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Centre for the Development of Enterprise
Current Activities in the Caribbean
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The CDE A joint ACP -EU institution under Cotonou Agreement (since 1977) A dedicated private sector development (PSD) agency for ACP Funding comes (mainly) from the European Development Fund (EDF). The CDE provides non-financial services to support enterprises, intermediary organizations (IOs) and private service providers CDE is also the executing agency for other PSD programmes and facilities The CDE : its visiting card The CDE, Centre for the Development of Enterprise, based in Brussels is an international institution of the European Union and of the ACP Group of States (Africa, Caribbean and Pacific), created within the framework of the Cotonou Agreement. The CDE is the continuation of the CDI which was created within the framework of the Lomé Convention. The CDE together with the CTA (of Wageningen), its agronomic counterpart, is the only joint ACP-EU Institution. Its objectives are to contribute to sustainable development providing the ACP private sector with the necessary help to promote development activities in the private sector and more precisely the development of private enterprise. The CDE gives support in 78 ACP countries. The ACP Group of States includes countries of the Sub-Saharan region, of the Caribbean and of the South Pacific. The African continent is sub-divided into 4 regions : West Africa, Central Africa, Southern Africa and East Africa (including the countries of the Indian Ocean region). The CDE is mainly funded by the European Development Fund. CDE - the institution
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Structure and Networks
CDE is headquartered in Brussels; There are currently 4 regional offices and 2 in development The office for the Caribbean – responsible for the operations in 15 CARIFORUM states is located in Santo Domingo Over the years, CDE has built an EU network of over 140 organizations including technical centres Each region also has a regional, operational network of technical intervention offices in the countries where CDE does not have presence CDE also has an important network of expert consultants The CDE : its visiting card The CDE, Centre for the Development of Enterprise, based in Brussels is an international institution of the European Union and of the ACP Group of States (Africa, Caribbean and Pacific), created within the framework of the Cotonou Agreement. The CDE is the continuation of the CDI which was created within the framework of the Lomé Convention. The CDE together with the CTA (of Wageningen), its agronomic counterpart, is the only joint ACP-EU Institution. Its objectives are to contribute to sustainable development providing the ACP private sector with the necessary help to promote development activities in the private sector and more precisely the development of private enterprise. The CDE gives support in 78 ACP countries. The ACP Group of States includes countries of the Sub-Saharan region, of the Caribbean and of the South Pacific. The African continent is sub-divided into 4 regions : West Africa, Central Africa, Southern Africa and East Africa (including the countries of the Indian Ocean region). The CDE is mainly funded by the European Development Fund. CDE - the institution
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CDE’s Business Model CDE’s strategy / “business model” comprises the following main components: main target of assistance at enterprise level, and related intermediaries priority for SME range with innovation potentials (advanced technologies market expansion, demonstration/emulation effects, linkage with EU partners) pro-active structured programmes (for sector potentials with clusters and value- chains) demand-driven ad-hoc assistance to be channeled under transversal facilities comprehensive provision of business development services (BDS) with a subsidy component: i.e. more than administration of a grant budget advisory capacity and active support for innovation, interface function in the EU, linkage to expertise and markets, institutional relations and knowledge resources active combination of technical assistance (BDS) with investment finance from dedicated DFIs, like EIB, EDFI group and local/regional ACP FIs, to facilitate SMEs access to long-term financing
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SME Challenges in the Caribbean
Global trade regulations and free trade areas, regional integration and partnership agreements such as the CSME and CARIFORUM-EU EPA , all mean a larger market space on the one hand but also competition and new standards for SMEs in their own traditional markets on the other hand.
