WT/TPR/S/242/Rev.1 Trade Policy Review 
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II. TRADE AND INVESTMENT POLICY REGIME 
(1) OVERVIEW  
1. Broad trade policy and development goals are set within a number of policy frameworks, 
notably regional trade policies in the context of  CARICOM, the 2001 New Trade Policy, the current 
national development plan (Vision 2030), and the 2009 National Export Strategy.  Jamaica is an 
original and active Member of the WTO and is a st rong supporter of special and differential treatment 
for developing countries within the WTO and the DDA negotiations.  Jamaica's trade policy is mainly 
implemented within the CARICOM framework;  Jamaica is closely involved in the process of regional trade integration with the on-going implementation of the Caribbean Single Market and 
Economy (CSME) and, through its participation in  CARICOM, implements a number of preferential 
trade agreements with regional neighbours. 
2. Jamaica, like its Caribbean neighbours, has c ontinued to pursue unilateral preferential access 
to its main markets in Europe and North Amer ica.  Under the Cotonou Agreement, Caribbean 
countries received unilateral preferential access to the EU for traditional agricultural exports.  
Similarly, the region continued to enjoy unilate ral preferential access to the United States, and 
preferential access to the Canadian market through  CARIBCAN, which extends duty-free treatment to 
nearly all qualifying imports from Caribbean c ountries.  However, Jamaica, and the Caribbean 
countries in general, are now in the process of rede fining relations with their main trading partners 
through the recently signed Economic Partnership Agreement (EPA) with the EU.  In addition, 
Jamaica and its CARICOM partners have started tr ade negotiations with Canada and are moving from 
unilateral to reciprocal arrangements. 
3. Jamaica's investment regime continues to be ope n to foreign investors, who can benefit from a 
number of incentives, including duty and tax concessions.  Since its last Review, Jamaica has continued to make progress in simplifying re gulations and procedures to create a more 
investment-friendly business environment. 
(2) T
RADE POLICY FORMULATION AND IMPLEMENTATION  
(i) General institutional and regulatory framework 
4. The 1962 Constitution established a parliament ary democracy based on the British model 
with the customary separation of powers.  The British monarch is the Head of State, and is 
represented locally by the Governor-General, who is appointed on the recommendation of the Prime 
Minister and acts in almost all matters on the advice of the Cabinet.  Executive power lies with the 
Cabinet, which is responsible to Parliament.1  International agreements are concluded by the Prime 
Minister after approval by the Cabinet.  Provisions of international agreements to which Jamaica is a 
signatory, including the WTO Agreements, must first be  incorporated into domestic law before they 
can be invoked before the courts. 
5. The Court of Appeals is the highest appellate court in Jamaica.  Under certain circumstances, 
cases may be appealed to the J udicial Committee of the Privy Council of the United Kingdom.  In 
April 2005, CARICOM governments inaugurated the Caribbean Court of Justice (CCJ) with an 
                                                      
1 Legislative power is vested in the bicameral Parliament, consisting of an elected House of 
Representatives comprising 60 members and an appointe d Senate with 21 members.  The Senate may submit 
bills, and it reviews legislation submitted by the House.  Members of the House are elec ted by universal suffrage 
for five years, subject to dissolution.  The Prime Minister , the leader of the party holding the majority of seats in 
the House, and the Cabinet are selected from the Parliament. Jamaica WT/TPR/S/242/Rev.1 
 Page 13 
 
 
original and exclusive jurisdiction for interpreting pr ovisions of the Revised Treaty of CARICOM, as 
well as an appellate jurisdiction for municipal appeals from CARICOM states that choose to substitute the jurisdiction of the London-based Privy Council with that of the CCJ.
2 
6. At the international regulatory level, Jamaica  became a party to the UN Convention Against 
Corruption in March 2008 and is a party to the In ter-American Convention ag ainst Corruption since 
March 2001.  Jamaica's regulatory regime, procedures and practices are scheduled to be reviewed in 
the Organization of American States in March 2011.   Under the Jamaican Corruption Prevention Act, 
which became operational in 2003, publ ic servants may be imprisoned for up to ten years and fined up 
to $160,000 if convicted of engaging in acts of bribery.  The Act established a Corruption Prevention 
Commission in 2003.  In 2007, the Government calle d for the adoption of whistleblower legislation 
and the establishment of a Special Prosecutor for An ti-Corruption to improve transparency and reduce 
public corruption. 
7. However, the authorities acknowledge that Jama ican economic competitiveness continues to 
be negatively affected by high corruption perception indexes, high corruption costs for doing business, and inadequate, although improving, corrup tion controls.  The authorities' acknowledgement 
of the situation should be seen as a clear sign of the country's intention and readiness to address the 
matter.  Part of this response has been to im prove several aspects of regulatory transparency, 
including:  consultations with interested parties,  electronic dissemination of regulatory materials, 
registers of existing and proposed legislation, tr ansparent implementation procedures, and clear and 
predictable appeals processes.  Th e authorities note that procedures are being implemented to ensure 
that local and foreign investors are able to do business in Jamaica with as little bureaucracy as 
possible. 
8. Two examples of these efforts are the Large Taxpayer Office (LTO) and the one-stop shop 
facility.  The Government established the LTO in Apr il 2009 to cater exclusively to large companies, 
in response to increased demand for tax informati on and speedier turnaround on transactions.  It is 
part of the commitment to develop a better tax compliant system and enhance the interface between 
the Government and tax payers.  The one-stop shop for trade and business-related processes is 
administered by the Ministry of Industry, Invest ment, and Commerce.  Slated for implementation by 
the end of 2010, the facility will be housed within JAMPRO and is designed to reduce the processing 
time and costs associated with  doing business in Jamaica. 
9. Jamaica Customs has committed itself to reducing fraud at the ports, which is primarily 
associated with the importation of goods, by addressing:  under-invoicing, classification, goods in 
excess of what is declared, smuggling, free zone le akages, and concealment.  Customs notes that is 
has made improvements by reorganizing, imposing ne w procedures, training staff, and enforcement 
procedures. 
10. Although Jamaica is not a party to the WTO Agreement on Government Procurement, the 
authorities emphasize that Jamaica practices transparency in government procurement as all laws, 
regulations, policies, and procedures are available on  the website of the Ministry of Finance and the 
Public Service.  Also available are the reports of  the Office of the Contractor General (OCG), which 
reports to Parliament and oversees adherence to  the policies and procedures in government 
                                                     
 
2 The Privy Council decided in 2005 that a two-thirds majority in Pa rliament was required to replace 
the Privy Council with the CCJ.  In Jamaica, the Ca ribbean Court of Justice (Original Jurisdiction) Act 
(No. 17-2005) gives the CCJ original jurisdiction in accord ance with the terms of the agreement establishing the 
Court, referring to trade-related disputes concerning the interpretation of the Revised Treaty.  However, to date the Act has not been gazetted and is not in force in Jamaica. WT/TPR/S/242/Rev.1 Trade Policy Review 
Page 14 
 
