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World Trade Organization |
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WT/TPR/S/190/KNA | |
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(07-3986) |
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Trade Policy Review Body |
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TRADE POLICY REVIEW Report by the Secretariat SAINT KITTS AND NEVIS |
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This report, prepared for the second Trade Policy Review of Saint Kitts and Any technical questions arising from this report may be addressed to Mr. Angelo Silvy (tel. 022 739 5249), and Ms. Katie Waters (tel. 022 739 5067). Document WT/TPR/G/190/KNA contains the policy statement submitted by |
Note: This report is subject to restricted circulation and press embargo until the end of the first session of the meeting of the Trade Policy Review Body on Saint Kitts and Nevis.
Page
I. Economic environment 1
(1) Structure of The Economy, Output, and Employment 1
(2) Fiscal Policy 3
(3) Monetary And Exchange Rate Policy 3
(4) Balance of Payments, Trade and Investment Flows 4
(5) Outlook 6
II. trade and investment policy framework 6
(1) General Constitutional and Legal Framework 6
(2) Trade Policy Formulation and Implementation 7
(3) Foreign Investment Regime 8
(4) International Relations 9
(i) World Trade Organization 9
(ii) Preferential agreements and arrangements 10
III. trade policies and practices by measure 10
(1) Measures Directly Affecting Imports 10
(i) Customs procedures, documentation, and registration 10
(ii) Customs valuation 11
(iii) Rules of origin 12
(iv) Tariffs and other charges on imports 12
(v) Other levies and charges 16
(vi) Import prohibitions, restrictions, and licensing 16
(vii) Contingency measures 18
(viii) Technical regulations and standards 19
(ix) Sanitary and phytosanitary measures 19
(2) Measures Directly Affecting Exports 20
(i) Documentation, export taxes, and restrictions 20
(ii) Export subsidies, financing, support, and promotion 21
(3) Measures Affecting Production and Trade 22
(i) Legal framework for business and taxation 22
(ii) Incentives and assistance 23
(iii) Competition policy and regulatory issues 24
(iv) Government procurement 25
(v) Intellectual property rights 25
Page
IV. trade policies by sector 28
(1) Agriculture 28
(2) Manufacturing 30
(3) Services 30
(i)
(ii) Telecommunications 31
(iii) Financial services 33
(iv) Air transport 36
(v) Maritime transport 37
(vi) Tourism 38
(vii) Professional services 39
(viii) Other offshore services 40
references 41
APPENDIX TABLES 43
TABLES
I. ECONOMIC ENVIRONMENT
I.1 Basic macroeconomic indicators, 2000-06 2
I.2 Balance of payments, 2001-06 5
III. TRADE POLICIES AND PRACTICES BY MEASURE
III.1 Trade-related taxes, 2007-08 12
III.2 Structure of the tariff, 2006 13
III.3 Summary analysis of the MFN tariff, as applied in 2006 14
III.4 Import restrictions, 2006 17
III.5 Membership in international instruments on intellectual property rights, 2006 26
IV. TRADE POLICIES BY SECTOR
IV.1 Telecommunications statistics, 2002-06 32
APPENDIX TABLES
I. ECONOMIC ENVIRONMENT
AI.1 Merchandise exports and re-exports by group of products, 2000-06 45
AI.2 Merchandise imports by group of products, 2000-06 46
AI.3 Merchandise exports and re-exports by trading partner, 2000-06 47
AI.4 Merchandise imports by trading partner, 2000-06 48
I. Economic environment
(1) Structure of the Economy, Output, and Employment
1. Services are the major economic activity of
2. The contribution of agriculture to GDP declined to just 3% of GDP between 2002 and 2005, as a consequence of lower sugar cane production, but also of the reduced output of other crops. It declined further in 2006 as sugar production was halted at end July 2005, and agricultural GDP contracted by 14.4% in real terms. The importance of sugar cane had been declining, and in 2005 it represented just 0.5% of GDP; production was concentrated in St. Kitts, where it was the main crop. The St. Kitts Sugar Manufacturing Corporation (SSMC), the sole producer and exporter of sugar, continued to make heavy losses up to 2005; its closure in July left around 1,500 workers out of a job (some 12% of the labour force). Sugar exports had taken place under quotas and preferential price conditions offered by the European Communities and the
3. The contribution of manufacturing (including agri-industry) to GDP declined slightly between 2000 and 2005, from 10.4% to 9.7%, mainly due to a sharp contraction in the refined sugar and molasses industry. The manufacturing sector consists primarily of light manufactures like beverages (beer, malt, rum, bottled water, and other soft drinks), and pasta for the domestic market; and of enclave industries that assemble electrical or electronic components, and traps for the cable industry, for the external market. In recent years, there has been an increase in the production of concrete, electronic components, and bottled water. Construction grew strongly in the early 2000s, boosted by reconstruction after the hurricanes of the late 1990s, and new investment in tourism, housing, and public sector projects.
4. Following the
5. GDP per capita in
Table I.1
Basic macroeconomic indicators, 2000-06
(Per cent unless otherwise specified)
|
|
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
|
Real sector |
|
|
|
|
|
|
|
|
Nominal GDP at market prices (EC$ million) |
888.9 |
924.5 |
947.6 |
977.5 |
1,077.9 |
1,157.6 |
1,289.0 |
|
Nominal GDP at basic prices (EC$ million) |
765.2 |
792.8 |
802.1 |
813.1 |
894.0 |
952.1 |
1,031.1 |
|
Real GDP at basic prices (EC$ million) |
555.0 |
564.1 |
562.5 |
555.5 |
596.2 |
620.5 |
656.5 |
|
GDP per capita at market prices (EC$) |
20,071 |
20,049 |
20,287 |
20,659 |
22,124 |
23,478 |
25,786 |
|
GDP per capita at basic prices (EC$) |
17,280 |
17,193 |
16,965 |
16,927 |
18,350 |
19,291 |
20,625 |
|
GDP growth (real, market prices) |
4.3 |
2.1 |
1.0 |
0.5 |
7.6 |
5.0 |
8.7 |
|
GDP growth (real, basic prices) |
4.3 |
1.7 |
-0.3 |
-1.2 |
7.3 |
4.1 |
5.8 |
|
GDP components |
|
|
|
|
|
|
|
|
Total consumption (% of GDP) |
80.4 |
71.8 |
77.6 |
79.5 |
72.7 |
74.1 |
.. |
|
Private consumption (% of GDP) |
59.3 |
51.1 |
57.8 |
60.7 |
52.5 |
55.6 |
.. |
|
Central government consumption (% of GDP) |
21.1 |
20.7 |
19.8 |
18.8 |
20.2 |
18.5 |
.. |
|
Gross capital formation (% of GDP) |
49.6 |
54.1 |
51.8 |
45.6 |
43.8 |
45.5 |
.. |
|
Machinery and equipment |
15.6 |
17.3 |
16.7 |
15.9 |