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Preparation Preparation for opportunities may require major improvements in several aspects of SME operations from: Raw materials that meet new standards Plant and process re design – often inefficient as a result of incremental investments over time Plant and process re design to support international standards, for example, food safety standards Productivity enhancement for improved cost/ efficiency Technology for enhancement of products New product development, product standards and innovation Re-training of staff Market Expansion and new market access strategies, for example niche markets Building management capacity
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Priority SME Sectors in the Caribbean
Agro- Industry Support to Value Added Agri-businesses and Agro-Processing enterprises Services Infrastructure and Energy Based industries - Engineering and Maintenance services by SMEs Tourism – Competitiveness enhancement in Tourism services Marine Trade and Transport industries – competitiveness enhancement of SMEs service providers SME Investment Support - (diagnostics and technical services in support of Investment through Financial Institutions partners) Energy Management in SMEs ICT - Support to Professional service providers Forest and wood sector - Supporting sustainable forest management and timber processing by SMEs
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Agro-Industry Objectives
Mechanization and the introduction of technology to agriculture. New product development and development of niche, high end markets, such as organic foods and areas where the Caribbean can be competitive (high quality cocoa, coffee) among others. Support for food safety, quality, environmental standards and certification. Examples: Cocoa Industry: project for 7 Caribbean countries addressing market access, quality management, value added products, mechanization of cocoa Coffee: in Jamaica; assisting a coffee company with market access Dairy: in DR; a pilot programmes with 9 companies to address “Good Manufacturing Practices;” standards. This would be extended to the entire SME dairy processing sector Agro –industry exporters : assisting with quality and food safety certification of 18 enterprises in the DR Vegetable and fruit: assisting a company in Guyana with food safety standards Seafood and fisheries: In the pass in Guyana, Suriname and Belize , we have assisted in addressing HACCP certification for seafood and fisheries companies and the competent authorities
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Engineering and Maintenance By SMEs in Infrastructure and Mining
Objectives Building capacity of SMEs in construction, road maintenance, mining To encourage more local content, linkages with the local economy and other sectors; Support for the Introduction of Environmental Management Examples In Haiti, we will start a project to build the capacity of SME contractors involved in road maintenance. The focus is on project management and general management skills; in Trinidad and Tobago - Through the Energy Chamber, we are supporting a programme for SME service providers operating in the Oil and Gas sectors– at least 20 companies, to develop a competency framework and standard for 63 jobs in the industry. These standards would be used by the international oil and gas companies when tendering and recruiting service providers.
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Supporting Optimal Energy Management
Objectives Contribute to overall competitiveness and environmental performance of ACP industries by optimizing their energy consumption and assisting the development of cost effective renewable energy sources. Examples CDE is participating in a CHTA/ IADB initiative “The Caribbean Hotel Energy Efficiency Action Programme (CHENACT) project” to assess energy consumption patterns of Caribbean hotels and define options for reducing energy consumption, thereby effecting cost savings and improving competitive potential. CDE is also currently considering support for a new renewable energy service provider.
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Building Capacity in ICT
Objectives Capacity building of ICT service providers and support for market access in the higher end products and services. Examples CDE will partner with GOINVEST in Guyana to support the Business Processing Outsourcing / Call Centre industry with market expansion efforts particularly in the EU. CDE is also working with AHTIC in Haiti on its E-TECH and other initiatives to promote the industry to investors. Major portal initiatives– with significant outreach, critical for regional integration are being supported. CDE is also open to new requests from other regional ICT service provider groups – particular for innovative software and open source applications. In partnership with PROINVEST, CDE expects a major initiative to prepare the infrastructure to support capacity building and strengthening of associations around the region to begin in 2010.
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Competitiveness in Tourism
Proposed Objectives Upgrading and improving the overall product offering and standards of the hotel sector; Assistance in repositioning and developing niche, higher end markets. Examples IMS programmes- CDE is assisting two groups of small hotels in Jamaica (5 hotels) and in Trinidad (7 hotels) with the implementation of Integrated Management Systems addressing Food Safety and Sanitation as well as Environmental Standards to HACCP or ISO standards and Green Globe respectively; Reposition and market access – a programme to assist SME hotels in upgrading and repositioning is being considered which would involve an assessment of physical and other improvements required to serve targeted markets and to improve market access.
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Marine Trade and Maritime Transport Industries
Objectives Support for projects promoting specialized marine trade and maritime transport services by SMEs Development and introduction of environmental standards Market expansion. Examples of projects in development Antigua and Barbuda - Support for the design and implementation of a pilot Apprenticeship programme companies The Bahamas – Support to conduct a Strategic diagnostic study of the sector and identify needs for improving competitiveness companies Grenada– Product and service assessment aimed at improving competitiveness and market access support. Regional – Small Trading Vessel industry support – diagnostic to assess demand and service gaps (logistics); physical conditions and standards of vessels and HR training and certification needs. Regional project with an vessels ( companies) 22/03/201722/03/2017
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Forestry, Wood and Furniture
Objectives Development of Sustainable Forest Management (SFM), downstream processing (DP) and export of value added products. Example CDE Timber Drying and Kiln Operations course in Guyana and Suriname. The objective is to improve the skills and know-how of operators of drying kilns in order to reduce wastage in the drying process; save energy and produce properly dried and better quality lumber for manufacturing. Supported by CDE with a consortium of 4 Spanish technical centres specialized in wood and furniture. Phase I involved a diagnostic review and strategic plan to develop the competitiveness of the sector and some training and technical assistance and phase will involve: training and technical assistance in for example Supply management, Production systems, Furniture design, Finishing and glues, Computer assisted design, Marketing and Costing.
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SME Investment Support Programme
Objectives CDE works in partnership with selected regional financial institutions with a dedicated focus on SMEs to improve the SME investment process and facilitate and expand SME Investment through Pre and Post Investment technical assistance managed by the financial institutions on behalf of CDE CDE also has a tool / software for training consultants and BDS providers to do comprehensive SME diagnostics
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