 
procurement.  The OCG has significant monito ring and investigative powers over government 
expenditure on virtually all state contracts. 
(ii) Trade policy framework 
11. During most of the review period, trade polic y has been guided mainly by general regional 
trade policies in the context of CARICOM, relevant  aspects of the National Industrial Policy, and the 
2001 New Trade Policy (NTP).  The NTP sets as its  main objectives diversification of exports, 
facilitation of market penetration, and reduction of the ratio of imports to exports.  Studies undertaken 
by the Ministry of Foreign Affairs and Fore ign Trade found that Jamaica has underutilized its 
preferential trade agreements and that "market acces s, negotiated with great effort, has often yielded 
little real benefits" in terms of market penetrati on and improvements in exports and the balance of 
trade in both goods and services.3  A number of other factors have also prevented Jamaica from 
expanding exports under preferen tial agreements, including low levels of production, limited 
supply-side capabilities, and limited access to new technologies. 
12. Whilst there have been no new trade policies as such, a national development plan (NDP) – 
Vision 2030 Jamaica – and a national export strategy have been elaborated in recent years to meet 
emerging development needs.  Both documents focu s attention on the building of productive capacity 
and enhancing competitiveness in goods and services trade.  "Vision 2030 Jamaica" is the new 
long-term national development plan, which aims to  put Jamaica in a position to achieve developed 
country status by 2030. 
13. Vision 2030 Jamaica is designed to enhance the ro le of trade and foreign relations in national 
development by strengthening Jamaica's bilateral, regional, and multilateral re lations and providing an 
enabling external environment for economic growth through better access to large external markets 
that compensate for the small size of the domes tic market.  It recognizes that a competitive and 
enabling business environment supports economic growth and development.4  The Government 
envisages making the required improvements to the business environment in the trade-related area by 
revising and modernizing legisla tion and regulations, improving customs and clearance processes, 
implementing strategic trade agreements and region al integration processes, strengthening the legal 
regulatory framework for protection of intellectua l property rights, and strengthening investment 
promotion and trade facilitation. 
14. The NDP allows for stage by stage implementati on of the long-term plan.  The first stage is 
the Medium Term Socio-Economic  Policy Framework (MTF) 2009-125 in a series of seven 
consecutive three-year plans.  The key trade strategy is to use trade and foreign relations to create an 
enabling external environment for economic gr owth through:  (i) implementation of the 
EU-CARIFORUM EPA in terms of negotiated commitm ents, legislation, sta ndards, and development 
support;  (ii) developing strategic coalitions and alliances at the WTO, including the Group of 33, 
Small and Vulnerable Economies, and ACP countries to  ensure that Jamaica's defensive and offensive 
interests are adequately safeguarded in the Doha  Round;  (iii) strengthening strategic bilateral 
relations by developing an FTA with Canada a nd developing CARICOM ag reements with regional 
countries;  (iv) commencing implementation of th e Caribbean Single Economy;  (v) promotion of 
Jamaica as a premier destination for investment ;  (vi) strengthening the legal and regulatory 
                                                      
3 Ministry of Foreign Affairs and Foreign Trade online information, "Sectoral Debate 29 July 2009".  
Viewed at:  http://www.mfaft.gov.jm/?q=sectoral-debate-29july09. 
4 Planning Institute of Jamaica (2009f). 
5 Planning Institute of Jamaica (2009d).  This section on trade-related strategies and actions is based on 
Planning Institute of Jamaica (2009d), table 50, pp. 280-282. Jamaica WT/TPR/S/242/Rev.1 
 Page 15 
 
 
framework for e-commerce and protection of IPRs ;  and (vi) improving customs and clearance 
processes for imports and exports including implem entation of the export paperless licensing system. 
15. The 2009 National Export Strategy (NES)6, spearheaded by JAMPRO and the Jamaica 
Exporters Association, seeks to maximize the e xport sector's contribution to economic and social 
development by improving export performance thro ugh enhancing both the competitiveness of firms 
and sectors and the business and trade environment.  As part of Vision 2030, it adopts the main 
objectives of the New Trade Policy and aims to:  increase the export sector's contribution to GDP 
from one fifth to one third by 2013;  increase th e export sector's contribution to overall employment 
generation;  achieve greater diversification of th e export sector by attaining higher value added in 
priority sectors including professional services and cr eative industries;  and increasing penetration in 
existing markets as well as accessing new and emerging markets. 
16. The NES is designed to bring best practices to all export initiatives by removing impediments 
to competitiveness in the export sector.  This involves putting greater effort into diversification, skills 
training for workers, lowering the cost of doing bu siness, offering favourable credit rates, engaging in 
capacity building, making access to market informa tion easier, and coordinati ng export promotion.  
Generally, the authorities estimate that the NES h as met approximately 25% of its implementation 
targets. 
(iii) Trade policy formulation and implementation 
17. The formulation and implementation of Jamaica' s foreign trade policy remains mainly under 
the authority of the Ministry of Foreign Affairs and Foreign Trade (MFAFT), which coordinates trade 
policy matters and is responsible for bilateral,  regional, and multilateral trade and investment 
negotiations.  It handles the coordination of WT O matters, deals with CARICOM trade policy and 
negotiations and with all matters related to EPA issues.  The MFAFT leads the process of collaboration with partner ministries and agencies in the cabinet-level International Relations and 
Trade Committee. 
18. The Ministry of Industry, Investment and Commerce (MIIC), established in 2007, assumed 
responsibility for several subject areas assigned to the former Ministry of Industry, Technology, 
Energy, and Commerce, including:  import and expor t licensing, patents, anti-dumping, standards, 
intellectual property, free-zone development, and ad ministration of the Fair Competition Act.  MIIC 
encompasses:  the Bureau of Standards, the An ti-dumping and Subsidies Commission, Fair Trading 
Commission, Jamaica Intellectual Property Office,  Jamaica National Agency for Accreditation, and 
Jamaica Promotions Corporation (formerly Jamaica Trade and Invest). 
19. Although the MIIC is responsible for coordina ting Jamaica's policy on services, several other 
ministries play key roles, including Transport a nd Works, Tourism, and Telecommunications (under 
the purview of the Office of the Prime Minister, alo ng with the Statistical Institute of Jamaica and the 
Planning Institute of Jamaica). 
20. The Ministry of Finance and the Public Serv ice is responsible for fiscal policy issues, 
including the administration of the Revenue Admi nistration Act and for tariff policy and customs 
administration, including tariff administration.  It sets Jamaica's fiscal and economic policies and 
regulates the operation of the country's publicly owne d financial institutions, such as the development 
banks.  The Bank of Jamaica administers the moneta ry and foreign exchange policies and regulates 
deposit-taking institutions – commerc ial banks, merchant banks, building societies, and credit unions.  
The Financial Services Commission supervises and re gulates the insurance, securities, and private 
pensions industries. 
                                                     
