1. Industry and Commerce in the Industrial Site/Central Business District
Presented by: Jose A. Rosa – President of St. Kitts and Nevis Chamber of Industry and Commerce

2. Agenda GDP Chart of Different Business Sectors in St. Kitts and Nevis
Central Business District General Information
Challenges of the Central Business District
Potential Solutions to Enhance and Sustain the Central Business District
Manufacturing Sector General Information
Challenges and Potential Solutions to Enhance and Sustain the Manufacturing Sector
Questions

3. GDP Chart for Different Business Sectors SKN

4. General Information Central Business District (CBD)
Sector Composition
Retailers
Supermarkets
Furniture and General Appliances
Apparel and Shoes
Souvenirs Stores
Restaurants and Fast Foods
Others (Drug Stores, Vegetables Markets, Street Vendors, etc.)
Services
Law offices
Accounting Services
IT and Telecommunications Services
Hotels
Health Care Services
Insurance Companies
Others (Beauty Parlors, Educational Services, Broker Offices, etc.)
Banking and Financials
Local and International Banks
Credit Unions
Financial Management
Quick Loan Services

5. General Information Central Business District (CBD)
Business Offices located in Basseterre (Down town)
Provide a large number of jobs
Diverse economic sectors represented in the business district
Main offices of major businesses in the Federation
Provide a diversified landscape for shopping and services within close proximity of each other (waking distance)
Close to most of the Government Offices located in the same business district
Large impact on GDP of the Federation

6. Challenges of the Central Business District (CBD)
High cost of energy, rent, transportation and other utility services
Taxes
High Corporate Taxes (33%)
Limited local customers
Inadequately educated, trained and skilled workforce
Limited product variety and availability
External competitive factors
Online shopping
Customer access to other regional products or services with lower costs

7. Challenges of the Central Business District (CBD)
Traffic congestion and limited parking space options
Access to finance for new businesses or expansion of current ones
Need to enhance customer service
Excess of street vendors
Not regulated
Need to improve productivity
Unnecessary bureaucracy

8. Potential Solutions for the Central Business District (CBD)
Increase renewable energy sources
Reduce dependability of oil
Improve regional transportation
Increase trade between CBD and the region (OECS)
Increase additional market accessibility
Provide incentives to new business in the CBD
SME’s financial and management assistance to start competitive business in CBD
Tax reform to incentive investment in the CBD
Maximize usage of the Caribbean Single Market Economy
Expand services throughout the region

9. Potential Solutions for the Central Business District (CBD)
Address the dichotomy between the needs of the private sector and the educational entities
Improve promotion and marketing of the CDB among tourists
Maximize usage of technology
E-business
Develop affordable and modern business spaces
Feasibility study to use shuttles to commute from Port Zante parking space through town
Establish policies to regulate street vendors

10. Manufacturing Sector General Information
Compose
Indigenous manufacturers
Foreign – Light (electronics) Manufacturers
GDP Contribution in % or EC$ million
Approximately 1,200 direct employees
Major exporter of the OECS - EC$101.5 million in 2016
Incentives for foreign and local manufacturers
Local Manufacturing Act
Caribbean Base Initiative (CBI)
Proximity to USA, Latin America and Caribbean Markets
Experience work force in manufacturing
Trade Agreements
CARICOM, OECS, EPA

11. Manufacturing Sector Challenges & Potential Solutions
Implementation of the National Manufacturing Strategy developed in 2015
Develop incubator model to encourage the creation of new manufacturing projects
Identify new products that use high technology to transfer to current plants in SKN
Promote SKN as a manufacturing destination in international trade shows to attract new advanced technologies companies
Improve productivity with tools like LEAN, ISO, Six Sigma
Establish a strategy to create a sustainable industry for the future
Lack of research and development to start new manufacturing companies
Light manufacturers depend on manual assembly operations and/or old technology
Compete with other countries with more resources and lower operational costs

12. Manufacturing Sector Challenges & Potential Solutions
Increase regional and international trade
High operational costs
Insufficient technical resources
Most of the raw material and components have to be imported
Take full advantage of actual trade agreements
Pursue additional trade agreements such as PSA with Brazil
Establish a cost efficient regional transportation system
Increase renewable energy source
Close collaboration with AVEC to align curriculum with sector needs
Source technical personnel from CARICOM
Explore partnerships with regional manufacturers

13. Questions
Thank You