Caribbean Export OUTLOOK 2016 - 2017

TRADE & EXPORT HOT SPOTS

ARegional Strategy for Capitalising on Opportunities inChina BY Mango Media Caribbean

Over the last six years, China dominated the world’s export market and further cemented itself as a global economic powerhouse. In 2014, it generated awhopping 12.4%of all global exports, worth an estimated US$2.3 trillion. Today, while it remains the world’s second largest economy,theoutlookforChinaislesscertain,witha forecastofslowergrowth.Despitethis,itisstilllikely toexceedthatofothermajoreconomiesoverthenext two years, albeit at a smaller margin. Meanwhile, China remains the most populous country in the world and is home tomore than 1.3 billion people. In comparison, the Caribbean region is a significantly smaller geographic and economic entity, and the massive trade imbalance between the two serves as a reminder of this disparity. This does not mean, however, that there is a shortage of opportunities for the region inChina. Among the items already imported byChina from the region are gas and asphalt from Trinidad and Tobago, timber, minerals and bauxite from Guyana and bauxite from Jamaica. But this could just be the beginning. For Chandradath Singh, the Trinidad and Tobago Ambassador to China, this is the ideal time for the region to capitalise on the Asian nation’s demand for goods and services emanating from the Caribbean. Ambassador Singh, who has headed the Embassy since it was first opened in February 2014, reports that several recent initiatives have been implemented to attract foreign investment. He said, “To encourage foreign direct investment, the government has improved regulations, opened up a new free trade zone to cater to foreign

countries andmade it easier to apply for a Chinese GreenCard. Domestic laws, including Intellectual Property Rights and Copywriting Laws are also being improved to facilitate foreign investors.” CARIFORUM firms should capitalise on these attractive features for doing business in theworld’s most populous country. Andwhile it is becoming easier to do business inside China, technology has also made access to this market much simpler. China is now the second largest online shopping country in the world. CARIFORUM firms now have the opportunity to sell their products directly to Chinese consumers, rather than going through agents and other promoters. “WithChina’s online shopping capabilities and the demandforinternationalculturalitems,promoters fromCARIFORUMcountriescouldfindalucrative market for their calypso, reggae, Carnival, steel pan, fashion,cuisine,andsomuchmoreofwhatwehave to offer,” Ambassador Singh said. Health Care While China’s population has stabilised, people over 60 now make up more than 13% of the population. The percentage of people 14 years and under has also shrunk at least 6% between 2000 and 2010, reaching a new low of 16.4% in 2013. China’s one-child policy has resulted in its fertility rate plunging to 1.6 births per woman, way below the replacement rate of 2.1 births. The decline in the working-age populationmeans that there will be less available support for an increasingly older Chinese population. Chinese health care is quickly becoming one of the most popular sectors for investors looking for the next great, untapped market. Kirk John-

Williams, a Trinidadian investor who lived in China for six years, believes these factors have given rise to the demand for healthcare services which the region can supply. “More financial resources are now being allocated towards the healthcare industry and social welfare for the elderly. CARIFORUMcountries are an ideal location for establishing homes for the elderly from China, in very much the same way that whole retirement communities are nowbeing established inMiami and other US cities,” he said.

Tourism For those in the tourism business, there could be no better time to attract Chinese outbound

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