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Jamaica is pushing forward with its plans to become a global logistics hub and is anticipating many economic benefits from the endeavour. The push is being made by Industry, Investment and Commerce Minister Aubyn Hill, who says Jamaica stands to benefit significantly from the country’s bid to become a global logistics hub through the expected investments in special economic zones (SEZ) being developed across the island. SEZs are areas within a country that are created to facilitate rapid economic growth, by leveraging tax incentives as a way of attracting foreign investment and technological advancement. Logistics services are strongly associated with trade expansion and export diversification. Citing the example of countries such as Singapore, Israel and Qatar, with relatively comparable populations but significantly higher gross domestic product (GDP) per capita than Jamaica, Hill argued that Jamaica cannot attain economic wealth by limiting output and markets. He said the initial investment from local businesses to facilitate the recommended activities, paired with existing incentives offered through the Jamaica Special Economic Zone Authority (JSEZA), plays a part in making Jamaica attractive to international investors. From June 13 to 17, Jamaica will host international investors and freezone operators at the World Free Zones Organization’s Annual International Conference and Exhibition in Montego Bay, St James, with the aim of securing investments for the country. Ramping up logistics services The minister cited the need for ramping up services in logistics, noting “we (Jamaica) need to export a lot more, but it’s important that we export not just goods but also services. What local businesses must do, if we are going to change from three million people with a small per-capita GDP to three million people with a rich per-capita GDP, is that people who trade must now look to invest in our country to manufacture, build, package, repackage, assemble things and provide services that we sell to the world”. Gary Scott, acting chief executive officer of the JSEZA. For his part, Gary Scott, acting chief executive officer of the JSEZA, highlighted that linkages established through the Authority will ensure that the local economy benefits as a result of the incentives provided to the multi-national companies. He explained that when these multi-national corporations are operating from Jamaica, they are purchasing certain goods and services from the local economy. As such, the incentive scheme that the JSEZA established under the Special Economic Zone Authority removes things like general consumption tax (GCT). According to the JSEZA acting CEO, “it is not because [we want] to not have zone operators pay GCT; it is to encourage purchasing more of the goods and services from the domestic territory. So, what we are ensuring is the building out of linkage programmes that will allow for the companies in the zones to interact more freely with companies outside of the zone and purchase goods and services”. Post-pandemic opportunities In the meantime, Scott pointed to post-pandemic opportunities, saying Jamaica has been presented with the opportunity to maximise on pharmaceutical supply chain needs, which were heightened during the COVID-19 pandemic. “From what we have heard, there are a number of investors worldwide… that are looking for their next location to establish their ability to provide supplies and support to the largest consumer markets, which are the North American and South American markets,” Scott noted.

Guyanese and Jamaican private sector interests have pledged to increase trade and investment activities in both countries. Foreign Secretary Robert Persaud today met with the Minister of Industry, Investment and Commerce of Jamaica Aubyn Hill who is currently leading an Export and Investment mission in Guyana from 12th to 15th May 2024. Minister Hill is accompanied by representatives from the Jamaica Promotions Corporation (JAMPRO), Jamaica Special Economic Zone Authority (JSEZA) and Jamaica National Agency for Accreditation. During the meeting, the two sides underscored the importance of enhancing trade and investment opportunities between Guyana and Jamaica and stressed the need for greater collaboration and cooperation between the private sectors of both countries. The visit by Minister Hill and his delegation is therefore a positive step in this direction, in light of Guyana’s economic trajectory. Foreign Secretary Persaud assured that the Government of Guyana is open for investment and is keen on expanding its trade relations with countries in the CARICOM region, with the aim of strengthening regional trade and achieving food security. During his visit, Minister Hill will be meeting with government ministers, officials and members of the private sector to discuss areas of future collaboration in export, trade and investment. Source:https://dpi.gov.gy/guyana-jamaica-eyeing-stronger-economic-ties/