 
6 JAMPRO (2009). WT/TPR/S/242/Rev.1 Trade Policy Review 
Page 16 
 
 
21. The Ministry of Agriculture and Fisheries, is responsible for coordinating Jamaica's approach 
to regional and multilateral agricultural negotiations .  The Ministry of Transport and Works, is 
responsible for maritime, road, and air transport pol icy formulation and implementation;  its statutory 
bodies include the Civil Aviation Authority, the Ai rports Authority of Jamaica, the Maritime 
Authority and the Port Authority of  Jamaica.  The Ministry of Ener gy and Mining is responsible for 
the development and implementation of sustainable mining, mainly of bauxite and alumina.  The 
Jamaica Bauxite and Alumina trading Company is responsible for the marketing of bauxite and 
alumina on behalf of Jamaica Bauxite Mining (JBM) and Clarendon Alumina Production (CAP), 
which are government entities.  The Attorney Genera l's Department is respons ible for providing legal 
advice to the Government of Jamaica, and revi ews international agreements including trade 
agreements;  the Department is also responsib le for dispute settlement under relevant trade 
agreements. 
22. During the review period, Jamaica's consulta tion process for trade policy formulation – the 
Jamaica Trade Adjustment Team (JTAT) – has incl uded public sector, private sector, and civil society 
participation.  Its main functions are to assist a nd advise in policy formulation and in the development 
of negotiating positions;  it also facilitates co ordination between public and private sector 
stakeholders, including civil society.  The Na tional Competitiveness Council (NCC) coordinates the 
implementation of the National Export Strategy and serves, inter alia , as a strategic advisor to the 
MIIC and other ministries and agencies responsible for implementing components of the NES. 
23. At the regional level, Jamaica coordinates trade and economic policy with other CARICOM 
countries, through the Council for Trade and Econom ic Development (COTED ), which meets three 
times a year.  In order to improve negotiating cap acity, CARICOM Heads of Government established 
the Caribbean Regional Negotiating Machinery (CRNM)  in 1997 to develop, coordinate and execute 
an overall negotiating strategy for various external negotiations in which the region was involved.  In 
2009, the CRNM was incorporated into the CARICO M Secretariat as a specialized department and 
renamed the Office of Trade Negotiations (OTN ). The OTN has extended responsibility for the 
coordination, development, and execution of nego tiating strategies for all CARICOM external trade 
negotiations, including at the multilateral level, the inter-regional level with the European Union, and 
bilateral agreements between CARICOM and Ca nada, Costa Rica, the Dominican Republic, and 
others. 
(3) INTERNATIONAL TRADING RELATIONS  
24. During most of the review period, Jamaica, lik e its Caribbean neighbours, has continued to 
pursue unilateral preferential access to the Europ ean and North American markets.  Under the 
Cotonou Agreement, Caribbean countries received  unilateral preferential access to the EU for 
traditional agricultural exports.  Similarly, the regi on continued to enjoy unilateral preferential access 
to the United States for most exports under the Ca ribbean Basin Initiative (CBI), which includes the 
Caribbean Basin Economic Recovery Act (CBERA) and the Caribbean Basin Trade Partnership Act 
(CBTPA).  Jamaica has also enjoyed preferential access to the Canadian market through CARIBCAN, 
which extends duty-free treatment to nearly a ll qualifying imports from Caribbean countries. 
25. However, Jamaica and other Caribbean countries are in the process of redefining relations 
with their main trading partners through the r ecently signed Economic Partnership Agreement (EPA) 
with the EU, in which the non-reciprocal element of preferential agreements has been abandoned.  
Jamaica and its CARICOM partners  have started trade negotiations  with Canada, and are moving 
from unilateral to reciprocal arrangements.  At the same time, Jamaica is closely involved in regional 
trade integration and the on-going implementati on of the Caribbean Single Market and Economy 
(CSME). Jamaica WT/TPR/S/242/Rev.1 
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(i) World Trade Organization 
26. A WTO Member since 1995, Jamaica applies at least MFN treatment to all its trading 
partners.  Since its last Review in 2005, Jamaica has continued to comply with its WTO notification 
obligations (Table AII.1). 
27. In the Doha Round, Jamaica has been an advo cate for special and differential treatment and 
recognition of the challenges facing small vulnerable economies in the multilateral trading system:  
Jamaica has emphasized the importance of acce lerating the full implementation of the Small 
Economies' Work Programme7, and supports the work and objectives of the G-33 on Special 
Products, and the Special Safeguard Mechanism,  which should be non-burdensome and offer 
enhanced flexibilities for small and vulnerable econom ies (SVEs).  The lack of progress in completing 
the negotiations on the SSM is of concern as its ad option is perceived as essential to the pursuit of 
food security, promotion of rural development, and poverty alleviation.  It is seen as particularly 
important for protecting sensitive sectors from unfair competition, especially from unfairly subsidized exports.  Jamaica emphasizes the need for a responsive tool for coping with import surges and price 
declines, as recourse to other types of trade remedies can be limited, time-consuming, and 
administratively burdensome.  Jama ica has endured damage to its agriculture sector and, in the 
agriculture negotiations, is protecting its comm itment to implement effective domestic support 
measures for its farmers, including the freedom to  increase tariffs within bindings and to use the 
revenue to provide agricultural support within the scope allowed by the WTO. 
28. In the NAMA negotiations, Jamaica has sought fl exibilities in tariff reductions in that will 
provide the requisite policy space, inter alia , to facilitate the further development of the local 
industrial sector, protect its sensitive sectors, and generate sufficient revenue.  Jamaica, and other 
small economies, have emphasized the importance of ensuring that the development dimension is 
adequately reflected in the NAMA negotiations, a nd that there is a need to address the specific 
concerns of SVEs to ensure their beneficial partic ipation in the multilateral trading system.  In this 
regard, tariff liberalization should be undertaken  within the broad context of SVEs' economic 
development objectives and done in a manner that sust ains domestic reforms.  Results that Jamaica 
would find acceptable as an outcome of the NAMA negotiations
8, include:  a minimum level of tariff 
reduction that does not impact on current applied rat es;  no tariff reductions on  products of strategic 
value for economic development;  longer implemen tation periods;  elimina tion of NTBs on products 
of export interest to small economies;  and targeted  technical assistance to facilitate the use by small 
economies of market access concessions. 
29. Jamaica's participation in the services negotiations is to some extent driven by the expectation 
that the negotiations should resu lt in enhanced market access in sectors of export interest to 
developing countries, including in mode 4, and in  a balanced outcome in the negotiations on domestic 
regulation.  Jamaica has submitted an initial conditional offer on services. 
30. Jamaica supports entrusting the WTO with the role of mobilizing additional aid-for-trade 
resources, monitoring its impact on the economy, and organizing a programme of sustained trade-capacity-building measures, which have assumed greater importance in the light of the erosion 
of long-standing preferences on major agricultural commodities. 
31. Jamaica has not been a plaintiff or defendant  in any case before the DSB during the review 
period.  It has, however, participated as a third party in several cases involving the export of bananas 
                                                     
 
7 See, for example, WTO documents WT/MIN(0 9)/ST/46, 1 December 2009  and WT/MIN(09)/17, 
2 December 2009. 
8 See, for example, WTO document JOB(05)/165, 29 July 2005. WT/TPR/S/242/Rev.1 Trade Policy Review 
Page 18 
 
 
to the EU.  The 2009 Geneva Agreement on Trade in  Bananas settled a number of issues that had 
been a matter of dispute for nearly two decades.9  According to the author ities, the resolution of the 
banana dispute will have a negative impact on Jamai ca's ability to compete in the EU market.  The 
resolution requires a gradual reduction in the MFN tariff (ultimately falling to €114/tonne by 2017), 
which will reduce the margin of preference on Jama ican and other ACP bana na exports compared 
with the more efficient Latin American producers.  Overall, Jamaica is concerned that there is 
insufficient appreciation of the needs of th e Caribbean Community, which has been hit 
disproportionately by the global economic and financial crisis. 
(ii) CARICOM and related agreements 
(a) CARICOM 
32. Virtually all of Jamaica's trade policy is form ulated and implemented within the context of 
CARICOM.  Jamaica is a founding member of th e Caribbean Community (CARICOM) Treaty signed 
in 1973, which established the Caribbean Co mmunity and Common Market, comprising 
15 members.10  The original Treaty of Chaguaramas was amended by several protocols, which have 
been consolidated into the Revised Treaty.  Jamaic a has enacted domestic legislation in the Caribbean 
Community Act (No. 15-2004) giving effect to the CARICOM Single Market and Economy (CSME), 
a regional trade and economic inte gration regime, adopted by 12 of the 15 member states.  The 
Caribbean Community Act covers, inter alia :  the principles governing CARICOM and its 
institutional arrangements;  establishment, services, capital, and movement of Community nationals;  
policies for sectoral development and trade policy including trade liberalizations, subsidies, dumping, 
and transport policy.  The single market, which provides for the free movement of people, capital, and 
goods, became operational in 2006 and the single eco nomy, which provides for policy harmonization, 
is expected to be fully implemented by 2015.  According to the authorities, a recent audit by the 
CARICOM Secretariat's CSME Unit concluded that  Jamaica had fulfilled its obligations under the 
Revised Treaty of Chaguaramas for the establishment of the Single Market. 
33. CARICOM members have implemented the Co mmon External Tariff (CET) whereby goods 
entering any member country will be assessed with th e same tariff rate.  The CET ranges from 0-20% 
for industrial goods and up to 40% for agricultura l goods.  The CET has been implemented by all 
CARICOM members, except Haiti and St. Kitts and Ne vis.  Exceptions to the CET are permitted for 
the Organization of Eastern Caribbean States (OECS)  members and for certain products of particular 
sensitivity to a CARICOM member.  Consequently, a wide range of applied tariff rates continue to 
exist across member countries.  The pace of liber alization under the CET has been slow, as many 
CARICOM members rely heavily on import tariff s and para-tariffs as a source of government 
revenue.  Hence, as the CET is implemented, many  governments are introducing import-related levies 
such as stamp duties, import surcharges, customs se rvice charges and environm ental taxes.  The CET 
regime is to be reviewed and the CARICOM Secretariat is overseeing the arrangements for the review 
process.  In 2008, merchandise trade between Jama ica and its CARICOM partners accounted for 3% 
of Jamaica's exports and 19% of  its imports (Table AII.2). 
34. CARICOM has deepened trade-related cooperation at a technical level with the establishment 
of the CARICOM Regional Organization for Standard s and Quality (CROSQ).  Jamaica enacted the 
agreement establishing CROSQ into domestic la w in February 2005.  CARICOM members also 
                                                      