14.3 |
15.9 |
.. |
|
Construction |
34.0 |
36.8 |
35.1 |
29.7 |
29.5 |
29.6 |
.. |
|
Exports of goods and services (% of GDP) |
45.5 |
44.7 |
43.7 |
48.8 |
48.3 |
47.0 |
.. |
|
Goods |
15.6 |
16.1 |
18.0 |
19.0 |
14.4 |
13.5 |
.. |
|
Non-factor services |
29.9 |
28.6 |
25.7 |
29.8 |
33.9 |
33.5 |
.. |
|
Imports (% of GDP) |
75.5 |
70.6 |
73.0 |
70.6 |
64.7 |
66.5 |
.. |
|
Goods |
52.5 |
48.7 |
50.6 |
48.5 |
43.9 |
45.1 |
.. |
|
Non-factor services |
23.0 |
21.9 |
22.4 |
22.1 |
20.8 |
21.4 |
.. |
|
Gross national savings (% of GDP) |
29.5 |
22.8 |
16.34 |
13.6 |
21.2 |
20.6 |
.. |
|
Foreign savings (% of GDP) |
20.1 |
31.4 |
35.5 |
32.1 |
17.2 |
19.5 |
26.8 |
|
Consumer price index (end of period) |
.. |
2.7 |
1.7 |
3.1 |
1.7 |
6.0 |
8.4 |
|
Consumer price index (period average) |
2.2 |
2.3 |
2.0 |
2.2 |
2.3 |
3.6 |
8.5 |
|
Implicit gross value added deflator (end period) |
3.5 |
1.9 |
1.5 |
2.7 |
2.5 |
2.3 |
2.4 |
|
General government finance (% of GDP) |
|
|
|
|
|
|
|
|
Current revenue |
28.6 |
28.9 |
31.6 |
32.9 |
33.9 |
37.5 |
38.1 |
|
of which, tax revenue |
21.1 |
21.1 |
22.4 |
23.8 |
28.7 |
28.2 |
29.0 |
|
of which taxes on international trade |
10.6 |
10.2 |
11.0 |
12.6 |
14.3 |
14.6 |
13.6 |
|
of which |
|
|
|
|
|
|
|
|
Consumption tax |
4.7 |
4.8 |
5.4 |
6.0 |
7.0 |
6.9 |
6.5 |
|
Import duties |
4.4 |
3.4 |
3.6 |
3.9 |
4.2 |
4.2 |
3.8 |
|
Customs service charges |
1.1 |
1.5 |
1.7 |
2.0 |
2.4 |
2.7 |
2.6 |
|
Current expenditure |
33.2 |
33.2 |
34.2 |
34.1 |
35.4 |
38.0 |
36.8 |
|
Current account balance |
-4.6 |
-4.3 |
-2.6 |
-1.2 |
-1.5 |
-0.5 |
1.3 |
|
Primary balance |
-9.5 |
-6.2 |
-9.5 |
-0.5 |
-0.4 |
4.1 |
6.1 |
|
Overall fiscal balance (% of GDP) |
-14.2 |
-11.8 |
-16.6 |
-8.2 |
-7.9 |
-4.2 |
-2.1 |
|
Total public debt (% of GDP) |
114.2 |
132.3 |
158.7 |
177.2 |
191.6 |
196.6 |
188.3 |
|
Money and interest rates |
|
|
|
|
|
|
|
|
Money supply, M1 (end of period.) |
3.8 |
-3.6 |
12.9 |
11.0 |
25.0 |
-1.6 |
9.4 |
|
Broad money, M2 (end of period) |
27.9 |
2.3 |
6.4 |
6.9 |
21.7 |
4.7 |
11.7 |
|
Weighted deposit interest rate |
4.3 |
4.2 |
3.8 |
4.1 |
3.6 |
4.1 |
3.7 |
|
Weighted lending interest rate |
11.1 |
11.1 |
10.4 |
12.0 |
9.9 |
9.7 |
9.4 |
|
Prime rate |
9.5-11.0 |
9.5-12.5 |
9.5-12.5 |
8.5-11.0 |
8.5-9.0 |
8.5-9.0 |
8.5-9.0 |
.. Not available.
Source: ECCB (2006b), National Account Statistics 2006 and ECCB (2006a) and (2007) Annual Economic and Financial Review, 2005 and 2006.
6. Data are not available on the level of employment and wage movement in
(2) Fiscal Policy
7. Fiscal policy is the responsibility of the Ministry of Finance. It is the main macroeconomic instrument actively used by the authorities to affect output, as
8. After worsening over the 2000-02 period, the fiscal position of
9. While government finances improved during 2004-05, the IMF cautions that the sharp rise in oil prices and prospective public sector investments are constraining further fiscal consolidation.[5] The IMF also notes that, although revenue collection has shown continued strength, it has been mostly offset by increasing current expenditure. As a result, current expenditure increased from 33.2% of GDP in 2001 to 38% in 2005, before declining somewhat to 36.8% in 2006.
10. Although reforms have been introduced, the system of fiscal incentives for investment and import duty concessions may result in considerable revenue forgone. Curtailing concessions and making them more transparent, may help strengthen the otherwise fragile fiscal situation, and would enhance the predictability and accountability of the investment regime.
11. Total public debt continued to rise during the period under review, reaching 196.6% of GDP by end 2005, before declining to 188.3% by end 2006. The stock of domestic debt totalled EC$756.1 million in 2005, while that of external debt reached EC$592 million. In recent years, the level of domestic debt has been increasing, while foreign debt has fallen. Total debt service payments were 36.3% of current revenue in 2005. High debt payments remain among the main problems facing the economy: they are a major macroeconomic constraint since they limit the use of fiscal policy.
12. The 2007 budget address announced the imminent implementation of policy measures, including tax incentives, to induce consumers to modify their levels and patterns of energy consumption. It also announced that the Government was studying the implementation of a comprehensive transaction-based tax, with an implementation schedule to be announced during 2007. As at mid 2007, no measures had been put in place yet.
(3) Monetary And Exchange Rate Policy
13.
14. The growth in monetary aggregates remained high during the period under review. Broad money supply (M2) expanded at an annual average rate of 11.5% between 2000 and 2006. Gross credit to the Central Government grew by some 140% from 2002 to end 2006, almost five times the rate of growth in private sector credit, giving some indications of a crowding out effect. Outstanding loans and advances from commercial banks to the Central Government more than doubled in 2005, partly due to a loan to meet severance payments to former sugar workers. In 2006, commercial bank credit to the Central Government increased by 28%, in part associated with loans for electricity and water upgrades and for severance payments to former sugar workers. Among credit to the private sector, credit for construction was particularly dynamic. The prime lending rate declined from a 9.5‑11% range in 2001 to an 8.5-9% range on 2006; other lending rates also declined.
15. During 2001-06, inflation, as measured by the increase in the CPI, was moderate on average. However, during 2005 and 2006, the retail price index rose substantially, driven largely by price increases in the sub-indices fuel and electricity, transport and communications, and food.
(4) Balance of Payments, Trade and Investment Flows
16. The current account of the balance of payments is traditionally in deficit, since imports of goods largely exceed exports, and the surplus in services is insufficient to cover the difference. Current account deficits, although large, have fluctuated widely during the period under review. The deficit narrowed somewhat in 2004 and 2005 owing to a large increase in tourism receipts (Tables I.1 and I.2), but increased again in 2006. The large current account deficit resulted mainly from a deterioration in the merchandise trade balance as increases in import payments outweighed export receipts.
