WORLD TRADE
ORGANIZATIONG/STR/N/4/TTO
17 November 1998
(98-4589)
Working Party on
State Trading EnterprisesOriginal:  English
STATE TRADING
New and Full Notification Pursuant to Article XVII:4(a) of the GATT 1994 and
Paragraph 1 of the Understanding on the Interpretation of Article XVII
TRINIDAD AND TOBAGO
The following communication, dated 28 October 1998, has been received from the Permanent
Mission of Trinidad and Tobago.
_______________
A. NATURAL GASI. STATE TRADING ENTERPRISE
The National Gas Company of Trinidad and Tobago Limited (NGC)
II. REASON FOR MAINTAINING A STATE TRADING ENTERPRISE
On 21
 September 1975 the Government of the day, through its Cabinet, having recognized the
importance of the natural gas resources to the economy of the country, directed the Trinidad and
Tobago Electricity Commission (T&TEC) to transfer to NGC the entire undertaking of its Gas
Transmission Pipeline System and all the appurtenant facilities thereto.  NGC was formed in 1975 as
the sole entity involved in the purchase, transportation and sale and distribution of natural gasthroughout Trinidad and Tobago except in the case of the sale of gas for liquified natural gas.
III. DESCRIPTION OF THE FUNCTIONING OF THE ENTERPRISE
NGC purchases, transports and sells natural gas.
IV. STATISTICAL INFORMATION
Quantity of natural gas sold by NGC to Domestic Users (1995-1997).
Million standard cubic feet per day (mmscfd).
1995 1996 1997
Power generation 149 155 160
Metal industries 42 42 44
O t h e r 2 22 42 4
Petrochemicals 334 397 412
Gas processing 17 19 20G/STR/N/4/TTO
Page 2
1995 1996 1997
Refining 29 44 55
TOTAL 593 681 715
V. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE
NGC does not carry out any foreign trade.
VI. ADDITIONAL INFORMATION
NGC has recently been provided with a mandate to promote the development of gas-based
industries in Trinidad and Tobago.
B. COCOA AND COFFEE BEANS
I. STATE TRADING ENTERPRISE
Cocoa and Coffee Industry Board of Trinidad and Tobago.
II. REASON FOR MAINTAINING A STATE TRADING ENTERPRISE
By Act 20 of 1961 (with several subsequent amendments).
The Board is mandated to:  " secure the most favourable arrangements for the purchase, sale,
handling, grading, exportation and marketing of cocoa and coffee for the benefit of the Cocoa and
Coffee Industry ".
III. DESCRIPTION OF THE FUNCTIONING OF THE ENTERPRISE
(a) The Board purchases cocoa and coffee beans from farmers through a system of
licensed Buying Agents and sells such produce at the most suitable prices.  It also
grants permits to any individual or group who can accumulate a minimum of
20,000 lbs of product to export on its own.
(b) The Board supervises the Government's Guaranteed Price incentive and issues export
permits.
(c) Any individual or organization which can produce or accumulate more than
20,000 lbs of cocoa beans can apply for a permit to export.
There is no quantity restriction on the export of coffee beans.
The conditions for participation are:
(i) Quality of product must meet standards set by the Board;(ii) Exporters must submit price offers received for the export sale of Cocoa and
Coffee for the Board's approval.  These price offers should, normally, not be
less than the price at which the Board sells.
(d) Export levels for all traders are determined by availability of product and market
demand.G/STR/N/4/TTO
Page 3
(e) Export prices are determined by negotiation between buyer and vendor with reference
to world market prices.
(f) N.A.(g) Long-term contracts are negotiated, if suitable to both sides.
Government has to date not entered into any contractual obligations for these two (2)
commodities.
(h) Cocoa beans are sold on the international market either through specialized brokers or
directly to manufacturers.  This format is also used whenever coffee is exported.
In all instances, the produce is procured from farmers through a system of Buying
Agents who transfer their purchases to an exporter who acts as Agent for the Board.
No export of coffee has been made during the years 1995-1997 because all production
is consumed by Local Roaster.
