RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/TPR/G/242 
7 December 2010 
 (10-6432) 
Trade Policy Review Body Original:   English 
   
 
  
 
TRADE POLICY REVIEW 
 
Report by 
 
JAMAICA 
 
 
  
Pursuant to the Agreement Establishing the Trade Policy Review Mechanism (Annex 3 of the Marrakesh Agreement Establishing the World Trade 
Organization), the policy statement by Jamaica is attached. 
 
 
Note: This report is subject to restricted circ ulation and press embargo until the end of the first 
session of the meeting of the Trade Policy Review Body on Jamaica. Jamaica WT/TPR/G/242 
 Page 3 
 
 
 CONTENTS 
    P a g e  
I. INTRODUCTION 5 
II. VISION 2030 JAMAICA – NATIONAL DEVELOPMENT PLAN 5 III. MACRO-ECONOMIC ENVIRONMENT AND TRADE PERFORMANCE 6 
 (i) M
ACRO -ECONOMIC PERFORMANCE  6 
 (ii) T RADE AND SECTORAL PERFORMANCE  7 
 (iii) G ENERAL INSTITUTIONAL AND REGULATORY FRAMEWORK  10 
 (iv) T RADE COMPETITIVENESS  10 
IV. TRADE POLICY AND INSTITUTIONAL FRAMEWORK 11 
 (i) E LEMENTS OF JAMAICA 'S TRADE POLICY  11 
 (ii) I NSTITUTIONAL FRAMEWORK  12 
V. REGIONAL INTEGRATION – THE ESTABLISHMENT OF THE CARICOM SINGLE 
MARKET AND ECONOMY (CSME) 13 
VI. BILATERAL/HEMISPHERIC AND PREFERENTIAL TRADE ARRANGEMENTS 13 
 (i) C ARICOM BILATERAL AGREEMENTS  13 
 (ii) A CP-EU COTONOU PARTNERSHIP AGREEMENT  13 
 (iii) C ARIFORUM -EU ECONOMIC PARTNERSHIP AGREEMENT  13 
 (iv) C ARIBCAN  13 
 (v) C ARIBBEAN BASIN INITIATIVE (CBI) 14 
VII. MULTILATERAL FRAMEWORK – THE WTO 14 
 (i) I MPLEMENTATION OF THE URUGUAY ROUND AGREEMENTS  14 
 (ii) J AMAICA 'S POSITION ON THE CURRENT ROUND OF MULTILATERAL TRADE 
NEGOTIATIONS  16 
 (iii) A ID FOR TRADE  17 
 (iv) T ECHNICAL ASSISTANCE  18 
VIII. CONCLUSION  18 
 Jamaica WT/TPR/G/242 
 Page 5 
 
 
 I. INTRODUCTION 
1. The country's first long-term strategic pl an, Vision 2030 Jamaica – National Development 
Plan (Vision 2030 Jamaica);  and the Medium Term Socio-Economic Policy Framework (MTF) 
2009-2012 were presented to Parliament in 2009.  Th e MTF identified the inte rmediate steps towards 
the realization of Vision 2030 Jamaica.  A number of  important initiatives were taken to establish an 
effective monitoring and evaluation system and to sustain an efficient communication programme for 
the Plan.  These included:  (a) strategic Consultati ons with Ministries, Departments and Agencies;  
(b) Rationalization of existing monitoring and ev aluation processes;  (c) capacity strengthening in 
Results Based Management (RBM);  and (d) publicity and advocacy for Vision 2030 Jamaica. 
2. The current trade policy, implementation of wh ich began in 2001, is designed to promote 
sustainable export-led growth and development th rough an expansion of the export sector, enhanced 
productivity and reversing the trade deficit by e xpanding exports over imports in the medium- to 
long-term.  A revision of the 2001 trade policy is be ing considered by the relevant authorities in the 
context of Vision 2030. 
3. Jamaica has made significant progress in managing the process of adjustment to the new 
world economic environment through, inter alia,  greater openness to trade and financial and 
investment flows;  financial sector consolidation;  market liberalization;  privatization and divestment 
of critical productive and infrastructural sectors;  and the development of  human and institutional 
capacity. 
4. However, Jamaica has been, mo re than most countries, negatively impacted by the global 
economic crisis which began in mid-2008.  The impact  is strongest in Jamaic a's tradable industries, 
which depend on external demand from North America and Europe. 
II. VISION 2030 JAMAICA – NATIONAL DEVELOPMENT PLAN 
5. The Vision 2030 Jamaica – National Development Plan provides the broad framework for 
macro-economic and social policy formulation.  It is a comprehensive framework in which the 
economic, social, environmental and governance aspect s of national development are integrated.  The 
Plan is expected to put Jamaica in a position to ach ieve developed country stat us by 2030 and is based 
on the vision:  "Jamaica, the place of choice to live,  work, raise families, and do business".  The first 
MTF which covers the period 2009-12 outlines speci fic high priority national outcomes and targets 
which will move the country towards the longer-term goals contained in the Plan.  Additionally, the 
29 sector plans which have been incorporated in to Vision 2030 Jamaica provide opportunities for 
linkages to existing national and sectoral level pl anning, budgeting, prioritising and monitoring 
mechanisms and processes. 
6. A distinguishing feature of Vision 2030 Jamaica is its focus on implementation and 
accountability.  Past planning exercises were affected by several negative factors including an inadequate monitoring and evaluation framework a nd weak synergies between targets, indicators and 
the budget.  Vision 2030 Jamaica is anchored on a results-based management platform which sets 
targets and identifies performance indicators at th e national and sectoral levels.  These indicators will 
help to measure the effects of the strategies and actions being implemented in the medium and the 
long-term.  This framework promotes the main tenance of macro-economic stability;  the 
implementation of sector-specific measures to fa cilitate economic adjustment;  infrastructural 
development;  enhanced international competitiven ess and the development of human capital through 
education and training. WT/TPR/G/242 Trade Policy Review 
Page 6 
 