9 See WTO document WT/L/784, 15 December 2009. 
10 Antigua and Barbuda, Bahamas, Barbados, Belize,  Dominica, Grenada, Guyana, Haiti, Jamaica, 
Montserrat, St. Kitts and Nevis, St. Lucia, St. Vincent and the Grenadines, Suriname, and Trinidad and Tobago.  
Jamaica is one of the five more developed countries (MDCs) in CARICOM, together with Barbados, Guyana, Suriname, and Trinidad and Tobago;  all other member states are less developed countries (LDCs). Jamaica WT/TPR/S/242/Rev.1 
 Page 19 
 
 
established the CARICOM Competition Commission (CCC) in January 2008, under Article 171 of 
the Revised Treaty of Chaguaramas.  The CCC is an integral part of the CSME and provides a forum 
for CARICOM members for the resolution of issu es related to anti-competitive business practices.  
The Caribbean Health and Food Safety Agency was launched in March 2010 in Suriname with the 
goal of establishing an effective regional SPS regime. 
(b) Bilateral agreements betwee n CARICOM and other countries 
35. Through its membership of CARICOM, Jamaica has signed preferential free-trade 
agreements with Colombia, Cuba, the Dominican Republic, Costa Rica, and Venezuela.  None of 
these agreements have been notified to the WTO (August 2010).  CARICOM is also exploring the 
possibility of an FTA with Brazil. 
36. The CARICOM-Venezuela Trade and Investment Agreement is a non-reciprocal preferential 
agreement granting most CARICOM exports to Ven ezuela preferential or duty-free access.  Tariffs 
have been eliminated on 22% of products, while 67% of products enjoy tariff reductions.  Venezuela's 
applied preferential tariff on CARICOM exports is, on average, a third less than its MFN tariff. 
37. The CARICOM/Colombia Agreement on Trad e, Economic and Technical Cooperation 
(which entered into force in 1995) provides for trade liberalization and facilitation (including the 
exchange of preferences), as well as promotion and protection of investment.  The agreement was 
revised in 1999 to become reciprocal in relation to the four CARICOM MDCs.  The agreement also 
provides for the phasing out of non-tariff barriers.  It contains its own dispute settlement provisions;  
disputes regarding subsidies or dumping are to be taken to the WTO. 
38. CARICOM signed an FTA with the Dominican Republic (DR) in 1998, which provides for 
the mutual granting of tariff concessions  between CARICOM MDCs and the DR.11  Jamaica has not 
completed all the necessary phased reductions required by the agreement.  The agreement also covers 
services, investment, and government procurement.12 
39. A trade and economic agreement between CA RICOM and Cuba (signed in July 2000) 
provides for duty-free treatment on specified goods agreed by both sides.  The agreement outlines 
specific treatment for a seasonal list of agricultural products.  It also provides for the elimination of 
tariffs on specified products, through four annual reductions.  In add ition, the agreement deals with 
taxation, trade promotion and facilitation, services, tourism, investment, intellectual property rights, 
and other topics.  A Protocol for the Provisional Application of the Agreement was signed by Jamaica 
and other CARICOM members in December 2002.  Ja maica is applying the agreement provisionally. 
40. The CARICOM-Costa Rica Free Tr ade Agreement (signed in March 2004) is reciprocal for 
CARICOM MDCs;  it provides for duty-free or preferential access for a wide range of products, 
exclusive of sensitive products.  As a consequenc e of the agreement, some 90% of imports from 
Costa Rica enter duty free, some 4% are subject to a four-year phased reduction, and 3.9% of lines are excluded from any reduction.  Jamaica has not yet implemented the agreement. 
                                                     
 
11 CRNM online information.  Viewed at:  http ://www.crnm.org/bilateral. htm#CARICOM-Dominican 
%20Republic. 
12 CARICOM online information.  Viewed at:  h ttp://www.caricom.org/archives/agreement-caricom-
domrep-protocol.htm. WT/TPR/S/242/Rev.1 Trade Policy Review 
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(iii) Other preferential agreements 
41. For most of the review period, Jamaica has benefited from preferential access to the major 
developed markets through broad arrangements such  as the revised Cotonou Agreement between the 
ACP and the EU;  the Caribbean Basin Initiative (CBI) signed with the United States;  and the 
Caribbean/Canada Trade Agreement.  Jamaica is a beneficiary of the Generalized System of 
Preferences (GSP) schemes of Australia, Japan, New Zealand, and Switzerland;  the range of products 
covered depends on each country's scheme. 
(a) European Union 
42. For most of the review period, Jamaica's exports  continued to enjoy preferential access to the 
EU market under the African, Caribbean, and Pacifi c (ACP) - European Union Partnership Agreement 
(Cotonou Agreement), signed in June 2000.  Un der the agreement, ACP countries (except for 
South Africa), benefited, during an interim peri od (2001-07), from non-reciprocal trade preferences 
on industrial, certain agricultural, and fishery products, subject to a safeguard clause.  For certain 
products (bananas, beef and veal, and sugar), the EU provided special market access under 
commodity protocols.  The Cotonou Agreement cal led for negotiations fo r economic partnership 
agreements (EPAs), aimed at establishing the timetabl e for the substantial reciprocal liberalization of 
trade between the parties, compatible with WTO ru les.  Negotiations for an EPA between the EU and 
CARIFORUM (CARICOM plus the Dominican Republic) were launched in April 2004 and 
concluded in December 2007.  The agreement w as signed and notified to the WTO in October 2008 
and entered into force in November of that year.13  The EPA establishes a free-trade area 
encompassing the EU and CARIFORUM countries.   
43. Since December 2008, Jamaica has been applyi ng the Agreement provisionally pending entry 
into force.  The Customs Act is currently being ame nded to give effect to the duties that are to be 
reduced to zero immediately.  It will also need to  be amended to give effect to Annex III of the 
agreement (customs duties on products originating in the EU party) in time for commencing the 
liberalization process in 2011, in accordance with the relevant schedules.  Implementation-related 
activities in Jamaica include the establishmen t of a technical working group to oversee the 
implementation process. 
44. Market access is the main component of the EPA but the agreement goes beyond the scope of 
goods to include services, intellectual property rights,  innovation, transparency in public procurement, 
competition, protection of persona l data, reduction and/or removal of non-tariff barriers to trade, 
application of SPS measures, competition policy, and the environment and social issues.  The EU's 
liberalization of 98% of trade in goods is not a significant change, as around 95% of CARICOM products already entered the EU duty-free and quot a-free, except for rice, sugar, and bananas. 
(b) United States 
45. Jamaica enjoys preferential acc ess to the U.S. market under the Caribbean Basin Initiative 
(CBI), the collective name for U.S. trade preferences  for the Caribbean and Central American region.  
The United States upgraded the CBI through the Cari bbean Basin Trade Partnership Act (CBTPA) of 
2000, which provided additional preferential access.
14  CBTPA benefits were due to expire on 
30 September 2010 or upon entry into force of the Free Trade Area of the Americas (FTAA), negotiations for which are currently dormant.  In 2009, the United States requested, and was granted, 
                                                     
