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Regional trade is a key component for economic stability across the Caribbean, and greater trade from the agricultural sector could significantly contribute towards the lowering of the regions food import bill from outside of the region.  It is in view of this that the Caribbean Export Development Agency (Caribbean Export) has support regional firms to attend the Dominican Republic’s Agroalimentaria Fair; the country’s largest and most important food and beverage trade fair.

Six CARICOM countries participated in this years‘ event, funded by the 11th EDF Regional Private Sector Development Programme, and presented a range of products; including 10 Saints Brewery Company Ltd from Barbados; Pomeroon Oil Mill Inc. from Guyana; the Saint Lucia Trade Promotions Agency (TEPA), representing three companies from Saint Lucia; Coffee Solutions from Jamaica; Suriname Candied Fruits N.V., and the Trinidad and Tobago Fine Cocoa Company Ltd.  Their inclusion promotes stronger trade and investment cooperation between CARICOM and the Dominican Republic.

“The participation of CARICOM firms at Agroalimentaria for the first time is a significant development contribution towards the increase of regional trade.  In addition, the participation of international buyers also enhances the viability of the event for CARICOM firms attending to achieve penetration not only of the DR market, but also those outside of the region,” expressed Escipion Oliveira, Deputy Executive Director at Caribbean Export.

The Agency supported buyers from Europe, and an overall total of more than 170 buyers attended the event.  With some 1734 business-to-business meetings taking place over the three days of the event, the companies are expected to achieve some good results.

In addition to the CARICOM firms the Caribbean Export supported five Haitian companies: CARRIBEX; Berling S.A.; SUNFOOD; Tropic and Belzeb, as well as the Cacao Cluster of the Dominican Republic to participate under the 10th EDF Haiti-DR Bi-National Programme.

The Caribbean Export Development Agency co-hosted the inaugural Caribbean Angel Investor Forum in Montego Bay on May 12, 2017 together with the World Bank Group.  The event, which attracted some of the region’s most influential business people, came together to lay the foundation for a more buoyant and active Angel Investor ecosystem within the Caribbean.

The investor forum is just one of the activities of the LINK-Caribbean programme that is being funded by the World Bank Group and government of Canada as part of the Entrepreneurship Program for Innovation in the Caribbean (EPIC) and implemented by Caribbean Export. EPIC aims to support the development of an enabling ecosystem to foster innovative and growth-oriented enterprises in the Caribbean region; and the development of well-functioning Angel groups is a key component to achieve this end.

The World Bank Group’s Country Manager for Jamaica, Galina Sotirova, highlighted the importance of innovative entrepreneurs to generate jobs, acting as key drivers for economic growth and competitiveness. Five entrepreneurs delivered pitches to the international Angel audience, combating the perception that there is a lack of Caribbean innovation to generate the deal flow within the region to sustain an Angel investment ecosystem.

“Over the past 2.5 years the World Bank has supported angel group development, and companies are getting valuable exposure to experienced, connected businesspersons. Over 70 entrepreneurs have pitched or held private meetings.  Entrepreneurs in the region can become viable future economic contributors, and it is the desire to invest in Caribbean entrepreneurs that makes angels really unique and valuable to the ecosystem,” said Sotirova.

There are currently seven Angel groups within the Caribbean (First Angels Jamaica and Alpha Angels in Jamaica; Trident Angels in Barbados; Renaissance Angels and IP Angels in Trinidad and Tobago; and Enclaces and Nexxus in the Dominican Republic) actively looking for investment opportunities. Their coming together via the Regional Angel Investor Network (RAIN) enables greater regional collaboration or syndication to pool resources to present more attractive investment options for early-stage investment. Thus far there have been eight Angel investor “deals” across the region and with the LINK-Caribbean programme which provides supplemental funding to entrepreneurs, the region should see more deals being made.

The conservative investment climate within the Caribbean is changing with more business people looking to become “Angels.” Caribbean Export Executive Director Pamela Coke-Hamilton commended the Angel groups present at the event and the independent Angels for their work in their respective countries, saying that they are “pioneering alternative sources of funding for the private sector and are therefore instrumental partners for private sector development.”

Deborah Duperly-Pinks on behalf of the Canadian High Commission echoed similar sentiments. “Now more than ever globally there is an increased interest in the level of entrepreneurship and small business development. Governments look to entrepreneurs in seeking solutions to address limited or slow economic growth and rising unemployment.”

