Budget reveals promising news for Industrial and Enterprise Development

By VonDez Phipps
Reporter-SKNVibes.com

Minister of Finance Hon. Dr. Timothy Harris

Harris informed that the Manufacturing Sector grew by 6.5 percent in 2007, which reflects the government’s efforts to have a diversified economy in which light manufacturing plays a significant role.  He stressed the importance of developing the sector as it contributes greatly to the economic development, generating 11.3 percent of the Nation’s Gross Domestic Product (GDP). 

“Growth in output of the sector in 2007 was broad-based with the main categories namely, beverages, masonry products and electronics increasing their outputs by 7.8 percent, 1.9 percent and 0.5 percent respectively. 

“It is noteworthy and pleasing that much of the increase in the beverage category was due to increased exports to the neighbouring islands of St. Martin, St. Eustatius, St. Barts, Antigua and Barbuda and Anguilla. Cargo throughput statistics from the St. Christopher Air and Sea Ports Authority reveal that 5,379 tons of beverages were exported from the Federation in 2007 and we expect this trend to continue in ... 2009.”

Dr. Harris said the nation’s Manufacturing Sector has already begun to feel the effects of the weakened United States economy but that despite the challenging environment facing manufacturers, many have been able to thrive. ~~Adz:Right~~

He informed that Lutron Liamuiga has instituted a ‘no lay off’ policy, Jaro Electronics has “fared well” in 2008 with production increasing by 50 percent and Harowe Servo Controls Ltd has been able to increase production up to September. Harris also noted that the St. Kitts Bottling Company was able to increase its production for the first nine months of 2008 due mainly to increased exports.

“It is clear then, that even in a difficult market companies can grow as a result of innovation and the willingness to search the market for opportunities to offer new or improved products and services. This is a challenge that every enterprise in every sector of our economy must take up, if we are to weather the stormy waters of the global economy and press on to our goal of creating a new economy in which every Kittitian and Nevisian would have the opportunity to create wealth and to prosper.”

Minister Harris informed that his government is moving forward with the development of the Conaree Industrial Park as a critical element of the nation’s Industrial Development Policy. The new industrial site is expected to house incubator spaces for new companies to help create more business opportunities to young entrepreneurs.

He indicated that through technical assistance received from the Government of Mexico, most of the groundwork has been established, and noted that the new year should also see the establishment of a National Entrepreneurial Development Division (NEDD) to offer assistance to new and emerging businesses.