 
13 WTO documents WT/REG255/N/1/Rev.1 and S/C/N/469/Rev.1, 24 October 2008. 
14 U.S. International Trade Commission (2008), p.  1-5.  The CBTPA was recently extended until 
30 September 2020. Jamaica WT/TPR/S/242/Rev.1 
 Page 21 
 
 
an extension of the WTO waiver for the Cari bbean Basin Economic Recovery Act (CBERA) (as 
amended) up to end-December 2014.15  The CBTPA provides NAFTA-equivalent tariff treatment for 
certain items previously excluded from duty-fr ee treatment under the CBI programme (footwear, 
canned tuna, petroleum products, watc hes and watch parts, among others).16  To benefit, at least 35% 
of the product's value must have originated in Jamaica or another CBTPA beneficiary;  or this 
percentage can be reduced to at least 20%, if not  less than 15% of the product originated in the 
United States or Puerto Rico.  Jamaica's exports to the United States under CBI preferences grew by 
35% in 2008, to US$320 million, mainly due to  the strength of fuel-grade ethanol exports.17  
According to the authorities, over 90% of Jamaica's exports to the United States take place under the 
CBI. 
(c) Canada 
46. Jamaica enjoys preferential access to the Canadian market through CARIBCAN, a 
programme for trade, investment, and industrial cooperation between Canada and the Commonwealth 
Caribbean countries, which extends duty-free treatme nt to nearly all qualifying imports from these 
countries.18  Created in 1986, the programme covers goods other than (i) those listed in HS chapters 
50 to 65 inclusive, and (ii) tariff items with "ove r-access commitment" rates of duty established in the 
tariffication process.  To qualify for duty-free access to Canada, products from the Commonwealth 
Caribbean countries and territories must meet the requirement that 60% of their ex-factory price originates in any beneficiary country or in Canada.  CARIBCAN includes provisions that allow Canadian producers recourse to the Canadian Tariff Board in case duty-free imports from the 
beneficiary countries are deemed to cause or threaten  injury.  The preferential treatment extends to 
about 97% of Jamaican goods that enter the Cana dian market;  products excluded from duty-free and 
quota-free access include textiles and textile ar ticles, footwear, gaiters, and head gear. 
47. In July 2007, the Canadian and CARICO M governments announced the launch of the 
Canada-CARICOM trade negotiations, primarily in order to conclude  a WTO-compatible reciprocal 
trading arrangement.  CARICOM's rationale is that such nego tiations would enable CARIBCAN 
benefits to be locked in and improved, allow for improved access conditions, such as more flexible 
rules of origin, provide new opportunities for CARICOM services, and create a framework for 
boosting Canadian investments. 
48. The Office of Trade Negotiations (OTN) and the CARICOM Secretariat held exploratory 
discussions with Canadian officials in June 2008, which resulted in the identification of a possible 
scope for the negotiations.  The formal negotiati ons between Canada and CARICOM for a Trade and 
Development Agreement commenced in November 2009.   A second round of negotiations was held in 
March 2010, covering goods;  services;  investment;  trade-related issues such as competition policy, 
government procurement, innovation and intellectual property;  dispute settlement;  and institutional 
issues.  According to the authorities, issues of in terest to CARICOM include development, services, 
                                                     
 
15 WTO document WT/L/753, 29 May 2009.  United States-Caribbean Basin Economic Recovery Act, 
Renewal of Waiver, Decision of 27 May 2009.  The wa iver permits the United States to provide duty-free 
treatment to eligible products of the Caribbean Basin c ountries without having to extend the same treatment to 
like products of any other WTO Member. 
16 USTR online information.  Viewed at:  h ttp://www.ustr.gov/regions/whemisphere/camerica/ 
actsheet.html. 
17 USTR (2009), p. 13. 
18 Canada was granted a waiver to its obligations under Article I of the GATT in 1986 (L/6102).  The 
waiver was renewed for ten years by the WTO General Council on 14 October 1996 (WTO document 
WT/GC/M/15, 4 December 1996).  Further to a request by Canada, on 15 December 2006, the WTO granted a 
five-year renewal for CARIBCAN up to 2011. WT/TPR/S/242/Rev.1 Trade Policy Review 
Page 22 
 
 
culture, and provincial regulation, wh ile Canada has particular interest in services, including telecoms 
and financial services, and in having side agreemen ts on labour and environm ent.  Negotiations are 
expected to last for about 18 months. 
(4) FOREIGN INVESTMENT REGIME  
(i) Legislative framework 
49. At present, there is no specific legislation on foreign investment in Jamaica and so the tax 
benefits provided through various laws are accessible to both local and foreign firms.  Tax holidays 
are available for investments in free zone enterpri ses, certain industrial enterprises, tourism projects, 
and agricultural activities, and there are duty exemptions on many inputs for approved investment. 
50. The Government encourages fo reign investment as a source of development and has no 
policies or regulations that reserve certain sectors exclusively for Jamaicans.  Jamaica applies the 
principle of national treatment to foreign investor s.  It has no performance requirements, except on 
companies with free-zone status, which must export at least 85% of their output.  Foreign firms are allowed to participate in government-financed  or subsidized R&D programmes on a national 
treatment basis.  Jamaica's privatization program is  open to participation by foreign investors.  The 
authorities indicate that of the 20 entities (13 by way of sale, 7 by way of lease/concession) divested 
by the Development Bank of Jamaica since 2003, tw o (including the 2003 Sangster International 
Airport concession) were acquired by overseas investors. 
51. Local laws do not distinguish between local a nd foreign investors.  Under the Jamaican 
Companies Act, investors are required either to est ablish a local company or to register a branch 
office of a foreign-owned enterprise.  Branches of co mpanies incorporated abroad must also register 
with the Registrar of Companies if they intend to  operate in Jamaica.  The Companies Act, which 
entered into effect in February 2005, allows fo reign companies to hold land without registering in 
Jamaica.  There are no laws or regulations requi ring firms to adopt articles of incorporation or 
association, that limit or prohibit foreign investment, participation or control. 
52. Legislative developments to encourage FDI have  occurred since the last Review, including:  
the Credit Reporting Act to improve credit assessm ent processes and facilitate enhanced risk 
management and loan pricing strategies through out the financial industry;  the 2007 Proceeds of 
Crime Act (POCA), which targets benefits derived from the commission of any crime, and incorporates the concept of money laundering.  Also , the Government is developing the legislative 
and institutional capacity to position Jamaica as a l eading destination for the establishment of an 
international financial services center (IFSC);  taxa tion and investment treaties entered into by the 
Government will also be reviewed to determine whether they are relevant in the current environment 
or require renegotiation to support the attractivenes s of the IFSC.  Additionally, the Casino Gaming 
Act, passed in May 2010, should help to diversify tourism. 
53. New investment projects in Jamaica are facilita ted by the Government's investment promotion 
agency, Jamaica Promotions Corporation (JAMPR O), which will provide a one-stop facility for 
processing the relevant documents and simplifying bureaucracy.
19  JAMPRO facilitates investment by 
helping firms in accessing the necessary licen ces, permits, and incentives, as well as providing 
after-care services to the investment projects.  Investors are granted the relevant government 
incentives, following due diligence reviews and if eligibility criteria are met. 
                                                      