 
III. MACRO-ECONOMIC ENVIRONMENT AND TRADE PERFORMANCE 
(i) MACRO -ECONOMIC PERFORMANCE  
7. Against the background of a challenging inte rnational economic environment and despite 
significant adjustments, the Jama ican economy declined by 3% in 2009 and 2.5% for FY 2009/10.  
The Jamaican economy registered respective declines of 3% and 2.5% during 2009 and FY 2009/10.  
This compares with a contraction of 0.9% and 1.7% in 2008 and FY 2008/09.  The decline during 2008 represented the first annual decline since 1998 a nd reflected the impact of the global economic 
crisis which intensified in  the latter part of 2008. 
8. During 2008 and 2009 Jamaica recorded negative growth in real GDP.  As a result the 
average real GDP growth  for 2005 to 2009 was 0.3%. 
9. While there was a notable deterioration in Jam aica's current account between 2005 and 2008, 
the external accounts showed marked improvement  in 2009.  The current account deficit grew 
significantly from US$1,071.5 million in 2005 (or approximately 9.6% of GDP) to US$2,793.3 million in 2008 (or 20% of GDP).  A majo r cause of the deterioration was increases in the 
trade deficit (goods) from 23.1% of GDP in 2005 to 34.3% of GDP in 2008.  The services balance and 
net current transfers increased over the period.  For 2009, however, the current account deficit 
narrowed to US$1,122.7 million (or 9. 1% of GDP).  This substantial improvement came on the back 
of a US$1,715.0 million reduction in the trade defici t, supported by an improvement in the services 
surplus. 
10. During 2009, the global economic crisis further strengthened and resulted in a weakening of 
global demand, and increased job losses.  Domestically , this all translated into a sharp decline in 
economic activity.  Domestic demand contracted in response to a decline in both business and 
consumer confidence as there was uncertainty regardi ng future prospects which resulted in individuals 
and firms delaying spending.  In addition, c onsumers' ability to purchase goods and services was 
constrained by an 11.4% decline in remittance inflows, increased  job losses and reduced working 
hours.  In 2009, the earning capacity of the country was significantly weakened due to the closure of 
several mining operations in Jamaica.  This was largely attributed to the impact of the global 
economic recession on the demand for aluminium which resulted in a 70% decline in alumina exports. 
11. Monetary policy initially focused on:  (i) preserving stability in the domestic financial system;  
and (ii) reducing the level of instability in the fore ign exchange market.  During the first quarter of 
2009, the Bank of Jamaica (BOJ) further tightened its  monetary stance (adopted in the latter half of 
2008), by increasing the domestic cash reserve ratio by 3 percentage points to 14%.  This was 
complemented by net sales of foreign currency to the market. 
12. During the latter half of 2009, there were:  (a) st ability in the foreign exchange market;  (b) a 
reduction in inflation expectations;  (c) improvement in the Current Account;  and (d) an increase in 
the Net International Reserves.  In  response, the BOJ relaxed its m onetary stance through reducing the 
rates payable on all Open Market Operations Instru ments.  Point to point inflation was 10.2% as 
inflationary impulses emanated mainly from admini strative price adjustments and the gradual upward 
movement in international commodity prices.  Domestic price increases were constrained by the decline in domestic demand coming from the economic downturn and the excess supply of some domestically produced agricultural items. 
13. Jamaica registered a fiscal deficit  of J$120.6 billion for FY 2009/10 compared with 
J$75.3 billion for FY 2008/09.  Since FY 2000/01, Jamaica has posted a fiscal deficit for each 
financial year with the exception of FY 2000/01, wh ich realised a fiscal surplus of J$4.2 billion or Jamaica WT/TPR/G/242 
 Page 7 
 
 
 1.3% of GDP.  The fiscal deficits registered for the FY 2004/05 to 2009/10 were largely attributable 
to wages and salaries and higher interest paymen ts associated with the fiscal costs of supporting 
Jamaica's monetary policy to achieve its inflatio n rate objective.  The fiscal balance between 
FY 2007/08 and FY 2008/09 increased by J$37.7 billion due to (i) la rger than budgeted recurrent 
expenditure in relation to the public sector wage bill;  (ii) increased debt servicing which accounted 
for the largest component of overall expenditure;  a nd (iii) fallout in revenue occasioned by the onset 
of the global recession.  The budget for the fiscal year 2009/10 was formulated with the assumptions 
of:  Gross domestic product (GDP) contracting within the range of 2.5% to 3.5%;  inflation within the 
range of 11% to 14%;  a current account deficit of 14.2% of GDP;  and a fiscal deficit of 5.5% of 
GDP. 
14. The Debt Management Strategy for FY 2009/10 continued to emphasize obtaining the lowest 
possible financing cost for the Government.  Add itionally, the debt strategy sought to reduce long 
term financing costs and maintain a sustainable level of risk.  During the fiscal year, in an effort to 
close the budgetary shortfall, an additional tax p ackage was introduced as a result of the worsening 
impact of the crisis on the fiscal accounts. 
15. The decline in foreign exchange inflows to the export sectors of the economy, the negative 
impact on tax revenues stemming from the economic  downturn, and the unfavourable external 
borrowing environment, resulted in the Government of Jamaica initiating talks with the International 
Monetary Fund (IMF) for a 27-month Stand-By Agre ement (SBA).  An initial step towards this 
Agreement entailed the completion of three prior actions, namely:  the implementation of a tax 
package by January 2010 aimed at yielding revenue  amounting to approximately 2.0% of GDP;  the 
implementation of a debt exchange programme by Ja nuary 2010;  an agreement for the divestment or 
liquidation of the national airline, Air Jamaica.  W ith respect to the tax package, by January 2010 the 
Government had im plemented a new ad valorem  fuel tax, increased the General Consumption Tax 
(GCT) from 16.5% to 17.5%, increased the personal  income tax rate for high income earners and 
instituted a 5% advanced GCT payment on all taxable imported goods.  On 14 January 2010 the 
Jamaica Debt Exchange (JDX) Programme was launc hed.  The JDX involved a voluntary exchange of 
existing domestic bonds for new bonds of the same pr incipal value, but which have lower interest 
rates and longer maturities.  The J$700 million JDX programme, which saw an unprecedented participation rate of 99.2%, is expected to yield in terest savings to the Government of Jamaica of up 
to J$40 billion in fiscal year 2010/11.  Air Jamaica was divested to Caribbean Airlines in May 2010.  
16. As a result of the successful completion of these prior actions, the Board of Governors of the 
IMF on 4 February 2010 approved Jam aica's application for a 27-month SBA loan which will assist 
the government in completing a debt management stra tegy that will reduce the debt servicing costs;  
reforms of the financial sector in an effort to  reduce risks;  and the development of a fiscal 
consolidation strategy aimed at streamlining expe nditure and reforming the public sector, including 
the divestment of some non-core public bodies.  Following the approval of the SBA by the IMF, the 
first tranche of US$640 million was disbursed.  This  increased the gross international reserves to 
US$2.2 billion, representing 16.9 week s of goods and services imports. 
(ii) T
RADE AND SECTORAL PERFORMANCE  
17. The 2009 National Export Strategy (NES) is an in itiative of the Government of Jamaica, the 
Private Sector and Civil Society to create a sust ainable framework to support the development and 
expansion of the country's exports as the basis for economic growth.  The goal is to improve export 
performance by advancing the international competit iveness of firms and sectors, while enhancing the 
business and trade environment.  As part of Vision 2030 Jamaica, the NES seeks to maximize the WT/TPR/G/242 Trade Policy Review 
Page 8 
 
