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  ANNEX 5 – SAINT LUCIA  
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  CONTENTS  
1   ECONOMIC ENVIRONMENT  ................................ ................................ ......................  296  
1.1   Main Macroeconomic Developments  ................................ ................................ ..........  296 
1.1.1   Real economy  ................................ ................................ ................................ ..... 296 
1.1.2   Fiscal policy and structural reforms ................................ ................................ .........  297 
1.1.3   Balance of p ayments, monetary and exchange rate policy  ................................ ..........  298 
1.2   Trade and Investment Patterns  ................................ ................................ .................  299 
1.3   Outlook  ................................ ................................ ................................ .................  302 
2   TRADE POLICY REGIME:  FRAMEWORK AND OBJECT IVES  ................................ ........  304  
2.1   General Constitutional and Legal Framework  ................................ ..............................  304 
2.2   Trade policy formulation and implementation  ................................ ..............................  304 
2.3   Foreign investment regime  ................................ ................................ ......................  305 
2.4   Internationa l relations  ................................ ................................ .............................  306 
2.4.1   World Trade Organization  ................................ ................................ ......................  306 
2.4.2   Preferential agreements and arrangements  ................................ ..............................  307 
3   TRADE POLICIES AND P RACTICES BY MEASURE  ................................ ......................  308  
3.1   Measures Directly Affecting Imports  ................................ ................................ ..........  308 
3.1.1   Procedures  ................................ ................................ ................................ .........  308 
3.1.2   Tariffs  ................................ ................................ ................................ ................  308 
3.1.3   Other charges affecting imports  ................................ ................................ .............  313 
3.1.4   Customs valuation and rules of origin  ................................ ................................ ..... 314 
3.1.5   Import prohibitions, restrictions and licensing  ................................ ..........................  314 
3.1.6   Contingency measures  ................................ ................................ .........................  316 
3.1.7   Technical regulations, conformity assessment, and standards  ................................ ..... 316 
3.1.8   Sanitary and phytosanitary measures  ................................ ................................ ..... 317 
3.1.9   Other measures  ................................ ................................ ................................ ... 318 
3.2   Measures Directly Affecting Exports, and restrictions  ................................ ...................  318 
3.2.1   Export procedures, taxes, and restrictions  ................................ ...............................  318 
3.2.2   Export subsidies, financing, insurance, and promotion  ................................ ...............  319 
3.3   Measures Affecting Production and Trade  ................................ ................................ ... 320 
3.3.1   Incentives  ................................ ................................ ................................ ..........  320 
3.3.2   Competition policy and price controls  ................................ ................................ ...... 321 
3.3.3   State -trading and state -owned enterprises  ................................ ..............................  321 
3.3.4   Government pr ocurement  ................................ ................................ .....................  321 
3.3.5   Intellectual property rights  ................................ ................................ ....................  322 
4   TRADE POLICIES BY SE CTOR  ................................ ................................ ...................  325  
4.1   Agriculture  ................................ ................................ ................................ ............  325 
4.1.1   Overview  ................................ ................................ ................................ ............  325 
4.1.2   Border measures  ................................ ................................ ................................ . 325 
4.1.3   Domestic measures  ................................ ................................ ..............................  325 WT/TPR/S/299  • Saint Lucia  
 
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  4.2   Manufacturing  ................................ ................................ ................................ ........  326 
4.3   Services  ................................ ................................ ................................ ................  326 
4.3.1   Telecommunications  ................................ ................................ .............................  326 
4.3.2   Financial services  ................................ ................................ ................................ . 328 
4.3.2.1    Onshore financia l services  ................................ ................................ ..................  328 
4.3.2.1.1    Banks  ................................ ................................ ................................ ...........  328 
4.3.2.1.2    Insurance  ................................ ................................ ................................ ...... 329 
4.3.2.2    Offshore financial services  ................................ ................................ ..................  329 
4.3.3   Transport  ................................ ................................ ................................ ...........  330 
4.3.4   Tourism  ................................ ................................ ................................ ..............  330 
4.3.5   Professional services  ................................ ................................ ............................  331 
REFERENCES  ................................ ................................ ................................ ................  332  
5   APPENDIX TABLES  ................................ ................................ ................................ .. 333  
 
CHARTS 
 
Chart 1.1 Merchandise trade by SITC section, 2007 and 2012  ................................ ..............  301 
Chart 1.2 Merchandise trade by main origin and destination, 2007 -12 ................................ ... 302 
Chart 3.1 Frequency distribution of MFN tariff rates, 2013 ................................ ....................  310 
Chart 3.2 Distribution of the MFN tariff by ISCI sector, 201 3 ................................ ................  311 
 
TABLES  
 
Table 1.1 Selected macroeconomic indicators, 2007 -13 ................................ .......................  296 
Table 1.2 Balance of payments, 2007-13 ................................ ................................ ...........  299 
Table 2.1 Selected notifications to the WTO, 2007 -13 ................................ ..........................  306 
Table 3.1 Tax revenue by main sources, 2007 -12 ................................ ...............................  309 
Table 3.2 Structure of MFN Tariff, 2006 and 2013  ................................ ...............................  309 
Table 3.3 Summary analysis of MFN tariff, 2013  ................................ ................................ . 311 
Table 3.4 Products subject to import licensing  ................................ ................................ .... 315 
Table 3.5 Procurement contracts, 2009 -13 ................................ ................................ ........  322 
Table 3.6 National IPR legislation, 2013  ................................ ................................ ............  323 
Table 4.1 Manufacturing production, 2008 -12 ................................ ................................ .... 326 
Table 4.2 Telecommunications statis tics, 2008 -13 ................................ ..............................  327 
 
APPENDIX TABLES  
 
Table A1. 1 Merchandise exports and re -exports by SITC section, 2007 -12 ............................  333 
Table A1. 2 Merchandise imports by SITC section, 2007 -12 ................................ ..................  334 
Table A1. 3 Merchandise exports and re -exports by trading partner, 2007 -12 .........................  335 
Table A1. 4 Merchandise exports and re -exports by trading partner, 2007 -12 .........................  336 WT/TPR/S/299  • Saint Lucia  
 
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1  ECONOMIC ENVIRONMENT  
1.1  Main Macroeconomic Developments  
1.1.1   Real economy  
1.1.  The services sector is the main pillar of St. Lucia' s economy ; according to ECCB estimates, its 
GDP contribution  increased from 70% in 2007 to approximately  73% in 2013  (Table  1.1). Tourism 
remains  the most important activity in terms of generated employment  and foreign exchange. 
Other noteworthy services a ctivities include real estate, transportation , wholesale and retail trade, 
services provided by the Government , and financial intermediation .  
1.2.  Following dynamic  activity  in the run-up to the hosting of the 2007 Cricket World Cup , both 
public and private se ctor expenditure in the construction sector fell in a gradual decline of its GDP 
share  in 2009 -13. Agriculture 's GDP contribution remain ed modest  during the review period, partly 
due to the adverse effects of natural disasters , plant pests , and rising inpu t prices . The sector 
continues to struggle with structural constraints, including the prevalence of small -scale production 
units and an aging rural population . St. Lucia remains a net food importer, with a widening 
agricultural trade deficit ; it also depen ds heavily on imports of fossil fuels . 
Table 1.1 Selected macroeconomic indicators, 2007 -13 
 2007  2008  2009  2010  2011  2012  2013a 
Real sector         
Nominal GDP (EC$ million)  3,093  3,197  3,186  3,381  3,500  3,560 3,648  
GDP per capita (EC$)  15,167  15,807  15,687  15,610  15,691  15,398  15,437  
Real GDP (basic 2006 prices, 
EC$ million)  2,472  2,590  2,584  2,588  2,626  2,604  2,611  
Real GDP growth (%)  1.7 4.8 -0.2 0.1 1.5 -0.8 0.3 
Consumer Price Index 
(January  2008=100,  % change, period 
average)  2.8 5.6 -0.2 3.3 2.8 4.2 .. 
Unemployment rate (%)b 14.0 15.7 18.1 20.6 21.2 21.4 24.9 
GDP components  (% of GDP)  
Total consumption  96.2 91.9 79.9 86.4 90.8 84.3 84.9 
 Public final consumption expenditure  12.0 12.9 13.8 14.1 13.9 14.4 14.5 
 Private final consumption expenditure  84.1 79.0 66.1 72.4 77.0 69.9 70.4 
Gross capital formation  29.2 32.1 28.9 27.8 28.0 26.3 25.7 
 Transportation  6.5 6.1 3.6 5.1 4.6 4.2 4.1 
 Other machinery & equipment  4.3 5.6 5.3 5.3 6.1 5.7 5.6 
 Construction  18.4 20.4 20.0 17.5 17.4 16.4 16.0 
Goods  & services  -25.3 -24.0 -8.8 -14.3 -18.9 -10.7 -10.6 
 Total exports of goods & services  39.9 45.3 46.1 48.6 44.3 44.5 44.6 
  Exports of goods  8.8 14.6 16.2 19.1 14.9 15.0 14.8 
  Exports of services  31.1 30.7 29.9 29.5 29.4 29.5 29.8 
 Total imports of goods & services  65.2 69.3 54.9 62.9 63.2 55.2 55.2 
  Imports of goods  47.3 51.1 38.8 46.6 47.5 40.8 40.8 
  Imports of services  18.0 18.2 16.1 16.3 15.7 14.4 14.5 
Gross national saving  -0.9 3.4 17.3 11.6 9.2 13.6 13.7 
Foreign saving  30.1 28.7 11.6 16.2 18.8 12.8 12.0 
GDP by economic activity  (% of GDP)  
Agriculture, livestock  & forestry  2.3 3.2 3.0 2.2 1.8 2.0 2.0 
  Crops  2.0 2.8 2.6 1.8 1.4 1.7 1.7 
  Bananas  1.2 1.8 1.6 0.9 0.4 0.6 0.6 
     Other crops 0.8 1.0 1.0 1.0 1.0 1.0 1.1 
  Livestock  0.3 0.3 0.3 0.3 0.3 0.3 0.3 
  Forestry  0.0 0.0 0.0 0.0 0.0 0.0 0.0 
Fishing  0.5 0.6 0.6 0.6 0.6 0.6 0.6 
Mining & quarrying  0.2 0.2 0.2 0.2 0.2 0.2 0.2 
Manufacturing  4.3 3.8 3.4 3.1 3.2 3.1 2.9 WT/TPR/S/299  • Saint Lucia  
 
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   2007  2008  2009  2010  2011  2012  2013a 
Electricity  & water 3.2 3.2 3.6 3.5 3.2 3.3 3.3 
Construction  7.2 8.0 7.8 6.9 6.8 6.4 6.3 
Wholesale & retail trade 7.8 7.8 6.9 6.5 7.5 7.3 6.5 
Hotels & restaurants  11.8 10.6 10.5 13.6 12.8 13.5 13.7 
  Hotels  9.6 8.7 8.4 11.6 10.7 11.4 11.6 
  Restaurants  2.2 1.8 2.1 2.0 2.1 2.1 2.1 
Transport, storage & communications  16.4 15.6 15.2 16.6 16.4 16.3 16.4 
  Transport & storage  10.6 9.8 9.3 10.9 11.2 11.2 11.3 
  Communications  5.8 5.8 6.0 5.8 5.2 5.1 5.1 
Financial intermediation  7.1 7.2 6.9 5.5 5.1 5.0 4.9 
Real estate, renting & business activities  14.0 14.2 14.8 14.6 15.0 15.1 15.2 
Public administration, defence & 
compulsory social security  5.0 5.2 5.4 5.5 5.8 6.0 6.0 
Education  3.3 3.4 3.7 3.8 3.7 3.7 3.7 
Health & social work 1.6 1.6 1.6 1.6 1.7 1.8 1.8 
Other  community, social & personal 
services  3.0 3.3 3.9 4.1 4.3 4.2 4.3 
Activities of private households as 
employers  0.1 0.1 0.1 0.1 0.1 0.1 0.1 
Less: FISIM  2.1 2.3 2.3 2.0 1.8 1.8 1.8 
Plus:  Product taxes 14.8 14.7 14.9 14.1 14.1 13.7 14.4 
Less:  Subsidie s on products  0.5 0.5 0.5 0.5 0.5 0.5 0.5 
General Government finance  (% of GDP )  
Current revenue  22.8 25.1 24.7 23.0 23.3 22.9 23.7 
Current expenditure  17.5 19.4 20.9 21.4 21.7 22.7 22.5 
Primary balance  -2.8 4.4 0.8 -0.5 -3.2 -4.4 -1.6 
Overall fiscal balance  0.5 0.0 -2.0 -0.6 -4.6 -6.4 -5.2 
Public sector external debt (end -of-
period)  35.6 30.7 31.6 31.4 32.1 32.8 .. 
Gross public sector debt  57.2 56.0 57.9 60.8 65.7 71.9 .. 
Money & interest rates         
Money supply, M1 (EC$ million, end -of-
period)  639 661 702 645 675 701 .. 
Broad money, M2 (EC$ million, end -of-
period)  1,544  1,805  1,851  1,915  2,054  2,098  .. 
Prime lending rate (% per year)  9.5-10 9.5-10 9.5-13 9.5-13 9.5-13 9-13 .. 
Other lending rates (% per year)  6-17 6-19 6-19 6-19 6-25 6-25 .. 
Savings rate (%, end -of-period)  3-4.25 3-4.26 3-4.27 3-4.28 3-4 3-4 .. 
.. Not available.  
 
a Projection , unless indicated otherwise . 
b The figure for 2013 is based on preliminary data for the period January -September . 
Source:  Eastern Caribbean Central Bank , Annual Economic and Financial Review  2011 and 2012; ECCB 
online statistics (http://www.eccb -centralbank.org/Statistics/index.asp ); and authorities of St . Lucia. 
1.3.  St. Lucia 's economy grew erratically during the review period, on account of  external shocks 
and structural impediments. While the global economic downturn  seriously impacted tourism 
revenue  and FDI inflows , the rapid growth of domestic real wage s contributed to a steady decline 
in productivity , resulting in erosion of competitiveness . Following a  peak growth rate of 
approximately 4.8% in 2008, real GDP grew at an annual average rate of just 0.16 % in 2009 -13, 
according to ECCB estimates . The unemployment rate has remained  high, at 21.4% for the first 
three quarters of 2013, as the labour market  continues to suffer from a mismatch of jobseekers' 
skills and available jobs, with some 60% of the labour force lacking secondary school education .1 
1.1.2   Fiscal policy  and structural reforms  
1.4.  Budgetary outlays , driven by a strong policy response to the sluggish  economic performance, 
have generally been on the rise, whereas revenue streams have not kept apace.  Apart from 
surpluses in 2008 and 2009, the primary fiscal result registered deficits throughout the review 
period and the overall fiscal balance turned into a deficit  as from 2009.  The overall fiscal deficit 
                                               
1 Government of St. Lucia (2013).  WT/TPR/S/299  • Saint Lucia  
 
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  has remained between 4% and 6% of GDP over the past three years. Amidst this situation of 
deteriorating public finances, public sector debt rose steadily to reach some 71.9% of GDP 
in 2012. The authorities e stimate that, in the absence of fiscal adjustments , the debt burden could 
increase to 90% of GDP by 2015.2  
1.5.  Conscious of their very limited policy space, the authorities have embarked on a process of 
fiscal consolidation  and structural reforms. Efforts to broaden the tax base and improve tax 
collection  have led to the introduction of VAT (section  3.1.3) and amendments to the property tax 
system ; certain administrative charges, such as application fees for alien's landholding licences 
(section  2.3), have als o been revised upward. Initiatives aimed at containing expenditures  have 
included: a fuel-cost pass-through mechanism  establishing a three -month cycle for retail price 
adjustments; a reduction in the magnitude and scope of blanket price subsidies on essent ial 
commodities ; and public -private partnerships  for new infrastructur e developments in water supply 
systems, port and airport facilities, and accommodation of government offices.  Although all these 
initiatives will help to lower the deficit, other expendi ture components are more rigid and will 
prove more difficult to deal with. In this respect, the authorities estimate the non-discretionary  
component of current spending at some 70%; it remain s dominated by the wage bill , which 
accounts for some 43% of curr ent spending (nearly 13% of GDP) .3  
1.6.  The Government's short-term reform programme  also envisages  a number of measures to 
reinforce the institutional framework and enhance competitiveness, such as : establish ing a 
specialized c ourt for commercial disputes ; creating an energy sector regulator  and paving the way 
for commercial entry of renewable energy producers ; implementing information technology 
solutions  for fully transactional online presence of the public administration and monitoring of 
government vehicle s; and a better targeted social  safety net.   
1.1.3   Balance of payments, monetary and exchange rate policy  
1.7.  As a member of the Eastern Caribbean Currency Union (ECCU), St. Lucia applies its common 
monetary and exchange policies  (Common Report ). Although moderate on average  during 
2007-12, at about 3% a year, inflation fluctuate d somewhat in 2008 -09. The introduction of the 
VAT in October 2012  (section  3.1.3) intensified inflationary pressures, notably in the following 
consumer basket categories : clothing and footwe ar, recreation and culture, and food and 
beverages .  
1.8.  During the review period, the current account of the balance of payments remained 
structurally in deficit, attributable mainly to the goods component  (Table  1.2). St. Lucia continued 
to import merchandis e worth nearly four times the total value of its goods exports . The surplus in 
services, although on the rise , has remained insufficient  to cover the sustained merchandise trade 
deficit . By and large, the current account deficits have been financed by fore ign direct investment . 
                                               
2 Government of St. Lucia (2013).  
3 A 4% wage increase was awarded to public officers in fiscal year 2011/12  and is being offset by an 
80% reducti on in funded vacancies.  WT/TPR/S/299  • Saint Lucia  
 