17. The share of exports of goods in GDP declined between 2001 and 2006, affected by the problems in the sugar industry. After peaking in the early 2000s, the share of imports in GDP declined somewhat to some 45.7% of GDP in 2006. The surplus in services increased substantially in 2004 and 2005, on account of higher travel receipts. The income balance posted a considerable deficit throughout 2001-06, reflecting mainly the repatriation of profits by commercial banks as well as interest payments by foreign-owned hotels. The deficit in merchandise trade continued to increase in 2001-06. The surplus on the capital and financial account declined between 2002 and 2005, partly due to a reduction in net inflows of commercial bank short term capital; it increased again in 2006.
18. Exports of agricultural products (principally sugar) accounted for some 33.4% of total merchandise exports in 2004, but only for 4.2% in 2005 due to the closure of the sugar industry (Table AI.1). Products such as switches, relays, fuses, and electrical capacitors accounted for about 90.6% of total exports in 2005, up from 62.9% the previous year. The composition of imports has remained stable since 2000: more than half of all imports are consumer goods, both agricultural and manufactures (Table AI.2); the rest is mainly machinery and equipment (some 30% of the total), and inputs. Fuel imports have increased substantially since 2000 as a result of high world prices; they represented 8.8% of total imports in 2005, compared with 7.6% in 2000.
Table I.2
Balance of payments, 2001-06
(US$ million)
|
|
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
|
Current account |
-107.4 |
-129.6 |
-116.1 |
-68.6 |
-83.6 |
-127.7 |
|
Goods and services |
-88.9 |
-105.7 |
-90.9 |
-47.9 |
-70.7 |
-114.4 |
|
Goods |
-111.6 |
-117.2 |
-118.6 |
-102.2 |
-130.7 |
-159.6 |
|
Merchandise |
-113.9 |
-118.7 |
-121.0 |
-106.3 |
-135.1 |
-166.8 |
|
Exports |
43.4 |
58.9 |
54.6 |
54.5 |
50.1 |
51.4 |
|
Imports |
-115.7 |
-177.5 |
-175.6 |
-160.8 |
-185.2 |
-218.2 |
|
Repair on goods |
0.0 |
0.0 |
0.0 |
0.0 |
0.1 |
0.1 |
|
Goods procured in ports by carriers |
2.3 |
1.4 |
2.4 |
4.1 |
4.3 |
7.1 |
|
Services |
22.7 |
11.6 |
27.7 |
54.3 |
60.0 |
45.1 |
|
Transportation |
-19.4 |
-21.9 |
-23.0 |
-23.2 |
-27.9 |
-30.1 |
|
Travel |
53.8 |
49.6 |
67.2 |
93.0 |
104.5 |
104.4 |
|
Insurance services |
-6.3 |
-7.3 |
-7.5 |
-6.7 |
-8.7 |
-10.0 |
|
Other business services |
-5.3 |
-7.7 |
-7.5 |
-8.2 |
-8.0 |
-19.0 |
|
Government services |
-0.1 |
-1.1 |
-1.6 |
-0.4 |
0.0 |
-0.2 |
|
Income |
-34.6 |
-38.1 |
-43.7 |
-38.9 |
-33.5 |
-33.3 |
|
Compensation of employees |
-2.7 |
-2.7 |
-3.3 |
-2.9 |
-2.2 |
-2.5 |
|
Investment income |
-31.9 |
-35.3 |
-40.4 |
-36.0 |
-31.3 |
-30.9 |
|
Current transfers |
16.1 |
16.4 |
18.6 |
18.2 |
20.6 |
20.1 |
|
General government |
-1.2 |
-0.4 |
-0.4 |
-1.3 |
-1.0 |
-1.4 |
|
Other sectors |
17.2 |
16.9 |
19.0 |
19.6 |
21.6 |
21.5 |
|
Capital and financial account |
119.0 |
135.9 |
115.1 |
82.2 |
76.9 |
144.8 |
|
Capital account |
10.9 |
14.6 |
5.4 |
5.4 |
14.7 |
12.9 |
|
Capital transfers |
10.9 |
14.4 |
5.2 |
5.4 |
14.7 |
12.9 |
|
Financial account |
108.1 |
121.3 |
109.8 |
76.8 |
62.2 |
131.9 |
|
Direct investment |
88.1 |
79.8 |
75.6 |
46.1 |
85.5 |
199.7 |
|
Portfolio investment |
42.7 |
30.4 |
48.0 |
-9.9 |
-15.0 |
-15.1 |
|
Other investments |
-22.7 |
11.2 |
-13.9 |
40.5 |
-8.3 |
-52.7 |
|
Public sector long term |
-20.5 |
16.5 |
2.2 |
-0.8 |
-10.1 |
-1.7 |
|
Commercial banks |
-10.0 |
-19.2 |
-33.3 |
56.3 |
-40.0 |
-68.3 |
|
Other assets |
-7.7 |
3.0 |
-6.1 |
-22.4 |
-12.5 |
-14.0 |
|
Other liabilitiesa |
0.2 |
11.0 |
23.2 |
7.4 |
54.3 |
31.3 |
|
Overall balance |
11.6 |
8.6 |
-1.0 |
13.6 |
-6.7 |
17.1 |
|
Financing |
-11.6 |
-8.6 |
1.0 |
-13.6 |
6.7 |
-17.1 |
|
Change in government foreign assets |
0.1 |
0.2 |
0.0 |
0.0 |
-0.2 |
0.0 |
|
Change in imputed reserves |
-11.7 |
-8.9 |
1.0 |
-13.7 |
6.9 |
-17.1 |
|
Memorandum |
|
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
|
Current account balance (% of GDP) |
-31.3 |
-13.4 |
-11.9 |
-6.4 |
-7.2 |
-9.9 |
|
Estimated visitor expenditure (EC$ million) |
167.0 |
57.1 |
75.4 |
102.6 |
114.5 |
116.3 |
|
Outstanding external public debt (% of GDP) |
62.6 |
75.5 |
87.1 |
79.1 |
67.4 |
.. |
.. Not available.
a Includes errors and omissions.
Source: ECCB (2006a) and (2007) Annual Economic and Financial Review 2005 and 2006.
19.
20. Total foreign direct investment during 2000-05 amounted to US$340 million, or over 75% of GDP. The main foreign investment inflows in the period were in construction, hotel development and reconstruction, and the electronics industry. FDI is expected to be boosted by investments, related to the Cricket World Cup, including a projected rise in visitor accommodation capacity, and should finance most of the current account deficit in the near term.
(5) Outlook
21. No government economic forecasts were available for the current review. The IMF is forecasting GDP growth of 6% in 2007 and 4.3% in 2008, after an estimated 5.2% in 2006. Consumer prices are expected to increase by 3.2% in 2007 and 2.1% in 2008. The IMF considers that fiscal consolidation should be the policy priority and that, given the economy's high degree of vulnerability, precautionary measures and contingency planning should be adopted, with a focus on dealing with potential natural disasters and financial sector shocks.[6]
II. trade and investment policy framework
(1) General Constitutional and Legal Framework
22.
23. Governance of
24. International treaties and trade agreements are concluded and signed on the exclusive authority of the Cabinet of Ministers, who may authorize the Prime Minister or any other Minister to sign such agreements on behalf of
25. Responsibility for Law-making in
26. In the National Assembly, laws begin as bills, generally introduced by a Minister of Government after the draft has been approved by the Cabinet of Ministers. Bills go through three stages; during the second reading of a bill its merits are debated by members of the Assembly and amendments are made. Once all amendments have been made, the bill is read a third time, and is put to a vote by the Speaker of the House. Bills become law only after they have received the assent of the Governor General and have been published in the Government Gazette.