 
export sector's direct contribution to  economic and social development.   Technical assistance in the 
development of the NES was received from the Intern ational Trade Centre (ITC).  The Private Sector 
Development Programme (PSDP), a joint initiati ve of the Government of Jamaica and the 
European Union, provided partial funding for the development of the strategy. 
18. Jamaica is a net goods importing country with an nual average imports and exports equivalent 
to 43.8% and 16.4% of GDP, respectively. 
19. Between 2005 and 2009, Jamaica's merchandise trade deficit  grew at an average rate of 
13.3%, and peaked at US$4,802.9 million in 2008. This increase in the trade deficit was mainly 
attributed to an escalating fuel import bill which gr ew by an annual average of 17.5%.  Notably, the 
fuel import bill rose to US$3,354.8 million in 2008 due to a 42.6% increase in  crude oil prices, with 
price reaching a record high of US$145.29  per barrel in July 2008.  The impact on the trade deficit of 
the increase in imports was partly offset by annual average growth of 1.9% in the value of exports. 
20. For 2009, Jamaica's merchandise trade deficit with the rest of the world was 
US$3,745.5 million, a US$1,932.6 million decline comp ared with 2008.  This narrowing of the trade 
deficit stemmed from the decrease in expenditure on  imports by US$3,295.3 million, which offset the 
US$1,362.7 million fall-off in the value of merc handise exports.  The decline in global demand 
resulted in a reduction in international commodity  prices, in particular crude oil, during 2009 
compared with 2008.  This augured well for the me rchandise trade deficit which contracted due to a 
decline in the value of imports associated primar ily with the lower cost of Mineral Fuels.  The 
narrowing of the merchandise trade deficit was also a ttributable to a reduction in the volume of some 
imports because of a downturn in domestic economic activity. 
21. The impact of the global crisis was more extensive in the goods producing industry  relative 
to the services industry.  Real valu e added for the Goods Producing industry  fell by 9% during 2009 
while a reduction of 0.8% was recorded for the ser vices industry.  With the exception of agriculture, 
all other goods producing industries registered declines with the mining and quarrying industry 
registering the largest fall-off. 
22. Real value added for the mining and quarrying  industry  declined by 50.5% during 2009.  
Total bauxite production declined by  46.3%, with the production of alumina and crude bauxite falling 
by 55.6% and 28.1%, respectively.  The industry was adversely affected by a decline in global 
demand for aluminium products, resulting from the in ternational economic crisis.  This situation 
combined with less efficient local plants resulte d in the closure of three alumina refineries.  
Windalco's two alumina plants closed on 31  March 2009 while Alpart ceased operations on 
15 May 2009.  This was in response to overseas pa rent companies temporarily closing their less 
efficient plants given the reduction in global demand. 
23. The contribution of the manufacturing industry  to GDP declined over the period from 9.1% 
of total value added at constant prices in 2005 to 8.3% in 2009.  This was associated with weakening 
domestic and external demand due to the impact of the global crisis, as well as the relocation of 
several manufacturing companies to other jurisdictions.  During 2009, the manufacturing  industry  
contracted by 5.7%.  Lower output levels were infl uenced by declines of 3.8% and 8% in the food 
beverages and tobacco, and other manufacturing segments, respectively. 
24. The Government of Jamaica's policy toward th e manufacturing industry continued to be to 
encourage highly competitive manufacturing produc tion, strong inter-sectoral linkages and an 
environmentally sustainable manufacturing industry .  Several programmes ha ve been implemented by Jamaica WT/TPR/G/242 
 Page 9 
 