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  Table 1.2 Balance of payments, 2007 -13 
(EC$ million)  
 2007  2008  2009  2010  2011  2012  2013a 
Current account  -931 -918 -369 -547 -658 -455 -437 
  Goods and services  -784 -767 -281 -482 -660 -380 -387 
    Goods  -1,189  -1,167  -720 -929 -1,140  -918 -946 
      Merchandise  -1,257  -1,241  -788 -995 -1227 -999 -1,031  
        Exports  206 392 448 579 436 452 456 
        Imports  1,463  1,633  1,236  1,574  1,663  1,451  1,487  
      Repair on goods  0 0 0 0 0 0 0 
      Goods procured in ports by carriers  68 74 68 66 81 81 85 
    Services  406 400 439 447 479 538 559 
      Transportation  -171 -205 -152 -169 -192 -172 -177 
      Travel  700 717 674 703 736 783 813 
      Insurance services  -22 -31 -16 -24 -27 -24 -25 
      Other business services  -89 -69 -58 -57 -29 -39 -43 
      Government services  -13 -12 -8 -6 -9 -10 -10 
  Income  -184 -194 -122 -107 -54 -94 -69 
    Compensation of employees  1 1 1 1 1 1 1 
    Investment income  -184 -195 -122 -108 -55 -95 -70 
  Current transfers  37 44 34 41 56 19 19 
    General Government  8 11 1 5 2 -4 -4 
    Other sectors  29 33 32 37 52 23 22 
Capital and financial account  984 915 501 571 659 476 409 
  Capital account  23 29 70 118 92 89 76 
    Capital transfers  23 29 70 118 92 89 76 
      General Government  20 26 66 115 88 85 72 
      Other sectors  4 4 4 4 4 4 4 
  Financial account  961 885 431 453 568 387 333 
      Direct investment  734 435 395 328 219 205 267 
      Portfolio investment  1 -26 -79 83 91 85 69 
      Other investments  226 476 114 43 258 97 9 
        Public sector long term  55 -26 47 80 4 -29 74 
        Other public sector capital  0 0 0 0 0 0 0 
        Commercial banks  217 466 -12 -114 211 132 -99 
        Other assets  -79 20 56 13 -4 -68 -35 
        Other liabilities  33 16 24 64 47 62 68 
Net errors and omissions  -4 -27 -42 62 19 23 8 
Overall balance  50 -29 90 86 20 44 -21 
Financing  -50 29 -90 -86 -20 -44 21 
  Change in government foreign assets  1 0 0 0 0 0 0 
  Change in imputed reserve s -51 29 -28 -86 -20 -44 21 
Memorandum         
Current account balance (%of GDP)  -30.4 -29.2 -11.7 -16.9 -20.1 -15.5 .. 
Net imputed international reserves 
(US$ million)  151 140 151 182 190 201 .. 
Debt service ratio (% of exports of 
goods and services)  13.1 11.3 12.7 11.3 10.4 11.2 .. 
.. Not available.  
 
a Provisional . 
Source:  Eastern Caribbean Central Bank (ECCB), Annual Economic and Financial Review  (2011) and (2012); 
ECCB online statistics . Viewed at: http://www.eccb -centralbank.org/Statistics/index.asp ; and the 
authorities of St . Lucia. 
1.2  Trade and Investment Patterns  
1.9.  St. Lucia's merchandise trade statistics for the review period present a number of gaps and 
inaccuracies , which undermin e their trustworthiness. Detailed information on services trade and 
investment flows  was not made available.  WT/TPR/S/299  • Saint Lucia  
 
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  1.10.  St. Lucia's total merchandise trade grew by some 18% between 2007 and 20 12, albeit with 
an unsteady pattern reflecting swings in international comm odity prices.  Re-exports are an 
important source of revenue, exceeding earnings from domestic exports in 2008 -10 (Table  A1.1).  
Manufactures, fuels, and beverages and tobacco represent the bulk of St. Lucia's exports; their 
combined share in total exports i ncreased during the review period, whereas that of food and live 
animals declined steadily . The composition of imports  highlights the predominance of the same 
product categories, albeit with an expanding share of expenditure on food and live animals 
(Chart  1.1 and Table  A1.2). 
1.11.  Trinidad and Tobago and t he United States remain St. Lucia's main trading partners , jointly  
accounted for more than half of St. Lucian imports  and approximately 45% of exports in 2012 . 
Other important trading partner s include  the Unit ed Kingdom, Barbados, and other OECS countries 
(Chart  1.2 and Tables A1. 3 and A1. 4).  WT/TPR/S/299  • Saint Lucia  
 
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  Chart 1.1 Merchandise trade by SITC section, 2007 and 2012  
Chart 1.1
Merchandise trade by SITC section, 2007 and 2012
2007 2012
(a)    Exports and re -exports
Total: US$76 million
(b)    Imports 
Total: US$616 million Total: US$648 million
Source: Eastern Caribbean Central Bank (ECCB).Total: US$170 millionBeverages, 
tobacco
20.6%Misc.manuf. 
articles
6.0%
Machinery & 
transport equip.
19.6%Food & live 
animals
7.1%
Food & live 
animals
15.7%Food & live 
animals
24.4%
Manufactured 
goods
7.9%Other
1.1%Other
1.1%
Other
0.3%Other
4.4%Beverages, 
tobacco
18.5%
Crude 
materials
5.3%
Manufactured 
goods
8.2%Machinery & 
transport equip.
13.4%Misc.manuf. 
articles
13.6%
Beverages, 
tobacco
3.7%Beverages, 
tobacco
4.3%Food & live 
animals
20.3%
Crude materials
2.0%
Crude 
materials
1.6%
Mineral fuels
21.2%
Mineral fuels
17.6%
Chemicals
5.9%Chemicals
6.6%Manufactured 
goods
12.5%Manufactured 
goods
13.3%Machinery 
& transport 
equip.
24.8%Machinery & 
transport equip.
20.0%Misc.manuf. 
articles
13.2%Misc.manuf. 
articles
12.4%Crude 
materials
1.3%Mineral fuels
16.4%Chemicals
2.6%
Mineral fuels
27..5%Chemicals
5.4%
 
Source:  Eastern Caribbean Central Bank (ECCB).  WT/TPR/S/299  • Saint Lucia  
 
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  Chart 1.2 Merchandise trade by main origin and destination, 2007 -12 
Chart 1.2
Merchandise trade, by main origin and destination, 2007 -12
2007 2012(a)    Exports and re -exports
Total: US$76 million
(b)    Imports 
Total: US$616 million Total: US$648 million
Source :  Eastern Caribbean Central Bank (ECCB), authorities of Saint Lucia, and UNSD 
Comtrade database.Total: US$170 millionUnited States
13.8%
Barbados
12.2%
Canada
1.9%Asia
0.7%
United States
24.1%
Trinidad & 
Tobago
24.3%Other America
9.0%Others
2.1%
United States
41.7%
Other 
America
8.2%Europe
11.5%Japan
6.3%
China
1.0%Other Asia
4.4%Others
0.2%
United States
35.0%
Canada
1.7%Japan
2.4%
China
4.6%
Barbados
4.2%Europe
8.5%
Europe
27.5%Asia
1.5%
Other 
America
15.1%
Trinidad & Tobago
42.0%Barbados
5.8%
Trinidad & Tobago
19.9%Trinidad & Tobago
23.6%Barbados
2.5%Others
0.2%
St Vincent & the 
Grenadines
0.8%
St Vincent & the 
Grenadines
1.3%2007 2012
Other America
11.6%Europe
13.4%Other Asia
3.6%Guyana
0.9%Dominica
5.4%Guyana
3.8%Dominica
3.1%
 
 
Source:  Eastern Caribbean Central Bank (ECCB) ; the authorities of Saint Lucia;  and UNSD Comtrade 
database.  
1.3  Outlook  
1.12.  St. Lucia's economic outlook remains c hallenging , given the authorities' very limited fiscal 
space  in a context of  sluggish growth , declining productivity , and high unemployment . The IMF 
expects economic activity to  have regain ed some momentum in 2013 ; real GDP was projected to 
grow by 1.1%, w hile inflation wa s forecast to reach 4.8% before  subsiding  to a more moderate WT/TPR/S/299  • Saint Lucia  
 
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  level ( around 3 %) in the following years.4 The Fund's medium term projections comprise average 
real economic growth of around 3% , single -digit inflation,  and improvement in the central 
government  primary  balance (including grants)  to about 2.9% of GDP as tax reforms begin to bear 
fruit.5 Nevertheless, actual economic performance will depend on the speed of recovery in external 
demand for tourism services.  
1.13.  No medium -term projection s were made available by the authorities.  
                                               
4 IMF Public Information Notice  No. 13/27 , 12 March 2013. Consulted at: http://www.imf.org/external/ 
np/sec/pn/2013/pn 1327.htm#P22_354 . 
5 IMF (2010).  WT/TPR/S/299  • Saint Lucia  
 
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  2  TRADE POLICY REGIME:  FRAMEWORK AND OBJECT IVES  
2.1  General Constitutional and Legal Framework  
2.1.  St. Lucia is a parliamentary democracy within the Commonwealth of Nations. Its Head of 
State is the British monarch, represe nted locally by a Governor General who must be a St. Lucian 
citizen. Apart from residual powers that may be used at the Governor General's discretion, 
executive power is vested in the Prime Minister and his Cabinet. The Cabinet of Ministers is 
exclusively responsible for concluding trade agreements and treaties.  
2.2.  Legislative power is vested in the bicameral parliament, comprising 17 directly elected 
members of the House of Assembly and 11 members of the Senate appointe d by the Governor 
General. The P arliamen t may be dissolved at any point during its five-year term by the Governor 
General, either at the request of the Prime Minister or if the House of Assembly passes a vote of 
no-confidence in the G overnment. Parliamentary elections were last held on 28 Novemb er 2011.  
2.3.  All laws that do not conform to the Constitution of St. Lucia, the supreme law, are void to the 
extent of the ir inconsistency. After the Constitution, the hierarchy of legislation is: acts of 
parliament, including ordinances and international agre ements given effect through parliamentary 
approval; and subsidiary legislation, which may be in the form of regulations, statutory rules or 
orders.  A report containing draft amendments to the Constitution, elaborated by the Constitutional 
Reform Commission  set up in 2006, was tabled in parliament in April 2013; it is being discussed in 
the House of Assembly .  
2.4.  Draft bills are typically prepared, after public consultations , by the Ministry of Legal Affairs in 
coordination with other relevant ministries. Regar dless of where it was initially submitted for 
consideration, a draft bill must be passed in both the House and the Senate before it is presented 
to the Governor General for royal assent.6 Upon assent , the bill becomes an Act of Parliament and 
enters into f orce once it has been publ ished in the Official Gazette ; parliament may also decide 
that a bill should enter into operation with retroactive effect.7 This procedure applies to all laws, 
including trade and trade -related laws.  St. Lucia continues to have serious resource  constraints in 
legislative drafting , in 2012, the Ministry of Legal Affairs  had an estimate d backlog of 60 pieces of 
legislation awaiting drafting.8  
2.5.  St. Lucia has a hybrid  legal system combining common and civil law elements; international 
agreements may be invoked before national courts only if enacted into domestic law. At the lowest 
judicial level, magistrates courts generally hear minor civil and criminal matters. Serious civil and 
criminal cases, as well as discretionary decisions of ministers, are referred to the High Court, and 
may be appealed at the Court of Appeal of the Eastern Caribbean Supreme Court. The Judicial 
Committee of the Privy Council in London remains  the final Court of Appeal for St. Lucia.  All courts, 
from the level of  the High Court, are vested with authority to interpret and enforce the 
Constitution, as well as all trade -related laws. The alternate dispute resolution system utilized in 
St. Lucia is based on mediation.  The authorities have indicated their intention to establish a 
commercial court to hear and adjudicate on all commercial disputes.   
2.2  Trade policy formulation and implementation  
2.6.  The Ministry of External Affairs, International Trade and Civil Aviation (METC)  is responsible 
for the macroeconomic and strategic aspects of trade policy  formulation, including WTO issues , 
and the negotiation of bilateral and multilateral trade agreements. The METC  also represent s 
St. Lucia at regional and international trade fora, such as the WTO, the CARICOM Secretariat, and 
the African, Caribbean and Pacific (ACP) group of countries . The domestic market  is the remit of 
the Ministry of Commerce, Business development , Investment and Consumer Affairs , with 
                                               
6 Bills concerning taxation and budgetary matters must be introduced and debated in the House and 
only pass formally through the Senate, without discussion.  
7 Parliament of St. Lucia online information. Consulted at: http://www.stluciaparliament.com/how -is-a-
bill-passed -into-law. 
8 Government of St. Lucia (2013).  WT/TPR/S/299  • Saint Lucia  
 
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  functions that include designing micro economic policies and liaising with the p rivate sector.9 
Overall economic policy is the responsibility of the Ministry of Finance.  
2.7.  A Trade Facilitation Task Force , with broad public and private sector  representation,  was 
established in 2008  to work with counterparts from other OECS countries on a common position in 
the Negotiating Group on Trade Facilitation  at the WTO. The Task Force does not formulate 
policies, but  works on the technical aspects of measures aimed at streamlining St. Lucia's trade 
regime. It has worked on the establishment of a risk-assessment mechanism for customs 
clearance . 
2.8.  St. Lucia generally works with other OECS and CARICOM member countries to adopt common 
trade policy positions and is assisted by the Secretariats of these regional blocks in trade matters, 
particularly in trade negotiations . This approach is largely necessitated by human and financial 
constraints. The establishment of the OECS technical mission in Geneva has facilitated greater 
participation in the WTO.   
2.3  Foreign investment regime  
2.9.  St. Lucia 's investment policy  is to strongly encourage  foreign direct investment, particularly 
in sectors and industries that create jobs and  earn foreign exchange . The National Development 
Corporation , better known as Invest Saint Lucia is the Government body in charge of foreign dir ect 
investment; its goal is to promote foreign investment and to offer guidance and to anyone seeking 
investment opportunities in St. Lucia. To this end, Invest St. Lucia acts as a "one stop shop"  for 
the provision of services to both domestic and foreign investors.  The services offered include: 
general and sector specific information; identifying sites for business development; matching 
investors with sector -specific projects; start -up facilitation; and the promotion of locally 
manufactured products throug h regional and international trade missions, among others.10 Invest 
Saint Lucia also manages seven industrial estates.   
2.10.  Foreign investment projects require prior government approval. I nvestment proposals are 
reviewed by Invest St. Lucia taking into account national interest and economic benefit 
considerations. The investment regime does not stipulate any minimum investment thresholds  or 
national security reviews . There is no general limit on the amount of foreign ownership or control 
in the establishment of a business; however, in principle, some  21 areas of investment activity , 
including importation for the purpose of trading,  remain  reserved for nationals of St. Lucia .11 
According to the authorities, this restriction is intended to prevent the crowding out o f local small -
scale businesses ; it is not applied  to large investments  or when local invest ors have no business 
interest or lack the appropriate technology . There are no foreign exchange controls and no 
restrictions on the repatriation of profits . Foreign nationals receive national treatment with regards 
to legal protection.   
2.11.  Investment incentives are offered through tax concessions and the free -zone regime 
(section  3). The main legislation in this respect includes the Fiscal Incentives Act No. 15 of 1974 , 
the Free Zones Act, the Income Tax Act, the National Development Corporation Act, the 
Development Incentives Act, the Special Development Areas Act, the Trade License Act, the Aliens 
Licensing Act , and the Tourism Development Act.  
2.12.  Non-CARICOM nationals  and alien companies  (those with at least 50% non-CARICOM ) 
participation)  must apply to the Prime Minister' s Office for a licence to hold land , either as an 
owner or as a lessee  (lease period of two years or more) .12 Upon approval, the landholding licence 
is forwarded to the Attorney General for signature and must be registered in the Land Registry  by 
a lawyer entitled  to practice in St. Lucia.  Landholding licences are granted for a specific property  
and do not require renewal . In the case of land acquisition, t he licence fee ranges from EC$5,000 
                                               
9 Government of St. Lucia online information. Consulted at:  http://www.stlucia.gov.lc/sites/default/files/ 
documents/ files/EXTERNAL  AFFAIRS  POLICY REVIEW.pdf . 
10 Invest St. Lucia online information. Viewed at: 
http://www.investstlucia.com/general_pages/view/our -services . 
11 Cabinet Conclusion No. 645 of 1984 . For the full list of reserved areas see: 
http://archive.stlucia.gov.lc/faq/investment_act ivity.pdf . 
12 A non -refundable fee of EC$5,400 is payable for each application ( Aliens (Licensing) Act  No. 20 of 
2002, as amended by  the Aliens (Licensing) (Amendment) Act No. 11 of 2012).  WT/TPR/S/299  • Saint Lucia  
 
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  for plots of less than one acre to EC$50,000 for plots larger than 100 acres; the fee for a licence to 
lease land is 2% of the aggregate rental payable for the duration of the lease. Foreigners selling 
land are subject t o a 10% stamp duty on the value of the property , except for CARICOM nationals 
who pay: 0% on the first EC$50,000; 2.5% on the next EC$25,000; 3.5% on the next EC$75,000; 
and 5% the any remaining balance.  The standard corporate income tax rate is 33.3%.  Foreign 
investors in St. Lucia can repatriate all profits and dividends and import capital.  Compensation is 
paid in case of expropriation in the public interest . There are no recently reported cases of 
expropriation.  
2.13.  Alien companies and non-CARICOM nationals  are also required to obtain a trade licence in 
order to conduct business in St. Lucia .13 Trade licences are granted for the duration of the current 
calendar year  and are renewable. The annual licence fee is EC$1,000.  
2.14.  Foreigners wishing to conduct business o r be gainfully employed in St. Lucia must apply to  
the Minister responsible for labour for a work permit.14 A fee of EC$400 is payable for short -term 
work permit s (up to one month validity), regardless of the applicant's nationality;  the fee for a 
one-year permit is EC$2,000  for CARICOM nationals  and EC$7,500 for all other national ities.15 All 
work permits are renewable. CARICOM nationals are eligible  to work in ten approved professional 
categories without the need to obtain a work permit . To this end,  they m ust obtain a skills 
certificate and pay a one -time fee of EC$200 ; skills certificates issued by other CARICOM countries 
are not automatically recognized . 
2.15.  Since its previous R eview,  St. Lucia has concluded  tax information exchange agreements 
with Aruba, Aus tralia, Belgium, Denmark, Faroe Islands, Finland, France, Germany, Greenland, 
Iceland, Ireland, Netherlands, Netherlands Antilles, Norway, Portugal, Sweden, and the 
United  Kingdom.16 St. Lucia has a bilateral investment treaty with the United Kingdom and wi th 
Germany.  
2.4  International relations  
2.4.1   World Trade Organization  
2.16.  St. Lucia is an original Member of the WTO . Many of the WTO Agreements have been 
incorporated into domestic legislation  through acts of parliament and the relevant WTO provisions 
may be invoke d before national  courts . St. Lucia has made GATS commitments on tourism, 
recreational, financial, and maritime transport services ; its initial offer on services in the context of 
the DDA negotiations  dates from March 2005.  
2.17.  St. Lucia was not involved in any dispute settlement cases during the review period. It has 
made a few notifications to the WTO since 2007 (Table  2.1). 
Table 2.1 Selected notifications to the WTO, 2007 -13 
WTO Agreement and description  Document  symbol  
Import Licensing   
Notification under Articles 1.4(a) and 8.2(b)  G/LIC/N/1/LCA/4 (17 September 2013);  
G/LIC/N/1/LCA/3 (10  July 2013)  
Replies to questionnaire on import licensing 
procedures  G/LIC/N/3/LCA/6 (17 September 2013);  
G/LIC/N/3/LCA/5 (29  September 2008)  
                                               