A little over a month ago I attended two meetings in Europe, and they both underscored the necessity for the Caribbean private sector to urgently reconstitute a representative body that is able to actively engage with, and advocate on behalf of the sector’s interests over the next 18 to 24 months. There will be two major issues affecting the region’s trading relationships over this period: the first being the Brexit negotiations, and the second being the Post-Cotonou negotiations, both occurring simultaneously and having a direct impact on the future of the Caribbean.

The Brexit process and it’s eventual outcome will no doubt recast the region’s trading arrangements under the CARIFORUM-EU EPA. Our ability to exert some influence on the decisions taken will be limited and peripheral, with initial entrees suggesting that the UK wishes to retain and replicate the current EPA undertakings with the Caribbean. This however is not certain and will depend on the negotiations between the UK and the EU. The UK represents the largest market for Caribbean exporters in the EU, comprising over 21.1 percent of exports from the region, and acting as the gateway for entry into other European markets. The stark reality therefore is that while we may hope for retention of the status quo, or an improvement in the terms of trade, there is no guarantee that the final outcome will be the desired one.

The second arena in which negotiations will begin in June of this year, and are expected to be completed by July 2018, will be the negotiations to conclude what is colloquially termed the Post-Cotonou process. In essence, this will be the process within which the longstanding relationship between the EU and the African, Caribbean and Pacific (ACP) grouping will be renegotiated, and may or may not include reopening certain segments of the EPA that have proven challenging to implement or require expansion or greater definition. The timeframe to conclude these negotiations is brutal and will therefore require the most robust system of engagement for regional Governments, Private Sector and NGOs. In the final analysis, however, it is the private sector that will be most affected by the final agreement and consequently ought to be the most engaged parties in the process.

Add to the mix the recent convening of the first ever Commonwealth Meeting of Ministers of Trade in March 2017, signaling a potentially new trading arrangement among the countries of the Commonwealth involving member states ranging in populations from 1.2 billion to 46,000 persons, and GDP from 2.9 billion to 38 million per annum. While some may scoff at the idea and the likelihood of such an Agreement being actualized, it would be foolhardy of the region to summarily dismiss this development and ignore the clear signal that is being transmitted.
We are living in interesting times and longstanding models of international engagement are no longer sacrosanct or predictable. The potential that such an agreement presents for the Caribbean could actually be transformational and provides an opportunity to explore preferential access to the country with the second largest consumer base, and representing perhaps the fastest growing middle class in the world.

The absence of a strong, cohesive, and representative regional private sector body has been, and continues to be, a critical fault line in the Caribbean regions ability to effectively negotiate from a standpoint of strength and informed acquiescence. Without a fully engaged and committed private sector participating in the process and serving as the font of information on challenges with which they are faced, as well as formulating the strategic positions that will enhance their market penetration potential, the efficacy of the regions representation will be severely diminished. It is incumbent on the respective members of the private sector at the national levels to recognise the vital importance of having a regional voice that will vociferously advocate on its behalf and reflect the broader interests of the global private sector.

As with all private sectors across the globe, there will be differences, competition, and suspicion among players. The experience in the Caribbean has been no different. The recent developments in the global trading arena however, necessitate the adoption of a broader vision and the recognition that a joint approach is not only necessary but will be pivotal and determinative for the outcome of the negotiations. The convening of a broad based meeting of the regional private sector inclusive of the largest companies as well as the smaller exporters has become imperative. Failing to grasp this window of opportunity will have potentially perilous consequences for the region.

“There is a tide in the affairs of men, which taken at the flood, leads on to fortune; Omitted, all the voyage of their life is bound in shallows and in miseries.”(apologies to Shakespeare)

By Pamela Coke-Hamilton, Executive Director, the Caribbean Export Development

LINK-Caribbean will host the region’s first Caribbean Angel Investor Forum in Montego Bay, Jamaica on May 11-12, 2017.

Under the theme ‘Growing Angel Investing in the Caribbean’ the Caribbean Angel Investor Forum, an invitation-only event, will attract high-net-worth individuals from across the region and internationally.  The Forum is among several activities of the USD 1.6 million LINK-Caribbean program, aimed at promoting the development of an organized angel investment ecosystem within the Caribbean.

Implemented by the Caribbean Export Development Agency, LINK-Caribbean is an initiative of the World Bank Group’s Entrepreneurship Program for Innovation in the Caribbean (EPIC), a seven-year, CAD 20 million program funded by the government of Canada that seeks to build a supportive ecosystem for high-growth and sustainable enterprises throughout the Caribbean.