The Full Story Following fruitful discussions with Senior Executives of Emirates Airline, Minister of Tourism, Hon Edmund Bartlett says plans are underway to leverage the airline’s routes and networks into the Caribbean and Latin America. Emirates Airline, based in Dubai, is one of the world’s largest airlines that connects its customers to a network of over 150 destinations. Based on the airline’s current flights to Miami and new flights slated for Bogota, Columbia are critical to better integrating Jamaica and the Caribbean into their network. There is also a medium-term vision of the Minister to secure firmer arrangements with the Caribbean and the airline in the form of a hub creation. “This is a further step increasing the connectivity between Emirates and the Caribbean as the airline looks to deepening its presence in the region. In the medium term, through a hub and spoke arrangement, there can be a fruitful partnership that would see more visitors from the middle east visiting Jamaica and the Caribbean and vice versa,” said Minister of Tourism, Hon Edmund Bartlett. Through strong code sharing partnerships with other airlines like Avianca, Copa and Caribbean airlines, Emirates would have several options of increasing its footprints in the region. “The time is right for us to tap into the regional partnerships being created through Emirates and Jamaica is ready to be inserted within the future logistics of the airline to get more from the middle eastern market. This would be a game changer for the destination,” said the Minister. Jamaica welcomed over twelve hundred visitors from the middle east last year as the island continued its post pandemic recovery and growth. The Emirates partnership will play a critical role in enabling mass visitors from the middle east to come to the island. Discussions on this possible partnership were held during Arabian Travel Market, held May 6-9 in Dubai, the leading global event for the inbound and outbound travel industry in the Middle East. Source JIS: https://jis.gov.jm/jamaica-further-engages-emirates-airline-to-tap-into-their-network-in-the-caribbean-from-the-middle-east/

The Full Story The role of Special Economic Zones (SEZs) in sustaining Jamaica’s low unemployment rate, which fell to a record 4.2 per cent in late 2023, is being underscored by the State entity promoting and facilitating investments in SEZs. These zones have emerged as vibrant hubs of commercial activity, driving employment opportunities and facilitating knowledge transfer across multiple sectors. This comes against the background of ongoing efforts to foster innovation, embrace technology, and prioritise the growth of Jamaica’s workforce through strategic partnerships and forward-thinking initiatives. Speaking recently during the Jamaica Information Service (JIS) ‘Get the Facts’ television programme, Chief Executive Officer, Jamaica Special Economic Zone Authority (JSEZA), Kelli-Dawn Hamilton, informed that as the agency ventures into new frontiers of business and embraces technological advancements, “our priority remains steadfast”. “The objective for us is really to work with the different entities of government and our private-sector partners to ensure that, as we get into these new areas of business [and] identify more innovation and use technology in how we grow our businesses, that we’re also creating a space for Jamaican employees… for the Jamaican workforce,” she stated. Mrs. Hamilton added that through collaborations with institutions like the Caribbean Maritime University (CMU) and HEART/NSTA Trust, “we are strategically planning for the future, [by] identifying key industries poised for growth within our SEZs”. One such is the Global Digital Services Sector (GDSS). Recognising the integral role of the GDSS, Jamaica has transitioned towards higher-skilled operations within this domain, positioning itself as a leading player on the global stage. Mrs. Hamilton pointed out that by leveraging its strategic location, skilled workforce and business-friendly policies, Jamaica has become an attractive destination for companies seeking to establish a presence within SEZs. Souce JIS:https://jis.gov.jm/sezs-role-in-generating-jobs-and-sustaining-low-unemployment-underscored/