13 Trade Licences Act No. 5 of 16 March 1985 , as amended by Act 21 of  27 March 2006 . 
14 Labour Act No. 37 of 2006 . 
15 Statutory Instrument No. 38 of 1 June 2004. 
16 OECD online information. Consulted at: http://www.oecd.org/ctp/exchange -of-tax-information/t ax 
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  WTO Agreement and description  Document  symbol  
Subsidies and Countervailing Measures   
Subsidy notification and extension of 
transition period for the elimination of export 
subsidies  G/SCM/N/253/LCA, G/SCM/N/260/LCA (16 July 2013);  
G/SCM/N/243/LCA (4 October 2012);  
G/SCM/N/220/LCA, G/S CM/N/226/LCA (18 October 2011);  
G/SCM/N/211/LCA (12 July 2010);  
G/SCM/N/186/LCA, G/SCM/N/192/LCA (8 September 
2010);  
G/SCM/N/163/LCA (5 September 2007);  
G/SCM/N/155/LCA, G/SCM/N/160/LCA (9 July 2007)  
Technical Barriers to Trade   
Pre-packaged products; ta ble eggs; 
transformers, reactors; small kitchen 
appliances  G/TBT/N/LCA/49/Rev.1 (8 February 2010); 
G/TBT/N/LCA/48 (22 January 2009); G/TBT/N/LCA/46, 
G/TBT/N/LCA/47 (14 April 2008)  
 
Source:  WTO Secretariat.  
2.4.2   Preferential agreements and arrangements  
2.18.  St. Luci a is a Member of t he Organization of Eastern Caribbean States (OECS) since its 
creation in 1981 . The Revised Treaty of Basseterre (RTB) Establishing the OECS Economic Union 
was signed on 18 June 2010  in St. Lucia . The RTB created a single financial and eco nomic space 
within which goods, people and capital move freely, monetary and fiscal policies are harmonized  
(see Common Report) . The Revised Treaty of Basseterre came into force on 21 January 2011 the 
day after , when five of six Members States (the excepti on being St. Lucia) had completed 
ratification . 
2.19.  As a founding member of both CARICOM and the OECS , St. Lucia is a party to the free -trade 
agreements  signed by these regional blocks (Common Report). St. Lucia is also a member of the 
Association of Caribbean  States (ACS).  Products originating in St. Lucia benefit from preferential 
access to the U.S. and Canadian market s under CBI and CARIBCAN ; they are also eligible for the 
GSP schemes of Australia, Canada, the European Communities, Japan, New Zealand, Russia , 
Switzerland, and the United  States.   
2.20.  St. Lucia, as part of CARIFORUM (a negotiating partnership involving CARICOM and the 
Dominican Republic) signed an Economic Partnership Agreement (EPA) with the EU in 2008 (see 
Common  Report). St. Lucia ratified the E PA in September 2012. The EPA, although in force, is still 
in the process of full implementation by St. Lucia and other OECS countries, requiring a number of 
legal and institutional changes.  As at March 2014, St. Lucia had not implemented any tariff 
reduct ions under the EPA . Implementation of tariff cuts will require the adoption of administrative 
and legislative measures.  
2.21.  As a founding member of the  CARICOM and the OECS, St. Lucia is a party to the free -trade 
agreements signed by the  two regional blocks (C ommon Report) ; it also benefits from these 
regional pools of technical resources in trade policy  formulation and implementation . Products 
originating in St. Lucia benefit from preferential access to the  EU, U.S., and Canadian markets; 
they are also eligibl e for a number of GSP schemes , including those  of Australia, Japan, 
New Zealand, Norway,  Switzerland, and Turkey .  
 WT/TPR/S/299  • Saint Lucia  
 
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  3  TRADE POLICIES AND P RACTICES BY MEASURE  
3.1  Measures Directly Affecting Imports  
3.1.1   Procedures  
3.1.  Importers must register with the Customs and Excise  Department to obtain user access to 
the Automated System for Customs Data (ASYCUDA) ; customs brokers are required to pay an 
EC$5,000  customs bond or security deposit . An upgrade to  ASYCUDA World , the system's 
internet -based version , was completed in  Octob er 2010 . Electronic submission of supporting  
documentation bec ame mandatory for all commercial consignments  on 31 March 2012 .17 The 
system's licensing module  is expected to become  operational  in 2014,  enabling the competent 
authorities to issue relevant  licences and permits  electronically.   
3.2.  Customs  clearance of imports is on the basis of:  a single administrative document 
(declaration ); suppliers' invoices or a bill of sight; a value declaration (Form 61) for items valued 
above EC$2,500;  and a bill of lading or air way bill. Where applicable, the supporting 
documentation must also include an import licence and/or permit , a certificate of origin , and a 
veterinary or health certificate.  Commercial goods below the threshold of EC$600 and goods  for 
personal use  valued up to EC$2,500 may be declared with a simplified customs declaration. There 
are no mechanisms for pre-arrival processing of import -related documents or for advance rulings . 
3.3.  Import declarations are assigned into one of  four lanes : green ( immediate relea se), blue 
(post-clearance check ), yellow ( documentary check ), and red ( documentary and physical checks ). 
The Customs and Excise Department reserves the right to examine consignments, even if they 
have been assigned to the green lane.  The main selectivity c riteria are: the importer 's profile , the 
country of origin, and the type of good being imported. According to the authorities, between 40% 
and 70% of  declarations are assigned to the red lane.  
3.4.  The use of customs brokers  is optional. According to the author ities, the legislation governing  
the licensing and operations of customs brokers has not been enforced , as the Customs Brokers 
and Customs Clerks Commission  stipulated therein is yet to be operationalized.18 The legally 
prescribed fees and charges for a customs broker 's regular services , some of which expressed as  a 
percentage of the customs value , also await proper enforcement; in the interim, customs brokers 
reportedly compete freely for clients.   
3.5.  As from February 2012, clearance under bond prior to the pa yment of customs duties is only 
possible for: perishable goods; raw materials imported by the manufacturing sector; goods 
qualifying for concessions; and special circumstances attested by the Comptroller of Customs.19 
According to t he authorities , this meas ure w as implemented due to frequent abuse of the bond 
facilities by importers seeking to delay the payment of duties . St. Lucia has introduc ed an 
Authorized Economic Operator  (AEO)  programme , in accordance with relevant WCO guidelines ; 
there were 18 AEOs i n February 2014 .  
3.6.  The 2013 World Bank Doing Business survey  estimates the average time for customs 
clearance and technical control at one day.20 According to the authorities, only consignments 
selected for physical examination  would take, on average, 24 hou rs to clear customs.  
3.1.2   Tariffs  
3.7.  Taxes on international trade  accounted for roughly half of fiscal revenue throughout the 
review period (Table 3. 1). Import duties  remain a major source of government revenue , although 
their share of the total declined somewhat between 2007 and 2012.  
                                               
17 Customs and Excise Department  Notice N o. 10 of  21 November  2011. Consulted at: http://www. 
customs.gov.lc/notices/notice_10_ 2011.pdf . 
18 Customs Brok ers and Customs Clerks Act  No. 3 of 2001 and Statutory Instrument 4/2006  (Customs 
Brokers and Customs Clerks  Regulations ) of 23 January 2006 . 
19 Customs and Excise Department  Notice No.11  of 21 November 2011.  Consulted at: http://www. 
customs .gov.lc/notices/notice_11_2011.pdf . 
20 World Bank online information. Consulted at: http://www.doingbusiness.org/data/exploreeconomies/  
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  Table 3.1 Tax revenue by main sources, 2007 -12 
(EC$ million and %)  
  2007  2008  2009  2010  2011  2012  
Total 656.5  725.3  724.4  728.3  764.3  744.5  
  (%) 
Taxes on income  26.9 31.1 31.2 31.0 32.1 30.4 
Taxes on property  0.7 0.3 0.6 0.4 0.5 0.6 
Taxes on goods and services  17.8 18.2 14.9 17.2 16.5 19.8 
   VAT (domestic)  n.a. n.a. n.a. n.a. n.a. 2.8 
   Excise tax (domestic)  0.5 0.6 1.3 1.7 1.7 1.4 
   Consumption tax (domestic)  1.4 1.0 0.9 0.7 0.8 0.8 
   Hotel occupancy tax  4.7 5.2 3.4 4.6 4.4 4.9 
   Other taxes  11.7 12.1 10.6 11.8 11.3 11.3 
Taxes on inter national trade and transactions  54.5 50.3 53.3 51.4 51.0 49.3 
   Import duty  16.1 14.9 12.9 13.5 13.8 13.6 
   Customs service charg e  10.2 9.3 8.4 8.3 9.0 9.3 
   VAT (imports)  n.a. n.a. n.a. n.a. n.a. 5.3 
   Excise tax (imports)  6.1 5.3 3.6 9.3 9.0 7.2 
   Consumption tax (imports)  17.3 16.0 22.6 15.2 14.7 9.9 
   Environmental levy  3.0 2.3 2.0 2.2 2.1 1.6 
   Security charge  0.1 0.2 0.2 0.1 0.1 0.1 
   Other taxes  1.8 2.4 3.5 2.8 2.1 2.1 
 
n.a. Not applicable.  
 
Source:  WTO Secretariat calculations, based on data provided by the authorities of St. Lucia . 
3.8.  St. Lucia grants at least MFN treatment to all its trading partners.  It applies  the CARICOM 
Common External Tariff (CET) with certain exceptions , which must be approved by CARICOM's  
Council on Trade and Economic Development  (Common Report) . According to the authorities, most 
CET exceptions are applied for development and disaster rec overy purposes. During the review 
period, in the framework of COTED -approved CET suspensions, St. Lucia reduced its applied rates 
to zero on certain pharmaceuticals (HS 30.04 ) and (for a two -year period) on some foodstuffs .21 
3.9.  The 2013 applied MFN customs ta riff is based on the 2007 version of the Harmonized 
Commodity Description and Coding System (HS), and comprises 6,3 28 lines at 1 1-digit level. 
Apart from eight tariff lines that carry specific rates,  the tariff is ad valorem  (Table 3 .2). There are 
no seaso nal tariffs or tariff quotas , but 14 tariff lines are subject to quantitative restrictions 
through import licensing (section  3.1.5). 
Table 3.2 Structure of MFN Tariff, 2006 and 2013   
 2006  2013  
Total number o f tariff lines  6,352  6,328  
Non-ad valorem  tariffs (% of all tariff lines)  0.1 0.1 
Non-ad valorem  with no AVEs (% of all tariff lines)  0.1 0.0 
Duty-free tariff lines (% of all tariff lines)  39.1 39.6 
Dutiable lines tariff average rate (%)  16.4 16.0 
Simple average tariff (%)  10.0 9.7 
   WTO agriculture  16.7 17.8 
   WTO non -agriculture (incl uding  petroleum)  8.6 8.0 
   Agriculture, hunting, forestry and fishing (ISIC 1)  20.7 22.0 
   Mining and quarrying (ISIC 2)  5.5 4.9 
   Manufacturing (ISIC 3)  9.3 8.9 
   First stage of processing  15.9 16.8 
   Semi-processed products  4 4.1 
                                               
21 The HS tariff lines concerned were 0406.30.00; 0713.10.20; 0713.39.00; 0713.40.00; 2009.60.30; 
2009.70.20; 2106.90.70; and 3401.20.90 . WT/TPR/S/299  • Saint Lucia  
 
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   2006  2013  
   Fully processed products  11.6 10.9 
Domestic tariff "peaks" (% of all tariff lines)a 6.3 8.4 
International tariff "peaks" (% of all tariff lines)b 28.7 28.5 
Overall standard  deviation  12.1 12.0 
Nuisance applied rates (% of tariff lines)c 0.1 0.1 
Bound tariff lines (% of all tariff lines)  99.5 99.5 
a Domestic tariff peaks are all rates exceeding three times the overall average applied rate.  
b International tariff peaks are all rates exceeding 15%.  
c Nuisance rates are greater than 0% but inferior or equal to 2%.  
Source:  WTO Secretariat calculations, based on data provided by the authorities of St . Lucia.  
3.10.  The computed average tariff rates for St. Lucia are biased downwards, d ue to the exclusion 
of the 5% customs service charge (see below), which continues to boost the overall level of border 
protection. Subject to these limitations, the 2013 simple average applied MFN tariff is 9.7% (down 
from 10% in 2006) . Some 39.6% of all tariff lines are duty free (up from 39.1% in 2006) and 
8.5% of all lines carry rates of over 25% (Chart  3.1).  
Chart 3.1 Frequency distribution of MFN tariff rates, 2013  
(39.6%)
(23.1%)
(3.5%)(5.3%)(18.9%)
(1.2%) (1.5%)(7.0%)
(0.0%)
0102030405060708090100
05001,0001,5002,0002,5003,000
Duty free ≤ 5 ≤ 10 ≤ 15 20 25 30 >30 Empty lineChart 3.1
Frequency distribution of MFN tariff rates, 2013
Number of tariff linesaPer cent
Cumulative per cent
Number of lines (% of total)
Source: WTO Secretariat calculations, based on data provided by the authorities of Saint Lucia.
 
 
Source:  WTO Secretariat calculations , based on data provided by the authorities of St . Lucia.  
3.11.  Overall tariff dispersion remains unchanged, with ad valorem  rates ranging from zero to 
70% (Table 3.3); some 23% and 19% of tariff lines carry rates of 5% and 20%, respectively. 
Tariff protection re mains most pronounced in agriculture: the average applied rate on agricultural 
products (WTO definition) is 17.8% (up from 16.7% in 2006), whereas the corresponding average 
for non -agricultural products is 8% (down from 8.6%). About 52% of agricultural tar iff lines (ISIC 
definition) carry rates greater than 25%, while 20.5% of tariffs on manufactures have a 20% rate 
(Chart  3.2). WT/TPR/S/299  • Saint Lucia  
 
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  Chart 3.2 Distribution of the MFN tariff by ISCI sector, 2013  
 
Source:  WTO Secretariat estimates, based on data provided by the authorities of St . Lucia.  
3.12.  In aggregate, the tariff depicts mixed escalation: semi -processed products are subject to a 
much lower average applied rate than fully processed products, wh ereas raw materials attract the 
highest average rate (Table 3. 3). The high overall protection of raw materials may render some 
competitive inputs inaccessible, which tends to discourage investment in processing industries. 
Thus, the tariff structure may no t be conducive to diversification of economic activity through 
value addition at the semi -processed stage.  
Table 3.3 Summary analysis of MFN tariff, 2013   
Description  No. of lines  Average 
(%) Range (%)  Coeffic ient of 
variation  
(CV) Final 
bound 
average  
(%) 
Total  6,328  9.7 0 - 101.1  1.2 65.8 
HS 01 -24 1,144  20.2 0 - 101.1  0.8 118.2  
HS 25 -97 5,184  7.3 0 - 70 1.2 54.6 
By WTO category       
WTO Agriculture  1,047  17.8 0 - 101.1  0.9 116.9  
 - Animals and products  thereof  149 15.4 0 - 40 1.1 120.8  
 - Dairy products  24 5.8 0 - 20 1.1 100.0  
 - Fruit, vegetables and plants  307 22.6 0 - 40 0.7 117.8  
 - Coffee and tea  29 17.4 5 - 40 0.8 102.1  
 - Cereals and preparations  126 14.8 0 - 40 0.8 110.2  
 - Oil seeds, fats , and oils  95 17.3 0 - 40 1.0 125.1  
 - Sugars and confectionary  23 19.7 0 - 40 0.8 107.8  
 - Beverages, spirits and tobacco  136 26.4 0 - 101.1  0.6 130.8  
 - Cotton  6 0.0 0 - 0 .. 100.0  
 - Other agricultural products n.e.s.  152 8.2 0 - 40 1.5 106.8  
WTO No n-agriculture (incl. petroleum)  5,281  8.0 0 - 70 1.3 55.6 
 - WTO Non -agriculture (excl. petroleum)  5,255  8.0 0 - 70 1.3 55.4 
 - - Fish and fishery products  175 26.9 0 - 40 0.6 116.8  
 - - Minerals and metals  1,119  5.5 0 - 30 1.5 52.4 
 - - Chemicals and photographic supplies  1,010  6.3 0 - 40 1.0 52.4 
 - - Wood, pulp, paper and furniture  329 8.7 0 - 25 0.9 65.0 
 - - Textiles  638 6.0 0 - 30 1.2 52.4 
 - - Clothing  277 19.9 5 - 20 0.1 53.3 
WT/TPR/S/299  • Saint Lucia  
 