 
 the government to develop the capacity of local  manufacturers and use creative aspects of BRAND 
JAMAICA in marketing Jamaican manufactured products. 
25. The manufacturing industry has also been adver sely affected by a dramatic increase in the 
cost of energy inputs.  Given this increase, the G overnment of Jamaica, through its National Energy 
Policy 2009-30 has set targets for renewable energy and the percentage diversification of energy 
supply.  The policy articulates that, by 2030, 20% of the country's energy mix would be from renewable sources.  This Renewable Energy Polic y will focus on meeting these national energy policy 
goals with regard to competitiveness, environment,  and security of supply, R&D and the development 
of a sustainable energy market.  The primary focus will be on the deployment of wind, the emerging 
potential and deployment of biomass and biofuels, the development of energy-from-waste initiatives, 
exploratory work on ocean energy and the deployme nt of other technologies, such as solar and hydro 
technologies.  Deployment will be delivered thro ugh a range of strategies creating the enabling 
environment for the development of, and investment  in, the renewable energy sector and other support 
mechanisms, such as requiring power regulators to inte grate wind, small hydro, cogeneration, etc. into 
their systems. 
26. Between 2005 and 2009, total a gricultural production increased by 17.9%.  The main factors 
that contributed to this increase were improved labour productivity and im proved farming practices, 
such as the introduction of green house farms, hydroponics and better irrigation systems, which 
contributed to a 25% increase in 2006.  Increased  access to credit also positively impacted the 
industry.  The increase over the period was temper ed by extreme weather conditions – hurricanes in 
2005, 2007 and 2008 and drought in 2009 which damaged crops.  Consequently, annual average 
growth was 2.4%. 
27. The agriculture  industry recorded a 13.9% increase dur ing 2009, reversing two consecutive 
years of declines in 2007 and 2008.  Production pe rformance was influenced mainly by improved 
weather conditions during 2009 relative to 2008 when the industry contracted due to the effects of 
Hurricane Dean (August 2007) and Tropical Storm Gustav (August 2008).  During 2009, drought 
conditions existed primarily during the final six m onths, however, the impact on the industry was not 
as severe as the combined effects of the two weat her systems in 2008.  Increased agricultural output 
was also influenced by initiatives introduced by the Ministry of Agriculture to increase production.  
These included a Production and Productivity Progr amme, which was established in October 2008, 
aimed at:  improving best practice methodologies for farmers producing domestic crops;  achieving 
food security;  increasing exports;  and promoting import-substitution as well as agro-processing.  The 
programme also included the development of gree nhouse farms, the provision of machinery and lower 
cost fertilizer to assist farmers in land cultivation and crop development.  Additionally, there were 
other programmes which offered fa rmers increased support in irriga tion, marketing and extension 
services.  During 2009, the industry also benefitted from new entrants due to the downturn in other 
industries.  On average, there were 10,500 mo re persons employed in the industry during 2009 
relative to 2008. 
28. The services industry  continued to reflect the highest annua l contribution to GDP in Jamaica.  
In 2009, services accounted for 76.3% of GDP compared  with 73.2% in 2005.  Much of this growth 
can be attributed to the improved performance of fi nancial services, transportation and the distributive 
trade.  The global economic crisis mainly impact ed two service industries namely, the transport, 
storage and communication and the wholesale and retail trade;  repair and installation of machinery. 
29. Growth in the communication  component was spurred mainly  by increased activity in the 
telecommunications market.  Increased telecommunication usage was associated with varied WT/TPR/G/242 Trade Policy Review 
Page 10 
 
 
marketing initiatives, the introduction of new services, and the moderni zation of networks.  Growth in 
the transport industry  could largely be attributed to increased transportation via sea and air.  There 
was also an increase in transh ipment activities, facilitated by th e expansion of the island's port 
facilities. 
30. The hotels and restaurant industry  also faced challenges as the earning power of potential 
visitors declined.  However, the in dustry was still able to record gr owth during 2009 due in part to 
additional initiatives aimed at encouraging visitors to the island.  The industry remained a significant 
contributor of foreign exchange earnings in Jamaica, despite its vulnerability to external 
weather-related and economic  shocks.  Over the review period, th ere was significant investment in the 
industry with the construction of several hotels, which added room capacity, as well as the 
development of new attractions.  The expansion of the industry was attributable in part to the 
implementation of the Master Plan, which increased  Jamaica's aggressive sales activities through the 
targeting of travel agents, tour operators and reservation agents in all major markets. 
(iii) GENERAL INSTITUTIONAL AND REGULATORY FRAMEWORK  
31. The Government of Jamaica rec ognizes that there is a heightened perception of corruption in 
Jamaica.  There is often, however, a difference be tween perception and reality.  The Government is 
committed to addressing the matter of corrupt practi ces in all sectors of the economy.  Institutions 
such as the Auditor General's Department and th e Office of the Contractor General aggressively 
address this issue.  The tax system is being reform ed to increase the level of tax compliance.  The 
Jamaica Customs Department has been engaged in modernizing its  procedures and practices to 
significantly reduce incidence of fraud.  In add ition, Jamaica is a party to the Inter-American 
Convention against Corruption, as well as the Unite d Nations Convention against Corruption and will 
be subject to peer review in bot h organizations be tween 2011 and 2012. 
(iv) TRADE COMPETITIVENESS  
32. For the Government of Jamaica, it is essential that action be taken to increase the country's 
international ranking in competitiveness and produc tivity.  Measures are already being taken as 
outlined in the following paragraphs. 
33. A number of projects aimed at enhancing private sector development have been implemented.  
The Jamaica Cluster Competitiveness Project (JCCP) 2002-08 was designed to increase the 
international competitiveness of selected Jamaican enterprises.  Phase I of the project (2002-2005/06) 
served to identify/create fresh markets, distribution channels and partnerships  which resulted in new 
higher margin sales.  To sustain those achievemen ts, Phase II of the project (2005/06-2007/08), which 
saw the institutionalization of the Competitiven ess Company, was undertaken.  The Competitiveness 
Company is a centre of expertise in competitiven ess upon which both public and private sectors can 
draw. 
34. The Private Sector Development Project (PSDP), which was a five-year programme, came to 
a close in December 2009.  The PSDP was designed to enhance the competitiveness of the country's 
micro, small and medium sized enterprises an d strengthen the effectiveness of their support 
institutions.  The programme focused on the:  empowerment of private sector and/or public sector support organizations;  enhancement of the competitiveness of firms;  and improved access to corporate finance by micro, small and medium enterprises (MSMEs).  While it is difficult to measure the programme's contribution, the specific services delivered and characteristics of the clients and 
beneficiaries supported indicates that the PSDP was an effective strategy.  The following outcomes 
are also indicative of the success of the Programme: Jamaica WT/TPR/G/242 
 Page 11 
 