27. The National Assembly consists of 11 elected representatives, each elected by universal adult suffrage through a first-past-the-post system, and three Senators, one appointed by the Governor General on the advice of the Leader of the Opposition, and two appointed on the advice of the Prime Minister. Elections are due every five years but may be called sooner; the last elections were held in October 2004.
28. The law of
29. The judicial branch of Government is independent from the Executive and Legislature. At the lowest judicial level, Magistrate's courts deal with minor civil and criminal cases. Serious criminal matters, civil cases involving claims above EC$5,000, and questions of interpretation of the Constitution are dealt with by the High Court. The first level of appeal is to the Eastern Caribbean Supreme Court. This is a constitutionally entrenched itinerant court, based in
30. In 2005,
(2) Trade Policy Formulation and Implementation
31. The Ministry of Foreign Affairs, International Trade, Industry Commerce and Consumer Affairs is responsible for all WTO and international and regional trade issues; it is also the main agency for coordinating trade policy discussions and formulation, and is responsible for matters related to anti-dumping, subsidies, and competition policy. The Ministry of Finance, Sustainable Development, Information Technology, Tourism, Culture and Sport, through the Customs and Excise Department, is directly responsible for tariffs and customs valuation. It is also responsible, together with the Ministry of Foreign Affairs, International Trade, Industry, Commerce and Consumer Affairs, for formulating of policy relating to services and to foreign direct investment. Other agencies involved in trade include the Ministry of Housing, Agriculture, Fisheries, and the Office of the Attorney General, and the
32. Trade policy is coordinated at the national level with the private sector. The views of the private sector are generally expressed through the local Chamber of Industry and Commerce and through specially organized consultations for these purposes. In addition, the views of labour unions are taken into account.
33.
34.
(3) Foreign Investment Regime
35.
36. In St. Kitts and Nevis, foreign investment is the responsibility of the Ministry of Foreign Affairs, International Trade, Industry, Commerce and Consumer Affairs, along with the Ministry of Finance and the Ministry of Sustainable Development In order to attract foreign investment, the Government offers a range of incentives to potential investors, particularly in the areas of tourism and hotel accommodation, and manufacturing. Fiscal incentives for foreign investment are granted under the Fiscal Incentives Act of 1974 and also available under different acts for investment in the Tourism Sector, Chapter III(3)(ii)). Remittances to persons or entities abroad are subject to a 10% withholding tax. Additionally, where a company is not exempt, there is a 20% capital gains tax on profits unless an exemption is granted under the Act from the disposal of assets located in St. Kitts within a year of their acquisition.
37. In October 2006,
38.
(4) International Relations
(i) World Trade Organization
39. Prior to independence,
40. St. Kitts has not enacted an overall Uruguay Round Act into domestic law. Private individuals can invoke WTO provisions before national courts only to the extent that the Agreements are incorporated into national legislation. As at early 2007,
41. Under the GATS,
42.
43.
44.
(ii) Preferential agreements and arrangements
45.
46.
47. A number of exports from
48. Products from
III. trade policies and practices by measure
(1) Measures Directly Affecting Imports
(i) Customs procedures, documentation, and registration
49. There have been no changes with regard to customs procedures since
50. Five documents are required for all commercial imports: the CARISAD single declaration; a commercial invoice; the bill of lading; a certificate of insurance; and a worksheet on the classification and value of the goods. Additional documentation may be required, e.g., a certificate of origin for preferential imports from CARICOM countries or a phytosanitary certificate for veterinary and plant imports. Entry of goods may be allowed even if the relevant import documents are not ready, provided a deposit is made and the documents are presented soon (generally within a week).
51. The Customs service classifies shipments into low- and high-risk groups for inspection purposes. Low-risk shipments are those undertaken by importers with experience of the St. Kitts and Nevis procedures, and that arrive from countries that are not considered to pose risks (e.g., with respect to illicit narcotics); only about 20% of these shipments are subject to inspection. The rate of inspection is much higher (around 95%) for shipments involving new importers and/or countries that are deemed to pose higher risks.
52.
53.
54. The authorities note that the Government has taken steps to reform the Customs Department, including programmes to train staff in modern techniques of revenue management and collection. Under the Customs Reform Project, customs officers have received management training, and management procedures at the Customs Department have been upgraded. According to the authorities, there has been a dramatic improvement in collections. The final phase of the project is the computerization of the entire Customs Department, including to process customs entries, provide management information, and allow businesses to submit their entries in electronic format.
(ii) Customs valuation
55. There have been no changes in
56. The Customs Act specifically outlaws the use of minimum customs values. The Act also forbids using the selling price in
57. The authorities indicated in the context of this Review that questions of under-invoicing of imports sometimes arise. When there is any suspicion of this Customs officials may request proper invoicing from the importer.
58. A Customs Appeal Commission, to deal with appeals regarding decisions on valuation, duties, and other customs issues, is in the process of being established; in the interim, appeals are made to Customs on a de facto basis. If the appellant is not satisfied with the decision, the case can be taken to a high court or to the Eastern Caribbean Court of Appeal.
59.
(iii) Rules of origin
60.
61.
(iv) Tariffs and other charges on imports
62. International trade taxes are an important source of fiscal revenue. In addition to import tariffs, several levies and charges are applied to trade. Taxes on international transactions raised EC$176.1 million in 2006, up from EC$169.5 million in 2005, accounting for 47.1% of the Government’s tax revenue, and equal to 13.7% of
Table III.1
Trade-related taxes, 2007-08
|
|
2007 (estimates) |
2008 (projections) |
2008 |
|
International trade/transactions taxes |
166,193 |
183,230 |
41.6 |
|
Consumption tax |
78,146 |
82,095 |
18.6 |
|
Import duty |
46,928 |
49,274 |
11.2 |
|
Customs service charge |
33,801 |
35,491 |
8.1 |
|
Transaction-based tax |
0 |
8,727 |
2.0 |
|
Travel tax |
3,283 |
3,447 |
0.8 |
|
Environmental levy |
2,732 |
2,869 |
0.7 |
|
Excise duty on alcohol & tobacco |
900 |
945 |
0.2 |
|
Mercantile tax |
327 |
343 |
0.1 |
|
Export/excise duty |
17 |
18 |
<0.1 |
|
Parcel tax |
17 |
18 |
<0.1 |
Source:
(a) MFN applied tariff structure
63.
64.
65. A customs service charge (CSC) of 6% is applied on all imports, (including from other OECS and CARICOM countries), up from 5% at the time of the previous Review. The charge is applied on the c.i.f. value of the customs declaration. Exemptions from the CSC are granted to imports by governmental institutions, enclave manufacturers, as well as for imports of foodstuffs under 30 kg. A drawback is available for manufacturing enterprises that paid the CSC on imported inputs and subsequently export the processed goods.