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  Description  No. of lines  Average 
(%) Range (%)  Coeffic ient of 
variation  
(CV) Final 
bound 
average  
(%) 
 - - Leather, rubber, footwear and travel 
goods  179 9.4 0 - 25 0.9 51.4 
 - - Non-electric machinery  588 2.8 0 - 30 2.7 51.3 
 - - Electric machinery  267 7.6 0 - 30 1.4 50.0 
 - - Transport equipment  187 8.6 0 - 35 1.5 63.3 
 - - Non-agriculture articles n.e.s.  486 12.2 0 - 70 1.1 55.3 
 - Petroleum  26 7.3 0 - 25 1.1 104.6 
By ISIC sector a      
Agriculture and fisheries  411 22.0 0 - 40 0.8 113.4  
Mining  107 4.9 0 - 30 1.5 52.1 
Manufacturing  5,809  8.9 0 - 101.1  1.2 62.9 
By HS section       
  01  Live animals & products  330 20.7 0 - 40 0.9 118.9  
  02  Vege table product s 382 20.1 0 - 40 0.9 117.8  
  03  Fats & oils  53 26.4 0 - 40 0.7 141.4  
  04  Prepared food etc.  379 19.0 0 - 101.1  0.7 114.9  
  05  Minerals  191 5.1 0 - 25 1.1 58.9 
  06  Chemical & products  941 6.1 0 - 40 1.0 54.8 
  07  Plastics & rubber  244 7.4 0 - 25 1.0 51.4 
  08  Hides & skins  80 8.3 0 - 20 1.1 56.4 
  09  Wood & articles  133 10.5 0 - 20 0.6 53.8 
  10  Pulp, paper etc.  172 5.9 0 - 25 1.4 53.5 
  11  Textile & articles  902 9.8 0 - 20 0.9 54.1 
  12  Footwear, headgear  60 15.8 0 - 20 0.4 50.0 
  13  Articles of stone  186 9.0 0 - 25 0.9 51.5 
  14  Precious stones, etc.  62 15.5 0 - 30 1.0 73.1 
  15  Base metals & products  712 4.4 0 - 30 1.6 50.8 
  16  Machinery  875 4.4 0 - 30 2.0 50.9 
  17  Transport equipment  198 8.3 0 - 35 1.6 62.5 
  18  Precis ion equipment  229 8.2 0 - 30 1.2 56.8 
  19  Arms and am munition  24 39.6 0 - 70 0.7 77.4 
  20  Miscellaneous manuf  167 14.3 0 - 20 0.5 74.5 
  21  Works of art, etc.  8 20.6 20 - 25 0.1 50.0 
By stage of processing       
First stage of processing  801 16.8 0 - 40 1.1 96.2 
Semi-processed products  1,860  4.1 0 - 40 1.3 53.2 
Fully-processed products  3,667  10.9 0 - 101.1  1.1 65.7 
.. Not available.  
a ISIC (Rev.2) classification, excluding electricity (1 line).  
Source:  WTO Secretariat calculations, based on data  provided by the authorities of St. Lucia.  
3.13.  St. Lucia has bound 99. 5% of its tariff lines.  Agricultural products (WTO definition) , and fats 
and oils,  were bound at a ceiling level of 100%, with some exceptions above that rate . The 
average bound rate for agr icultural products  is 116.9%, a gainst  55.6% for non -agricultural 
products.  Three lines carry applied MFN rates (70 %) that exceed bound levels (50%) , but the 
computed  ad valorem  equivalents of non -ad valorem  duties  are below the corresponding bound 
rates. In the Uruguay Round, St. Lucia left blank the column "other duties and charges" in its 
schedule, which in practice is equival ent to having entered "zero".22 The authorities consider that, 
among taxes applied on imports, only the customs service charge  falls into the WTO category of 
other duties and charges ; they intend to make best endeavours to eliminate  it.  
                                               
22 WTO document WT/DS302/R , 26 November 2004.  WT/TPR/S/299  • Saint Lucia  
 
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  3.1.3   Other charges affecting imports  
3.14.  A customs service charge  (CSC),  at the rate of 5 % on the c.i.f. value  of imports , remains in 
place;  goods originating from other OECS/ CARICOM countries  are not exempt from it.23 Statutory 
exemptions from the CSC apply to, inter alia , inputs and packaging materials imported by certified 
local manufacturers , goods imported by the Government and public institutions , and certain goods 
used by approved airlines . During the review period, temporary exemptions  were also granted on 
a range of building materials  (until 8 February 2014 ).24  
3.15.  St. Lucia introduced value added tax  (VAT) in October  2012, to replace five indirect taxes : 
consumption tax , environmental protection levy, motor vehicle rental fee, mobile telephone tax, 
and hotel accommodation tax . VAT registration with the Inland Revenue Department is compulsory 
for businesses w ith annual gross turnover reaching  the EC$180,000  threshold. VAT is charged at a 
general rate of 15% on the supply of services and goods, including imports. A reduced rate of 8% 
applies , until April 2014 , to accommodation services supplied by a hotel, and to food and 
beverages  supplied by a restaurant ; ther eafter the rate w ill increase to 9.5% .25 Zero-rated 
supplies of goods and services include live animals (other than pets); fuel26; fresh eggs; uncooked 
pasta; ventilated boxes  for transport of unprocessed agricultural products ; water and sewerage ; 
electrical  energy ; and all exports. A range of goods and services are VAT-exempt, including 
financial services;  medical services ; care services to children and aged or disabled persons ; 
veterinary services  (other than for pets); education services  and materials; postal services 
supplied by the State ; agricultural and fishing inputs ; and numerous food items .27 An exemption 
from VAT was also granted to some tourism -related segments, including water sports operators 
and heritage tours providers, in September 2013; it is to be reviewed in April 2014 . 
3.16.  VAT is levied on the c.i.f. value  of imports plus all duties and taxes payable upon 
importation. The tax base for domestically  supplied goods and services is the fair market value of 
the supply , typically reflected in the sale  price.  
3.17.  As at July 2013, goods classifiable under 121 tariff headings remained subject to excise tax ; 
the main product categories were alcoholic beverages, tobacco products, fuels, and motor vehicles  
and parts . The rates applicable to some fuels have been amended  frequently , generally following a 
downward trend.28 Most excise taxes are specific or ad valorem , depending on the good.  Since 
2012, certain motor vehicles are subject to compound rates, with the specific component being 
linked to the vehicle's age:  EC$1,000 for a new vehicle ; EC$4,000 for a used vehicle up to 5 years 
old; or EC$6,000 for a used vehicle over 5 years old .29 Excise taxes are assessed on  the wholesale 
price of domestically produced goods ; for imports the tax base is the c.i.f. value with out addition 
of the tariff or any other duties and charges .  
3.18.  In November  2011, St. Lucia introduced a 1% security tax on the c.i.f. value  of import s; the 
tax expired on 31 December 2012 .30 The schedule to the Act provide d for exemptions on some 
43 classes o f goods.  According to the authorities , lax enforcement of this tax resulted in modest 
overall revenue (some  EC$32,000 ). 
3.19.  Goods originating from other CARICOM countries are imported  tariff-free, except where 
St. Lucia has made use of the CARICOM Treaty 's safeguard provisions . A variety of programmes 
grant exemption s from payment of (one or all of ) import duty, CSC, and VAT (or the taxes 
replaced by it). The beneficiaries of these initiatives include certain  industries  and sectors31; sports 
                                               
23 Customs (Service Charge) Act No. 10 of 1989  and its subsequent amendm ents. 
24 Customs (Service Charge) (Amendment of Schedule) Order s No. 78 (06/08/2012), No. 148  
(22/11/2012), and No. 14 (25/02/2013).  
25 Government of St. Lucia (2013).  
26 HS headings 2710.11.30; 2710.19.10; 2710.19.20; 2710.19.40; 2711.11.00; 2711.19.11; 
2711.19.12; and 2711.19.14.  
27 Value Added Tax Act No. 7 of 10 July 2012, as amended by Value Added Tax (Amendment) Act  
No. 10 of 28 September  2012. Consulted at:  http://www.vat.gov.lc/resources/legislation/vat_act.php . 
28 Excise Tax (Amendment of Schedule 1) (N o. 4) Order No. 55 of 29 July 2013 . 
29 Excise Tax (Amendment of Schedule 1) (No. 8) Order of 28 September 2012 . 
30 Security Tax Act No. 21 of 9 November 2011.  
31 In 2011 -13, beneficiary sectors and industries include d: air transport (airlines),  car rental, 
construction, electricity supply, farming and fishing, financial intermediation, manufacturing, taxi operators, WT/TPR/S/299  • Saint Lucia  
 
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  and cultural events;  medical, charitable , and religious institutions; returning residents and 
diplomats; diplomatic institutions and agencies ; and  government  and statutory bodies . According 
to the Customs and Excise Department , forgone revenue from taxes on imports (customs d uties 
and other taxes) was EC$3.35 billion in 2011, EC$2.88 billion in 2012 and EC$2.45 billion in the 
first nine months of 2013 ; these figures were not confirmed by the Ministry of Finance .  
3.1.4   Customs valuation and rules of origin  
3.20.  St. Lucia has not submitte d any notifications  on customs valuation to the WTO .32 In 
principle, the primary method of valuation is the transaction value of the imported goods; when 
necessary, recourse to alternative methods follows the hierarchy set out in the WTO Customs 
Valuation A greement.  Freight and insurance costs are included in the customs value  to the extent 
that they have been incurred by the buyer ; imports are not required to have insurance coverage . 
St. Lucia does not use minimum or reference prices for customs valuation p urposes. The 
authorities  estimate that the transaction method is used for some 90% of imports.  Second -hand 
motor vehicles  undergo a special valuation check prior to release , due to frequent under -reporting . 
3.21.  The customs value of imports may be verified and,  if necessary,  adjust ed by  the 
Comptroller of Customs within one year of entry  into St. Lucia. Import duties are assessed on the 
transaction value, pending the result of the investigation.  Valuation disputes may be heard by the 
Comptroller of Customs or by  Customs Appeal Commissioners ; matters involving a question of law 
or a question of mixed law and fact  may be appealed to the  High Court  and, subsequently, the 
Court of Appeal. The assessed rate of duty must be paid prior to disputing the assessment . 
3.22.  St. Lucia has not submitted to the WTO any notifications on rules of origin.33 The authorities 
affirm that no rules of origin  have been established  for non -preferential purposes.  St. Lucia applies 
CARICOM  preferential rules of origin  (Common Report ) on the basis  of HS  2007, although it may 
invoke safeguard provisions for imports from the more developed CARICOM countries.  Direct 
shipment between CARICOM member countries is not a requirement for conferring originating 
status to imports , provided that the good s remain under customs control and do not enter the 
commerce of th e transit  country . The Department of Customs issues certificates of origin for goods 
exported from St. Lucia under reciprocal and non -reciprocal preferential regimes ; the certificates 
are free of charge . 
3.1.5   Import prohibitions, restrictions and licensing  
3.23.  St. Lucia's latest notification of import licensing legislation and replies to the relevant 
questionnaire date from 2013 .34 Non-automatic  licensing requirements continue to apply on a 
number of goods, depending on their country of origin ( Table 3.4 ). The additional list of restricted 
imports , subject to special (non-automatic)  permission regardless of their origin , remains 
unchanged since St. Lucia's last Review.35 The authorities affirm that non -automat ic import 
licensing is used for national security, public health, public safety, plant and animal health, moral, 
development, and financial needs considerations. The granting of import licences for poultry 
(eight  tariff lines ) and pork  (six tariff lines ) remains subject to domestic purchase requirements of 
25% and 40% of the imported quantity, respectively; these requirements are applied regardless of 
the origin of imports.   
3.24.  In general, the granting of licences is administered by the Ministry of Commerce ; importers 
must seek approval from at least one additional competent entity in the following cases: animals , 
meat, meat products,  plants , plant material, and chain saws , Ministry of Agriculture36; pesticides , 
Pesticides Control Board ; controlled drugs , Minist ry of Health  (Chief Medical Officer ); rubber tyres , 
Ministry of Transport ; and firearms and ammunitions , Ministry of Internal Security ( Commissioner 
                                                                                                                                               
telecommunications, tourism, and yachting.  Goods imported in barrels or similarly sized packages, typically in -
kind remittances, also benefited fr om such concessions.  
32 WTO document  G/VAL/W/232 , 16 September 2013 . 
33 WTO document G/RO/W/144, 20 September 2013.  
34 WTO documents G/LIC/N/1/LCA/4/Corr.1 , 19 September 2013  and G/LIC/N/3/LCA/6 , 
17 September  2013. 
35 WTO document WT/TPR/S/190/LCA/Rev.1 , 21 Ap ril 2008 . 
36 An export permit from the country of origin is a prerequisite for obtaining a licence to import plants or 
animals into St . Lucia.   WT/TPR/S/299  • Saint Lucia  
 
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  of Police ). Imports of left-hand driv e motor vehicles remain subject to special permit s issued by 
Cabinet , while imports of radio and television transmitting equipment  require type approval by the 
National Telecommunications Regulatory Commission  (section  4.3.2) . Importers are expected to 
apply for the relevant licence or permit  prior to the goods ' arrival  and must present a certificate of 
origin for non -CARICOM originating items .37 Licences  are issued at no cost to the applicant; they  
are non-transferable , typically valid for one month, and  allotted on a first -come -first-served  basis.  
3.25.  Decisions not to grant a l icence must be notified to the applicants, with details on the 
reason for refusal . Appeals may be made to the Permanent Secretary or  to the Minister of 
Commerce ; redress may also be sought through the Civil Court and, ultimately, through the 
Caribbean Cour t of Justice, if the infringement is in contravention of the Revised Treaty of 
Chaguaramas .  
Table 3.4 Products subject to import licensing  
Goods originating outside the OECS or CARICOM  
Baby chicks, point of lay pullets (01.05)a; meat and edible meat offal ( Chapter 2);  fresh, frozen or chilled 
fish (HS  0301.03.04); smoked fish (HS  0305.41.00 -0305.49.90); crustaceans and molluscs fresh, chilled, 
frozen or salted etc. (HS  03.06; 03.07); fresh milk (HS  0401.10.00 ); eggs (HS  04.07; 04.08); natural honey 
(HS 0409.00.00); fresh or chilled potatoes (HS  07.01); leeks and other alliaceous vegetables 
(HS 0703.90.00); cauliflowers and headed broccoli (HS  0704.10.00; 0704.10.10); cabbages 
(HS 0704.90.10); cabbage lettuce ( HS 0705.11.00); carrots and turnips (HS  0706.10.00; 0706.10.10; and 
0706.10.90); cucumbers (HS  0707.00.10); fresh or chilled vegetables (HS  07.08; 07.09); arrowroot, sweet 
potatoes and other similar roots and tubers with high starch, fresh or dried, whole or sliced (HS 07.14)a; 
coconuts, cashew nuts fresh or dried (HS  08.01)a; bananas including plantains, fresh or dried 
(HS 08.03.00)a; pineapple, avocadoes, mangoes, guavas, fresh or dried (HS  08.04)a; citrus fruits, fresh or 
dried (HS  08.05); roasted ground  coffee (HS  0901.21.00 -0901.22.00); pepper, pimento (HS  09.04); vanilla 
(HS 0905.00.00); cinnamon (HS  09.06)a; cloves (HS  0907.00.00); nutmeg, mace (HS  09.08)a; thyme, 
saffron, bay leaves, ginger, curry and other spices (HS  09.10)a; rice (HS  10.06); wheat flour (HS  1101.00); 
edible oil (HS  15.07 -15.15); margarine, imitation lard and other prepared edible fats (HS  15.17); sausages 
and the like of meat, meat offal or animal blood (HS  16.01); other prepared or preserved meat of offal 
(HS 16.02); chicken pattie s (HS  1602.32.00); other patties (HS  1602.39.00); beef patties (HS  1602.50.90); 
prepared or preserved fish (burgers, fingers and patties) (HS  16.04)a; crustaceans and molluscs, prepared or 
preserved (HS  16.05); cane and beet sugar and chemical pure sucrose  in solid form (HS  17.01); pasta 
products (HS  19.02); cakes (HS  1905.90.90); jams, fruit jellies, marmalades (HS  20.07); mango chutney 
(HS 2008.99.10); fruit and vegetable juices, except preparations for infants (HS  20.09); coconut milk and 
coconut cream ( HS 2106.90.90)a; baking powder (HS  2102.30.00); tomato ketchup and tomato sauce 
(HS 2103.20.10); pepper sauce (HS  2103.90.10); browning, Bar B -Q sauce and mixed seasoning 
(HS 2103.90.90)a; ice cream (HS  2105.00.10); waters, aerated beverages, malt and othe r non -alcoholic 
carbonated drinks and orange squash (HS  22.02); beer (HS  2203.00.10); cigarettes (HS  2402.20.00); other 
tobacco products (HS  2402.90.00); oxygen in cylinder (HS  2804.40.00); carbon dioxide in cylinder 
(HS 2811.21.00); acetylene in cylinder (HS 2901.29.20); soaps (toilet, medicated, other) (HS  3401.11.00; 
3401.11.10; 3401.11.90); bleaches (liquid and other) (HS  3402.20.40; 3402.20.50); candles 
(HS 34.06.00)a; tyres remould, recapped, rethreaded (HS  40.12)a; wooden mouldings, (HS  44.09)a; wood en 
doors, except micro fibre doors (HS  4418.20.00); mats and matting of vegetable materials (HS  4601.21.00 -
4601.99.00); baskets and waste paper bins of vegetable plaiting materials (HS  46.02)a; toilet paper 
(HS 4818.10.00); cardboard boxes (HS  48.19)a; fibre mats of vegetable plaiting materials (HS  46.01; 
57.02)a; girls and ladies panties, half -slips and nighties (HS  61.08; 62.08)a; brassieres (HS  6212.10.00); 
concrete blocks (HS  6810.11.00); galvanized sheets (HS  72.08 -72.12)a; aluminium windows and doors 
(HS 7610.10.00; 76.11)a; solar water heaters (HS  8419.19.10 -8419.19.20); domestic and commercial 
meters for measuring volumes of water (HS  9028.20.00); chairs and other seats (HS  94.01); other furniture 
(HS 94.03); mattresses (HS  94.04)a; and gambling mach ines (HS  9504.30.00; 9504.90.30) . 
Goods originating from the OECS or CARICOM  
Fresh, frozen or chilled fish (HS  03.01 -03.04); smoked fish (HS  0305.41.00 - 0305.49.90)a; crustaceans and 
molluscs fresh, chilled, frozen or salted etc. (HS  03.06 -03.07); fresh  milk, not including UHT milk 
(HS 0401.10.00); rice (HS  10.06); wheat flour (HS  1101.00); chicken patties (HS  1602.32.00); beef patties 
(HS 1602.50.90); prepared or preserved fish (burgers, fingers and patties) (HS  16.04)a; cane and beet 
sugar (HS  17.01); ice cream (HS  2105.00.10); concrete blocks (HS  6810.11.00); and domestic and 
commercial meters for measuring volumes of water (HS  9028.20.00).  
                                               
37 According to the authorities, most  application s are submitted after the goods' arrival at customs.  WT/TPR/S/299  • Saint Lucia  
 