 
 − non-traditional exports increased by 369.6% for the period 2003-08; 
− Business Development Service (BDS) supplie rs grew by 1,346% for the period 2003-09;  
− increase in the customer base fo r BDS suppliers – 61% growth in customer base;  and 
− repeat customers of BDS services account for 71% of clients. 
35. JAMPRO, Jamaica's trade promotion and investment agency, in partnership with the Jamaica 
Exporters' Association (JEA) completed the Natio nal Export Strategy (NES) in 2009.  JAMPRO 
houses the NES secretariat and works closely with th e public and private sector stakeholders as they 
seek to complement the overall trade policy objec tives by advancing programmes for improved export 
performance and market penetration.  Among the goals  of the NES is the targeted increase in exports 
by 9% per annum through, inter alia, developing th e capacity and competitiveness of export-oriented 
businesses. 
36. Previously, Jamaica had different administrativ e arrangements to deal with competitiveness.  
Now, however, all the necessary mechanisms pertai ning to national competitiveness fall within the 
purview of one body - the National Competitiveness  Council.  The National Competitiveness Council 
coordinates implementation of the National Export Stra tegy, and promotes partnership to foster robust 
economic growth.  It was established in the interest  of administrative efficiency and effectiveness, and 
provides a single point of reference and support fo r the various initiatives to be undertaken by the 
Trade Facilitation Board, the National Export Stra tegy, and the Target Growth Competitiveness 
Committee. 
37. The Jamaica Productivity Centre (JPC) is a trip artite organization comprising the Government 
of Jamaica, the Jamaica Confederation of Trade Unions, and the Jamaica Employers Federation.  The Centre was established as a key advocate for Pr oductivity improvement in Jamaica in 2003.  The 
national productivity improvement stra tegy to be pursued in the medium term is in line with the goals 
and outcomes of the Vision 2030 Jamaica:  National De velopment Plan.  The strategy recognizes that 
in an extremely constrained fiscal environment, a dual approach must be taken to address productivity 
improvement.  The strategy explicitly recognizes a ro le for government, employers, and trade unions.  
The medium term plan for addressing the national and enterprise-level productivity issues will focus 
on: 
− research and advocacy for productivity-driven policies; 
− public education or awareness to bu ild national productivity culture; 
− direct productivity improvement interventions  with targeted private and public sector 
organizations;  and  
− leveraging expertise of JPC to expand productiv ity improvement skills set on a national scale. 
IV. TRADE POLICY AND INSTITUTIONAL FRAMEWORK 
(i) E
LEMENTS OF JAMAICA 'S TRADE POLICY  
38. Generally, Jamaica's trade policy is aimed at in creasing production and exports.  Jamaica, as a 
Member of CARICOM, is actively engaged in the negotiation of multilateral, regional and bilateral WT/TPR/G/242 Trade Policy Review 
Page 12 
 
 
trade agreements as a means of securi ng its trade interests and enhancing trade performance.  In these 
agreements, Jamaica seeks to maintain and improve ma rket access with a view to fostering increased 
market penetration.  There is also the goal of maintaining and improving performance in the domestic 
market and facilitating measures to address supply- side constraints thereby improving productivity 
and competitiveness in both the domestic and expor t markets.  Maintaining revenues from customs 
duties is now an increasing concern in the current economic crisis. 
39. For Jamaica, trade agreements should be aimed at promoting both trade and development, and 
should have a strong development component. 
40. In the multilateral negotiations in the WTO, Jama ica continues to advocate for rules that take 
appropriately into account the concerns of sm all developing economies (particularly, those of 
least-developed countries, small vulnerable economi es and net food importing developing countries);  
preserve the policy space necessary to implement cr itical development programmes, and provide 
facilities for adjustment to the changi ng international economic environment. 
(ii) INSTITUTIONAL FRAMEWORK  
41. The Ministry of Foreign Affairs and Foreign Trade has responsibility for the formulation of 
trade policy as it relates to foreign trade  and for the negotiation of trade agreements.  A number of 
other ministries and their departments and agen cies are also engaged in the formulation and 
implementation of overall trade policy namely, the Ministries Industry, Investment and Commerce;  
Finance and the Public Service;  Agriculture and Fisheries;  Energy and Mining;  Tourism;  Transport and Works;  and the Office of the Prime Minister.  The trade-related departments and agencies include 
the Planning Institute of Jama ica, Jamaica Customs, the Trad e Board and Jamaica Promotions 
Corporation (JAMPRO). 
42. The Foreign Trade Division in the Ministry of Foreign Affairs and Foreign Trade also 
coordinates the work of the Jamaica Trade and Ad justment Team (JTAT), which brings together 
representatives of trade-related ministries and departments as well as representatives of the private sector and civil society, in a consultative mechan ism which informs the development of trade policy 
and positions for trade negotiations. 
43. The private sector plays an active role in trade policy development and implementation 
through sectoral initiatives and the work of umbrella  organizations.  The Private Sector Organization 
of Jamaica has established a Trade Policy Committ ee which seeks to increase awareness of trade 
developments among members of the business community  and provides a platform for private sector 
initiatives and recommendations for trade policy devel opment and negotiating strategies.  At the level 
of civil society, the Association of Developmen t Agencies (ADA) has established a national working 
committee on trade which seeks to contribute to th e formulation of national trade policy while 
improving public awareness of developments in external trade and the implications of trade 
negotiations for non-state actors. 
44. Jamaica's trade policy formulation is also gui ded by the provisions of the CARICOM Revised 
Treaty of Chaguaramas establishing the CARICO M Single Market and Economy (CSME), which 
requires the coordination of the regional trade policy and participation in bilateral trade negotiations 
with third countries as a regional grouping under the guidance of the CARI COM Office of Trade 
Negotiations (OTN).  In this conn ection, Jamaica participates activel y in the work of the Council for 
Trade and Economic Development (COTED) and other trade-related bodies established by the 
Community. Jamaica WT/TPR/G/242 
 Page 13 
 
