Government will begin formal negotiations with Beijing Construction by mid-month to ensure the commencement date for the planned Phoenix Park Industrial Estate will “in fact be January 2019,” Trade Minister Paula Gopee-Scoon said yesterday.
In her contribution to the budget debate in the House of Representatives, Gopee-Scoon outlined trade plans and projected benefits.
“The focus is on implementation in 2019. We will take this fiscal year to complete projects which were started,” she said.
The minister began by thanking the business sector, particularly the T&T Chamber and T&T Manufacturers’ Association, for the support they gave Government on the Petrotrin refinery closure.
She said employment generated by Government’s various projects is expected to create 10,000 jobs by the end of 2020.
The Phoenix Park Industrial Estate, a US$104 million investment, is among the projects expected to assist with job opportunities for workers displaced by the Petrotrin closure, Gopee-Scoon told the Lower House. Government signed a memorandum of understanding with Beijing Construction on development of the facility when Prime Minister Dr Keith Rowley visited China in June.
The estate will specialise in light manufacturing and energy and ten Chinese companies are expected to be involved, producing a range of items from air conditioning units and glass powder to ceramics, processed food and communications equipment, she added.
Work on the estate is due to start in January with completion expected by December 2019. The Chinese partners have committed to using 50 per cent local labour and purchasing 50 per cent of materials locally.
“So the loan application is in, the feasibility study is completed, the commercial loan agreement has been sent to Beijing Construction and by the middle of this month we’ll begin formal negotiations to ensure the project’s commencement date will in fact be January, 2019,” Gopee-Scoon said.
She said the park will assist in T&T’s bid to become China’s gateway to south and central America.
The La Brea dry dock project will provide 3,000 direct jobs and 5,700 indirect jobs during construction and 2,700 direct jobs and 13,000 indirect on operationalisation.
“This will energise and monetise south west communities. We project US$500 million annually by the fourth year of its opening,” she said, adding that sub-industries from catering to steam processing will benefit.
The planned aluminium plant at the Tamana Industrial Park will contribute 100 direct and 500 indirect jobs.
The minister said approximately 208 local companies are exporting to 69 countries and seven companies are exporting more than $100 million worth of goods while 156 others—small and medium sized manufacturers—are doing business in the order of between $1 million to $10 million.
Gopee-Scoon said the manufacturing sector increased by 7.3 per cent and “is on a roll!”
The incremental foreign exchange earnings tax credit sought by manufacturers, will be available in 2019, she assured.
Other areas of increase identified by the minister include petrochemical output, although the trade deficit was still high due to local appetite for imports. She said yachting activity increased from 545 yachts visiting in 2017 to 683 this year.