The Full Story The Caymanas Special Economic Zone (SEZ) in St. Catherine will be transformed into a mini municipality once fully developed, says Jamaica Special Economic Zone Authority (JSEZA) Chief Executive Officer (CEO), Kelli-Dawn Hamilton. She disclosed this during a recent Jamaica Information Service (JIS) ‘Get the Facts’ television programme. The transformative project, being led by the Port Authority of Jamaica (PAJ), is poised to become a dynamic 650-acre development, strategically designed to accommodate industrial, manufacturing, warehousing, and cold storage operations. With a vision to establish a vibrant mini municipality, the SEZ will seamlessly integrate commercial and residential spaces, ensuring round-the-clock activity to support a thriving ecosystem. Mrs. Hamilton told JIS News that the main aim is to create a space where “there is activity happening right throughout the day and night to support that whole ecosystem, and to really maximise the 650 acres where we intend to drive transformation in Jamaica”. Regarding warehousing solutions that the space will provide, she said there is increasing demand for this provision locally and internationally from “companies that want to take advantage of the opportunity for nearshoring in Jamaica”. The CEO elaborated on the diverse opportunities offered by SEZs in general, including plans for specialised zones dedicated to the creative and sporting industries. “We want to do a Creative Industries Special Economic Zone where companies can come and film and have their film productions from start to finish done right here in Jamaica. We [also] want to build a Sports SEZ, alongside the Ministry of Culture, Gender, Entertainment and Sport, where you have teams that have to train in cold climates come to Jamaica and train,” she explained. Mrs. Hamilton pointed out that these business opportunities are in alignment with Jamaica’s strengths in film production and sports training, further enhancing the country’s global reputation in this regard. As the island continues to foster business growth through collaborative public and private-sector efforts, Mrs. Hamilton is declaring that “Jamaica is open for business and ready to facilitate!”. Consequently, she invites local and global stakeholders to come on board and “help us to achieve the vision that we have of making Jamaica the Logistics Hub, rivalling global ports across the world”. Source JIS:https://jis.gov.jm/caymanas-sez-to-be-transformed-into-a-mini-municipality/

The Full Story The Jamaica Special Economic Zone Authority (JSEZA) continues to make positive strides in the development of Jamaica’s resilient Logistics Hub Initiative. This strategic endeavour is poised to revolutionise the region’s economic landscape by leveraging Jamaica’s geographic location and fostering collaboration among Caribbean nations. “We are right at the centre of the world and if you know anything about us being ‘likkle but tallawah’, we punch above our weight in so many different areas and so what we want to do is to capitalise on that,” said the agency’s Chief Executive Officer (CEO), Kelli-Dawn Hamilton. On a recent Jamaica Information Service (JIS) ‘Get the Facts’ television programme, Mrs. Hamilton pointed out that coupled with our resilient spirit, Jamaica’s location as a pivotal point in global shipping routes positions it as a formidable force on the world stage. She said that the Initiative is a testament to Jamaica’s commitment to harnessing innovative technologies and collaborative practices to thrive in a post-pandemic world. Mrs. Hamilton said by embracing concepts such as ‘friendshoring’ and coopetition, Jamaica is fostering synergistic relationships within the Caribbean Community (CARICOM), “because we’ve recognised as countries that we can’t go it alone. We must work together to leverage our competitive advantages”. The CEO also acknowledged that while efforts are being made to further strengthen the Logistics Hub infrastructure, several factors must be taken into consideration for sustainable economic growth that benefits all Jamaicans to be achieved. Mrs. Hamilton said that how goods and services move and are paid for, as well as what infrastructure is in place to facilitate trade (airports, seaports, and road networks) and e-commerce activities (online payments and internet access) must be taken into account. Integral to the success of the Logistics Hub, the Initiative has also extended its benefits beyond established businesses to empower local entrepreneurs and suppliers, catalysing a ripple effect of economic opportunities throughout the island. “In order to be a logistics hub… we are not just talking about the activities that usually drive the hub, such as trade, but the supporting activities that must be in place in order to allow that to happen,” Mrs. Hamilton highlighted. “We’re talking about the man on the street who could benefit from this increased economic activity [and] suppliers who can now supply to businesses that didn’t exist before,” she added. Moreover, a part of building out the hub includes the people who will be on the ground to take advantage of the job opportunities that will come into play. As Jamaica asserts its position as the logistical nexus of the Caribbean, the Logistics Hub Initiative stands as a true testament to the nation’s resilience, innovation and commitment to inclusive economic development.