“As a first of its kind in the Region, the Caribbean Angel Investor Forum represents our commitment to the development of an active angel investment ecosystem that translates into an alternative stream of capital for our private sector,” said Pamela Coke-Hamilton, Executive Director of the Caribbean Export Development Agency.

Over the past few years the World Bank Group has been investing in improving the angel investment prospects within the region through technical assistance and coaching for both entrepreneurs and investors.

During this period, the region has seen the emergence of five angel investor groups, including First Angels Jamaica and Alpha Angels in Jamaica, Trident Angels in Barbados, and IP Angels and Renaissance Angels in Trinidad & Tobago. These angel groups have held private meetings to review companies and have made investments ranging from USD 50,000 – 200,000 in at least 6 companies. The Caribbean Angel Investor Forum will provide a platform for these angels to come together as a community to share best practices and knowledge; network; and uncover new investment opportunities.

 Aun Rahman, financial sector specialist, World Bank Group, stated that “we are encouraged with the growth and formalisation of angel investor groups in the region. Our support will continue to further strengthen the angel investment ecosystem and promote the development of a strong pipeline of growth-oriented and investible enterprises.”

The forum will explore the current landscape of angel investing in the region and provide a series of workshops led by globally experienced angels on critical aspects of angel investing such as due diligence and assessing firm valuation; deal structuring; and strategies for developing a successful partnership with entrepreneurs. In addition, Caribbean angels will play a key role as discussion facilitators. The forum will also provide an opportunity for a select number of entrepreneurs, including existing portfolio companies of regional angel groups, to present their businesses.

Since the start of the programme, LINK-Caribbean has awarded USD 150,000 to Caribbean firms actively seeking to raise private capital, for the purpose of developing their companies to make them more attractive to angel investors.  Caribbean Export has also developed the Regional Angel Investor Network (RAIN) to provide Caribbean and global investors interested in investing in Caribbean start-up and early stage companies with “deal flow” or pipeline of investment opportunities.

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About EPIC

The Entrepreneurship Program for Innovation in the Caribbean (EPIC) is a seven-year, CAD20 million Trust Fund Program funded by the government of Canada that seeks to build an enabling ecosystem for growth-oriented and sustainable enterprises across 14 CARICOM countries (except Haiti). The Project Development Objectives are to contribute to increased competitiveness, growth, and job creation in the Caribbean region through the development of a robust and vibrant innovation and entrepreneurship ecosystem. EPIC has three core activity pillars: mobile innovation, climate technology, and women-led entrepreneurship. These pillars are complemented by an access to finance facility for Caribbean entrepreneurs and a skills upgrading and capacity development program for all ecosystem stakeholders. 

World Bank

Alison Christie Binger, Communications Consultant
World Bank Group, Trade and Competitiveness, infoDev
T 1 (876) 330-1155 E abingerchristie@worldbank.org
http://www.infodev.org   @infoDev 
 

About Caribbean Export

Caribbean Export is a regional export development and trade and investment promotion organisation of the Forum of Caribbean States currently executing the Regional Private Sector Programme funded by the European Union under the 10^th European Development Fund.

Caribbean Export’s mission is to increase the competitiveness of Caribbean countries by providing quality export development and trade and investment promotion services through effective programme execution and strategic alliances.

Contact:
JoEllen Laryea, PR and Communications
Caribbean Export Development Agency
Tel: +1(246) 436-0578, Fax: +1(246) 436-9999
Email: jlaryea@carib-export.com
www.carib-export.com
@Caribxport

The Caribbean Export Development Agency (Caribbean Export) and the European Union (EU) have signed the 11^th European Development Fund (EDF) agreement worth EUR 24 Million to support regional private sector development.

At the 11^th EDF launch and signing ceremony, held yesterday at the Lloyd Erskine Sandiford Centre, Barbados, Head of Delegation of the EU to Barbados, the Eastern Caribbean, the OECS, and CARICOM/CARIFORUM, Amb. Daniela Tramacere highlighted that the EU remained the largest grant aid donor in the world and have set aside a total of 364 million euros for regional development; a substantial increase to the amount of aid provided under the previous regional development fund.  Of this current EDF cycle which runs from 2014-2020 the Caribbean Export Development Agency will implement the 24 million euro 11^th EDF Regional Private Sector Development Programme (RPSDP).

