page report dated September 2019 covers the period 2017-2018, but focuses mainly on data and developments from 2018.

    Below are some of the key findings from the report:

    The report found that overall, the US’ total imports from CBERA countries grew from $5.8 billion in 2017 to $6.1 billion in 2018. This translates to an increase of 4.7 percent. Turning specifically to US imports under the CBERA programme, those grew from $1.5 billion in 2017 to $1.7 billion in 2018, an increase of 9.1 percent. US imports under CBERA accounted for 27.8 percent of all imports from CBERA beneficiaries.

    It should be noted, however, that these increases were primarily due to higher U.S. imports of methanol (mainly from Trinidad & Tobago) and of textiles and apparel (mainly from Haiti).

    The report found that the CBERA’s impact on the U.S. economy “generally was negligible in 2017–18 and is likely to remain so”. According to the report, this is primarily because U.S. imports under CBERA comprise just 0.07 percent of total U.S. imports from the world.

    By contrast, the report noted that CBERA “continues to have a positive impact on a number of Caribbean Basin countries”. It singles out in particular Haiti as the “the greatest beneficiary of CBERA trade preferences in recent years” due primarily to more flexible rules of origin for apparel that country enjoys compared to other beneficiaries.

    It also found that CBERA has encouraged the development of niche product manufacturing in several other countries. The examples of polystyrene from The Bahamas and fruit juice from Belize were cited.

    The full USITC report may be read here.

    Alicia Nicholls, B.Sc., M.Sc., LL.B., is an international trade and development consultant with a keen interest in sustainable development, international law and trade. You can also read more of her commentaries 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 Digest – September 15-October 5, 2019

    Caribbean Trade & Development Digest – September 15-October 5, 2019

    Welcome to the Caribbean Trade & Development News Digest for the weeks of September 15-October 5, 2019! 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 weeks.

    HIGHLIGHTS

    The India-CARICOM Leaders’ Summit was held on the sidelines of the 74th session of the UN General Assembly. Read more about the meeting here.

    The WTO has cut its global trade growth forecast again. World merchandise trade volumes are now expected to rise by only 1.2% in 2019, substantially slower than the 2.6% growth forecast in April. Read the full outlook here.

    In the latest installment of the 15 year Boeing-Airbus saga between the US and the EU, a WTO arbitrator on October 2 authorised the US to impose tariffs up to $7.5 billion worth of European exports annually in retaliation for illegal government aid to Airbus. Read the full ruling here.

    With just three weeks to go before the UK is officially due to leave the EU, the UK PM Boris Johnson has made a new Brexit proposal regarding the Ireland-Northern Ireland border issue. Read the proposal here.

    REGIONAL NEWS

    India, CARICOM agree to create task force for trade, diversification

    LoopTT: The meeting concluded with a decision to create a joint India/CARICOM task force which will develop and implement concrete plans to further advance trade and facilitate diversification in the region. Read more

    No change

    Barbados Today: The UK’s Department for International Trade (DIT) in Bridgetown Barbados hosted a trade and investment reception to stimulate increased business opportunities between the UK and Caribbean markets. Read more

    Antigua and Barbados to continue talks over sale of LIAT’s shares

    Barbados Today: The Government of Antigua and Barbuda said that it intends to keep discussions going with Barbados with a view over the sale of the latter’s shares in the regional airline, LIAT, despite reports from other regional media houses that negotiations between both countries has fallen through. Read more

    Caribbean governments urged to take a collective approach to marijuana

    LoopSLU: St Vincent and the Grenadines Minister of Agriculture, Saboto Caesar is calling for Caricom and the Organisation of Eastern Caribbean States (OECS) to take a collective approach to the development of standards governing the negotiation of cannabis trade agreements for their member states. Read more

    CARICOM Sugar stakeholder engagement meeting held in Belize

    Breaking Belize News: Minister of Investment, Trade and Commerce, Tracy Panton, Minister of Agriculture, Godwin Hulse and the CARICOM Secretariat hosted sugar stakeholders from across the Caribbean Community at the Best Western Plus Biltmore Plaza in Belize City on October 2nd, 2019. Read more

    CARICOM and Central America make common cause on fish

    Breaking Belize News: The fishing communities of the Caribbean and Central America are meeting this week in Belize City to seek joint action on facing the problems affecting both. Read more

    Holness Reiterates Call For Concessionary Financing For CARICOM

    The Gleaner: Jamaica yesterday reiterated a call for concessionary financing for Caribbean Community (CARICOM) countries, saying that the present policy was severely hampering the socio-economic growth of the 15-member regional grouping. Read more