19 According to information from the National Environment Planning Agency, a total of 
2,081 applications were received duri ng 1 April 2009 to 31 March 2010, of which 1,592 have been processed;  
82% were processed within the 90-day processing timeline. Jamaica WT/TPR/S/242/Rev.1 
 Page 23 
 
 
54. A number of documents providing details of th e requirements for investing in Jamaica have 
been prepared to assist local and foreign investor s.  Specifically, the Development and Investment 
Manual, revised in 2005, provides information on standards, guidelines, and procedures for 
investment projects.20  JAMPRO has developed an Industrial Data Guide, which provides a range of 
information on basic services (energy, water, telecommunications, transportation, etc.) and costs 
associated with conducting business in Jamaica.21 
55. Jamaica's membership of the Convention on th e Settlement of Investments Disputes between 
States and Nationals of other States, provides invest ors with a recognized mech anism for settlement of 
disputes. 
(ii) Regional framework 
56. While Jamaica has not developed a national invest ment code, there have been undertakings at 
the regional level.  Jamaica supports, in principle,  the establishment of a regional investment code.  
The CARICOM Secretariat has taken steps towards establishing the CARICOM Investment Code (CIC).  The purpose of the Code is to help to  facilitate the establishment of a Community-wide 
investment policy by creating a framework for the designation of CARICOM as a single investment 
space.  Specifically, the Code seeks to establish common standards of treatment of non-CARICOM 
investors.  According to the Jamaican authorities, the negotiations on the Code are still in progress. 
(iii) Bilateral investment and tax treaties 
57. According to the authorities, Jamaica has nego tiated 17 bilateral investment treaties (BITs), 
16 of which are in force, including with the United Kingdom, Germany, Switzerland, China, Cuba, 
the United States, Indonesia, and Korea.  The late st BIT, with Kuwait in 2009, has not yet been 
ratified.  Foreign investors are generally granted national and MFN treatment, subject to the rules of 
their BITs. 
58. Jamaica has concluded 13 double taxation ag reements (with Canada, CARICOM, China, 
Denmark, France, Germany, Israel, Italy, Norw ay, Sweden, Switzerland, the United Kingdom, and the 
United States).  In addition, an agreement signed with Spain in 2008 entered into force in 2009.  The 
Government uses tax treaties primarily to promote ca pital inflow and expand foreign trade.  By the 
treaty mechanism, it seeks to ensure as far as possibl e that the tax burden in Jamaica will be no greater 
than in the foreign investor's country of residence.  It also tries to ensure that tax-sparing provisions 
are used to recognize special tax incentives gr anted to promote investment on the island. 
(5) A
ID FOR TRADE  
(i) Overview 
59. Aid-for-trade flows to Jamaica have been m odest, totalling approximately US$36 million per 
year on average between 2002 and 2008.  Commitment s have fluctuated significantly in the period 
under review.  Assistance has primarily focused on building productive capacity and on specific 
infrastructure-related projects. 
                                                      
20 JAMPRO (2007). 
21 According to the authorities, the Global Competitiveness Report 2009-10  indicates that in the four 
main areas of infrastructure (telecoms, electricity, air and port), Barbados is the highest ranked, while Jamaica is 
ranked closely with Trinidad and Tobago (55th and 57th respectively);  Jamaica's highest ranking of 21st is 
associated with its sea port infrastructure , making it a close second to Barbados. WT/TPR/S/242/Rev.1 Trade Policy Review 
Page 24 
 
 
60. Jamaica receives substantial budget support, in part  to assist the country cope with its high 
level of foreign debt.  Jamaica's indebtedness is  a major impediment to the realization of its 
development objectives, particularly given its middl e-income designation, and is deserving of a long 
term solution.  In 2008, Jamaica received US $90 million in non-concessional trade-related loans. 
61. Jamaica has advanced a number of national and sectoral development plans that seek to 
reinforce its needs and priorities and place economic growth as one of the core vehicles for achieving development.  Trade is well-mainstreamed in these strategies, both at a policy and operational level.  
It is hoped that this will lead to more predictable aid-for-trade financ ing.  In its questionnaire response 
for the 2
nd Global Review, Jamaica identified "better pred ictability of aid-for-trade funding" as a key 
priority in improving the effectiveness and implementation of aid-for-trade. 
(ii) Mainstreaming trade into national development strategies 
62. In its response to the 2009 Aid-for-Trade ques tionnaire, Jamaica made reference to its 
national development strategy, Vision 2030, which has now been fully articulated.  Jamaica has 
actively stepped up its mainstreaming efforts since the launch of the Aid-for-Trade Initiative and it 
has developed a series of national and sectoral strategies that position export development and 
diversification as key conduits to achieving grow th and poverty reduction.  Vision 2030 and its 
operational strategy, the Medium-Term Socio- Economic Policy Framework (MTF) 2009-12, were 
formally tabled in the Jamaican Parliament on 5 May 2009.  In developing these national development 
strategies the Government has conducted widespre ad stakeholder consultations, which included 
private-sector agencies, business leaders, and development partners. 
63. In addition to Vision 2030 and the accompanying MTF, a three-year "Whole of Government 
Business Plan" is under preparation for the public sect or under the coordination of the Cabinet Office.  
This is expected to be a new planning instrument of the Government of Jamaica.  The Government 
also developed the Jamaica Country Strategy for the Adaptation of the Sugar Industry 2006-15, which 
seeks to achieve competitiveness and sustainability in the industry through more modern and effective 
application of technologies and through branding and niche marketing. 
(a) Vision 2030 
64. Vision 203022, Jamaica's first long-term National Deve lopment Plan, has as its primary focus 
the achievement of developed-country status by 2030.   Central to the operationalization of the strategy 
is the need to support wealth generation, hence there is a clear focus on economic development, 
diversification, competitiveness, and trade.  A number of steps, taken to establish an effective 
monitoring and evaluation system and communicati on programme for the Plan, supported the process 
of prioritizing and mainstreaming tr ade-related issues.  Th e steps included:  (a) strategic consultations 
with ministries, departments, and agencies;  (b) rationalization of existing monitoring and evaluation 
processes;  (c) capacity strengthening in results-bas ed management;  and (d) publicity and advocacy 
for Vision 2030 Jamaica.23 
(b) Medium-Term Socio-Economic Policy Framewor k (MTF) 2009-12:  building the foundations 
 for achieving Jamaica's long-term goals 
65. Vision 2030 is being implemen ted through a series of seven consecutive three-year 
medium-term socio-economic policy frameworks.  Jamaica's Medium-Term Socio-Economic Policy 
Framework (MTF) is the main mechanism developed to translate Vision 2030 into an operational and 
                                                      