66. CET changes are made at CARICOM level, but ultimate authority for tariff determination in
Table III.2
Structure of the tariff, 2006
|
1. |
Total number of tariff lines |
6,340 |
|
2. |
Non-ad valorem tariffs (% of all lines) |
0.4 |
|
3. |
Non-ad valorem tariffs with no AVEs (% of all lines) |
0.4 |
|
4. |
Tariff quotas (% of all lines) |
0.0 |
|
5. |
Duty-free tariff lines (% of all lines) |
23.5 |
|
6. |
Dutiable lines average rate (%) |
13.5 |
|
7. |
Domestic tariff "peaks" (% of all lines)a |
3.3 |
|
8. |
International tariff "peaks" (% of all tariff lines)b |
25.4 |
|
9. |
Bound tariff lines (% of all lines) |
97.5 |
a Domestic tariff peaks are defined as those exceeding three times the overall average applied rate.
b International tariff peaks are defined as those exceeding 15%.
Note: Based on the 2002 tariff schedule.
Source: WTO Secretariat calculations, based on data provided by the authorities of
67. The simple average
Table III.3
Summary analysis of the
|
|
| ||||||
|
|
|
|
|
Coefficient of |
Final bound | ||
|
Description |
No. of |
Average |
Range |
Variation |
average | ||
|
|
lines |
(%) |
(%) |
(CV) |
(%) | ||
|
Total |
6,340 |
10.3 |
0 - 70 |
1.1 |
77.0 | ||
|
HS 01-24 |
1,088 |
14.6 |
0 - 45 |
1.0 |
108.8 | ||
|
HS 25-97 |
5,252 |
9.4 |
0 - 70 |
1.1 |
71.4 | ||
|
By WTO category |
|
|
|
|
| ||
|
WTO Agriculture |
1,023 |
14.2 |
0 - 45 |
1.0 |
108.1 | ||
|
Animals and products thereof |
147 |
15.1 |
0 - 45 |
1.0 |
97.3 | ||
|
Dairy products |
24 |
7.5 |
0 - 25 |
0.8 |
99.0 | ||
|
Coffee and tea, cocoa, sugar etc. |
174 |
17.6 |
0 - 40 |
0.8 |
106.5 | ||
|
Cut flowers, plants |
56 |
9.0 |
0 - 40 |
1.6 |
100.0 | ||
|
Fruit and vegetables |
254 |
17.2 |
0 - 40 |
0.8 |
115.5 | ||
|
Grains |
29 |
14.5 |
0 - 40 |
0.9 |
104.0 | ||
|
Oil seeds, fats and oils and their products |
95 |
13.6 |
0 - 40 |
1.3 |
124.2 | ||
|
Beverages and spirits |
78 |
21.6 |
5 - 40 |
0.5 |
117.4 | ||
|
Tobacco |
10 |
19.0 |
5 - 25 |
0.5 |
100.0 | ||
|
Other agricultural products n.e.s. |
156 |
4.3 |
0 - 40 |
1.7 |
98.2 | ||
|
WTO Non-agriculture (incl. petroleum) |
5,317 |
9.6 |
0 - 70 |
1.1 |
70.9 | ||
|
WTO Non-agriculture (excl. petroleum) |
5,278 |
9.6 |
0 - 70 |
1.1 |
70.9 | ||
|
Fish and fishery products |
155 |
10.9 |
0 - 40 |
1.1 |
100.0 | ||
|
Mineral products, precious stones and precious metals |
415 |
8.6 |
0 - 25 |
1.1 |
70.0 | ||
|
Metals |
714 |
6.6 |
0 - 25 |
1.0 |
70.0 | ||
|
Chemicals and photographic supplies |
992 |
6.6 |
0 - 25 |
1.0 |
70.0 | ||
|
Leather, rubber, footwear and travel goods |
168 |
10.5 |
0 - 25 |
1.0 |
70.0 | ||
|
Wood, pulp, paper and furniture |
316 |
10.6 |
0 - 35 |
0.9 |
78.9 | ||
|
Textile and clothing |
949 |
12.5 |
0 - 30 |
0.8 |
71.1 | ||
|
Transport equipment |
187 |
12.5 |
0 - 45 |
1.2 |
70.0 | ||
|
Non-electric machinery |
593 |
5.9 |
0 - 30 |
1.5 |
70.1 | ||
|
Electric machinery |
269 |
12.1 |
0 - 30 |
0.9 |
70.0 | ||
|
Non-agriculture articles n.e.s. |
520 |
15.3 |
0 - 70 |
0.9 |
71.2 | ||
|
Petroleum |
39 |
8.1 |
0 - 25 |
1.1 |
70.0 | ||
|
By ISIC sectora |
|
|
|
|
| ||
|
Agriculture and fisheries |
427 |
13.6 |
0 - 40 |
1.2 |
107.3 | ||
|
Mining |
116 |
2.6 |
0 - 25 |
2.8 |
70.0 | ||
|
Manufacturing |
5,796 |
10.2 |
0 - 70 |
1.0 |
75.2 | ||
|
By HS section |
|
|
|
|
| ||
|
01 Live animals & products |
309 |
12.4 |
0 - 45 |
1.2 |
98.5 | ||
|
02 Vegetable products |
401 |
13.5 |
0 - 40 |
1.1 |
112.4 | ||
|
03 Fats & oils |
53 |
21.3 |
0 - 40 |
0.8 |
149.3 | ||
|
04 Prepared food etc. |
325 |
17.0 |
0 - 40 |
0.7 |
103.6 | ||
|
05 Minerals |
203 |
3.9 |
0 - 25 |
1.7 |
70.0 | ||
|
06 Chemical & products |
930 |
6.4 |
0 - 25 |
1.0 |
71.6 | ||
|
07 Plastics & rubber |
234 |
7.6 |
0 - 25 |
1.1 |
70.0 | ||
|
08 Hides & skins |
84 |
9.3 |
0 - 25 |
1.2 |
77.5 | ||
|
09 Wood & articles |
121 |
10.2 |
0 - 25 |
0.7 |
70.1 | ||
|
10 Pulp, paper etc. |
170 |
8.3 |
0 - 25 |
1.1 |
70.0 | ||
|
11 Textile & articles |
935 |
11.9 |
0 - 25 |
0.9 |
72.0 | ||
|
12 Footwear, headgear |
66 |
18.9 |
0 - 25 |
0.5 |
70.0 | ||
|
13 Articles of stone |
199 |
10.8 |
0 - 25 |
0.8 |
70.0 | ||
|
Table III.3 (cont'd) | |||||||
|
14 Precious stones, etc. |
61 |
15.2 |
0 - 25 |
0.7 |
70.0 | ||
|
15 Base metals & products |
708 |
7.3 |
0 - 25 |
1.0 |
70.0 | ||
|
16 Machinery |
895 |
8.5 |
0 - 30 |
1.2 |
70.1 | ||
|
17 Transport equipment |
197 |
12.2 |
0 - 45 |
1.3 |
70.0 | ||
|
18 Precision equipment |
248 |
10.7 |
0 - 30 |
0.9 |
70.0 | ||
|
19 Arms and ammunition |
20 |
43.0 |
0 - 70 |
0.7 |
88.6 | ||
|
20 Miscellaneous manufactures |
173 |
18.7 |
0 - 35 |
0.6 |
86.5 | ||
|
21 Works of art, etc. |
8 |
25.0 |
25 - 25 |
0.0 |
70.0 | ||
|
By stage of processing |
|
|
|
|
| ||
|
First stage of processing |
834 |
10.2 |
0 - 40 |
1.4 |
95.1 | ||
|
Semi-processed products |
1,827 |
4.7 |
0 - 40 |
0.9 |
71.6 | ||
|
Fully-processed products |
3,679 |
13.1 |
0 - 70 |
0.9 |
76.2 | ||
a ISIC (Rev.2) classification, excluding electricity (1 line).