IV. STATISTICAL INFORMATION
Imports
No coffee is imported by the Board.  However a small quantity of roasted coffee beans is
imported by private enterprises.
Export quantities
Description of
product(s) [including
HS number(s)]Quantity directly exported
by state trading enterprisesTotal exports National production
12 3 4
1997 1,500 mt 1,728 mt 1,704 mt
1996 1,681 mt 1,800 mt 2,333 mtCocoa beans
1995    990 mt 1,378 mt 1,736 mt
1997 - - 1,082 mt
1996 - -   349 mtCoffee beans
1995 - -   842 mtG/STR/N/4/TTO
Page 4
Export prices – annual
Description of
product(s) [including
HS number(s)]Average procurement price Average
representative
domestic sales priceAverage export
price
12 3 4
1997 TT$9.41/kg TT$8.85/kg TT$9.64/kg
1996 TT$9.30/kg TT$7.39/kg TT$9.89/kgCocoa beans
1995 TT$9.41/kg TT$10.20/kg TT$15.00/kg
1997 TT$8.21/kg TT$12.00/kg -
1996 TT$8.27/kg TT$12.00/kg -Coffee beans
1995 TT$8.23/kg TT$12.00/kg -
Domestic activities
Description of
product(s)
[including HS
number(s)]Domestic
purchases by state
trading enterprisesNational
productionDomestic sales by
state trading
enterprisesNational
consumption
12345
1997 1,596 mt 1,704 mt 245 mt 245 mt
1996 2,212 mt 2,333 mt 195 mt 195 mtCocoa beans
1995 1,356 mt 1,736 mt 218 mt 218 mt
1997 1,082 mt 1,082 mt 707 mt 707 mt
1996    349 mt   349 mt 349 mt 349 mtCoffee beans
1995    842 mt   842 mt 842 mt 842 mt
C. SUGAR
I. STATE TRADING ENTERPRISE
Caroni (1975) Limited.
II. REASON FOR MAINTAINING A STATE TRADING ENTERPRISE
Caroni (1975) Limited is responsible for the production and sale of sugar on the local and
export market.
III. DESCRIPTION OF THE FUNCTIONING OF THE ENTERPRISE
Caroni (1975) Limited has monopoly status on the production and sale of sugar.
Imports are determined based on local demand.Imports are mainly raw sugar to process into refined sugar.Tendering procedures as applicable to State Enterprises are followed for the purchase of
imported sugar.G/STR/N/4/TTO
Page 5
Exports are to guaranteed markets in the European Community and the United States.
For local sales, sugar is sold directly to manufacturers and distributors.Import contracts are short-term.  They are based on demand requirements.
IV. STATISTICAL INFORMATION
Caroni (1975) Limited
Sugar Production, Import and Exports
1995-1997
1995 1996 1997
PRODUCT Quantity
(tonnes)Value
TT$Quantity
(tonnes)Value
TT$Quantity
(tonnes)Value
TT$
Sugar production
  Raw
  Refined Bags
Packets113,568
29,78212,109408,844,800
106,559,996
41,436,998111,578
31,39410,656401,680,800
109,941,788
36,464,832116,643
33,85711,757419,914,800
114,165,804
40,232,454
Sugar imports
  Raw *
  Refined *
  Brown *30,883
2,008
-61,395,146
5,606,794
--30,675
-
8,00059,068,557
-
16,507,90029,000
9,105
5,00055,396,909
21,902,609
11,024,650
Sugar exports
  Raw    EC       *
   USA       ~
   SPS       *
  Refined    USA ~
                  Aruba ~
                  Bahamas
 ^46,250
8,400
12,450
600
-
352183,520,000
22,193,407
39,130,350
1,835,566
-
867,22946,297
15,237
9,925
-
--182,536,577
38,921,140
31,359,993
-
--45,501
13,576
10,500
-
8,026
-175,846,236
  36,887,801
  31,328,458
-
  22,551,174
-
*c i f f o
~ fobs
^f a s
D. WHEAT AND SOYA BEANS
I. STATE TRADING ENTERPRISE
National Flour Mill Limited.