 
 V. REGIONAL INTEGRATION – THE ESTABLISHMENT OF THE CARICOM 
 SINGLE MARKET AND ECONOMY (CSME) 
45. The 2001 Revised Treaty of Chaguaramas w as passed into law in  Jamaica under the 
Caribbean Community Act of 1 December 2005.  Implementation of the CARICOM Single Market 
(CSM) began in 2006. 
46. A number of regional institutions have been established to support the implementation and 
operation of the CSM.  They include:  the Caribb ean Court of Justice (CCJ), the CARICOM Regional 
Organisation for Standards and Quality (CROSQ), the CARICOM Competition Commission, the Caribbean Agricultural Health and Food Safety  Agency (CAHFSA) and the CARICOM Development 
Fund (CDF). 
47. While most CSME States have made progress in  the implementation of the CSM, exploratory 
work is underway to inform the implementation of the CARICOM Single Economy (CSE) provisions, 
that is, the provisions for the harmonisation of ec onomic, fiscal and monetary measures and policies 
among Members. 
VI. BILATERAL/HEMISPHERIC AND PREF ERENTIAL TRADE ARRANGEMENTS 
(i) C
ARICOM BILATERAL AGREEMENTS  
48. CARICOM currently has trade agreements with the following countries:  Colombia, 
Venezuela, the Dominican Republic, Cuba and Costa Rica. 
49. Jamaica and other CARICOM partners ar e now involved in the negotiation of a 
CARICOM-Canada Trade and Development Agre ement and other negotiations are pending. 
(ii) ACP-EU COTONOU PARTNERSHIP AGREEMENT  
50. The 2000 Cotonou Partnership agreement between the African, Caribbean and Pacific Group 
of States (ACP) and the EU was reviewed and amended in 2005 and 2010.  The Agreement now 
focuses on development support.  The trade provisions  of the Cotonou Partnership Agreement have 
been replaced by the CARIFORUM-EC Partnership Agreement. 
(iii) CARIFORUM -EU ECONOMIC PARTNERSHIP AGREEMENT  
51. The CARIFORUM-EU Economic Partnership Ag reement (EPA) was signed by Jamaica and 
other CARIFORUM Countries, that is, other CARI COM countries and the Dominican Republic, on 
15 October 2008.  The duration of the EPA is inde finite, and provides exporters of nearly all 
CARIFORUM originated goods with duty-free a nd quota-free access to the EU market.  The 
Agreement is being provisionally applied by Jamaica.  It was notified to the WTO under GATT 
Article XXIV. 
(iv) CARIBCAN  
52. The 1986 Caribbean/Canada Trade Agreemen t (CARIBCAN) continues to provide 
non-reciprocal duty free access to the Canadian ma rket for a range of goods from participating 
CARICOM countries.  In 2006, the WTO General C ouncil, at the request of Canada, extended the 
MFN waiver for CARIBCAN to 2011.  CARICOM and Canada have embarked  on negotiations for a 
reciprocal trade and development agreement.  The negotiations commenced in November 2009. WT/TPR/G/242 Trade Policy Review 
Page 14 
 
 
(v) CARIBBEAN BASIN INITIATIVE (CBI) 
53. The Caribbean Basin Initiative (CBI) comprises the Caribbean Basin Economic Recovery Act 
(CBERA) and the Caribbean Basin Trade Partnershi p Act (CBTPA).  The CBTPA, which was due to 
expire in September 2010, was recently exte nded until 30 September 2020.  The WTO General 
Council approved a further MFN waiver for the CBI up to 2014. 
VII. MULTILATERAL FRAMEWORK – THE WTO 
(i) IMPLEMENTATION OF THE URUGUAY ROUND AGREEMENTS  
54. Jamaica has implemented the WTO Agreements on Anti-dumping, Subsidies and 
Countervailing Measures and Safeguards  through the Customs Duties (Dumping and Subsidies) 
Act, 1999;  the Customs Duties (Dumping and Subsid ies) (Determination of Fair Market Price, 
Material Injury and Margin of Dumping) Regul ations, 2000;  the Safeguards Act, 2000 and the 
Safeguards Regulations, 2003. 
55. The WTO Agreements are administered by the Anti-dumping and Subsidies Commission, 
which was established pursuant to the Customs Duti es (Dumping and Subsidies) Act.  Since the last 
review, the Commission has initiated two anti-dumping in vestigations with a final determination due 
in the case currently open in December 2010. 
56. Jamaica has accomplished much, including being recognised by a WTO review of the status 
of implementation as a good small country model for applying trade remedies.  The Commission's 
Executive Director has served on two dispute settle ment panels as an expert adjudicator on trade 
remedy disputes.  Jamaica leads the way in ex perience with Trade Remedies in the region and 
attempts to assist its neighbours and the region in  the efforts to move toward implementation.  
However, there are challenges in implementing the Agreements due to financial, human resources and 
other constraints.  In this regard, there is need  for ongoing support at the na tional and regional level, 
particularly in the areas of training, capacity building and information technology. 
57. The WTO Agreement on Customs Valuation  is administered by Jamaica Customs, a 
department of the Ministry of Finance and Planni ng.  Under the Customs Mo dernisation and Reform 
Programme, the Customs Department has undergone an extensive process of rationalisation and 
re-organization of customs procedures and manage ment.  The Customs Act, 1955 which is Jamaica's 
primary piece of legislation dealing with custom s valuation and procedures, was amended in 2001 to 
bring it into conformity with the provisions of the WTO Agreement on Customs Valuation. 
58. Despite the advances that have been made under the Customs Modernisation and Reform 
Programme, the Customs Department still encounter s challenges associated with, among other things, 
under-invoicing.  Additionally, there continues to be a need for on-going training and technical 
assistance.  In this regard, Jamaica has bene fited from technical assistance provided by the 
Governments of Chile, Sweden, the United Stat es, the United Kingdom and Canada, as well as the 
World Customs Organization (WCO). 
59. Jamaica fully supports the development and main tenance of an international regime for the 
promotion and protection of intellectual property rights .  In this regard, through the work of the 
Jamaica Intellectual Property Office (JIPO) and the application and updating of appropriate 
legislation, Jamaica is on the way to achievi ng full compliance with the TRIPS Agreement. 
60. Jamaica is in the process of amending the patent and designs legislation.  The new Patent and 
Designs Act will be fully compliant with the Pate nt Corporation Treaty (PCT) and the Locarno Treaty Jamaica WT/TPR/G/242 
 Page 15 
 