The Agency which celebrated its 20^th Anniversary last year will continue to build upon the two decades of successful EDF Programme implementation and “this new Regional Private Sector Development Programme places even more emphasis on the development of the private sector as both a beneficiary and a partner in the delivery of the EPA” commented Amb. Tramacere.

Pamela Coke-Hamilton, Executive Director at Caribbean Export reported that after the signing of the CARIFORUM-EU Economic Partnership Agreement (EPA) in 2008, exports from CARIFORUM to the European Union grew by 10% between 2009-2015, and indicated that countries such as Belize and the Dominican Republic experienced increased European exports: 20% and 34% respectively between the same period. “I would like to thank the European Union for their continued support in investing in private sector development and for being a true partner to the Caribbean region,” concluded Ms. Coke Hamilton.

The previous 10th EDF Regional Private Sector Development Programme (RPSDP) was given a positive overall assessment of medium-high by the EU in their implementation of some 260 programme based activities from which over 6000 SME’s across CARIFORUM benefited.  Under the 11th EDF, focus will be placed on market penetration, supply chain and intelligence frameworks, increased access to finance, the promotion of green energy and energy efficiency as key factors in lowering costs and more targeted approaches to enhancing firm capacity. An extremely critical pillar in the success of this programme will be the improvement of the business enabling environment within CARIFORUM States.

The overall objective of this programme is to increase employment creation, inclusiveness, particularly for youth, women and indigenous groups, and overall poverty reduction in CARIFORUM states through targeted interventions that provide new and innovative frameworks for growth and development.

Five Caribbean businesses are at a stage closer to securing private investment having each received $25,000 USD through the LINK-Caribbean Investment Readiness Grant programme.

The five firms are Carepoint and Caribbean Transit Solutions from Barbados; Bluedot Media and Innovative Menu Solutions Ltd from Jamaica and SystemIz Incorporated from Trinidad and Tobago.

According to Chris McNair, Manager for Competitiveness and Innovation at Caribbean Export, “the grants will be used to assist firms in making the necessary improvements to their businesses with the aim of attracting greater investment from private investors, such as Business Angels within the next 6 months.” The firms were selected from a slate of 134 applicants from across the region, 7 of which were afforded the opportunity to pitch their businesses to a panel of judges in the hope of securing an investment readiness grant. LINK-Caribbean, a programme of the Caribbean Export Development Agency (Caribbean Export) supports the development of an early stage Investor eco-system within the region.  Launched last September, it is funded by the World Bank and sponsored by Canada.

“For many years Caribbean entrepreneurs were disadvantaged because of a lack of funding opportunities in comparison to our first world counterparts, with the LINK Caribbean grant we now have an opportunity to show the world that great, disruptive companies can be borne from here” expressed Larren Peart of Bluedot Media

Barbadian recipient Shannon Clarke from Carepoint expressed his humility for his selection and spoke of looking forward to the guidance from Business Angels and importantly “their assistance to help push the adoption of ICT in the delivery of healthcare throughout the Caribbean”

Khalil Bryan of Caribbean Transport Solutions also from Barbados highlighted some of the key initiatives hosted by World Bank and Caribbean Export “Starting from 2015, their team hosted Entrepreneur sessions to sensitise us to key items that would prepare us to raise Capital to providing support as we deploy capital from the IR grant. They have truly been a catalyst to improve the investment climate in the region – from building angel groups to disbursing grant funding to prepare us for investment. We appreciate the role that they have played and would encourage them to continue in this vein as entrepreneurship will truly be a catalyst to impact the economies of our region.”

Aun Rahman, Financial Sector Specialist for the World Bank who also has responsibility for EPIC’s Access to Finance programme stated that the Bank is encouraged with the initial response to LINK-Caribbean’s first grant cycle. “We are looking forward to building a stronger pipeline of more applicants who will be eligible to become beneficiaries under the programme in future grant cycles.”

In addition to these grants, LINK-Caribbean provides other support activities to stimulate early stage investing in the region. It facilitates the development of deal-flow for early-stage investors through the Regional Angel Investor Network (RAIN).  “We strongly encourage entrepreneurs and investors to join RAIN to uncover new investment opportunities throughout the Caribbean,” added Mr McNair.

About

LINK-Caribbean is an initiative of the World Bank Group’s Entrepreneurship Program for Innovation in the Caribbean (EPIC); a seven-year $20 million program funded by the Government of Canada that seeks to build a supportive ecosystem for high-growth and sustainable enterprises throughout the Caribbean.