Note: The calculation of averages excludes the 22 specific tariff rates. (The tariff was last changed in 2002).
Source: WTO Secretariat estimates, based on data provided by the authorities of
(b) Bound tariffs
68.
69.
(c) Tariff and tax concessions
70. Tariffs for goods may be maintained at rates below the CET and included in the List of Conditional Duty Exemptions to the CET, which states the purposes for which the goods may be admitted free of import duty or at a rate lower than the CET.
71. With the exception of goods classified as ineligible, the different incentives schemes put in place by
(d) Tariff preferences
72. Duty-free access is granted by
(v) Other levies and charges
73. Imports as well as domestic products are subject to a consumption tax, governed by the Consumption Tax (Amendment) Order, S.R.O: No. 4 of 2003. The general rates are 22.5% for goods and 4% for professional services; a number of products are subject to higher ad valorem rates. For imports, the consumption tax is levied upon importation and collected at the point of entry; it is calculated on the c.i.f. value plus import duties. For domestically produced goods the consumption tax is calculated on the ex-factory price. A few products are subject to specific consumption tax rates, i.e. tobacco, acetylene, and cement. All agricultural products grown in
74. Under the Trade (Bottle and Can Deposit Levy) Act No. 1 of 2002,
75. An environmental levy is imposed on imports of second-hand cars under Environmental Levy (Used Motor Vehicles) (Amendment of Schedule) Order No.12 of 2005. Since 2005, it has been set at a rate of EC$3,500 for cars imported between two and four years after the date of manufacture; and EC$5,000 for cars imported four years or more after the date of manufacture. A gasoline levy was eliminated in December 2006.
76. For reasons of public health, an excise duty at a rate of 15% was introduced in 2006 on alcoholic and tobacco products in 2006. It is levied on the c.i.f. values of these goods plus any applicable import duties and customs service charge.
(vi) Import prohibitions, restrictions, and licensing
77. Import prohibitions and restrictions are in general regulated by the Customs Control and Management (Amendment) Act No.7 of 2001 (Table III.4).
78.
Table III.4
Import restrictions, 2006
|
Prohibited items |
|
Base or counterfeit coin or currency notes from any country; coin or currency notes legally current in Saint Christopher and Nevis or any money purporting to be such, not being of the established standard in weight and fineness; articles or food intended for human consumption declared by the competent public health authority to be unfit for such purpose; indecent or obscene prints, paintings, photographs, books, cards, lithographic or other engravings, phonograph records, videos or any other indecent articles or matter; matches that contain white or yellow phosphorus; prepared opium and pipes or other utensils for use in connection with the smoking of opium or other narcotic drugs; preparations of opium or other narcotic drugs for smoking; any pistol or other apparatus in the form of a stylographic pen or pencil capable of firing any kind of shot or cartridge whatsoever or any cartridge containing tear gas; fictitious stamps or any die, plate, instrument or materials capable of making any such stamps; flick knives, gravity knives, black jack, bludgeon, switch knives and blades, night sticks, ratchet knives and other similar knives with flying blades, dagger or any sword, knife or any instrument having a blade ending in a sharp point, which is not primarily designed for use in a profession, craft or business or for domestic use; shock batons and stun guns; all publications, articles or other matter associated with black magic, secret magic, obeah, witchcraft or other magical arts and occultism; seditious publications, articles, prints, phonograph records or video; goods, the importation of which is prohibited by any other enactment |
|
Goods that require the written permission of the Commissioner of Police Firearms and ammunition including any lethal barrelled weapon from which any shot, bullet or other missile can be discharged or noxious fumes or liquid can be emitted or any component part of any such weapon or any accessory to such weapon designed or adapted to diminish the noise or other flash caused by firing such weapon; pepper spray and mace; explosives; handcuffs of any type Goods that require a licence from the Minister of Communications Radio and television transmitting equipment, including walkie talkies Goods that require a licence from the Chief Medical Officer Cannabis sativa, including parts of the plant, cannabis Indica, choras, ganja or any preparation or mixture of cannabis, choras or ganja; narcotic drugs and psychotropic substances including controlled drugs Goods that require the approval of the Comptroller of Customs Any goods whatsoever that bear a design in imitation of any currency or bank notes or coin in common use in Saint Christopher and Nevis or elsewhere Goods that require the written authority of the Minister responsible for National Security Tear gas or any ingredient that may produce what is commonly known as tear gas or tear smoke; laser pointers; any goods whatsoever that bear the coat of arms or the flag of Saint Christopher and Other restrictions All goods that if sold would be liable to forfeiture under the Merchandise Marks Act, Chapter 345, and all goods of foreign manufacture bearing any name or trade mark or purporting to bear the name or trade mark of any manufacturer, dealer or trader in Saint Christopher and Nevis, unless such trade name or trade mark is accompanied by a specific indication of the country in which the goods were made or produced; rare or threatened species of animals or plants, (including whales, elephants, flamingoes, parrots, turtles, tortoises, black coral, tree ferns, and orchids), their products and derivatives, (including ivory necklaces, carvings and rings, fur coat of protected species, turtle-shell combs, necklaces, bracelets and black coral jewellery), whose international trade is regulated by the Convention on International Trade in Endangered Species (CITES), unless such goods are accompanied by the appropriate permits signed by the CITES authorities in the country of exportation or importation; night scope binoculars and similar night vision instruments or apparatus of a kind generally used by the armed forces, paramilitary and other law enforcement agencies, unless with the written permission of the Minister responsible for National Security; uniforms or clothing including camouflage clothing used by the St Kitts and Nevis Defence Force or the Royal St Kitts and Nevis Police Force or closely resembling their uniform or clothing, unless with the written permission of the Commissioner; ozone depleting substances to be restricted under the Montreal Protocol on Substances that Deplete the Ozone Layer, 1987 and specified under Annexes A to E, unless under licence from the Minister responsible for the Environment. |
Source: Information supplied by the authorities.
79. The Statutory Rules and Orders, No. 14 of 1992 sets the rules for import licensing procedures and contains the list of products subject to licensing. The authorities indicate that no legislative changes have been introduced since
80. Under Article 56 of the CARICOM Treaty, the use of quantitative restrictions on imports of certain products from other CARICOM countries was allowed until end 2005.[16] It has been replaced by Article 164. (Promotion of Industrial Development) of the revised Treaty of Chaguaramas which allows less developed CARICOM countries to petition COTED to suspend Community origin treatment to products "as a temporary measure in order to promote the development of an industry."
81. Import restrictions in the form of quantitative limits, other than those allowed by Article 56, are applied to some agricultural imports from non-CARICOM countries. Eggs may be imported only by domestic egg producers whenever domestic production is insufficient. Also, imports of a number of vegetables (cabbages, carrots, onions, sweet peppers, tomatoes, and white potatoes) are subject to seasonal import restrictions. Licences are granted to import these items from outside of CARICOM only when domestic production cannot meet demand.
82. Permits are required for imports of any live animals, poultry or birds or carcasses and parts thereof, plants, planting materials, and pesticides (section 2(ix)). The importation of arms and ammunition requires a licence from the Commissioner of Police under the Firearms Act. No. 23 of 1967.
(vii) Contingency measures
(a) Anti-dumping and countervailing measures
83.
