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The food and beverage industry is currently the largest in the non-energy manufacturing sector in Trinidad and Tobago. In many respects, Trinidad and Tobago is already considered the food and beverage-manufacturing hub for the Region. The Industry has a long history and is very advanced in terms of technological, and market development. There are also strong linkages with local support industries. The sector employs over 9,000 persons and contributes significantly to reducing this country's food import bill. Future opportunities in the sector will be in the manufacture of Caribbean based products to regional and extra regional niche markets. Many companies in the domestic food and beverage industry were established during the post 1970's, as part of the government's import substitution regime. The ISI or Import Substitution Industry model as it came to be known, focused on substituting foreign products with locally manufactured items. By 1993, after the liberalisation of the Trinidad and Tobago foreign exchange system, the range of products produced by the local industry expanded considerably, in response greater competition. The Food and Beverage sector today boasts of global players with internationally recognised brands, and a large cadre of smaller companies specialising in Caribbean based niche products. With approximately 420 registered firms, the industry is firmly established in the CARICOM and new Latin American markets. Apart from its direct dependence on the agricultural production sector, the food and beverage industry is part of an established value chain, maintaining linkages with such areas as printing and packaging, research and development, and training; which together support growth of the industry. Sector ProfileThe food and beverage sector continues to experience relatively high levels of expansion, with real GDP growth averaging 8.1 percent between 2002 and 2005 alone, exports of over TT$900 million, and employing approximately 9,000 persons. In terms of the future outlook for the industry, with the continued expansion of the local economy, the domestic food and beverage sector is expected to continue along its progressive track. In addition, expansion of the regional economy, renewed efforts for research and further product development, and strategic niche marketing will also support sustained growth over the longer term. Opportunities for InvestmentThe food and beverage sector continues to offer significant investment opportunities, particularly for manufacturers who utilize unique regional agro-products to develop goods such as rum flavored chocolate cakes, Caribbean fruitcakes, sauces and spices, soft drinks and exotic fruit juices, specialty rums, and bottled water. Given the rapid opening up of global markets, the increased appreciation in the Northern hemisphere for "exotic" foods, and the growth of the gourmet lifestyle in the more developed metropolitan communities, the local food and beverage sector has a unique opportunity to brand and create specialty foods for the overseas gourmet markets, apart from the traditional focus on the diasporic markets. There are also spin-off opportunities in valued added activities such as market research, advertising, branding, printing and packaging, and the certification of business processes and food quality standards.
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