II. REASON FOR MAINTAINING A STATE TRADING ENTERPRISE
(a) A company incorporated in the Republic of Trinidad and Tobago on
30 September 1972 under the Companies Ordinance, Chapter 31, No. 1.G/STR/N/4/TTO
Page 6
(b) N.F.M.'s business is the production and distribution of flour and related wheat by-
products, soya bean oil and meal.  The company remains the principal producer of
flour and soya bean oil in Trinidad and Tobago.
III. DESCRIPTION OF THE FUNCTIONING OF THE ENTERPRISE
(a) N.F.M. primarily caters to large-scale distributors, wholesalers and industrial
companies which use the Company's products as source ingredients for their output.
In addition to the sale of bulk flour and oil, the Company packages flour, rice and
edible oil under its own brand names, as we ll as for other companies under their own
brand names.
(b) The Company's major strengths reside in:
- Competent, innovative management working through skilled and dedicated
personnel.
- Competencies in grain management and grain processing, together with a
pool of specialized skills in specific areas.
- Sophisticated plant and equipment, situated in a strategic geographic location.
IV.  STATISTICAL INFORMATION
Please refer to tables overleaf.G/STR/N/4/TTO
Page 7National Flour Mills Limited
Statistical Information
Imports
Period Description of
product(s)Quantity
imported by
Trading
Enterprise (mt)Total imports Average import
priceAverage
representative
domestic priceMark up National
production
Wheat    SRW
   DNS62,567.442
65,177.620N/A
N/A$155.67
$192.60Not applicable N/A Not applicable
1995
Soya beans 82,709.104 N/A $238.07 Not applicable N/A Not applicable
Wheat    SRW
   DNS73,168.389
55,433.059N/A
N/A$187.92
$228.30Not applicable N/A Not applicable
1996
Soya beans 100,027.643 N/A $301.77 Not applicable N/A Not applicable
Wheat    SRW
   DNS57,033.321
62,386.344N/A
N/A$160.34
$184.49Not applicable N/A Not applicable
1997
Soya beans 76,353.781 N/A $293.78 Not applicable N/A Not applicableG/STR/N/4/TTO
Page 8National Flour Mills Limited
Statistical Information
Domestic Activity
Period Description of product(s)
[including HS numbers]Domestic purchases by
State Trading EnterpriseNational production
(MT)Domestic sales by State
Trading Enterprise
$National consumption
Oil * 13,890,919.00 33,665 103,344,073.48 N/A
Meal 24,389,420.00 63,073 38,528,396.56 N/A
Flour by-products 245,240.00 35,415 1,226,008.43 N/A 1995
Flour 93,340,965.00 93,806 197,557,831.59 N/A
Oil * 22,709,290.00 40,230 114,109,259.42 N/A
Meal 34,042,010.00 79,672 65,056,152.95 N/A
Flour by-products 393,505.40 33,612 1,171,103.03 N/A 1996
Flour 89,853,074.60 91,484 231,259,322.70 N/A
Oil * 13,192,100.00 35,126 113,500,200.37 N/A
Meal 31,215,178.00 51,869 67,262,790.41 N/A
Flour by-products 498,150.40 31,980 979,994.09 N/A 1997
Flour 91,066,715.72 94,090 227,137,356.24 N/AG/STR/N/4/TTO
Page 9National Flour Mills Limited
Statistical Information
Export Quantities
1995 1996 1997
Description
of product(s)Quantity
exported by
State Trading
EnterpriseTotal exports
$National
production
(MT)Quantity
exported by
State Trading
EnterpriseTotal exports
$National
production
(MT)Quantity
exported by
State Trading
EnterpriseTotal exports
$National
production
(MT)
Oil *  613,280 17,642,755.52 33,665 *  833,720 15,977,358.35 40,230 *  1,256,322 20,859,593.23 35,126
Meal 41,157,349 48,534,560.24 63,073 44,849,390 65,081,721.10 79,672 30,274,500 51,498,133.20 51,869
Flour by-
product12,175 82,787.75 35,415 8,210 61,220.96 33,612 25,523 60,272.57 31,980
Flour 441,015 1,025,370.00 93,806 939,420 2,695,803.95 91,484 4,223,979 10,330,284.80 94,090
Quantity: Kilograms
Litres  *
Metric tonnes
Value: TT currencyG/STR/N/4/TTO
Page 10
Pursuant to Article XVII:4(a) of GATT 1994 and paragraph 1 of the Understanding on the
Interpretation of Article XVII, and in response to the information already submitted to the Council for
Trade in Goods, I wish to notify additional info rmation on state trading in the Republic of Trinidad
and Tobago.