84.
(b) Safeguards
85.
86.
87.
(viii) Technical regulations and standards
88.
89. Technical regulations and standards are developed by the Saint Christopher and Nevis National Bureau of Standards, which was established by the National Bureau of Standards Act No. 7 of 1999, and started operating in 2000. The National Bureau of Standards is under the umbrella of the Ministry of Foreign Affairs, International Trade, Industry, Commerce and Consumer Affairs and is managed by the Standards Council, composed of representatives of the public and private sectors. The Bureau's statutory function is to prepare, promote, and generally adopt standards. The Bureau also has the mandate to maintain testing facilities, to carry out testing, calibration, and certification, and to publish standards marks.
90. The adoption/adaptation of technical regulations and standards is prepared in technical committees in the Bureau, and must be approved by the Standards Council, which is in charge of declaring and publishing them. The Bureau is also in charge of making regulations on labelling, on the sale, import or export of goods for which a mandatory standard specification has been declared, and for granting licences to use a standard mark.
91. The Standards Council may recommend that a standard becomes mandatory. The recommendation is examined by the Ministry of Foreign Affairs, International Trade, Industry, Commerce and Consumer Affairs, which may declare the standard mandatory, by Order, to be implemented through a technical regulation. Standards that may be declared mandatory are CARICOM standards adopted by the Bureau as national standards, or standards that are primarily intended to protect health and safety, ensure quality in goods for export, prevent fraud from misleading advertising, give information to the consumer, and ensure quality in cases of restrained supply. Non-conformity with technical regulations (mandatory standards) is punishable by a fine of up to EC$5,000, or up to two years imprisonment. Conformity may be verified at the border in the case of imports, and through internal checks in the case of domestic products.
92. No information was made available to the Secretariat with respect to the number of technical regulations adopted during 2001-06.
(ix) Sanitary and phytosanitary measures
93. The authorities indicated in the context of this Review that
94.
95. Phytosanitary conditions for imports of plants are regulated by the Plant Protection Act, Cap 97 of the Laws of St. Kitts and
96. Imports of live animals, birds, poultry, and carcasses require import licences and sanitary certificates, under the Animal (Disease and Importation) Act, Cap 107 of the Laws of St. Kitts and
97. Permanent SPS measures may require the enactment of legislation by Parliament, but the Minister in charge of Agriculture also has the authority to impose measures on an emergency basis. The authorities stated in the context of this Review that the adoption of measures is based upon a review of the risks involved, both in scientific and economic terms, of not taking action. Whether a measure is imposed on an emergency or a non-emergency basis, notification is given to national stakeholders and trading partners only after the fact. Measures are published in the Gazette, but there is no provision for the solicitation or consideration of comments prior to their entry into force. Measures are also publicized through new media, postings at the air- and seaports, and in meetings of the Caribbean Veterinary Association.
98.
99.
100.
(2) Measures Directly Affecting Exports
(i) Documentation, export taxes, and restrictions
101. Exporters are not required to register. Up to four documents may be required for exportation, depending on the destination; an export declaration (shipping bill); invoice; certificate of origin (for preferential trade); and a phytosanitary certificate (when required). Export licences are also required for vegetables, monkeys, and several types of seafood (conchs, crustaceans, fish, and lobsters).
102. Export taxes are applied on some live animals, lobsters, and cotton, in accordance with the Export Duty Ordinance (Amendment) Act No. 4 of 1970. The rates remain unchanged from those listed in the previous Review. Revenue from this tax represents less than 2% of tax revenue. Exports are exempt from internal taxes.
103. There is no export promotion agency in
104. Export restrictions and licensing are governed by the External Trade Order No. 32 of 1958. These restrictions are generally for safety and health purposes. Export licences are administered by the Supply Office of the Ministry of Foreign Affairs, International Trade, Industry, Commerce and Consumer Affairs. The exportation of wild birds is forbidden in accordance with the CITES. Exports of narcotic drugs and psychotropic substances, as well as goods bearing the coat of arms or flag of
(ii) Export subsidies, financing, support, and promotion
105.
106.
107. Some benefits granted under incentive schemes are contingent upon exportation, especially those available after the end of the 15-year tax holiday granted to some enterprises. In this respect, concessions in the form of tax credits are granted under the Fiscal Incentives Act, which provides for income tax relief on the profits accruing from a company’s exports. This benefit applies only to an enterprise that is exporting, and may not be granted while it is enjoying a tax holiday and duty-free imports of raw materials and capital goods. The maximum tax holiday under the Fiscal Incentives Act, 15 years, is granted to enclave enterprises exporting their entire production. The authorities could not provide estimates of revenue foregone under the Fiscal Incentives Act for the period 2001‑06.
108. At present,
109.
(3) Measures Affecting Production and Trade
(i) Legal framework for business and taxation
110. The incorporation and registration of companies in the federation differs somewhat on its two constituent islands. In St. Kitts the process is regulated by the Companies Act No. 22 of 1996. The incorporation of companies in
111. The Federation of St. Kitts and Nevis is party to double taxation treaties with
112. There is a social services levy of 8%, half of which is paid by the employer. Corporate tax is 35% of net profits for ordinary (not exempt) companies; there is no personal income tax. Corporate tax does not apply to trusts, limited partnerships, and exempt companies or to enterprises that have been granted a tax concession. There is a capital gains tax of 20% on profits or gains derived from a transaction relating to assets located in
113. The operations of offshore (exempt) companies are also regulated by the Companies Act and the Nevis Island Business Corporation Ordinance. Exempt companies pay no income, capital gains, withholding, or stamp taxes for operations conducted outside the Federation of St. Kitts and
114.
(ii) Incentives and assistance
115.
116.
117. At the end of the tax holiday period, the Act provides companies with a further tax incentive based on the share of export profits in their total profits. The income tax rebate is: 25% when export profits are between 10% and 20% of total profits; 35% between 21% and 40%; 45% between 41% and 60%; and 50% when export profits exceed 60% of total profits. In addition, companies enjoying tax holidays under the Fiscal Incentives Act are allowed duty-free imports of machinery, equipment, spare parts, building materials, raw and packaging materials, and others, as appropriate, to be used in eligible enterprises.
118. There are sector-specific incentives for tourism, as included in the Income Tax Act No. 17 of 1966; and the Hotels Aid (Amendment) Act (1998); (Chapter IV(3)(vi)). Tax waivers are also granted on a case-by-case basis to foreign investors for the construction of infrastructure, with preference given to the construction of hotels, casinos, and villas. These incentives are decided by Cabinet; they do not require approval by the National Assembly.
119. Enterprises may receive concessionary credits funded or guaranteed by the Caribbean Development Bank (CDB) for projects of between US$750,000 and US$5 million. Loans from ordinary capital resources are at an annual rate of 6% (public sector) or 8% (private sector) per year, with a repayment period of up to 22 years. Loans from special fund resources are granted to
120. The Development Bank of
121.
(iii) Competition policy and regulatory issues
(a) Competition policy
122.