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  Goods originating outside the OECS  
Curry powder (HS  0910.99.30); pasta products (HS  19.02); waters, aerated bev erages, malt and other non - 
alcoholic carbonated drinks and orange squash (HS  22.02); malt beverages (HS  2202.90.20); beer 
(HS 2203.00.10); candles (HS  34.06)a; oxygen in cylinders (HS  2804.40.00); carbon dioxide in cylinders; 
(HS 2811.21.00); acetylene in  cylinders (HS  2901.29.20); solar water heaters (HS  8419.19.10 –
8419.19.20); chairs and other seats of wood and upholstered fabric (HS  94.01)a; and other furniture of wood 
and upholstered fabric (HS  94.03)a. 
a Applies only to the named  goods , not the gener al class of  goods identified by that tariff heading.  
Source:  External Trade (Restricted Imports) (Amendment) Order  No. 118  of 28 September 2012 . 
3.26.  There were no changes to import prohibitions  during the review period. The list of prohibited 
imports still inc ludes matches contain ing white or yellow phosphorus , and shaving brushes made in 
or exported from Japan.38 A number of import prohibitions on SPS grounds remain in place 
(section  3.1.8).  
3.1.6   Contingency measures  
3.27.  St. Lucia has not submitted to the WTO any  notifications regarding anti -dumping and 
countervailing measures, and the relevant legislation , since its last Review . No responses have 
been provided to questions  posed in 1996 regarding its original notification of pertinent 
legislation.39 There have been no amendments to the Customs Duties (Dumping and Subsidies) 
Ordinance  No. 25 since its entry into force on  19 December 1964 . The authorities affirm that no 
anti-dumping actions were taken during the review period.  
3.28.  No notifications on safeguards legislation or  actions taken have been made to the WTO 
Committee on Safeguards  since 1996 . St. Lucia has no domestic legislation on safeguards, but  
may invoke the provisions of the Revised Treaty of Chaguaramas  (Article 150 ) to restrict  imports 
from other  CARICOM countr ies and third countries . St. Lucia did not apply any safeguard measures 
under CARICOM rules during 2007 -13. 
3.1.7   Technical regulations, conformity assessment, and standards  
3.29.  Between January 2007  and October  2013, St. Lucia notifi ed to the Committee on Technical 
Barriers to Trade  one CARICOM and three  national standards .40 In line with its transition to the 
international system of units, St. Lucia also notified its intention to prohibit the importation of 
pre-packaged goods with labels expressed only in British imp erial or U.S. customary units; 
measuring devices or instruments  incompatible with metric standards and/or specifications ; and 
road transportation equipment with speedometers and odometers denominated only in miles .41 As 
at November 2013, the Legal and Stand ard Units of Measurement Order was yet to be enacted.  
3.30.  The St. Lucia Bureau of Standards (S LBS) is the national standards body and the national 
metrology institute . Its responsibilit ies include: develop ing and promot ing standards and codes of 
practice ; ascertaining quality through inspection, testing and certification; and carrying out all 
legal metrology activities in St. Lucia. The SLBS serves as national enquiry point and notification 
body under the WTO Agreement on Technical Barriers to Trade ; it has accepted the Code of Good 
Practice for the Preparation, Adoption and Application of Standards contained in Annex 3 to the 
Agreement.42 The SLBS is a member of the International Organization for Standardization (ISO), 
the Pan American Standards Commission (COPA NT), and the CARICOM Regional Organization for 
Standards and Quality (CROSQ) . The Bureau has forged partnerships and alliances with the 
International Electrotechnical Commission (IEC), the American Society for Testing and Materials 
(ASTM) , and the British Standards Institute (BSI) .  
                                               
38 WTO docume nt WT/TPR/S/190/LCA/Rev.1 , 21 April 2008 . 
39 WTO document WT/TPR/S/190/LCA/Rev.1 , 21 April 2008 . 
40 WTO documents G/TBT/N/LCA/48 , 22 January 2009; and G/TBT/N/LCA/46  and G/TBT/N/LCA/47 , 
14 April 2008. 
41 WTO document G/TBT/N/LCA/49/Rev.1 , 8 February 2010 . 
42 WTO document G/TBT/CS/N/135 , 6 November  2001. WT/TPR/S/299  • Saint Lucia  
 
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  3.31.  National standards are prepared by technical committees, upon request from interested 
parties.  Whenever possible,  national standards replicate or are based on international  and regional 
ones, or, in the absence of other referenc es, those of major trading partners . A 60-day period  is 
reserved for public consultations on draft standards; those intended to be  made  compulsory 
(technical regulation s) are notified to the WTO and require a regulatory i mpact assessment by the 
office  of the Minister of Commerce prior to adoption. Standards are adopted by  the SLB S Council, 
comprising members of both the public and private sector ; technical regulation s are declared  by 
the Minister  of Commerce , usually  on recommend ation from the Council  and w ith the formal 
concurrence of any other relevant Minister .43 National standards are normally reviewed and 
updated  every five years ; the procedure for revisions and amendments  is the same as for 
preparation of standard s. 
3.32.  In January  2014, there were 104 stand ards and 42 technical regulations in  force in 
St. Lucia; in 46 cases an international standard was adopt ed, either fully or with some adapt ation. 
The main categories of products and processes  covered by active standards are: amusement rides 
and devices; be verages; building materials; chemicals; consumer products; fresh produce; 
furniture; gaseous fuels; information & documentation; labelling; lighting; quality & quality 
management; tourism; and tyres.  
3.33.  St. Lucia  does not have a national laboratory accredita tion body ; it recognizes accreditations 
granted by the accreditation bod ies of Jamaica and Trinidad and Tobago. Product -testing is the 
shared responsibility of the Ministry of Health and Labour Relations;  the Ministry of Ministry of 
Agriculture, Food Produ ction, Fisheries and Rural Development ; and the Caribbean Environmental 
Health Institute.  Type approval is accepted in determining conformity to a standard.  Certificates of 
conformity issued by accredited overseas bodies are recognized , in principle . 
3.34.  The S LBS is the only certification body in St. Lucia ; it may only grant  certification against an 
existing standard, generally following thorough testing , and plant and system assessment .44 The 
SLBS implements a conformity -assessment programme for technical regul ations ; assessment 
procedures depend on the level of risk associated with a particular product or service.  The risk 
level is determined as part of the regulatory impact assessment carried out as a prerequisite for 
the technical regulation's adoption . In ge neral, suppliers ' declarations of conformity are accepted 
for low -risk products . High-risk products are typically subject to third-party conformity 
assessments , although first-party assessments , from suppliers  who have certified quality and 
safety manageme nt systems in place , are also accepted.   
3.35.  Enforcement of technical regulations is carried out by the SLBS through systematic market 
surveillance c onducted at least twice a year.  SLBS staff members are also present at ports of entry  
to check compliance with technical regulations.  The relevant imported goods may be subject to 
documentary checks and/or physical inspections prior to their local sale and distribution , and 
locally  manufactured goods may be inspected at the plant.  Surveillance activities also invol ve 
spot-checks of all items commercialized o n the domestic retail market.   
3.1.8   Sanitary and phytosanitary measures  
3.36.  As at November 2013, St. Lucia ha d not  made any notifications to the SPS Committee.  The 
relevant national legislation predates the SPS Agreement  and, inter alia , confers the Chief 
Veterinary Officer authority to adopt SPS measures without Ministerial or Cabinet approval . 
St. Lucia does not keep records that would provide an overview of  SPS measures  in force , or those 
introduced since 2007.   
3.37.  The Min istry of Agriculture, Food Production, Fisheries, and Rural Development ( MAFFRD)  
remains the enquiry point on SPS matters. St. Lucia is a member of the Codex Alimentarius 
Commission and a contracting party to the International Plant Protection Convention ( IPPC); it is 
not a member of the World Organisation for Animal Health (OIE).  The SLBS is the national contact 
point for the Codex Alimentarius Commission ; it also provides food -safety certificates for certain 
foods.  
                                               
43 The declaration is done through the office of the Attorney General , as per the Standards Act No.  14 
of 1990.  
44 The SLBS certification  programme is not accredited, but is conducted in accordance with the 
requir ements of ISO Guides No. 28 and No. 65.  WT/TPR/S/299  • Saint Lucia  
 
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  3.38.  According to the authorities, the SPS re gime responds to identified pest and disease 
outbreaks.  In principle, St. Lucia's SPS measures  are based on relevant IPPC, Codex, or OIE 
standards, guidelines, or recommendations ; trading partners affected by an SPS measure are 
informed by St. Lucia throug h peer -to-peer contacts.  The CARICOM Animal and Animal P roducts 
Trade Committee conduct s risk assessments for the entire common market; there is no equivalent 
arrangement for plants.  While the authorities of CARICOM countries operate as a collective to 
overcome capacity constraints , SPS measures adopted in another member country are not 
automatically implemented in St. Lucia.  
3.39.  The MAFFRD, through its Veterinary and Livestock  Services Division  (VLSD), its Crop 
Protection and Quarantine Unit  (CPQU) , and its Department of Fisheries , is the main entity  
responsible for the implementation of sanita ry and phytosanitary measures.45 Import ers of plants, 
animals and fish,  and material, product s, and by -products thereof, must apply for an import 
permit  from the relevant unit within the MAFFRD. In the assessment of applications, the main 
deciding factor is the disease status of the exporting country ; obtaining import permits for plants 
and animals require s presentation of the corresponding export per mit from the country of  origin.46 
In addition to a valid import permit, importation is conditional on the provision of a phytosanitary 
or veterinary -health certificate issued by the competent authority of the exporting country ; no 
systematic testing  is carried out at points of en try into St. Lucia, but imports are inspected to 
ascertain their  integrity and quality . Live animals transiting through St. Lucia must be 
accompanied by a transfer permit issued by the VLSD.47  
3.40.  Imports prohibited on SPS grounds include: meat from animals tr eated with hormones;  
honey; yams and sweet potato es; bananas and plantains (all parts and handicraft items); 
unprocessed plant material  from coconut, citrus , and bananas ; plants rooted in soil ; anthurium 
lilies, heliconia , and ginger lilies ; coconut and pa lms ( except polished handicraft items); soil; and 
packing material  of grass, straw,  etc. Import restrictions, mostly in the form of permits or 
quarantine requirements , continue to apply to a number of products that c ould potentially pose a 
pest problem .48  
3.1.9   Other measures  
3.41.  St. Lucia applies the international trade sanctions adopted by the United Nations and the 
regional bodies to which it belongs. According to the authorities, during the review period there 
were no barter trade transactions and no agreements were signed with foreign governments or 
companies with a view to influencing the volume or value of exports to St. Lucia. No information 
was made available on the existence of any  statutory requirements for the maintenance of reserve 
stocks and the me chanis ms for their application.  
3.2  Measures Directly Affecting  Exports , and restrictions  
3.2.1   Export procedures, taxes, and restrictions  
3.42.  Export ers are subject to the same registration and documentation requirements at Customs 
as import ers (section  3.1.1) . Exports are no t normally inspected, except in cases of suspicions 
regarding drugs or other illegal activity.  St. Lucia applies no export  taxes or levies ; exports are 
also exempt from internal taxes and are zero-rated for VAT purposes.   
3.43.  No new export restrictions or bans  have been introduced since 2007.  Export -licensing 
requirements remain in place for, inter alia : narcotics and drugs; ginger and dry coconut , and rare 
or threatened plants and animals .49 Licences for ginger , dry coconut , and exports requiring a 
CITES permit  are administered by the MAFFRD , which also issues export permits for fish and 
                                               
45 The Environmental Health Department of the Ministry of Health and Labour Relations deals with 
environmental issues. The Pesticide Control Board maintains a register of pesticides and issues import permits 
for pesti cides.  
46 Ministry of Agriculture, Food Production, Fisheries, and Rural Development online information. 
Consulted at: http://www.malff.com/index.php?option=com_content&view=article&id=91&Itemid=106 . 
47 Applications for transfer permit s are subject to a EC$2 0 application fee.  
48 Plant Protection Act No. 21 of 1988 . 
49 Customs (Control And Management) Act  of 1990. WT/TPR/S/299  • Saint Lucia  
 
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  seafood , conditional on provision of the relevant health certificate .50 Seasonal export  bans on 
lobster are notified annually by publication in the media ; a moratorium on sea egg s fishing (and 
exportation) remains in place .  
3.2.2   Export subsidies, financing, insurance, and promotion  
3.44.  St. Lucia  has not submitted to the WTO Committee on Agriculture any notification s 
regarding export subsidies since 2004. During the review period, St. Luci a provided regular 
notifications  to the Committee on Subsidies and Countervailing Measures  on export incentives 
maintained under its Fiscal Incentives  Act (section 3.3.1) , Micro and Small Scale Business 
Enterprises Act , and Free Zone Act .51 St. Lucia is exp ected to revise its export incentives in order 
to make them WTO -compatible  by 31 December 201 552; the authorities are planning a complete 
overhaul of the incentives regime (see below) .  
3.45.  Under  the Free Zone Act, No. 10 of 1999, imported merchandise may enter  a free zone for 
commercial purposes duty  free, and not subject to quotas or any i mport restrictions. 
Import -licensing requi rements do not apply, in general, to free zones, with the exception of goods 
restricted  for safety or health reasons. Other benefits  include : tax credits related to  the number of 
nationals emplo yed on a continuous basis; exemption from income tax during the first five years of 
operations and the possibility to carry forward total net losses accrued during this five -year tax 
holiday and  deduct them against profits in the three years following the tax holi day. Individual 
companies operating outside a specific free zone may als o be granted free -zone status. The free -
zones regime is outside the scope  of the Fiscal Incentives Act; a company may benefit from either 
of these two regimes, but not both. Goods produced in the free zones may be imported into the 
national customs territory only upon payment of import duties .53 Other advantages offered in free 
zones include: no restrictions or taxes o n foreign exchange transactions; no taxes on dividends for 
the first 20 years of operation; no work permit fees for management personnel of Free  Zone 
businesses; and no price control s. The Free Zone Management Authority (FZMA) grants licen ces to 
trade with in a designated free -zone area : enterprises conducting trade and investment activities in 
manufacturing, financial services, telecommunications, professional services, and other activities 
may apply to operate within a free zone ; licences are specific to a  business . 
3.46.  Under the Fiscal Incentives  Act and the Micro and Small Scale Business Enterprises Act , 
eligible enterprises  continued to qualify for exemption s from income tax on export profits, as well 
as for export allowance s. The authorities affirm that , in practice, exemptions have been granted 
not on export  but on total  profits . There were no export allowa nce beneficiaries during 2007 -13. 
There are two main industrial free -zone areas in St. Lucia, both located in Vieux Fort; only one is 
active. A third fre e zone, located in Cul -de-Sac, is devoted exclusively to the import and 
transhipment of petroleum products. All in all, the Free Zone programme had some 
24 beneficiaries as at June 2013, of which 4 were manufacturing companies . Since 2007, only 
two compani es, of which one active in manufacturing, have benefited for the first time from free -
zone incentives.  
3.47.  In 2011, the role of a Trade Export Promotion  Agency (TEPA) was added to the original 
mandate of  St. Lucia's Office of Private Sector Relations  (OPSR) .54 The OPSR formally bec ame 
TEPA in 2013.55 TEPA's mission  includes providing information and support to local businesses and 
international buyers ; and coordinat ing and evaluat ing the national export development strategy.  
The bulk of TEPA's budget for 2011 -14 has been funded by the Caribbean Development Fund , and 
the remainder by the Government of S t. Lucia; future funding is expected to come mainly from the 
Government . Most export promotion initiatives to date have been carried out  on a cost -sharing 
basis, with TEPA cover ing between 75% and 85% of the cost. Some 21  local producers have 
benefited from marketing support and approximately 50 have received assist ance to  participat e in 
                                               
50 The authorities indicate that fish export permit  fees are a function of the quantity exported.  
51 WTO documents G/SCM/N/260/LCA , 16 July 2013 ; G/SCM/ N/243/LCA , 4 October 2012 ; 
G/SCM/N/226/LCA , 18 October 2011 ; G/SCM/N/211/LCA , 12 July 2010 ; G/SCM/N/192/LCA , 
8 September  2009; G/SCM/N/177/LCA , 3 September 2008 ; G/SCM/N/163/LCA , 5 September 2007 ; and 
G/SCM/N/160/LCA , 9 July 2007 . 
52 WTO document  WT/L/691 , 31 July 2007 . 
53 St. Lucia Customs and Excise online information. Viewed at : http://www.customs.gov.lc/ index2.htm.  
54 The OPSR was established in 199 8 to stimulate and promote business growth and development  in 
St. Lucia.  
55 Act No. 16 of 2013.  WT/TPR/S/299  • Saint Lucia  
 
