  | Industrial Policy 2005
|
Executive Summary The Industrial Policy seeks to establish a vibrant, robust, productive and diversified economy by reconstructing the framework within which the non-oil manufacturing sector and the services sector would be transformed into the new engine of growth in Trinidad and Tobago. Its theme "Forging a Competitive Economy through Partnership" underscores the principal need to involve the private sector in collaboration with the Government, to achieve the following objectives.
1. ADVANCING IMPROVED COMPETITIVENESS WITHIN BUSINESSES All businesses in Trinidad and Tobago need to become competitive. It is a do or die situation, especially when firms are dependent on export markets for their survival. The reality of globalization and the existence of many competitors in the world market should be the impetus for businesses to improve their competitiveness. Also, the forging of alliances in the form of joint ventures should be explored as a means of acquiring new knowledge and technology to further enhance the productivity of firms. This Policy recommends that businesses concentrate on developing and utilizing those factors of production that will make them efficient and competitive. Those factors are summarized as follows:
This endeavour in collaboration with the efforts of the Government to facilitate the growth of business activity and support the goals and objectives of businesses, in areas such as macroeconomic policy and planning, transport infrastructure, education and training should produce the ultimate environment to promote competitiveness. 2. MICRO, SMALL AND MEDIUM ENTERPRISES (MSME) The development of the MSME is important in relation to the objective of the Industrial Policy to foster the creation and growth of new businesses in the economy. A detailed study was done on the sector to pinpoint the best strategies to be implemented to produce a holistic approach to MSME development. This study, 'The Intensification of the Development of the Micro, Small and Medium Enterprise Sector in Trinidad and Tobago', outlines specific objectives that reflect Government's policy for the sector. These objectives are summarized as follows:
3. ENHANCING AND EXPANDING EXPORT CAPABILITIES Given the sustained growth of the economy over the eight year period 1993 - 2000, the goal of the Industrial Policy is to promote and further develop the non-oil manufacturing sector. The main focus is to increase the contribution of this sector to gross domestic product by enhancing its productive capacity and capability to generate exports that are not only competitive in price and quality, but would be able to penetrate new and emerging markets. New industries in the following sub-sectors are earmarked for special emphasis in terms of investment promotion and strategic alliances through joint ventures. These are:
Closely linked to the general objective of increasing exports is the development of the needed infrastructure to achieve expansion of our export capability, which the Policy recommends as most important and integral to export sector development. 4. MAXIMIZING HUMAN CAPITAL The Industrial Policy seeks to harmonize the development of our human resources with the need of the industrial sector for a skilled and productive workforce. Human resource development is of paramount importance as it not only focuses on education and training for citizens but contributes to the holistic enrichment of the nation, as well as improve our competitiveness through the acquisition of knowledge; the knowledge to utilize modern technology to transform our productive capacity.
5. FACILITATING AND FUNDING INVESTMENT In order to procure increased growth in the economy continuous investment must be made by individual firms and businesses. This investment must be supported by a highly competitive financial market, which the Industrial Policy aims to develop by advocating the need to increase the range and availability of financing for new investment and to reduce the cost of financing to firms and businesses in the domestic market. Measures would include:
The Industrial Policy also addresses the need to increase foreign direct investment through stronger investment promotion and lead generation, as well as further improvement in the regulatory environment as set out in the Investment Promotion Bill now before Parliament, and also the negotiation of bilateral investment treaties with various countries. Firms and businesses in Trinidad and Tobago must place emphasis on the continuous upgrade of plant and equipment used in their operations if they are to maintain their competitiveness in the domestic and global marketplace. The development of a science and technology infrastructure to meet the needs of business must cater for the enhancement of our capability in the areas of research and development, building technical expertise and the forging of partnerships with foreign firms to acquire knowledge through technology transfers. The Policy notes both concerns as integral to economic growth in the country. All institutions and agencies responsible for implementing the measures of the Industrial Policy must effectively and efficiently coordinate their efforts to achieve the development and expansion of the non-oil sector. Government in close collaboration with the private sector, would be an important development strategy to foster economic growth. 8. ENVIRONMENTAL CONSIDERATIONS In our efforts to promote industrial development and in turn economic growth environmental issues must be considered. The Policy addresses the objective of the sensitization of firms and businesses in the non-oil manufacturing sector on the need to preserve and promote biodiversity by limiting and minimizing the effects of their waste products on the environment. The private sector and the Environment Management Authority should embark on projects to protect the environment and also work together to establish environmental standards in Trinidad and Tobago.
|
 | Home : Contact Us : Site Map: Privacy : Legal : Feedback : Webmaster
|