Tricia Coosal: TTMA to double exports despite pandemic

In spite of the unforeseen challenges in the last couple of years, the TT Manufacturers’ Association (TTMA) said it still intends to double the value of export to $7 billion by 2025.

The organisation's president Tricia Coosal was speaking at the TTMA’s eighth annual president’s dinner and awards ceremony at Hyatt Regency in Port of Spain, on Tuesday evening.

Coosal said the objective was being carried out in tandem with the Ministry of Trade and Industry and Export TT, and while it was an ambitious goal, it was also an achievable one.

She said value-added tax (VAT) refunds, VAT removal from imported raw materials and machinery and net-off for firms were some of the initiatives necessary to accomplish the target.

“In this regard, we are pleased that the Minister of Finance has committed to making some VAT refunds in bonds and cash payments in 2022. TTMA was able to get no-interest loans with commercial banks which allows firms to get access funding.

“Further to this, government also proposed making Nedco’s grant facility more user-friendly. This means that more training, funding and grant access will be available to small and medium enterprises (SMEs) that are scarce and the know-how and experience that are needed to qualify for assistance.

Coosal said, in 2020, US$100 million in foreign exchange was accessed by 97 SMEs and in 2021 US$150 million was made available for the manufacturing sector.

“Access to this level of forex ensures that the sector is able to pay suppliers, purchase raw materials and service their foreign debts. In a year in which most manufacturers’ forex earnings were almost paralysed, this facility aided tremendously to stay afloat.”

As many businesses unfortunately closed because of the covid19 pandemic, Coosal said its work and advocacy to keep essential businesses in food and beverage, printing and packaging and pharmaceuticals, 53 per cent of its membership benefited.

“Our agro-processing manufacturers deserve special mention. They seamlessly kept a supply of food items on the shelves of our supermarkets at a time when we were uncertain about supply being able to keep up with the high demand.

“The lobby to get a few more doors open late extended to some firms not classified as essentials. Getting their doors open, however, meant that they were able to focus in keeping their market share in various places,” she said.

Coosal said continued progress was made in the four trade missions held in 2020 and five in 2021, which were held in St Lucia, Barbados, Curacao, the Dominican Republic and Antigua and Barbuda.

She added that businesses have been finding innovative ways to respond to the pandemic and to protect the environment by maximising technology and retooling systems and staff to operate more efficiently.

Permanent secretary in the Ministry of Trade and Industry Ayleen Alleyne-Ovid said while it has been a challenging year and a half, businesses have shown resolve and resilience, and was something that should not be taken for granted.

“Your physical presence underscores your willingness to recognise your efforts and the efforts of your colleagues over the past year, and your commitment to continue that focused dedication to your future, your families and your country,” Alleyne-Ovid said.

She pointed out that the 2021 Review of the Economy details the performance of the manufacturing sector during the first quarter which shows it contracted by 10.5 per cent owing to the public health restrictions but also forecast that the overall decline for all of 2021 will be only 3.5 per cent as the sector recovered.

Alleyne-Ovid added there was also a rebound in total exports because of the growth in non-energy sector exports and during the period, January to August non-energy exports averaged approximately $1.3 billion per month – an estimated 43 per cent higher when compared to 2020.

“Partnerships between the government and private sector provide advantages to both parties. The public sector can incentivise the private sector to deliver projects on time and within budget, while the private sector’s technology, innovation and competitive nature, can help provide better public services through improved operational efficiency.

“The recently launched Export Booster Initiative (EBI) with an overall budget of $50 million, comprises 16 initiatives grouped under three broad strategic areas namely export promotion, capacity building and institutional strengthening. One of the main projects is $20 million international certification fund (ICF) to help exporters achieve international certification in food/beverage and other product compliance to meet the quality and safety standards of international markets and franchises.”

Alleyne-Ovid added that Caricom continued to be a lucrative market for export and the need for regional collaboration was important for building products, processes, and the manufacturing sector.

“Our products valued at approximately $8 billion per year over the past five years. This underscores the importance of building stronger bilateral relationships with countries such as Guyana and helping to drive the implementation of the Caribbean Single Market and Economy, which continues to be a top priority for TT.”

The TTMA’s annual president’s dinner and awards ceremony recognises the leading businesses for their roles and this year paid special homage to companies for their resilience in a pandemic.

TTMA president’s awardees:

Innovator of the year 2020 – Angostura Ltd, sponsored by Witco Ltd.

Green manufacturer of the year 2020 – Trinidad Cement Ltd, sponsored by NGC CNG.

Supplier of services award (SoS) 2020 – Ferreira Optical Ltd, sponsored by Nagico insurance.

New market entrant (exporter of the year) small/medium 2020 – ABEL Building Solutions, sponsored by ExporTT.

New market entrant (exporter of the year) large 2020 – Langston Roach Industries Ltd, sponsored by Eximbank.

Manufacturer of the year small 2020 – Vicmol (2007) Ltd, sponsored by Nestle TT Ltd.

Manufacturer of the year medium 2020 – RHS Marketing Ltd, sponsored by the Ministry of Trade and Industry.

Manufacturer of the year large 2020 – Nestle TT Ltd, sponsored by First Citizens bank.

Lifetime achievement award – Stuart Dalgliesh (deceased)