A. FUELS
Gasoline, diesel and liquified petroleum gas (LPG)
I. STATE TRADING ENTERPRISE
Trinidad and Tobago National Petroleum Marketing Company Limited (NPMC).
II. REASON FOR MAINTAINING A STATE TRADING ENTERPRISE
Based on the Petroleum Act, Chapter 62, No. 1, NPMC was established:
(i) "to maintain a viable petroleum retail marketing industry when the multinationals
signalled their intention to leave the country between the period August 1972 and
January 1977".
(ii) "to develop a cadre of citizens who would be involved in the industry and acquire
entrepreneurial skills to enhance the petrol eum retail marketing sector in its growth
and development".
III. DESCRIPTION OF THE FUNTIONING OF THE ENTERPRISE
(a) NPMC is a state-owned private company established in 1972 and engaged in the
following activities:
(i) Sale of aviation and bunker fuels in a competitive environment;
(ii) Wholesaling petroleum fuels (monopoly), gasoline, diesel and liquified
petroleum gas (LPG);
(iii) Manufacture and sale of lubricants and greases in a competitive environment;(iv) The retailing of automotive fuels through a network of independent
entrepreneurs;
(v) The retailing of LPG in a competitive environment.
(b) Monopoly on wholesaling of automotive fuels on the local market.  (This will be
removed at the beginning of 1999);
(c) Multinationals are allowed to import fuels for export sales only.  No levels are set in
the market;
(d) Export prices are determined by competition in the open market-place (e.g. NPMC's
fuels are marketed in Dominica in competition with other established companies).G/STR/N/4/TTO
Page 11
(e) Import prices are determined in part in international posted prices supplemented by
negotiations;
(f) NPMC competes with other entities for the supply of lubricants to other state-owned
agencies.  In respect of fuels, NPMC supplies products either directly or through
private entrepreneurs to governmental bodies;
(g) In respect of the monopoly items NPMC wholesales fuels through a network of
independent entrepreneurs on either privately-owned property or property owned by
NPMC and leased to individual entrepreneurs.
IV. STATISTICAL INFORMATION
Jan-Dec. 1997 Jan-Dec. 1996 Jan-Dec. 1995
Product Volume
(KL)Proceeds
('000)Volume
(KL)Proceeds
('000)Volume
(KL)Proceeds
('000)
Supermogas362,368.0 687,848.7 361,705.3 655,162.0 361,447.6 656,310.4
Unleaded
mogas10,669.9 23,915.2 5,633.2 12,136.5 2,140.1 4,610.6
Regular
mogas21,293.9 39,001.1 19,597.1 34,189.9 16,641.2 29,103.3
Domestic
mogas62.4 111.4 78.1 136.2 94.9 165.4
Total mogas 394,394.2 750,876.4 387,013.7 701,624.6 380,323.8 690,189.7
Kerosine 8,059.9 7,323.5 7,740.7 7,681.1 7,855.1 7,110.3
Auto diesel
(gasoil)288,621.4 299,503.9 231,725.4 251,772.0 232,096.1 228,194.3
LPG # 93,933.3 63,372.4 96,940.2 65,554.4 92,555.9 63,203.9
Legend:
KL - 1,000 litres
('000) - TT$000
__________