 
 for Industrial Designs.  Amendments are to be ma de to the Copyright Act and the Trade Marks Act 
and Trade Marks Rules in order to strengthen th eir enforcement provisions and overall compliance 
with the TRIPS Agreement.  Since February 20 06, Jamaica has been a signatory to the Nice 
Agreement Concerning the International Classificatio n of Goods and Services for the Purposes of the 
Registration of Marks. 
61. The Swiss Federal Institute of Intellectual Pr operty and JIPO have been collaborating on a 
two year project (2008-10) to strengthen the geogra phical indications regime in Jamaica and identify 
products which would qualify for geographical indications. 
62. The Jamaica Constabulary Force (JCF) enforces Intellectual Property (IP) legislation through 
the IP Unit of the Organized Crimes Investigation Division.  The IP Unit, which comprises four police 
officers, has, over the period under review, effected  approximately 200 arrests and prosecutions for 
breaches of the Copyright and Trade Marks Acts. 
63. Standards  in Jamaica are primarily regulated by the Bureau of Standards of Jamaica (BSJ) 
which was established in 1969 pursuant to the Standa rds Act.  The BSJ acts as the national enquiry 
point under the WTO Agreement on Technical Barriers  to Trade (TBT) and the TBT section of the 
CARIFORUM-European Union Economic Partnership Agreement.  It is also the national contact 
point for Codex Alimentarius. 
64. Two aspects of Jamaica's National Quality Infrastructure (NQI) consistent with new 
international principles for conformity assessment were developed with the establishment of the 
National Certification Body of Jamaica (NCBJ) and the Jamaica National Agency for Accreditation 
(JANAAC) in 2007 and 2008 respectively.  JANAAC' s main responsibility is to accredit laboratories, 
and inspection and certification bodies.  The N CBJ was accredited in November 2009 and May 2010 
to certify management systems to ISO 9001:2008 and ISO 14001:2004. 
65. The Plant Quarantine Produce Inspection Divisi on in the Ministry of Agriculture and 
Fisheries is Jamaica's enquiry point under the WTO Agreement on Sanitary and Phyto-sanitary 
Measures .  However, the administration of Jamaica's SPS regime also involves the Ministry of Health 
and the Ministry of Industry, Investment and Co mmerce.  A National Agricultural Health and Food 
Safety Coordinating Committee has been established to allow for more effective coordination among 
the various administrative bodies.  The enquiry point continues to play a major role in ensuring transparency in the implementation and application of Jamaica's laws and re gulations affecting SPS 
measures.  Changes have been made to Jamaica's le gislative framework in the area of sanitary and 
phyto-sanitary measures to facilitate compliance with the WTO SPS Agreement.  The SPS enquiry 
point puts out, as frequently as possible, a bulletin which provides information on the most recent SPS 
notifications which are of interest to Jamaica.  The modernization of Jamaica's SPS regime remains a 
work in progress which would benefit fr om further development assistance. 
66. Jamaica continues to opera te an open and general import licensing system , which was 
implemented in order to monitor the importation of products that could negatively affect the 
environment and security of the country and the hea lth of its people.  Jamaica has had a long tradition 
of implementing and administering its import licensing regime. 
67. Regarding dispute settlement , from 2005 to 2009, Jamaica continued as a third party with 
other ACP Members in the case against the EC's re gime for the export, sale and distribution of 
bananas.  This case was finally  resolved in December 2009 with the Geneva Agreement on Trade in 
Bananas. WT/TPR/G/242 Trade Policy Review 
Page 16 
 
 
68. On WTO notifications , Jamaica continues to make notif ications under the WTO Agreements 
as required. 
69. Participation by Jamaica's technical experts in the meetings of the WTO bodies, including the 
negotiating groups, remains a challenge due to budge tary constraints.  Jamaica appreciates the 
assistance provided by the Inter-American Institute  for Cooperation on Agriculture (IICA) and the 
U.S. Department of Agriculture which enabled pa rticipation in the work of the WTO SPS Committee. 
(ii) JAMAICA 'S POSITION ON THE CURRENT ROUND OF MULTILATERAL TRADE 
 N EGOTIATIONS  
70. Jamaica's participation in the current round of  negotiations is informed by its experience to 
date with trade liberalization.  Trade liberalization has had a significant impact on Jamaica.  In fact, 
given its small size and dependence on a few goods a nd services, Jamaica has b een forced to address 
adjustment issues affecting the competitiveness of fi rms;  product and market diversification;  the 
restructuring of the productive sectors of the econom y;  and the development of specialised human 
and institutional skills. 
71. Important components of the adjustment process co nsequent to trade liberalization include the 
need to address the loss of government revenue , competitiveness in the domestic market and the 
erosion of preferences.  At present, approximately  28% of Jamaica's total revenue is obtained from 
customs-related duties and charges.  Increasing press ures for greater liberalization will erode the level 
of preferences and contribute to increased interna tional and domestic competitive pressures.  It is 
therefore imperative that the issue of the erosion of preferences be adequately addressed within the 
context of the current round of negotiations as a means of ensuring against the marginalization of 
small vulnerable economies.  It is also necessary to retain policy space in the domestic market. 
72. Jamaica continues to be a vocal advocate for special and differential treatment and 
recognition of the challenges facing small vulnerabl e economies in the multilateral trading system by, 
inter alia, emphasizing the importance of agreei ng SVEs' proposals for additional flexibilities for 
SVEs in the various negotiations specifically supporting the work and objectives of the G-33 on 
Special Products and the Special Safeguard Mechan ism.  The lack of progress in completing the 
negotiations on the SSM is of concern to Jamai ca as the adoption of the SSM is essential to the 
country's sustained pursuit of food security, rural de velopment and poverty alleviation.  In order to 
maintain the ability to protect sensitive sectors from unfair competition, especially from unfairly 
subsidized imports, Jamaica advocates acceptance of  the special safeguard mechanism.  Jamaica 
continues to pursue timely progress in negotiations regarding elements of the modalities of the SSM 
which would result in a mechanism that is effec tive, non-burdensome and offe rs enhanced flexibilities 
for SVEs. 
73. As a member of the SVE Gr oup, Jamaica has co-sponsored a number of proposals submitted 
to the Negotiating Group on Non-agricultural Market  Access (NAMA).  The Group has been able to 
negotiate an out-of-formula approach toward tari ff liberalization which should provide the necessary 
flexibilities to facilitate the further development of the local industrial sector, including through 
adjustment to increased competition. 
74. Jamaica's participation in the services negotiations  is driven mainly by the expectation of 
improved market access in sectors and modes of supply of strategic export interest, and is of the view 
that effective market access under mode 4 and a balanced outcome in the negotiations on domestic 
regulation are key development-oriented compone nts of any services outcome.  Jamaica's initial 
conditional offer on services is, thus, continge nt on these objectives, as well as on appropriate Jamaica WT/TPR/G/242 
 Page 17 
 
