00:00Economist Professor Roger Hosang says the shifting global economy demands a new approach from Trinidad and Tobago.
00:08He believes the U.S. tariff hike should drive policymakers and small and medium businesses to reduce reliance on the American market and strengthen ties with regional partners.
00:19Professor Hosang says small exporters in particular should start redirecting some of their trade toward high-income Caribbean territories.
00:27I think people underestimate the Caribbean market. The Caribbean market is not the same as it was in 1970 or 1980.
00:37Per capita GDP has grown considerably and they are now able to make purchases in a deeper way than they did before.
00:47I think our small exporters could try to divert some exports away from the U.S. market towards the Caribbean market.
00:55Also, Aruba, Kurosawa and St. Martin. These countries are very, very high per capita GDP.
01:02Close to 40,000 U.S. per annum in the case of St. Martin.
01:07And these are lucrative markets that our small exporters can target with or without the support of the TTMA.
01:14But I recommend that they go the route of working with the TTMA.
01:17He also believes it's time to reassess the performance of specialized economic zones like E-Tech Park.
01:24E-Tech Park to me has been one of the areas where some degree of failure can be recorded
01:33because it is a beautiful vehicle for export-oriented growth.
01:39It should not be housing, in any significant way, import for distribution firms that are foreign exchange guzzlers.
01:48And maybe this increase in tariff from 10% to 15% would guess the new Minister of Trade cracking
01:56on changing up the e-tech legislation and changing up the rental facilities in these e-tech parks
02:05to more fuller and meaningfully, in a more fuller and meaningful way to accommodate more export-oriented firms
02:12and less import for distribution firms.
02:15The professor does not see the increased tariffs as a setback, but rather a challenge the country must overcome
02:22as it works to transform from an import-driven to export-driven economy.
02:27He also issued this call to financial institutions.
02:30I urge the financial institutions in Trinidad and Tobago to support this greater export orientation
02:39given the current skewed pattern of production and skewed lending habits
02:45from my understanding of the data of the commercial banking fraternity.
02:50Shiloh Kistel, TV6 News.
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