22 Planning Institute of Jamaica (2009f). 
23 Planning Institute of Jamaica (2010). Jamaica WT/TPR/S/242/Rev.1 
 Page 25 
 
 
action-oriented initiative.  The MTF should more effectively align priority programmes with the 
national budget and support from development partners. 
66. The MTF sets out a series of national outcomes and indicators and incorporates results-based 
management techniques to effectively monitor th e implementation of these needs and priorities over 
time.  The importance of ensuring cooperation with the private sector, civil society, and international 
development partners are seen as key to its success.   In addition to mapping out the priorities and 
goals under Vision 2030, the MTF sets out a matr ix of selected programmes and projects where 
assistance is required for effective implementation of Vision 2030.  This matrix identifies projects where donor support has been identified and seeks to reflect estimated costs of implementation where 
available.  It identifies six areas for priority atten tion:  security and safety;  a stable macro-economy;  
strong economic infrastructure;  energy security and efficiency;  world class education and training;  and effective governance.  It also identifies five s upporting policy targets for implementation to occur:  
an enabling business environment;  internationally co mpetitive industry structures;  effective social 
protection;  hazard risk reduction and adapta tion to climate change;  and authentic and 
transformational culture. 
(c) National Export Strategy (NES) 
67. The National Export Strategy
24 has been developed by Jamaica with the technical assistance 
of the International Trade Centre (ITC) and the partial funding of the Private Sector Development 
Programme (PSDP), a joint initiative with the Eu ropean Union.  The NES is a component of 
Vision 2030 and is driven by the private sector in partnership with the public sector, with the aim of 
improving the export performance of Jamaica.  The NES has the measurable aim of improving the 
contribution of exports to Jamaica's GD P from one fifth to one third by 2013. 
68. The NES creates a platform for increased PPPs  as well as engendering greater domestic, 
private-sector investment in Jamaica's developmen t priorities.  The NES is premised on high value 
niche production and effective branding and marketi ng of Jamaican exports.  The focus is on seven 
specific sectors:  agri-processing, aquaculture, co ffee, education, entertainment, information 
communication technology (ICT), and fashion and minerals.25 
(iii) Supply side and infrastructure constraints 
69. In its response to the 2009 AfT questionnaire, Ja maica identified three key priority areas for 
aid-for-trade assistance:  network infrastructure, co mpetitiveness, and export diversification.  In the 
context of the aid-for-trade priorities ranked by CARICOM, Jamaica has identified a stronger donor 
focus on capacity development of bot h public and private-sector institu tions;  better predictability of 
aid-for-trade funding;  and more extensive use of budget support as key priorities for more effective 
delivery of aid for trade. 
70. More specific binding constraints are identifie d in its national development strategies, 
particularly the MTF.  With a financing ga p of between US$600 million and US$800 million in the 
financial year 2009/10 and the residual effects of th e economic crisis, Jamaica estimates it will require 
a substantial scaling up of trade-related capacity bui lding to maintain and increase its growth rate. 
71. Vision 2030 elaborated a number of sectoral st rategies organized around a series of national 
outcomes.  These priorities provide insight into th e areas where assistance would most likely have a 
                                                      
24 For the NES and accompanying documents, see JAMPRO online information, "National Export 
Strategy".  Viewed at:  http://www.jam aicatradeandinvest.org/nes/index.php. 
25 JAMPRO (2009). WT/TPR/S/242/Rev.1 Trade Policy Review 
Page 26 
 
 
trade-related impact.  A closer examination of th ese binding constraints and priorities can be grouped 
into four key areas. 
(a) High debt burden 
72. Jamaica has the third-highest public-debt-to- GDP ratio in the world, which has serious 
implications for its ability to pursue public inv estment objectives and to address the high cost of 
domestic credit and finance available to micro, small, and medium-sized enterprises (MSMEs).  
Jamaica recognizes this constraint and has prior itized it in its national development strategies.26  It 
was identified as the top priority area for support by stakeholders in the World Bank's Country Partnership Strategy for 2009-13.  According to the Jamaican authorities, when this high debt burden 
is juxtaposed against the fact that Jamaica is a middle-income country and hence has difficulty in 
accessing concessionary financing, the situation is even more acute. 
(b) Trade-related infrastructure 
73. Jamaica is positioning itself as a regional hub for tr ansportation and logistics.  To achieve this 
there is a need for sustainable investment and a ssistance in the area of energy and transport 
infrastructure.  Priorities for Jamaica include the improvement and rationalization of road transport 
infrastructure, the completion of the island-wide highway network and the e xpansion of domestic and 
international air transportation infrastructure and services.  Continued assistance is also required to 
rehabilitate roads, especially agri culture-related feeder roads that have been affected by natural 
disasters. 
74. National Outcome V of the MTF 2009-12 prioriti zes the expansion and ra tionalization of land 
transport infrastructure and services, moderniz ing the public transportation system, expanding 
domestic and international air transport infrastruct ure, expanding the broadba nd network and ensuring 
adequate and safe water supply and sanitation.  A lack  of cold storage facilities at ports and airports 
leading to spoilage and potential contamination of imports and exports, has been identified as a 
constraint to trade. 
75. The high cost of doing business in Jamaica is partly related to the comparatively high cost of 
energy.  As set out in National Outcome VI there is a need to, inter alia , develop energy 
diversification priorities, including through increasing the use of renewable energy.  High energy costs are primarily due to inefficient infrastructure for energy generation and distribution, and lack of 
alternative fuel sources.  There is a need to expl ore more economical sources of energy on a wider 
scale, such as solar and water-based energy gene ration and to modernize the energy distribution 
systems.
27  To address these constraints, the Government of Jamaica has developed a National Energy 
Policy and is taking measures to facilita te greater energy diversification. 
(c) Customs, trade facilitation, and the cost of doing business 
76. Trade capacity building is needed in the area of trade facilitation.  Jamaica has modern 
customs and trade-facilitation facilities but a series of  gaps have been identified where assistance may 
                                                      
26 Office of the Prime Minister  online information, "IMF Pr esentation to Parliament by 
Minister Audley Shaw".  Viewed at:  http://www .opm.gov.jm/news_and_public_affairs/speeches/imf_ 
presentattion_to_parliament_by_minister_audley_shaw;  and Jamaica Information Service online information, "Closing Budget Speech to Parlia ment".  Viewed at:  http://www.j is.gov.jm/finan ce_planning/html/ 
20100421t170000-0500_23692_jis_closing_budget_presentation_to_parliament_honourable_audley_shaw__mp
_minister_of_finance_and_the_public_service_april_21.asp. 
27 Parsan (2006). Jamaica WT/TPR/S/242/Rev.1 
 Page 27 
 
 
be required.  This includes the development of risk management, post audit control, and appeals 
procedures, as well as the establishment of a proce dure for administering advance binding rules of 
origin.  Assistance to conduct a study to determ ine importation and exportation release times, and 
support for implementing the WCO SAFE Framework of  Standards are specific areas where capacity 
building is required.  Improvements in customs a nd trade facilitation procedures and the removal of 
bottlenecks could have a positive impact on th e high cost of doing business in Jamaica. 
(d) Productive capacity and trade development 
77. The Jamaican economy is dominated by services and there is a need to increase the 
downstream and upstream linkages between the services sector, especially the tourism, entertainment 
and creative industries, with traditional sectors su ch as agriculture and fisheries, including 
aquaculture.  Within services, Jamaica has identifie d the establishment of a fully automated financial 
trading system as a priority.  To facilitate this, its  statistical databases need to be developed further, 
with an emphasis on services trade, as does the cap acity of national service providers to meet 
international standards of certification. 
78. Jamaica's agriculture sector has been affected by the erosion of preferential markets and the 
impact of natural disasters.  Although the EU contin ues to provide adjustment assistance for the sugar 
and banana industries, more support is needed for export diversification, the development of more 
high-value products, and for branding , marketing, and distribution of agriculture produce, to satisfy 
the domestic and export markets.  Inefficient produc tion techniques need to be replaced by promoting 
greater technology transfer that will lead to in creased competitiveness, and support is needed for 
improving market infrastructure to ensure lower post-harvest and logistical costs. 
79. Capacity gaps have been identified for draf ting technical barriers to trade legislation, 
developing TBT standards, and strengthening food mi crobiology laboratories.  Similar requests have 
been posited under sanitary and phytosanitary i ssues, specifically the need for assistance in 
developing accredited procedures and monitoring pest s.  In addition, recent consultations conducted 
by JAMPRO and the Ministry of Foreign Affa irs and Foreign Trade in preparation for the 
Canada/CARICOM FTA negotiations highlighted a number of sectors/areas that require technical 
assistance/development cooperation in order to enhance trade capacity. 
(iv) Aid-for-trade support to Jamaica 
(a) Funding 
80. While increases in global funding for aid for trade were recorded over the period 2005-0828, 
flows to Jamaica have been modest and have fluctuat ed significantly in the review period.  However, 
its 2008 flows of US$36.5 million were the second hi ghest in the CARICOM region, although lower 
than in 2007 (Table II.1).  In 2007 and 2008, agri culture received the greatest share of commitments, 
of around US$22 million in each year, followed by tr ansport and storage (US$18 million in 2007 and 
US$6 million in 2008). 
81. ODA as a whole to Jamaica has fluctuated significantly.  The 2002-05 ODA average of 
US$132.7 million, decreased to US$87.8 million in 2006 and rose again to US$130.7 million in 2007 
and to US$217.4 million in 2008.  The levels of secto r allocable aid also fluc tuated but to a lesser 
extent.  The percentage of aid-for-trade in sect or allocable ODA was 25.4% in 2008, the lowest 
percentage compared with the 43.1%  average during the baseline period. 
                                                      