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  export promotion events.  TEPA has also been building alliances to develop a nati onal trade 
information network . 
3.48.  There are no publicly  funded programmes  at the national level providing export credit, 
insurance, or guarantee s. Exporters may access the risk mitigation facilities provided by the ECCB 
(Common Report ); they may also receive  export promotion support from the OECS Export 
Development Unit (EDU).   
3.3  Measures Affecting Production and Trade  
3.3.1   Incentives  
3.49.  In addition to export -related incentives (section  3.2.2), St. Lucia continues to offer tax and 
tariff concessions to enterprises that  meet certain local -value -added (employment) or investment 
size criteria,  and to micro and small -scale enterprises .56 Tax and tariff relief programmes  also 
remain in place for the agri-business and tourism  industr ies (section  4), and special development 
areas57, as well as fuel rebate s for fisher men and public transport providers . Incentives are 
granted by the Cabinet  of Ministers , on recommendation by the relevant Ministry  or, where 
applicable, the Office of Private Sector Relations . According to the authori ties, conditionality on 
local content has been de facto  phased out since 2000. Some 30 to 40 incentive applications were 
allegedly approved annually during 2008 -13; only figures on forgone revenue from taxes on 
imports we re made available (section  3.1.3).  
3.50.  Concessionary funding and guarantee facilities are available through the Caribbean 
Development Bank. Under the Government's Construction Stimulus Programme, concessionary 
loans  are being offered by East Caribbean Financial Holding Company (ECFH)  and First Caribbean 
International Bank . As at April 2013, some 94 loans valued at EC$20.75 million ha d been 
approved . Certain credit facilities for development purposes  (i.e., supporting agriculture, fishing, 
education)  are managed by St. Lucia Development Bank , which also provides technical assistance . 
According to the authorities, St. Lucia Development Bank is funded mostly by the Government and 
regional agencies;  it has a maximum loan limit of EC$20,000 .  
3.51.  The authorities intend to  replace the outdated Fiscal Ince ntives Act of 1974  with a new 
incentives regime , which would make  incentives conditional on performance.  The new regime is 
also expected to introduce incentives for the services sector . Under the Fiscal Incentives Act, a tax 
holiday of up to 15 years may b e granted for the manufacture of approved products by approved 
enterprises. The length of the tax holiday depends on the local value added generated or on 
whether the company exports all its production. To this end, companies are classified as: (i) Group 
1 enterprises, where local value is 50% or more of sales, and which may enjoy a tax holiday of up 
to 15 years; (ii) Group 2 enterprises, with local value of between 25% and 50% of sales, and 
which are granted concessions for up to 12 years; (iii) Group 3 en terprises, with local value of 
between 10% and 25% of sales, and which can benefit from a tax holiday of up to 10  years; and 
(iv) enclave enterprises, where production is exclusively for export, and which may enjoy a tax 
holiday of up to 15  years.  The Act provides for additional benefits in the form of income tax 
rebates at the termination of the tax holiday period. The rebates are based on the company's 
share of export profits in its total profits. Accordingly, the income tax rebate is: 25% when export 
profits are between 10% and 20% of total profits; 35%  when they are between 21% and 40%; 
45% when they are between 41% and 60%; and 50% when export profits exceed 60% of total 
profits. In addition, companies benefiting from a tax holiday under the Fiscal Ince ntives Act are 
allowed to import duty -free machinery, equipment, spare parts, building materials, raw and 
packaging materials, and other inputs, as appropriate, to be used in eligible enterprises . 
3.52.  The Special Development Areas Act aims at encouraging  investment in the areas  of Vieux -
Fort, Anse la Raye, Soufriere, Canaries and Dennery , which have been designated as such . The 
concessions offered under th e Act  include: exemption on import duty, stamp duty and 
consumption tax on inputs for the construction of n ew buildings and the renovation or 
refurbishment of existing buildings; exemption on land and house tax  and on  stamp duty payable 
by vendors and purchasers on the initial purchase of property; higher tax allowances; and 
accelerated depreciation. Agricultur al and fisheries -related  activities ; tourism projects highlighting 
                                               
56 WTO documen t G/SCM/N/260/LCA , 16 July 2013 . 
57 WTO document  WT/TPR/S/190/LCA/Rev.1 , 21 April 2008 . WT/TPR/S/299  • Saint Lucia  
 
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  the heritage and natural environment of St. Lucia;  residential complexes; commercial or industrial 
buildings; facilities directed towards the improvement or expansion of services to the tou rism 
sector; water based activities; and arts and cultural investments  are eligible to benefits under this 
Act. 
3.53.  Under t he Tourism Incentives Act , material  and equipment used exclusively in connection 
with the construction and equipping of the tourism proje ct, may be imported free of customs 
duties . 
3.54.  While a comprehensive services policy has yet to be develop ed, the Government has 
identified professional services  as a priority sector for stimulus.58 
3.55.  Tourism incentives, in the form of exemptions from customs du ties, corporate tax and (for 
up to 15 years) income taxes, may be granted by Cabinet for approved tourism products  
(see section  4.3.4.) . 
3.3.2   Competition policy and price controls  
3.56.  Like the other OECS countries, St. Lucia is contemplating the adoption of harmoni zed 
competition legislation within CARICOM and the establishment of an enforcement authority at 
OECS level. The extent of national law  remains limited , essentially covering practices  that may 
mislead the public, or that may cause confusion with or discredi t other enterprises.59 
3.57.  The Ministry responsible for commerce is responsible for the administration of price controls.  
Maximum wholesale and retail mark-ups are set for a range of essential foodstuffs; household and 
school supplies; fertilizers and soil amel iorants; and herbicides and insecticides. Maximum 
producer ( ex. factory /farm) and retail prices are applied to certain types of bread, flour, rice, 
sugar , and fuels.60 As from 2012, maximum fuel prices are revised every three month s to ensur e 
regular  pass-through  of international price fluctuations to consumers.  In 2013, the authorities 
raised the prices of bulk rice, flour , and sugar61; the Government remains the sole importer of  
these three commodities (see below) .  
3.3.3   State -trading and state -owned enterprises  
3.58.  St. Lucia has not submitted to the WTO any notifications regarding state-trading 
enterprise s. The Ministry in charge of Commerce retains exclusive rights over bulk imports  of rice, 
sugar,  and flour; the Central Tenders Board  awards importation contracts t hrough competitive 
tenders . No import restrictions apply to these commodities when packaged . Two statutory bodies, 
the St. Lucia Marketing Board and  the St.  Lucia Fish Marketing Corporation , remain active on the 
wholesale  and retail  markets of fruit and ve getables , and seafood , respectively . According to the 
authorities, neither of these two  parastatal entities has exclusive rights over importation or 
marketing.  
3.59.  According to the authorities, at end  2013 there were 18 government corporations and 
33 statutor y bodies  in St. Lucia. Government subventions are the main source of funding for 
statutory bodies ; the liabilities of statutory bodies  that have the power to borrow may be  
guaranteed by the Government of St. Lucia  if authorized by Parliament . Some state -owned 
enterprises, such as the Water and Sewerage Corporation, received extensive  Government  
assistance  during the review period62; details on the number of beneficiaries and the precise forms 
of support were not made available.  
3.3.4   Government procurement  
3.60.  St. Luc ia is not a party to the WTO Plurilateral Agreement on Government Procurement.  
                                               
58 Government of St. Lucia (2013).  
59 WTO document  WT/TPR/S/190/LCA/Rev.1 , 21 April 2008 . 
60 Price Control Order No. 54 of 2 June 2008, as amended by Statutory Instrument N o. 92 of 
28 September 2009 and Statutory Instrument No.58 of 9 August 2013.  
61 The domestic -market prices of these commodities ha d not been adjusted in almost 30  years ; the cost 
of subsidizing them reached EC $18.2 million in  fiscal year  2012/13 . 
62 Governmen t of St. Lucia ( 2013). WT/TPR/S/299  • Saint Lucia  
 
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  3.61.  No major changes were made in the legal and institutional framework governing public 
procurement during the review period.63 The Central Tenders Board (CTB) continues to act on 
behalf of government contracting entities for procurement contracts exceeding EC$ 100,000 ; 
contracts for computers, furniture, and general -use office supplies  are handled by  the Central 
Procurement Unit of the Ministry of Finance.  The procurement legislatio n applies to all government 
agencies, statutory bodies  and para -state bodies , whenever they deal  with funds forming part of 
the consolidated fund  established by the  Finance Act . 
3.62.  Invitation to tender is the principal method  of awarding contracts for the pro curement of 
goods, construction work, or services. Although no t a statutory requirement,  tender notices are 
posted in the St. Lucia Gazette  and at least two local papers of wide circulation . All tenders are 
open for international bidding ; the decision to a dvertise  internationally  is made on a case -by-case 
basis. Direct contracting must be authorized by the Director of Finance , who may also set out 
specific procedures  to be followed ; in such instances, the procuring entity has to justify the 
impracticability  of competitive tendering . Usually , this approach is reserved for emergencies and 
where only one possible supplier is available ; however, its use was widespread  during 2009 -13 
and in some years  (e.g., 2011) it accounted for more than 50% of procurement, bo th considering 
the number of contracts and value  (Table  3.5). Preferences for local suppliers may be applied 
when after -sales service is a key feature of the procurement contract.  
Table 3.5 Procurement contra cts, 2009 -13  
 2009  2010  2011  2012  2013a 
Number of contracts  292 278 257 249 191 
Direct purchase  (%) 59.6 48.6 56.0 31.3 59.7 
CTB (%) 40.4 51.4 44.0 68.7 40.3 
Total value  235,900,342  138,683,081  180,785,126  162,108,186  116,238,715  
Direct purchase  (%) 24.1 51.4 73.3 23.5 59.9 
CTB (%) 75.9 48.6 26.7 76.5 40.1 
a Data cover the period January -September.  
Source:  WTO Secretariat calculations, based on data provided by the authorities of St. Lucia.  
3.63.  St. Lucia's  legislation does not stipulate an appeals mecha nism for government 
procurement ; in practice appeals are made to the CTB or to the procuring entity , as well as to the 
courts . According to the authorities, there were only two appeals  during 2010 -13.  
3.3.5   Intellectual property rights  
3.64.  There have been no change s to the legal and institutional framework for intellectual 
property protection in St. Lucia since its previous Review.64 National laws and regulations related 
to intellectual property have been notified to the WTO;  no updates on the subject were received 
during the review period .65 St. Lucia' s contact point for issues related to intellectual property is the 
Minister for Legal Affairs . Since 2006, the authorities have been involved in a WIPO initiative 
seeking to establish a regional framework for the protect ion of  traditional knowledge, traditional 
cultural expressions , and genetic resources .  
3.65.  The Patents Act No. 16 of 2001  contains provisions for compulsory licensing of intellectual 
property , but is yet to enter into force  (Table  3.6). In the absence of the relevant implementing 
regulations, St. Lucia still fails to fully comply with the provisions of the TRIPS Agreement, since, 
in accordance with its domestic legislation it cannot provide a 20 -year protection period for 
patents.  
                                               
63 WTO document WT/TPR/S/190/ LCA/Rev.1 , 21 April 2008 . 
64 WTO document WT/TPR/S/190/ LCA/Rev.1 , 21 April 2008 . 
65 WTO document IP/N/1/LCA/2 , 18 August 2004 ; the review  of St. Lucia's legislation in the TRIPS 
Council  and its responses to the checklist of enforcement -related issues  date from 2001.   WT/TPR/S/299  • Saint Lucia  
 
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  Table 3.6 National IPR legislation, 2013  
Legislation  
(entry into force)  Term of protection  Coverage  Sanctions  
Patents  
Patents Act 2001 
(27 August 2001)a 20 years, renewable  New invention, involving an 
inventive step and capable of 
industrial application/please 
indicate coverage under Title X 
of the Commercial Code . Fines up to 
EC$10,000 
and/or 
imprisonment 
for up to three 
years  
Industrial designs  
Industrial Designs Act 
2001 (1 June 2003); 
Industrial Designs 
Regulations 2003   
(1 June 2003)  Five years, renewable for two 
consecutive five -year periods  Any composition of lines or 
colours or any three -dimensional 
form, or any material (whether 
or not associated with lines or  
colours) that: gives a special 
appearance to a product of 
industry or handicraft; can serve 
as a pattern for a product of 
industry or handicraft; or 
appeals to and is judged by the 
eye. Fines up to 
EC$10,000 or 
imprisonment 
for up to five 
years  
Layout de signs of integrated circuits   
Layout -Designs 
(Topographies) of 
Integrated Circuits Act 
2000 (1 May 2003); 
Layout -Designs 
(Topographies) of 
Integrated Circuits 
Regulations 2003   
(1 May 2003 ) Ten years from the date of 
commencement of protection; non-
renewable  The three -dimensional 
disposition of the elements (at 
least one of which is an active 
element) and of some or all of 
the inter -connections of an 
integrated circuit; or such a 
three -dimensional disposition 
prepared for an integrated 
circuit intended for manufacture  Fines up to 
EC$5,000 or 
imprisonment 
for up to two 
years  
Geographical indications  
Geographical Indications 
Act 2000  (1 May 2003) ; 
Geographical Indications 
Regulations 2003  (1 May 
2003)  Indefinite protection  Indication which identifies a 
good as originating in the 
territory of a country, or a 
region or locality in this 
territory, where a given quality, 
reputatio n or other characteristic 
of the good is essentially 
attributable to its geographical 
origin  Fines up to 
EC$10,000 
and/or 
imprisonment 
for up to two 
years  
Trade marks 
Trade Marks Act 
2001(1  April 2003);  
Trade Marks Regulations 
2003 (1 April 2003)  Ten years from filing; renewable  A sign used, or intended to be 
used, to distinguish goods or 
services dealt with or provided 
in the course of trade by a 
person from goods or services 
so dealt wit h or provided by any 
other person.  Fines up to 
EC$250,000  
Copyright and related rights  
Copyright Act 1995 
(6 September 1995) ; 
Copyright  (Amendment) 
Act 2000 ( 27 March 
2000) ;  
Copyright (Importation 
Restriction) Regulations 
2000 ( 27 May 2000) ; 
Copyright ( International 
Organisations) Order 2000 
(27 May 2000)  Literary, dramatic, musical or artistic 
works, computer programs, and data 
compilations, 50 years from author's 
death (if authorship unknown, 
50 years after first public availability); 
computer -generate d works (no human 
author), sound recordings and films, 
50 years from creation/first public 
availability; broadcasts and cable 
programmes, 50 years from 
broadcasting; typographical 
arrangements of editions, 25 years 
from first publication.  
 Original literar y, dramatic, 
musical or artistic works, 
computer programs, and data 
compilations; computer -
generated works (no human 
author), sound recordings, films, 
broadcasts or cable 
programmes; typographical 
arrangements of published 
editions. There is no formal 
registration of copyright  Fines up to 
EC$50,000 
and/or 
imprisonment 
for up to five 
years  
 
a For lack of implementing regulations, the Patents Act (2001) is not yet in force. According to the 
authorities, patents are not currently granted in St. Lucia, but th ose that have been granted in the 
United Kingdom are re -registered in St. Lucia by virtue of Part I, Titl e X of the Commercial Code, 
Ch. 244, Revised Laws of Saint Lucia 1957.  
 
Source:  Information provided by the authorities of St. Lucia.  
3.66.  In contrast, leg islation to implement the TRIPS Agreement has been introduced for 
copyright and trademarks. The meaning of literary works encompasses computer program mes and WT/TPR/S/299  • Saint Lucia  
 
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  tables and compilations. The Copyright Act also protects the  moral rights  of producers of 
phonogra ms and performers. Copyright owned by international organizations is protected f or 
50 years from the date of creation of the work.  The Copyright Act also provides for copyright 
protection in audio -visual production made by foreign performers and foreign pr oducers, as well as 
neighbouring rights in a broadcast made by a foreign broadcasting organization. The Act contains 
provisions with respect to copyright licensing.  
3.67.  Trademark legislation extends protection to all visible signs capable of distinguishing goo ds 
(trademarks) or services (service marks), as well as collective marks and trade names.  The 
exclusive right to a trade  mark is acquired through registration in the Register of Marks. The Act 
provides for the right of priority of an earlier national or re gional application filed by the applicant 
in any WTO Member or State party to the Paris Convention.   
3.68.  St. Lucia's copyright and trade  mark laws contain provis ions with respect to enforcement  of 
IPRs. Penalties under the Trademarks Act include award of damag es; seize, forfeit or destroy 
orders; and fines and imprisonment . The Copyright Act  contains  provisions with respect to civil and 
criminal proceedings for copyright infringement. Remedies include seizure of infringing copies and 
adjudication of damages , as well as fines and imprisonment . 
3.69.  No information is currently available on enforcement activities.  WT/TPR/S/299  • Saint Lucia  
 
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  4  TRADE POLICIES BY SE CTOR  
4.1  Agriculture  
4.1.1   Overview  
4.1.  St. Lucia 's agriculture sector  grew erratically  during the review period , affected by several 
unfavourable even ts, including plant pests  (banana leaf spot disease ), rising input prices , and 
adverse climatic conditions. The crops segment continued to account for most of  agriculture 
output , with some fluctuation attributable mainly to swings in banana production . Fisheries output 
expanded steadily throughout 2007 -13. The sector's overall contribution to GDP remained modest  
(section  1). St. Lucia remains a net food importer; its agricultural trade deficit increased during the 
review period.  Food imports are dominated b y meat and meat products, dairy products, cereals, 
and vegetables and fruits.   
4.2.  Notwithstanding its modest GDP contribution, agriculture  remains a top Government priority 
for its significance to St. Lucia's growth and socio -economic development objectives.66 Efforts to 
boost output and value added continue to be  hampered by a number of constraints, including: the 
prevalence of small -scale production units; the low adoption rate of improved techniques; and the 
growing shortage of qualified farm labour, due to an aging rural population.  Vulnerability to 
adverse weather conditions exacerbates these challenges : Hurricane Thomas eradicated all banana 
plantations on the island in November  2010, causing a significant setback  in agriculture 
production . 
4.1.2   Border measures  
4.3.  Agriculture remains the most tariff-protect ed sector (section  3). The average applied rate on 
agricultural products (WTO definition) increased from 1 6.7% in 2006 to 17.8% in 2013 . More than 
50% of agricultural tariff lines (ISIC definition) carry rates gr eater than 25%. Fruit and vegetables, 
animals and products thereof, beverages and spirits, coffee, and tobacco, continue to benefit from 
higher than average protection . Imports of beer, onions, potatoes, and certain types of seeds and 
sugar are subject to non-ad valorem  tariffs.  St. Lucia continues to require import licences for a 
range of agricultural products  (Table 3.2 ) import licences for poultry and pork remain subject to 
local purchase requirements .  
4.1.3   Domestic measures  
4.4.  The Ministry of Commerce, Busines s Development, Investment and Consumer Affairs 
maintains a monopoly on bulk imports of rice, flour, and  sugar ; and two para-statal entities  remain 
active on the wholesale  markets of fruit and vegetables , and seafood  (section  3.3.3).  
4.5.  The Ministry of Agricu lture, Food Production, Fisheries and Rural Development (MAFFRD ) 
conducts several support pr ogrammes and services, such as:  the Crop Production and 
Development  Programme  and the Coconut Revitalization Programme , geared at producing quality 
crops; the Lives tock Production Programme, aimed at partially satisfying the protein requirements 
of the population;  the Agricultural Health and Surveillance Programme, geared at preventing the 
entry of harmful pest and diseases; the Land and Water Management Programme, a imed at 
conserving the land and water base for sustainable agricultural production; and the Agro -Industry 
Development Programme, geared at facilitating the domestic production of processed agricultural 
commodities.  Considerable  support is being provided to banana producers to accelerate 
post-disaster recovery . The MAFFRD  also import s new plant varieties with a view to improving 
farmers'  yields. The  authorities have drafted a framework policy for the production and importation 
of GMOs; Cabinet deliberations on the draft have not commenced yet . 
4.6.  A range of agricultural inputs are VAT-exempt, while certain inputs and unprocessed 
agricultural produce are zero -rated (section  3.1.3). Additional incentives to the agriculture sector 
generally take the form of partial  or complete waivers of import duties, and excise taxes on most 
items used in production and processing of agricultural commodities (e.g. improved plant and 
                                               