    Local Chamber of Commerce members meet with Indian High Commissioner

    Antigua Observer: On Monday 16th September 2019, a delegation of the local Chamber of Commerce held high-level discussions with the newly-appointed Indian High Commissioner to CARICOM, Dr. K.J. Srinivasa and his second in command, Mr. R.K. Perindia, on their first official visit since the High Commissioner’s recent posting. Read more

    INTERNATIONAL NEWS

    UK response to WTO ruling on Airbus

    UK.gov: The UK is confident that it has fully complied with WTO rulings in the Airbus dispute. Read more

    WTO members engage in exploratory talks on market access for environmental services

    WTO: WTO services negotiators debated market access issues relating to environmental services based on a new communication tabled by Australia, Canada, Mexico, New Zealand and Switzerland at an informal meeting of the Council for Trade in Services in Special Session held on 30 September 2019. Read more

    Brexit: We can do a deal if EU is willing – Johnson

    BBC: Boris Johnson has claimed his Brexit proposals have picked up support in Parliament as he urged the European Union to compromise. Read more

    EAEU signs free trade agreement with Singapore under Armenian chairmanship

    Emerging Europe: The Eurasian Economic Union (EAEU), the Russian-led economic alliance of Armenia, Belarus, Kazakhstan and Kyrgyzstan, has signed a free trade agreement with Singapore during the annual summit of the Supreme Eurasian Council, the organisation’s executive body in Yerevan, the Armenian press has reported. Read more

    High-level meeting in Peru takes aim at illegal wildlife trade

    CGTN: The jaguar, the largest cat in the Americas, is the emblem of a new initiative to combat the illegal trade in the continent’s wild animals. The iconic but threatened predator has a key role in the ecosystem but also tremendous cultural significance for the peoples of the Americas. Read more

    Nigeria, South Africa Seal 32 Trade Pacts

    AllAfrica: Nigeria and South Africa, yesterday, signed 32 bilateral agreements and memoranda of understanding covering trade and industry, science and technology, defence, agriculture and energy, thus expanding Africa’s deepest trade relationship. Read more

    WTO in ‘critical situation’, EU warns

    Euractiv: EU member states discussed on Tuesday (1 October) how to address the “critical situation” of the World Trade Organisation, as the US continues to block the renovation of its appellate body, key for the functioning of the institution. Read more

    STRAIGHT FROM THE WTO

    NEW ON CTLD BLOG

  • Climate refugees: A new reality for Caribbean Small States?

    Climate refugees: A new reality for Caribbean Small States?

    Alicia Nicholls

    For many people, the decision to leave one’s place of birth, family, friends and possessions for lands unknown is not one that is lightly taken. But this is a decision an increasing number of people will be forced to make. In 2018, a groundbreaking World Bank report entitled ‘Groundswell: Preparing for Internal Climate Migration estimated that in three regions of the world (Sub-Saharan Africa, South Asia and Latin America), just over 143 million people – or 2.8 percent of these regions’ population – could be internally displaced due to the effects of climate change by 2050. The year 2050 may seem like a long time away, but already in the Caribbean, we bear witness to the impact of displacement due to climate change.

    How climate change causes displacement

    Climate change is, without doubt, one of the biggest threats facing the planet and mankind. The Geneva-based Internal Displacement Monitoring Centre (IDMC) estimates that over the period 2008-2018, approximately 265.3 million people worldwide were internally displaced due to disasters. The IMDC further noted that Small Island Developing States (SIDS) were disproportionately affected by natural hazards. As climate change worsens, this number is increasing.

    Climate change causes displacement in several ways. Firstly, rising sea levels cause coastal erosion. Kiribati, an archipelagic nation in the Pacific comprising some thirty low-lying atolls, is on the frontlines of the climate crisis. Rising sea levels have already claimed some of its land area and it is estimated that the island nation will be uninhabitable within decades as whole islands could disappear.

    Secondly, hurricane damage can displace entire populations. The whole island of Barbuda (part of the island nation of Antigua & Barbuda) had to be temporarily evacuated following Hurricane Irma in 2017. A reported 130,000 Puerto Ricans (4% of the population) have left that US island territory in the aftermath of Hurricane Maria, according to the US Census Bureau.

    In September this year, the island of Abaco in the Bahamas was rendered virtually ‘uninhabitable’ due to category-five Hurricane Dorian which lingered above the island for hours unleashing torrential rain and storm surges. Thousands of Abaco residents had to be evacuated to Nassau, the capital of the Bahamas.