28 According to OCED and WTO, aid-for-trade flows have increased significantly since 2005.  In 2007, 
for example, total new aid for trade in the amount of US $25.4 billion was said to be up 21% in real terms from 
the 2002-05 baseline period average (OECD and WTO, 2009).  WT/TPR/S/242/Rev.1 Trade Policy Review 
Page 28 
 
 
Table II.1 
Aid-for-trade assistance, 2002-08 
(US$ million (2008 constant) commitments) 
 2002-05 average 2006 2007 2008 
Trade policy and regulations 1.45 1.52 0.55 2.81 
Economic infrastructure 10.01 3.87 30.30 9.12 
Building productive capacity 24.64 14.16 23.25 24.62 
Total 36.10 19.57 54.11 36.56 
Source:   OECD Qwids Database. 
(b) Development partner operations 
82. The EU is the largest grant donor to Jamaica.  The Jamaica-EU Country Strategy paper and 
National Indicative Programme for 2008-13 pr ovides for EU macro-economic support of 
€60.5 million to Jamaica, through general budget support programmes financed by the 10th EDF.  
Additional macroeconomic support is  provided under the Sugar Accompanying Measures, and sector 
budget support for governance. 
83. Assistance is also provided by DFID, USAID,  CIDA, JICA, the World Bank, the IaDB, and 
the CDB;  and Belgium, France, Spain, and Sw eden have cooperation programmes with Jamaica 
(Table AII.3).  The United Kingdom is Jamaica's most important EU bilateral partner providing 
assistance for poverty reduction, crime prevention,  and public services reform, and technical 
assistance for the management of the MTF.  Belg ium has provided loan and grant funding for a 
transportation hub and through the Commonwealth Debt Initiative, DF ID is expected to provide 
US$9.4 million in grants for budgetary support. 
84. Jamaica also receives South-South assistance from Venezuela and China.  Venezuela, through 
the PetroCaribe initiative, has provided energy at  concessionary prices, a US$259.6 million loan for 
road construction, and a US$150.3 million loan for upgrade of oil refineries and introduction of new 
technology.  China has provided assistance for infr astructure-related projects in the water and 
transportation sectors, as well as a US$100 million EXIM Bank line of credit loan to facilitate 
short-term trade financing.29 
(c) Jamaica's participation in regional aid-for-trade programmes 
85. Jamaica has participated in regional aid for tr ade programmes as a member of the Caribbean 
Community (CARICOM).  Jamaica considers this as increasingly useful given the shift from national 
to regional programming by some of Jamaica's traditional development pa rtners.  Development 
assistance at the regional level includes the Eur opean aid-for-trade financing of European 
Development Fund (EDF) for the Economic Partne rship Agreement (EPA);  support from Canada 
through the CARICOM Trade and Competitiveness Pr oject (CTCP);  and United Kingdom support to 
a Caribbean Aid for Trade Integration Trust Fund  (CARTFund) at the Caribbean Development Bank, 
which was launched in March 2009.  The resources of the CARTFund are geared to finance projects 
or activities of national, sub-regional or regiona l importance that are related to "supporting EPA 
implementation, deepening CARICOM economic inte gration, and deepening the integration of 
member countries of the Organization of Eastern Caribbean Member States".  The authorities further noted that the CARICOM Conference of Heads of Government recently endorsed the development of 
region-wide proposals on aid for trade, which would fo cus, in the main, on:  an infrastructure fund, 
trade facilitation, and sanitary and phytosanitary (SPS) measures. 
                                                     
 
29 Planning Institute of Jamaica (2009d).  Jamaica WT/TPR/S/242/Rev.1 
 Page 29 
 
 
(d) Technical assistance from the WTO 
86. Jamaica continues to benefit from WTO technical  assistance support in a number of areas of 
critical importance to its economic development (Box II. 1).  Jamaica has been an  active partner in the 
hosting of regional technical assistance activities, including the Regional Trade Policy Courses for the 
Caribbean.  Jamaica hosted the 2nd Regional Review on Aid for Trade for Latin America and the 
Caribbean in 2009. 
Box II.1:  WTO training and technical assistance 
Since 2008, Jamaica has benefited from three national activities;  on custom valuation, trade in services, and 
trade facilitation needs assessment.  Jamaica also host ed five regional activities including the two regional 
trade policy courses for Caribbean countries, two workshops on NAMA, and one activity on government procurement (Jamaica is not a signatory of  the GPA).  Jamaica also hosted the 2
nd Regional Review on Aid 
for Trade for Latin America and the Caribbean in 2009.  In 2010, Jamaica benefited from regional 
(Caribbean) specialized activities on RTAs and servi ces, and participated in an outreach activity for 
parliamentarians and civil society held in Mexico.  Jamaica will host the "Special Consolidation" course to 
the last Caribbean Regional Trade Policy Course, which will be co-delivered with academics and specialists 
from the region. 
Jamaican officials have attended th e Regional Trade Policy Course (hosted in Jamaica in 2008 and 2009), the 
Geneva-based Trade Policy Courses, and Geneva-based specialized courses on DSU and negotiating trade 
agreements.  Officials have completed several e-trainings modules.  Jamaica has also been invited to global 
and regional activities on:  TBT, AG, SPS, TNS, DSU,  TRIPS, TF, T&E, S&DT, NAMA, GATS, GI, fishery 
subsidies, climate change, and statistics of international trade in service. 
Source: WTO Secretariat (ITTC). 
(e) Outlook for aid for trade in Jamaica 
87. The pattern of aid-for-trade flows to Jamaica show  a great degree of fluctuation and there is a 
need for greater predictability.  Jamaica's recen t mainstreaming efforts through Vision 2030 and the 
MTF should provide an effective platform for intern ational development partners to address issues of 
predictability.  Positive trends towards alignment w ith Jamaica's national priorities can be seen in the 
country strategies of the European Union, USAID, and the World Bank, partly as a result of Jamaica's 
articulation of its priorities.  Th e EU, in its Country Strategy paper for 2008-13, specifically indicated 
that the MTF has created a platform for greater co llaboration among donors and lenders in developing 
their respective country strategies, as well as for great er alignment with the Government of Jamaica's 
strategic priorities.30 
88. This positive achievement reinforces the ut ility of mainstreaming trade and trade 
capacity-building priorities in national development st rategies.  The development of priority sectoral 
strategies also helps to focus the domestic actors  and development partners on the binding constraints 
of the Jamaican economy, and the actions that coul d alleviate these trade-related bottlenecks.  One 
area where it is clear that continued attention is needed is Jamaica's high debt-to-GDP ratio and the 
impact this has on public investment, partic ularly given its middle-income designation. 
89. The Jamaican authorities have indicated that a National Aid for Trade Strategy is being 
articulated, with support from the Inter-American Deve lopment Bank.  This Strategy is expected to be 
tabled at the upcoming WTO Caribbean Regional Fo rum on Aid for Trade, and will coincide with 
Jamaica's Trade Policy Review scheduled for January 2011. 
                                                      
30 Government of Jamaica and EC (2008).