Analysis Of Agricultural Policies In Trinidad And Tobago

Although the agricultural sector contributes only 0.5% to Trinidad and Tobago’s GDP, it accounts for over 4% of employment and is important for the diversification of the economy. The Government of Trinidad and Tobago supports agriculture through a combination of incentives to agricultural producers, support for research and infrastructure, and border protection measures. Support to producers averaged 22.4% of gross farm receipts in 2013-2015, and a significant share of that support (44%) was provided in the form of transfers to general services. At the same time, total transfers arising from agricultural policy amounted to only 0.34% of the national GDP. Reorienting agricultural policy towards goals and actions that are less production-distorting, and that address agricultural productivity and profitability, will help create a possibly small, but efficient agricultural sector, as well as exploit certain specific competitive advantages.

This publication summarizes the agricultural policy analyses conducted in nine Caribbean countries (Suriname, Guyana, Haiti, Dominican Republic, Jamaica, Belize, Barbados, The Bahamas, and Trinidad and Tobago) in the framework of the IDB’s Agrimonitor initiative. The document discusses how agricultural policies affect producers and consumers as well as how the limited funding for agricultural services, such as research and infrastructure, could limit the ability of Caribbean farmers to compete effectively in global markets. The analyses presented are therefore meant to contribute to the Caribbean’s regional dialogue for the design of more effective agricultural policies, which will be able to strengthen the sector and improve the lives of people in the region.

The agricultural sector accounts for 3.8 percent of the GDP of Barbados and 2.9 percent of its jobs. The Government of Barbados considers agriculture to be one of the nation’s potential growth drivers and supports it through a combination of incentives and concessions to agricultural producers, high border protection, and support to research and infrastructure. Support to producers in Barbados averaged 33.4 percent of gross farm receipts in the latest 3 years of the study (2012-2014), while a significant share of total support (38 percent) was provided in the form of transfers to general services. Total transfers arising from agricultural policy reached 1.1 percent of the national GDP. All types of support decreased during the period of study, but the share of price support in support to producers increased. Reorienting agricultural policy from input subsidies and per-hectare payments towards support to general services would be beneficial for agricultural competitiveness and build a foundation for sustainable growth in agriculture.

If we must eat to survive, we must make agriculture sustainable. To make agriculture sustainable, we must consider the necessary strategic actions to understand the challenges in the sector, solve problems and innovate. That is why in July 2017, several Ministers and other senior representatives of the Ministries of Agriculture of Suriname, Guyana, Haiti, Dominican Republic, Jamaica, Belize, Barbados and The Bahamas participated in the Caribbean Agricultural Policy Forum organized by the Inter-American Development Bank (IDB). The Forum analyzed the agricultural policy strategies of the different countries and their impact on the performance of the sector. It was an opportunity to discuss the challenges the Caribbean’s agricultural sector faces, including: the vulnerability of small producers to price volatility in the global market and of course the impacts of climate change. The dialogue was based on agricultural public policy data collected for each Caribbean country within the framework of the IDB’s Agrimonitor initiative. The following publication gathers the main findings and summarizes how agricultural policies affect producers and consumers as well as how the limited funding for agricultural services, such as research and infrastructure, could limit the ability of Caribbean farmers to compete effectively in global markets. The analyses presented are therefore meant to contribute to the Caribbean’s regional dialogue for the design of more effective agricultural policies, which we hope will strengthen the sector and improve the lives of people in the region.

Focusing on the process of agricultural policy-making within the Caribbean Community and Common Market (CARICOM), provides a context for understanding the evolving theory of regional integration among developing countries. Traces the progress of Caribbean integration from the mid-1960s to the present. Describes the move away from a market- oriented laissez-faire approach to agriculture and the shift toward sectoral programming. Examines the role of other regional organisations. Suggests that the future direction of regional co- operation among developing countries will be towards more intensive integration, but on a less extensive scale.

This text presents an analysis of the agricultural and food-producing sector of the English-speaking Caribbean island economies, set in historical perspective. It discusses the reasons for the relative decline of this sector, and the failure of policy proposals for its resuscitation. Issues examined include: the legacy of the plantation economy, which emphasizes luxury export crops over basic food production; the reliance on multinational donor funding for economic development, and the resulting manipulation of agricultural projects by such external agencies; and liberalization of the market economy leading to more underdevelopment of the region and dependence on the international market system.