66 Policy Brief, National Agricultural Policy 2009-15. Consulted at: 
http://www.malff.com/images/stories/ admin/ Agricultural%20policy%20brief%202009 -2015.pdf . WT/TPR/S/299  • Saint Lucia  
 
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  livestock varieties, pick -up and refrigerated trucks, tractors, fertilizers, agr i-chemicals, medica tion, 
safety gear, land preparation tools and equipment, and fishing vessels  and equipment).67 The 
fisheries subsector is also eligible for a fuel rebate of EC$0.75 /gallon for the first 4,500 gallons. 
Other support measures include in -kind government contri butions for: maintenance of private 
access roads (up to 50% of materials and technical services ), pest and disease control ( up to 
100% of  supplies and labour ), as well as irrigation and processing systems, soil and water 
conservation, and renewable energy installations (up to 50% of technical expertise).68 Applications 
for incentives must be accompanied by a business plan that demonstrates the project's viability; 
those with estimated support value not exceeding EC$100,000 are decided at the Ministry level, 
whereas requests above that threshold require approval by the Cabinet . No estimates of forgone 
revenue and provided in-kind support were available for  2007-13.  
4.7.  St. Lucia has not established any insurance facilities specific to the agriculture sector ; the 
authorities indicate that  a voluntary livelihood insurance scheme with a broader remit is managed 
by a subsidiary of Bank of St. Lucia . 
4.2  Manufacturing  
4.8.  The manufacturing sector 's already modest GDP contribution declined further during the 
review period and w as estimated at 2.9% in 2013 (Table  1.1). The sector's performance reflects 
the effects of the global economic crisis as well as structural competitiveness issues, including high 
energy  and labour  costs.  During 2008 -12, the most dynamic subsectors were bev erages , food, 
fabricated metals, and chemical products ; together they account ed for 78% of production 
(Table  4.1). 
4.9.  No major changes have been made to the legal and institutional framework  or to border and 
domestic measures for the sector since St. Lucia's last Review. The authorities are planning a 
major reform to the fiscal incentives  regime with a view to making the granting of concessions 
performance -driven; new eligibility criteria  under consideration would refocus on innovation and 
technology adoption .  
Table 4.1 Manufacturing production, 2008 -12  
Sub-sectors  2008  2009  2010  2011  2012  
Total (EC$ million)  348.8  321.4  310.9  328.6  328.2  
 (%) 
Beverages  47.5 43.6 41.8 44.1 43.5 
  Alcoholic  38.6 34.0 31.6 34.7 31.9 
  Non-alcoholic  8.8 9.6 10.2 9.4 11.5 
Food 14.3 16.1 17.0 17.3 18.1 
Fabricated metals 9.9 9.7 8.4 8.4 8.3 
Chemical products  7.5 7.9 7.9 7.7 8.2 
Paper and paper products  6.9 9.1 8.0 6.8 6.6 
Electrical products  1.6 1.2 1.6 1.5 1.2 
Other  12.4 12.4 15.3 14.4 14.0 
Source:  Ministry of Finance, Economic Affairs, Planning and Social Security (2013), St. Lucia  Economic and 
Social Review 2012 . Viewed at: www.finance.gov.lc.  
4.3  Services  
4.3.1   Telecommunications  
4.10.  Like in other OECS member countries, St. Lucia's telecommunications sector is regulated by 
a National Regulatory Telecommunications Commission (NTRC), which works in conjunction with 
the Eastern Caribbean Telecommunications Authority (ECTEL) to ensure regional policy 
harmonization (Common Report, section  4). The responsibilities of the NTRC include : setting 
                                               
67 Typically, the duty waiver is 100% for imports by a cooperative and 60% for imports by 
independents. Also, imports for cooperatives receive a full waiver of excise taxes, while imports for 
independents are subject to a reduced rate of 5%.  
68 Ministry of Agriculture, Food Production, Fisheries and Rural Development (2006) . WT/TPR/S/299  • Saint Lucia  
 
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  technical standards69; reviewing applications for licences; monitoring compliance with licences  
granted ; reviewing  interconnection agreements; resolving interconnection and infrastructure -
sharing  disputes;  regulating prices for telecommunications services; and managing the universal 
service fund. The NTRC also shares competences with ECTEL over the management of radio 
frequency spectrum. Telecommunications licences are technology -neutral.  
4.11.  Frequency authoriz ations are subject to an application fee and an annual fee depending on 
the type of service provided and the bandwidth.  Telecommunications licences are subject to a non-
refundable  application fee, a one -time initial fee (upon approval of the application), and an annual 
licence fee expressed either as a percentage of the licensee's gross revenue or a fixed amount; for 
fixed-line, mobile, and internet service providers these fees are EC$1,000, EC$20,000 and 3% of 
annual gross revenue , respectively.70  
4.12.  Provider s of voice and/or broadband services  (Class A licence holders ) are required to 
contribute to a universal service fund (USF) at rates of 0.25% and 0 .5% of their gross revenue in 
the first and second year  after obtaining a licence , respectively , and 1% from the third year 
onward.71 The USF is used to finance relevant projects  approved by the NTRC ; project proposals 
may be submitted by the general public. Implementation contracts for approved projects are 
awarded through competitive bidding  to telecommunication s operators licensed in St. Lucia; for 
contracts  below a certain threshold the NTRC may, after  consultation with ECTEL, opt for 
sole-source procurement .72  
4.13.  Any radio or telecommunications equipment, whether used in the deployment of networks 
or by end -users , requires type -approval certification before it may be sold  for use, imported, or 
installed in Saint Lucia. Virtually all such equipment is imported . The NTRC typically grants 
customs clearance authorizations within five days . The NTRC issues type-approva l certificates to 
the manufacturers of telecommunications equipment; subsequent importations of type -approved 
items do not require clearance authorization. Type approvals granted in certain overseas 
jurisdictions may be recognized as equivalent, upon prese ntation of all supporting technical details  
and a certified copy of the type -approval  certificate .73 There is no ECTEL -wide list of  recognized 
foreign type -approval jurisdictions .74 All suppliers  of telecommunications equipment must register 
with the NTRC  and pay an annual registration fee .  
4.14.  During the review period, the telecommunications providers active in St. Lucia comprised 
three fixed-line, two  mobile , and five internet service providers . One mobile service provider 
withdrew from the market in 2006. Alt hough a significant number of licen ces have been issued to 
prospective providers, there have been no new entrants on the telecommunications market 
since 2002. Fixed -line penetration declined during 2008 -13, from 24% to some 21% in 2013 
(Table  4.2). Mobile and f ixed internet subscriptions remained broadly on the rise; mobile 
penetration rose to a high of 131% in 2011, but declined by two percentage points in 2012 and a 
further four points in 2013.   
Table 4.2 Telecommunications statistics, 2008 -13  
 2008  2009  2010  2011  2012  2013  
Provider revenue (EC$  million )  239 238 243 245 240 227 
Investment (EC$  million )  65 54 36 19 29 23 
Employment  623 566 520 519 506 425 
Fixed -line penetration (%) 24 23 22 21 20 21 
Mobile p enetration (%) 104 116 120 131 129 125 
Fixed internet penetration (%) 10 12 14 13 13 15 
Local fixed traffic (million minutes)  173 183 173 158 147 143 
                                               
69 The NTRC does not have authority to make a sta ndard  compulsory, but may make representation 
through ECTEL to the competent Minister.  
70 Statutory Instrument  (Telecommunications (Fees) Regulations ) No. 96  of 14 October 2002. Consulted 
at: http://www.ntrc.org.lc/Laws_and_Regulations/Telecoms_Regulations/ S.I. No. 96 of 2002.pdf . 
71 Statutory Instrument  (Telecommunications (Universal Service Fund Contribution) Order ) No. 45  of 
6 April 2009 . 
72 Telecommunications (Universal Service Fund) Regulations No. 120 of 15 December 2008.  
73 Applications for type approval  are subject to a fee: EC$500 for new approvals and EC$ 35 for 
previously approved  items .  
74 For a list of jurisdictions recognized in St. Lucia, see NTRC online information. Viewed at: 
http://www.ntrc.org.lc/Publications/SPM/Module  5 - Terminal  Equipment  and Public  Networks.pdf . WT/TPR/S/299  • Saint Lucia  
 
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   2008  2009  2010  2011  2012  2013  
Local mobile traffic (million minutes)  215 215 243 204 241 217 
International incoming traffic (million 
minutes)  61 67 51 51 43 36 
International outgoing traffic (million 
minutes)  41 40 34 36 25 25 
 
Source:  ECTEL . 
4.15.  There were no changes to the  rates for mobile services in St. Lucia during the review 
period: t he average rates were EC$0. 72 per minu te for on -net mobile calls and EC$0.82 per 
minute for off -net mobile calls. Mobile to fixed calls were on average EC$0. 80 per minute.75 A price 
cap plan for the incumbent fixed -line operator , similar to those implemented in other ECTEL states , 
remains in pl ace. Mobile telephony (call and SMS) termination rates and all interconnection rates 
continue to be regulated at ECTEL level (Common Report).  
4.16.  St. Lucia does not apply any overseas ownership restrictions in the telecommunications 
sector; foreign and domesti c operators are granted the same rights. According to the ITU, all 
major telecommunication markets are fully open to competition.76 Nevertheless, there is scope for 
strengthening market contestability through regulatory provisions that establish or clarify,  
inter alia: (fixed and mobile) number portability; domestic mobile roaming; obligations on passive 
infrastructure sharing; local loop unbundling; secondary spectrum trading; and frameworks 
allowing the entry of virtual network operators and carrier (pre -)selection for certain calls.  
4.3.2   Financial services  
4.17.  Domestic (onshore) commercial banks remain under  ECCB  supervision. The Ministry of 
Finance, Economic Affairs, Planning and Social Security , through its Financial Sector Supervision 
Unit (FSSU), regulate d and supervise d both the offshore financial services segment and onshore  
non-bank financial institutions (NBFI)  until end 2013. As from January 2014, these functions are 
carried out by the newly established Financial Services Regulatory Authority (FSRA) . Durin g the 
review period , the regulatory framework  was strengthened with the broadening of licensing and 
supervision  to cover money -services business es that undertake one or more of the following 
activities: transmission of monetary value  in any form; cheque ca shing ; currency exchange ; and 
issuance, sale or redemption of money orders or travellers ' cheques.77  
4.3.2.1   Onshore financial services  
4.3.2.1.1   Banks  
4.18.  At end -October 2013 the onshore segment comprised six banks (including three foreign 
branches ), 16 credit unions , 4 money -services businesses , 26 insurance companies , 14 insurance 
brokers , 16 agents , and more than 200 insurance salespersons.  There are no reinsurance 
companies registered in S t. Lucia; the authorities note that the Insurance Act does not mention 
registration of  reinsurers.  
4.19.  Commercial presence remains a prerequisite for obtaining a licence from the Minister for 
Finance to carry on banking business in St. Lucia; foreign companies  may establish presence 
through a branch or a subsidiary.  Foreign -owned banks licensed  and incorporated in St.  Lucia 
benefit from national treatment; there are no foreign ownership limitations. St. Lucia citizens and 
companies  are not restricted from borrowing or placing depos its with banks located abroad; no 
taxes are levied on financial t ransactions .  
4.20.  Following the acquisition of St. Lucia Development Bank by Bank of St. Lucia  in July 2002 , 
the latter continued to administer a development loans portfolio  and was partially state owned . 
State participation in the Bank of St. Lucia is 37% (January 2014 ): 20% owned by the 
Government of St. Lucia and 17% by the National Insurance Corporation (NIC), a statutory entity . 
                                               
75 ECTEL (2012).  
76 ITU (20 12). 
77 Money Services Business Act No. 11 of 3 March 2010. WT/TPR/S/299  • Saint Lucia  
 
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  A new St. Lucia Development Bank  (SLDB) , established78 with an initial capital contribution of 
EC$12 million from the Government o f St. Lucia, opened for business i n February 2009 . Its 
mandate  is to mobilize and provide finance for  the economic development of Saint Lucia, as well as  
to foster the development of money and capital market s. The  activities  of the SLDB  are not subject 
to any restrictions, but its mandate includes extending credit  and providing technical assistance to 
"development enterprises"  (designated by relevant Ministers). According to the authorities, being a 
development bank, SLDB falls under  the authority  of the FS RA, rather than that of the ECCB.  
Details  on concessionary lending and other development -oriented activities of SLDB  and Bank of 
St. Lucia  were not made available . 
4.3.2.1.2   Insurance  
4.21.  Insurance cover age in St. Lucia may only be provide d by domestically  registered an d 
licensed companies and associations of underwriters ; separate registration requirements  are set 
out in the Companies Act  and the Insurance Act . Foreign companies must have operated for at 
least five years in their country of incorporation before they can  be registered to operate in 
St. Lucia.  Individuals acting as intermediaries (insurance agents, brokers, and salesmen)  only 
need to  register  under the Insurance Act .79 All insurers must  comply with technical reserves 
requirements (for risks insured in St. L ucia) and the legal provisions on their placement .80 Foreign 
entities  not registered in St. Lucia  may insure certain risks for which no coverage is offered on the  
domestic market ; to this end, the St. Lucia -based customer must obtain  prior authorization to 
seek insurance coverage for that risk abroad.  
4.22.  Annual licence fee s range from EC$1,200 to EC$ 5,500, depending on the class of insurance 
business and whether the insurer is local or foreign.  Different minimum paid -up share capital 
thresholds apply to local a nd foreign insurers : EC$ 1 million and EC$2 .5 million, respectively, for 
long-term insurance business; and EC$750,000 and EC$ 1.5 million, respectively, for general 
insurance business.  Foreign insurers  must also make higher initial deposits, at EC$ 100,000 or  
EC$150,000, compared with EC$25,000 or EC$ 75,000 for local companies, depending on the class 
of business transacted.  Deposit  requirement s for insurance brokers  also depart from  national 
treatment : EC$10,000  for St. Lucian nationals and companies with majo rity ownership by 
St. Lucian nationals , against EC$20,000  for foreign nationals and majority foreign -owned  
companies.   
4.23.  St. Lucia levies a tax on insurance premiums : local life insurers , 1.5% ; foreign life insurers , 
3%; local general insurers , 3%; and forei gn general insurers , 5%. 
4.3.2.2   Offshore financial services  
4.24.  At end -October 2013 , the o ffshore segment comprised  6 class A and 3 class B  banks, 
31 international insurance companies , 5 incorporate cell companies (ICC S), 8 incorporate cells 
(ICS)81, 9 private mutual funds , 3 public mutual funds , 3 mutual fund  administrator s, 1 mutual 
fund manager, 17 registered agents , and 3 registered trustees . 
4.25.  Offshore financial institutions are precluded from doing business with residents of St. Lucia ; 
they must have at least two director s, one of which  is resident  in St.  Lucia.82 International banks 
and international insurance companies must appoint a registered agent, and have a registered 
office in St. Lucia (which may be the office of the registered agent).  Offshore entities are exempt 
from taxes in Saint Lucia, but may irrevocably opt to pay income tax at a rate of 1% in order to 
                                               
78 Act No. 12 of 2008 . 
79 Registration fees range from EC$100 to EC$1,500 depending on the activity and whether, in the case 
of a broker, the partners  holding the majority interest are citizens of St.  Lucia.  
80 Insurance Act No. 6 of 1995, as amended by the Insurance  (Amendment) Act No. 28 of 2003,  the 
Insurance (Amendment) Act No. 3 of 2006 , and Statutory Instrument  (Insurance (Amendment of Schedule 4) 
Regulations ) No. 52  of 8 July 2013 . 
81 Registration fees for  ICCs and ICs were raised during the review period. ICs must pay a non -
refundable application fee of US$500  and a US$1,000  fee for the certificate of registration . The application fee 
for ICCs is US$1,000 ; these institutions are also subject to an annual licence fee of US$2,500 plus US$500 for 
each IC linked to them by an operation agreement . 
82 The definition of residen ce does not encompass other OECS/CARICOM countries.  WT/TPR/S/299  • Saint Lucia  
 
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  benefit from the CARICOM Double Taxation Agreement.83 Offshore banks must deposit 
US$100,000 into an approved financial institution doing commercial busi ness in St. Lucia.  
4.3.3   Transport  
4.26.  Responsibility for St. Lucia's ports and airports , as well as port services,  remains with the 
St. Lucia Air and Sea Ports Authority (SLASPA) , which controls the navigable waters at all ports 
and marinas , and manages the two state-owned  seaports and the two airports . Ground -handling  
services are put out to tender by SLASPA;  a number of private foreign and local companies provide 
these services.  Pilotage remains compulsory at the two main seaports  and may only be provided 
by SLASP A; ships belonging to Her Majesty and ships owned or operated by  SLASPA are exempt 
from this requirement , and small vessels  may obtain exemptions from SLASPA . SLASPA also 
licenses companies to provide ground handling services to airlines.  
4.27.  According to the  authorities, St. Lucia's international air services agreements are bilateral 
and stipulate up to the fourth  freedom.  No changes were made to the legal and institutional 
framework governing air transport services during the review period.  The Air Transport  Licensing 
Board, at the METC, remains in charge of issuing licences  and approving tariffs for passenger and 
cargo services.  Ministerial approval is a prerequisite for the granting of all air transport service 
licences . No restrictions on cabotage services  are explicitly stipulated in St. Lucia's legislation;  the 
Minister may issue regulations  to that effect.  
4.28.  According to the authorities, foreign investment in domestically  incorporated  carriers  is 
unrestricted. As at November 2013, one private air transpor t service provider was incorporated in 
St. Lucia  (St. Lucia Helicopter ); another company (Inter-Caribbean Express ) is based in St. Lucia 
but is incorporated and registered in St. Vincent and the Grenadines . St. Lucia is a share holder  in 
the regional airlin e LIAT, along with the governments of Antigua and Barbuda, Barbados, and 
St. Vincent and the Grenadines.  
4.29.  There were no changes to the legal and institutional framework governing maritime 
transport during the review period. Ownership of St. Lucian ships is  restricted to St. Lucian citizens 
and companies headquartered in the country.  There are no restrictions on international maritime 
passenger and cargo transport services, as bound in St. Lucia's GATS commitments, provided that 
ships are registered in a for eign registry.  Cabotage by foreign -flag ships requires an authorization 
from the Minister of Infrastructure, Port Services and Transport ; according to the authorities, 
cabotage does not take place in St. Lucia and there are no St. Lucian vessels .  
4.3.4   Tourism  
4.30.  Although the global economic crisis caused a reduction in tourist arrivals, the adverse effect 
was partly attenuated by St Lucia 's positioning in the high -end market segment . According to the 
authorities, cruise ship passenger arrivals have increased from about 300,000 before 2005 to an 
annual average of over 600,000 , and spending per person has remain s on an upward trend .  
4.31.  The Ministry of Tourism, Heritage and the Creative Industries is responsible for formulating 
and implementing tourism policy.  The autho rities are working on strengthening the regulatory 
framework through the adoption of  national standards and a licensing regime  for tourism services . 
Efforts to date have resulted in the adoption of a National Tourism Taxi Policy aimed at improving 
the stan dard of service by taxi operators . St. Lucia is yet to implement a formal grading and 
classification scheme for accommodation facilities, or to adopt provisions for compulsory insurance 
coverage . 
4.32.  Marketing and promotion activities are undertaken by the St.  Lucia Tourism Board  (SLTB)84, 
in collaboration with the St. Lucia Hotel and Tourism Association  (SLHTA ); SLTB also negotiat es 
with air carriers with a view to increas ing capacity and frequency  on existing routes to the island . 
The authorities have announce d plans to invest US$ 3 million , including a US$1 million private 
sector contribution,  in a bid to increase tourist arrivals from emerging Latin American market s. 
                                               
