The UK Embassy in Washington has confirmed that their ongoing trade discussions with their US counterparts have secured an invitation for the Turks and Caicos Island to join the Caribbean Basin Initiative (CBI) today, Wed 17 Oct 2012.
The CBI is an initiative that allows members to enter into tariff concession agreements with the United States. This follows on from the situation this summer where it was thought incorrectly that the TCI would lose its import waivers to the US for conch and other fish products, following an announcement by President Obama.
These discussions between TCIG officials, the Governor’s Office and British embassy in Washington with US trade officials revealed the opportunity to TCI of joining the CBI. At the end of July the Governor conveyed a letter to the US Trade Representative to request the TCI to join.
The CBI tariff concession mechanism is applicable to a wider range of goods than the existing Most Favoured Nation (MFN) mechanism, and includes access for manufactured items. In joining this second mechanism TCI would be seen as putting in place a further building block to stimulate a wider range of business activity in the territory, when the largest trading partner is inevitably going to be North America. Over half of the other Caribbean countries are already in the CBI. The MFN mechanism would also continue and still give existing TCI products, such as conch and lobster, tariff concessions into the USA.
The process to enter the CBI is now underway. On 11 October the US trade authorities gazetted a notice in the US Federal Register requesting public comments on the granting of CBI benefits to the TCI. Additionally, the US has asked the TCI to undertake a contributing public consultation to gather the views of businesses, stakeholders and the public here in TCI as to their views on the benefits of joining.
“We have written to the Chambers of Commerce on Providenciales and Grand Turk and other business bodies inviting their comments,”said Philip Rushbrook of the Governor’s Office. “I am also inviting the views of the political parties and the general public. Please could we receive all views via GovernorGT@fco.gov.uk by Monday, 5th November. Thereafter, we will prepare with TCIG colleagues a portfolio of the comments received and send them, via the British embassy in Washington, back to the US trade authorities by the US Government deadline of 9th November.”