    Thirdly, changes in weather patterns can make some places uninhabitable due to drought, declining water supply and falling crop yields which force residents to move to more inhabitable and productive places. Sea level rise can also lead to saltwater infusion into natural aquifers, rendering the water undrinkable.

    Displacement due to climate change can affect any country. But the problem is exacerbated in SIDS like those in the Caribbean, the Asia-Pacific and the Indian Ocean, some of which are either low-lying and/or have small land areas. Even in some SIDS with larger land areas and/or more mountainous land topographies, the population and major infrastructure tend to be concentrated primarily along coastal areas putting them at risk to storm surges during storms and sea level rise.

    Whereas in a larger country like the US, for example, displaced populations can move to another State, inhabitants of small islands have no such luxury. For many SIDS, the threat of their homeland being rendered uninhabitable and eventually disappearing is a real one.

    What can be done?

    Firstly, it is important to tackle the root cause of climate-caused displacement – climate change. From individuals, to households, to businesses, to municipalities, to countries, we all have to make cutting our emissions and adopting environmentally friendly habits our imperative.

    We must pressure our leaders to honour the commitments they made upon signing the historic Paris Agreement in 2015. It is incumbent on SIDS to hold the international community to account, to not just aim for limiting global average temperature increases to no greater than 2 degrees Celsius above pre-industrial levels, but the more ambitious goal of 1.5 degrees. The previously mentioned World Bank Report noted that global action now could reduce the number of people forced to move due to climate change by as much as 80 percent.

    Secondly, while the term ‘climate refugee’ is used to describe natural persons who are displaced from their homelands by the adverse impacts of climate change, it is not a recognized term in international law. It also should be noted that while used interchangeably, ‘migrant’ and ‘refugee’ are two different concepts.

    The Convention Relating to the Status of Refugees of 1951 (Geneva Convention on Refugees), ratified by over 140 countries worldwide, only recognizes as a ‘refugee’ a person who is outside his or her country of nationality or habitual residence and who is unable or unwilling to return because of a wellfounded fear of being persecuted for reasons of race, religion, nationality, membership of a particular social group or political opinion”. Therefore, only persons falling under this definition are regarded under international law as ‘refugees’ and are entitled to the rights and protections under the Convention.

    Refugees have several rights and protections under the Geneva Convention on Refugees and other international conventions. These include the right of non-refoulement (not to be returned to the place where his/her life or freedom would be threatened due to any of the reasons listed in the Convention), right to education, employment, housing, freedom of movement, freedom of religion, inter alia.

    The UN Global Compact for Safe, Orderly and Regular Migration, signed by over 160 countries in 2018, was the international community’s first step towards recognising the concept of climate migrants for the first time. In light of growing numbers of displaced persons due to armed conflicts, political crises and natural disasters, this international agreement sought to create a global response for better managing migration. However, not only is the agreement non-binding, but several major countries have opted not to ratify it due to immigration concerns. The agreement is also limited to migrants, and does not explicitly recognise ‘climate refugees’.

    Countries’ asylum laws also do not currently recognize or protect ‘climate refugees’. It is, therefore, of interest to see one Democratic candidate, Julian Castro, in the current US Presidential election in 2020 commit to expanding US immigration law to provide recognition and protection for ‘climate refugees’.  In a report it was noted that “while the EU has so far not recognised climate refugees formally, it has expressed growing concern and has taken action to support and develop resilience in the countries potentially affected by climate-related stress”.

    The battle will not be easy. Climate-caused displacement is coinciding with a global migration crisis and a groundswell of nationalism, xenophobic sentiment and closing borders across the world, particularly in the US and western Europe. Just this week, in a sad but unsurprising move, the Trump Administration refused to grant temporary protection to Bahamians fleeing the post- Hurricane Dorian devastation in their homeland. However, as the countries most responsible for anthropogenic (manmade) climate change, the ‘Global North’ has a moral obligation to assist those poorer countries which are the most affected and least culpable for climate change, not only in terms of facilitating our mitigation and adaptation, but assisting our displaced people.

    The reality is that unless urgent action is taken to reduce global greenhouse gas emissions to limit climate change, we all may become climate refugees one day. Caribbean countries should join with other sympathetic nations to lobby for increased global action and lasting solutions to climate change, and the climate migration crisis. This includes calling for the explicit recognition of, and protections for, climate-displaced persons both in international law and the domestic law of countries.

    Alicia Nicholls, B.Sc., M.Sc., LL.B., is an international trade and development consultant with a keen interest in sustainable development, international law and trade. You can also read more of her commentaries 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.