 
 flexibilities for the implementation of its obligati ons commensurate with its size and level of 
development. 
75. The July Package launched negotiations on trade facilitation .  A number of the proposals of 
the core group of developing countries, in which Jamai ca participated actively, were incorporated into 
the text.  In proceeding with negotiations on trade f acilitation, there will need to be greater clarity 
regarding the issue of the applicability of the dis pute settlement mechanism.  Jamaica is a strong 
advocate for a simple clear mechanism for the deli very of technical assistance and capacity building, 
the provision of which is directly rela ted to the undertaking of commitments. 
76. Jamaica continues to believe that there is  considerable scop e for greater transparency and 
participation in the consultative and decision-making processes in the WTO and urges Members to renew efforts in this regard.  This has a bearing on substance in that it affects how Members' interests 
and concerns are represented.  Jamaica maintains th at development should remain at the centre of the 
Round as mandated by the Doha Development Agenda. 
(iii) A
ID FOR TRADE  
77. The concept of Aid for Trade is predicated on the understanding that improved market access 
opportunities do not automatically translate into e xporters penetrating global markets.  Jamaica 
therefore, sees the Aid for Trade in itiative as a vital and promising tool  to help meet its development 
objectives.  Recognising that the Hong Kong Minist erial Declaration (2005) differentiated between 
existing technical cooperation and aid for trade supp ort, Jamaica has sought to position itself to take 
full advantage of the additionality wh ich these resources could provide. 
78. In keeping with the Paris Declaration on Aid Effectiveness (2005), Jamaica's ability to raise 
funds for Aid for Trade is directly proportional to its ranking of trade as a priority in its negotiations 
with International Development Partners as well as donor preference for spending on Aid for Trade.  
Encouragingly, Jamaica's Development Partners, bot h bilateral and multilateral, have shown a marked 
preference for spending on Aid for Trade categories. 
79. In positioning itself to take advantage of Ai d for Trade opportunities, Jamaica continues to 
mainstream trade in its national development objectiv es and programmes.  In this regard, Jamaica has 
begun to articulate a National Aid for Trade Stra tegy with the support of the Inter-American 
Development Bank.  The Strategy will reconfirm the relevance of identified priorities;  improve 
coordination between ministries;  design a mon itoring and evaluation mechanism;  and initiate 
dialogue between government and donors leading to the matching of identified priorities.  The 
Strategy is expected to be finalised by December 2010.  It is anticipated that the Strategy will be 
tabled at the upcoming WTO Caribbean Regional Fo rum on Aid for Trade, which will coincide with 
Jamaica's Trade Policy Review scheduled for January 2011. 
80. Jamaica as a full member of the Caribbean Community (CARICOM) and CARIFORUM 
participates in regional aid commitments and pr ogrammes.  In May 2009, Jamaica hosted the 
2nd Regional Review on Aid for Trade for Latin Amer ica and the Caribbean in Montego Bay.  The 
Region hopes to advance the development of its Regional Aid for Trade project during the 
deliberations at the WTO Caribbean Regional Forum on Aid for Trade in January 2011. 
81. In addition to Jamaica's active participati on in the Global and Regional Aid for Trade 
meetings.  Jamaica has also been active in the WTO Aid for Trade discussions at the Dedicated 
Thematic Workshops and the Dedicated Sessions of the Committee on Trade and Development.  
Jamaica is committed to, and fully supports Aid for Trade.  Jamaica anticipat es that its multi-pronged WT/TPR/G/242 Trade Policy Review 
Page 18 
 
 
approach to participating in, as well as seeking Ai d for Trade solutions will maximise its potential 
benefits from available Aid for Trade resources.  The Government of Jamaica commends the WTO Secretariat for its untiring efforts in monitoring and coordinating the Aid for Trade Initiative as well 
as the keen involvement of multilateral and regional fundi ng institutions and bila teral partners in this 
issue. 
(iv) T
ECHNICAL ASSISTANCE  
82. Jamaica welcomes the technical assistance  it has received from the WTO and acknowledges 
the latter's efforts in seeking to expand the range of its  technical assistance activities.  In this regard, 
special mention must be made of the four regiona l trade policy courses which have been held at the 
Mona Campus of the University of the West  Indies (UWI, Mona) since its inauguration in 
February 2004, as well as the selection of UWI, Mona to participate in the WTO Chairs Programme. 
83. There is, however, a need to streamline the technical assistance activities provided by the 
WTO to take into account the varying capacities of  developing countries so that these activities are 
more accessible to small developing countries with small administrations and limited human 
resources. 
VIII.  CONCLUSION 
84. Jamaica remains committed to the multilateral trading system as is demonstrated by its 
continued active participation in the WTO work  programme, including the Doha Development 
Round.  Within its resources and with the support of development partners, Jamaica continues its 
efforts to implement the WTO Agreements, while pa rticipating in the establishment of the regional 
CSME and implementing trade agreements betw een CARICOM and third countries and the EPA 
negotiated between the EU and CARIFORUM.  Ja maica is taking a holistic approach to the 
implementation of trade agreements, thus ensuring th at the country positions it self to benefit from Aid 
for Trade and all trade opportunities. 
85. Nevertheless, Jamaica is aware from painful experience, that not all trade negotiations 
produce net tangible benefits, especially when comp etitive advantages are negated by the erosion of 
long-standing preferences, ever shrinking policy space and increasingly creative non-tariff measures 
in export markets.  Furthermore, and particularly  in the context of a severe economic recession, the 
loss of revenue through tariff liberalization is a pros pect that can hardly be contemplated, unless there 
is a certainty that these losses will simultaneously be offset by commensurate increases in market 
access, investment, production, competitiveness, employment and trade.  This is a parlous situation 
for highly indebted developing countries with smal l, open, vulnerable economies.  It is one which 
requires urgent consideration by all Members of the WTO within the context of the development 
dimension of the current Doha Round of negotiation. 
__________