83 International Business Comp anies Act , as amended by Act No. 34 of  31 December 2007 . 
84 Annual government allocations for the SLTB's marketing  activities ranged between EC$40 million and 
EC$55 million during 2007 -12. There is no link between the subvention granted and the taxes collec ted from 
the tourism industry.  WT/TPR/S/299  • Saint Lucia  
 
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  Recent discussions on the long -term VAT rate for the sector (section 3.1.3) have also brought 
about a decision to establish a Tourism Marketing and Product Development Fund , which would 
assist in financing " minimum revenue guarantees, airlift support, marketing or other related 
tourism activities ".85 The fund would be constituted through a statutory  contribution of US$2 per 
room-night and would be managed by a joint public -private sector board , with  the SLHTA  
appointing two thirds of  the board's members.  
4.33.  St. Lucia continues to levy various tourism -related taxes . Visitors travelling by air are 
subjec t to: a departure tax (EC$60), a travel tax (7.5% of the ticket cost ), an airport service 
charge  (US$25 ), a security fee  (EC$15 ), and a facilitation fee  (EC$1 per passenger ). According to 
the authorities, the EC$68  airport development charge  has been elimi nated . Visitors passing 
through St. Lucia's seaports are subject to an in -transit fee ( US$6.50 ) and an embark/disembark 
fee (EC$15 ). The hotel accommodation tax (US$10 per night) levied on overseas guests staying at 
all-inclusive hotels was eliminated upon  introduction of the VAT regime in October 2012.  
4.34.  Tourism incentives,  in the form of  exemptions from custom s duties , corporat e tax and ( for 
up to 15 years ) income taxes , may be granted by Cabinet for approved tourism products , on 
recommendation from the Min ister responsible for tourism.86 Eligibility is open to any service or 
facility considered to be a tourism project , including  hotels, restaurants , and refurbishments . Duty 
and tax concessions are granted on a case -by-case basis, but are guided by conditions  set out in 
the Act ; according to the authorities,  all applications are considered on merit, not on nationality 
grounds . In general, customs duty concessions may be granted on import s of specified articles , 
building materials, or equipment.   
4.35.  Areas of investment/ employment activity reserved for nationals (section  2.3) include the 
operation of guest houses o f less than ten rooms or below an investment threshold of EC$500,000 , 
and the operation  of restaurants . Nevertheless, top-class specialty -type restaurants  may be 
allowed to bring in chefs whose skills are required but not available locally.  
4.3.5   Professional services  
4.36.  St. Lucia's professional services subsector remains fragmented , constituting a mix of 
regulated and non -regulated segments. While there were no leg islative changes during the review 
period, the authorities announced plans to guide and encourage the development  of the subsector , 
including the elaboration of legislative  and institutional framework s for various profession s and the 
provision  of incentive s.87 Priority efforts will focus on the  accounting , architecture, engineering , 
and management consulting professions ; measures to develop capacity in offshore education and 
medical training  are also envisaged . 
                                               
85 Government of St. Lucia (2013).  
86 Tourism Incentives Act No. 7 of 1996 , as amended by Act No. 4 of 18 April 2013. The amendment 
provided for an extension of maximum tax -holiday periods.  
87 Government of St. Lucia (2013).  WT/TPR/S/299  • Saint Lucia  
 
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  REFERENCES  
 
ECCB (2011), Annual Economic and F inancial Review . Viewed at: http://www.eccb -
centralbank.org/PDF/annual_efr_2011.pdf . 
 
ECCB (2012), Annual Economic and Financial Review . Viewed at: http://www.eccb -
centralbank.org/PDF/annual_efr_2012.pdf . 
 
ECTEL (2012), Annual Sector Review 2011 -2012. Viewed at: 
http://www.ectel.int/index.php/resou rces/publications . 
 
Government of St. Lucia (2013), Budget Statement 2013 . Viewed at: 
http://www.caribbeanelections.com/eDocs/budget/lc_budget/lc_budget_2013.pdf . 
 
IMF (2011), St. Lucia -Request for Disbursement under the Rapid Credit Facility and Emergency 
Natural Disaster Assistance -Staff Report, Staff Supplement, Press Release and Statement by the 
Executive Director for St. Lucia . Country Report No. 11/278 Viewed at: 
http://www.imf.org/external/pubs/ft/scr/2011/cr11278.pdf . 
 
ITU (20 12), Country and Regional profiles . Viewed  at: http://www.itu.int/net4/itu -
d/icteye/CountryProfileReport.aspx?countryID=135 . 
 
Ministry of Agriculture, Food Production, Fisheries and Rural Development (2006a), Agricultural 
Incentives 2006 . Viewed at: http://malff.com/images/stories/admin/Incentives%20brochure.pdf . WT/TPR/S/299  • Saint Lucia  
 
- 333 - 
 
  5  APPENDIX  TABLES  
Table A1. 1 Merchandise exports and re -exports by SITC section, 2007 -12 
(US$ million and %) 
Description  2007  2008  2009  2010  2011  2012  
Total exports and re -exports  76.1 145.1  252.8  214.5  160.1  169.9  
    Domestic exports  46.5 68.8 69.2 72.7 87.0 97.2 
    Re-exports  29.6 76.3 183.6  141.8  73.1 72.7 
 (% of total exports and re -exports)  
 0  Food a nd live  animals  24.4 18.5 11.7 9.0 5.7 7.1 
 1  Beverages and tobacco  20.6 14.1 8.2 10.7 21.0 18.5 
 2  Crude materials, inedible, except fuels  1.3 3.5 0.5 1.9 2.5 5.3 
 3  Mineral fuels and related materials  16.4 21.6 8.4 13.7 28.0 27.5 
 4  Animal an d vegetable oils, fats and waxes  - - - 0.5 0.5 0.3 
 5  Chemicals and related products  2.6 5.3 2.6 7.0 4.3 5.4 
 6  Manufactured goods classified by material  7.9 8.0 3.8 6.0 6.6 8.2 
 7  Machinery and transport equipment  19.6 18.8 13.4 15.7 18.6 13.4 
 8  Miscellaneous manufactured articles  6.0 9.2 51.1 35.0 11.4 13.6 
 9  Commodities and transactions not classified 
elsewhere in SITC  1.1 1.1 0.4 0.5 1.3 0.9 
- Trade share lower than 0.05%.  
Source:  Eastern Caribbean Central Bank online information. Vie wed at: http://www.eccb -centralbank.org/ 
Statistics/index.asp . WT/TPR/S/299  • Saint Lucia  
 
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  Table A1. 2 Merchandise imports by SITC section, 2007 -12  
(US$ million and %) 
Description  2007  2008  2009  2010  2011  2012  
 Total imports  615.6  657.4  520.4  662.5  696.9  648.3  
 (% of total imports)  
 0  Food and live animals  15.7 16.5 20.9 19.9 18.8 20.3 
 1  Beverages and tobacco  4.3 4.2 4.7 4.7 4.2 3.7 
 2  Crude materials, inedible, except fuels   2.0 1.7 1.9 1.7 1.7 1.6 
 3  Mineral fuels and related materials  21.2 25.8 16.7 12.8 15.6 17.6 
 4  Animal and vegetable oils, fats and waxes  0.3 0.3 0.5 0.3 0.4 0.5 
 5  Chemicals and related products  5.9 6.2 7.3 6.7 6.6 6.6 
 6  Manufactured goods c lassified by material  12.5 13.5 13.9 14.6 13.8 13.3 
 7  Machinery and transport equipment  24.8 19.4 20.1 21.3 19.8 20.0 
 8  Miscellaneous manufactured articles  13.2 12.1 13.2 16.9 14.4 12.4 
 9  Commodities and transactions not classified  
 elsewhere in SITC  - 0.2 0.8 1.1 4.6 3.9 
- Trade share lower than 0.05%.  
Source:  Eastern Caribbean Central Bank online information. Viewed at: http://www.eccb -centralbank.org/ 
Statistics/index.asp . WT/TPR/S/299  • Saint Lucia  
 
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  Table A1. 3 Merchandise exports and re -exports by trading partner, 2007 -12 
(US$ million and %) 
Description  2007  2008  2009  2010  2011  2012a 
Total exports and re -exports  76.1 145.1  252.8  214.5  160.1  169.9  
 (% of total exports  and re -exports)  
  America  71.7 79.7 .. 63.1 71.9 69.2 
    United States  13.8 34.0 .. 10.6 18.7 17.6 
    Other America  57.9 45.7 .. 52.5 53.2 51.6 
      Trinidad and Tobago  24.3 23.2 .. 16.0 29.1 26.9 
      Brazil  0.0 0.1 .. 0.1 0.2 0.1 
      Mexico  0.0 0.0 .. 0.0 0.1 0.1 
      Panama  0.1 0.2 .. 0.0 0.0 0.1 
      Canada  0.2 0.3 .. 0.1 0.2 0.1 
      Barbados  12.2 8.5 .. 2.0 0.2 0.1 
      Grenada  3.5 1.8 .. 0.3 0.0 0.0 
      St Vincent and the Grenadines  4.5 3.0 .. 0.1 0.1 0.0 
      Antigua and Ba rbuda  3.7 2.3 .. 0.1 0.0 0.0 
      Netherlands Antilles  0.0 0.0 .. 0.1 0.0 0.0 
      British Virgin Islands  0.1 0.4 .. 0.0 0.0 0.0 
      Guyana  0.9 1.0 .. 0.0 0.0 0.0 
      St Kitts and Nevis  1.4 0.7 .. 0.1 0.0 0.0 
      Jamaica  0.4 0.4 .. 0.2 0.3 0.0 
      Dominica  5.4 2.8 .. 1.2 0.1 0.0 
      Venezuela  0.3 0.1 .. 0.2 0.0 0.0 
      Dominican Republic  0.1 0.3 .. 0.1 0.0 0.0 
      Bahamas  0.1 0.1 .. 0.0 0.7 0.0 
  Europe  27.5 17.1 .. 3.2 3.2 3.4 
    EU(27)  27.4 17.0 .. 3.1 2.9 2.8 
      United Kin gdom  25.8 15.1 .. 2.5 1.8 2.1 
      France  1.2 1.1 .. 0.0 0.5 0.1 
      Germany  0.1 0.3 .. 0.4 0.2 0.2 
    EFTA 0.0 0.1 .. 0.0 0.3 0.6 
      Switzerland  0.0 0.1 .. 0.0 0.3 0.6 
    Other Europe  0.1 0.0 .. 0.0 0.0 0.0 
  Commonwealth of Independent Stat es 
(CIS)b 0.0 0.1 .. 0.0 0.2 0.0 
  Africa  0.0 1.3 .. 0.0 0.0 0.0 
      South Africa  0.0 0.0 .. 0.0 0.0 0.0 
  Middle East  0.0 0.1 .. 0.0 0.0 0.0 
  Asia 0.7 1.7 .. 1.1 2.1 2.5 
    China  0.3 0.6 .. 0.2 1.2 1.1 
    Japan  0.1 0.0 .. 0.6 0.6 0.9 
    Six East Asian Traders  0.0 0.5 .. 0.2 0.3 0.3 
      Hong Kong, China  0.0 0.1 .. 0.1 0.2 0.1 
      Chinese Taipei  0.0 0.1 .. 0.0 0.1 0.1 
      Thailand  0.0 0.1 .. 0.1 0.0 0.0 
      Korea, Republic  of 0.0 0.1 .. 0.0 0.0 0.0 
      Singapore  0.0 0.1 .. 0.0 0.0 0.1 
      Malaysia  0.0 0.0 .. 0.0 0.0 0.0 
    Other Asia  0.3 0.6 .. 0.1 0.1 0.2 
      India 0.3 0.4 .. 0.1 0.1 0.1 
      Indonesia  0.0 0.0 .. 0.0 0.0 0.1 
  Other  0.0 0.0 .. 32.6 22.6 24.8 
      Areas n.e.s . .. .. .. 31.2 21.8 23.5 
.. Not available.  
 
a Estimates.  
b Commonwealth of Indepe ndent States (CIS) includes Arme nia, Azerbaijan, Belarus, Georgia, 
Kazakhstan, Kyrgyzstan, Moldova, Russian Federation, Tajikistan, Turkmenistan, Ukraine, and 
Uzbekistan.  
Note:  Shares are based on UNSD Comtrade data f or the period 2007 -08; 0.0 indicate s negligible trade.  
Source:  UNSD, Comtrade database (SITC Rev.3) ; Saint Lucia Government Statistics Department ; and 
Eastern Caribbean Central Bank (ECCB).  
 WT/TPR/S/299  • Saint Lucia  
 
- 336 - 
 
  Table A1. 4 Merchandise export s and re-exports  by trading partner, 2007 -12 
Description  2007  2008  2009  2010  2011  2012a 
Total exports and re -exports  76.1 145.1  252.8  214.5  160.1  169.9  
 (% of total exports and re -exports)  
  America  71.7 79.7 .. 85.1 86.4 87.9 
    United States  13.8 34.0 .. 18.2 19.2 24.1 
    Other America  57.9 45.7 .. 66.8 67.2 63.8 
      Trinidad and Tobago  24.3 23.2 .. 29.4 43.8 42.0 
      Barbados  12.2 8.5 .. 14.4 7.4 5.8 
      Guyana  0.9 1.0 .. 2.8 2.3 3.8 
      Dominica  5.4 2.8 .. 6.1 3.4 3.1 
      St Vincent and the Grenadines  4.5 3.0 .. 3.4 2.8 2.2 
      Antigua and Barbuda  3.7 2.3 .. 3.4 1.8 1.7 
      Grenada  3.5 1.8 .. 2.3 1.2 0.8 
      St Kitts and Nevis  1.4 0.7 .. 1.6 0.8 0.6 
      Belize  0.4 0.3 .. 0.7 0.6 0.6 
      Jamaica  0.4 0.4 .. 0.4 0.7 0.7 
      Canada  0.2 0.3 .. 0.2 0.2 0.4 
      Panama  0.1 0.2 .. 0.1 0.1 0.1 
      Suriname  0.0 0.0 .. 0.4 0.2 0.2 
      Netherlands Antilles  0.0 0.0 .. 0.2 0.2 0.1 
      Mexico  0.0 0.0 .. 0.0 0.1 0.0 
      Turks and Caicos Islands  0.1 0.0 .. 0.1 0.0 0.0 
      British Virgin Islands  0.1 0.4 .. 0.0 0.1 0.0 
  Europe  27.5 17.1 .. 12.9 6.3 8.5 
    EU(27)  27.4 17.0 .. 12.9 6.2 8.4 
      United Kingdom  25.8 15.1 .. 11.7 5.7 7.5 
      Germany  0.1 0.3 .. 0.3 0.1 0.1 
      The Netherlands  0.2 0.1 .. 0.6 0.2 0.3 
    EFTA 0.0 0.1 .. 0.0 0.0 0.0 
      Switzerland  0.0 0.1 .. 0.0 0.0 0.0 
    Other Europe  0.1 0.0 .. 0.0 0.0 0.0 
  Commonwealth of Independent States (CIS)b 0.0 0.1 .. 0.0 0.2 0.0 
  Africa  0.0 1.3 .. 0.0 0.1 0.2 
  Middle East  0.0 0.1 .. 0.1 0.3 0.0 
  Asia 0.7 1.7 .. 2.0 1.8 1.5 
    China  0.3 0.6 .. 0.4 0.9 0.4 
    Japan  0.1 0.0 .. 0.0 0.1 0.0 
    Six East Asian Traders  0.0 0.5 .. 0.6 0.4 0.6 
      Hong Kong, China  0.0 0.1 .. 0.0 0.0 0.4 
      Chinese Taipei  0.0 0.1 .. 0.3 0.2 0.1 
      Thailand  0.0 0.1 .. 0.0 0.1 0.0 
      Korea, Republic of  0.0 0.1 .. 0.1 0.0 0.0 
      Singapore  0.0 0.1 .. 0.1 0.0 0.0 
      Malaysia  0.0 0.0 .. 0.0 0.0 0.0 
    Other Asia  0.3 0.6 .. 1.1 0.4 0.5 
      India 0.3 0.4 .. 0.8 0.3 0.3 
      Australia    .. 0.1 0.0 0.1 
  Other  0.0 0.0 .. 0.0 5.1 1.9 
      Areas n.e.s  0.0 0.0 .. 0.0 5.1 1.9 
.. Not available.  
 
a Estimates.  
b Commonwealth of Independent States (CIS) includes Arm enia, Azerbaijan, Belarus, Georgia, 
Kazakhstan, Kyrgyzstan, Moldova, Russian Federation, Taj ikistan, Turkmenistan, Ukraine, and 
Uzbekistan.  
Note:  Shares are based on UNSD Comtrade data for the period 2007 -08, and on national data for the 
period 2010 -12; 0.0% in the table represents neglig ible trade.  
Source:  UNSD, Comtrade database (SITC Rev.3) ; the authorities of Saint Lucia;  and Eastern Caribbean 
Central Bank (ECCB).