(b) Price controls
123. The Price Control Order of 1999, Statutory Rules and Orders No. 15 of 1999 fix maximum wholesale and retail prices for a large number of goods. While the list of items that are de jure subject to such controls is relatively long, government officials indicate that the controls are exercised for a more limited range of essential products. These include cement, milk, and cooking gas. Prices for these goods are periodically updated. Maximum wholesale prices are the same throughout the Federation, but maximum retail prices are fixed for
124. In December, 2006 the Government accepted a recommendation from the ECCB Monetary Council to adopt the international best practice for implementing the “full pass through” system in respect of the price of unleaded fuel. This policy ensures that the prices consumers pay at the pump reflect international oil price movements. The authorities nevertheless note that in introducing this measure they have sought to mitigate the potential adverse effects on motorists, in part by imposing a maximum profit margin for dealers and retailers.
125. In the 2007 Budget Address, the Government stated the need to monitor consumer prices and to intervene in all relevant markets where necessary to protect the population, and that during the upcoming year Government would tighten up the price-control regime. The declared policy is to restrict intervention to goods and services that are particularly influential on the cost of living and on the quality of life of lower-income families.
(c) State-owned enterprises and privatization
126.
127. The Supply Office of the Ministry of Foreign Affairs, International Trade, Industry, Commerce and Consumer Affairs has an import monopoly on wheat flour in bulk (packages bigger than 5lbs), rice in bulk (packages bigger than 10lbs), and evaporated milk. The monopoly does not extend to imports in retail-size packages.
128. Until its demise in 2005, the St. Kitts Sugar Manufacturing Corporation (SSMC) was the sole de jure producer and exporter of sugar. The Central Marketing Corporation (CEMACO) acts as marketing agent for non-sugar agricultural produce, and competes with the private sector; its monopoly rights on the non-sugar sector have been abolished. The authorities note that CEMACO acts practically as a retailer competing with private retailers. Farmers are not obliged to sell their product to CEMACO, and CEMACO does not offer preferential prices, nor is it obliged to purchase farmers’ produce if it considers that the purchase will not enhance its profitability. However, CEMACO does act as an outlet for excess produce; buying farmers' produce generally at fixed prices. Consequently, CEMACO functions in practice as a price stabilizer, absorbing excess supply and preventing prices from falling. It does not currently provide farmers with agricultural extension services; the authorities note that they intend to remedy this, and expect to transform non-sugar agriculture into a commercially oriented sector.
129. The three other public enterprises, the Air and Seaport Authority, the Development Bank of
(iv) Government procurement
130. Public finance figures indicate that public sector current expenditure on goods and services totalled EC$115.1 million, in 2005 some 9.7% of
131.
132. In an attempt to begin centralizing the procurement process, a Central Purchasing Unit (CPU), was created under the Ministry of Finance in 2000. The CPU procures stationary, furniture, and equipment for all sectors of government; procurement of small amounts of other items is decentralized. For the procurement of supplies, local purchase orders are used in many cases and procurement is at ministry level; quotations from three different local suppliers are obtained, and the supplier is chosen on a price-competitive basis (the bid with the lowest price is selected).
133. Tendering for small local public works projects may be done at a local and regional level only. Procurement for large projects for governmental agencies is centralized, and tenders must be submitted to the Government's Tenders Board, which makes its decision based on price considerations. Tender notices are published in the Government Gazette.
134. No information was available with respect to the procurement or selection processes, nor on the legal statutes that govern government procurement in
135. Imports for government consumption are not subject to customs duties or consumption tax, but they are subject to the customs service charge.
(v) Intellectual property rights
136. Several changes have been made to the domestic legal regime during the review period. Legislation on trade marks, patents, and copyright was updated in 2000, when three Acts dealing with these issues were passed by Parliament; these laws entered into force in 2002. In March 2007, Parliament approved the Geographical Indications Act No. 6 of 2007. In the 2007 legislative session, Parliament was also expected to take up bills concerning protection of layout designs of integrated circuits and new plant varieties. Internal consultations were still under way as of May 2007 on projects for the protection of industrial designs, utility models, and undisclosed information.
137. As at March 2007,
Table III.5
Membership in international instruments on intellectual property rights, 2006
|
Convention/Agreement |
Accession |
|
The Convention Establishing the World Intellectual Property Organization (1970) |
|
|
The |
|
|
The Berne Convention for the Protection of Literary and Artistic Works, |
|
|
Patent Cooperation Treaty (1970) |
|
|
Nice Agreement Concerning the International Classification of Goods and Services for the Purposes of the Registration of Marks (1957) |
|
Source: World Intellectual Property Organization online information. Viewed at: www.wipo.int.
138. The administration of intellectual property laws in
(a) Trade marks
139. The Marks, Collective Marks and Trade Names Act No. 10 of 2000, entered into force in 2002 via Appointed Day Order No. 22 of 2002. The exclusive right to a trade mark is acquired through registration in the Register of Marks. The Act extends protection to all marks, that is all visible signs capable of distinguishing goods (trade marks) or services (service marks). It extends protection to collective marks and trade names, which were not protected under the previous Act. The term of protection is ten years, renewable for consecutive periods of ten years each. The Act provides for the right of priority of an earlier national or regional application filed by the applicant in any WTO Member or State party to the Paris Convention, which was not the case under the previous legislation. The 2000 Act also contains provisions on licences.
(b) Patents
140. The Patents Act No. 9 of 2000 repealed the Patents Act, Cap 189, and the Registration of United Kingdom Patents Act, Cap 190 of the Laws of St. Kitts and
141. The 2000 Act contains provisions to grant the right of priority to WTO Members and parties to the Paris Convention, and provisions on compulsory licensing in cases of public interest, in particular, national security, health or the development of vital sectors for the economy, or if the exploitation of the patent is deemed to be anti-competitive by the Government, or there has been non-use of a patent.
(c) Copyright
142.
143. The Act introduced copyright protection in audio-visual production made by foreign performers and foreign producers, as well as neighbouring rights in a broadcast made by a foreign broadcasting organization. Protection was broadened to include, within the meaning of literary works, computer programs and tables and compilations. The new legislation introduced provisions with respect to copyright licensing. The Copyright Act of 2000 also extends protection of moral rights to producers of phonograms and to performers. Copyright owned by international organizations is protected for 50 years from the date of creation of the work.
(d) Enforcement of intellectual property rights
144.
145. Infringement of the right to a mark may lead to a High Court injunction; an award of damages; an order to seize, forfeit or destroy any infringing product or article; or to other remedies as decided by the High Court. The High Court must also decide on infringement patents and copyright, based on the existing legislation. With the entry into force of the new trade marks legislation in 2002, Customs is now authorized to seize imports to prevent goods infringing marks from entering the country. Forging a mark or a collective mark, or importing products containing a forged mark or infringing the right to a mark is liable to a fine of not less than EC$15,000 but not more than EC$40,000, or to imprisonment of 5 to 12 years.
146. Under the 2000 Patents Act, a plaintiff in an infringement case is entitled to relief by the way of an injunction to restrain the defendant from causing the infringement; an order to deliver up or destroy the infringing product (this could lead to seizure of imports); damages; an account of the profits derived from the infringement by the defendant; or any other relief mandated by the Court.
147. The new Copyright Act introduced provisions on civil and criminal proceedings for copyright infringement through the sale, hire or importation of goods. Remedies for infringement of economic rights include seizure of infringing copies and adjudication of damages; infringement of copyright is punishable by a fine of up to EC$250,000, up to five-years imprisonment, or both.
IV. trade policies by sector
(1) Agriculture
148. The contribution of agriculture to Gross Domestic Product in current prices declined to just 3% between 2002 and 2005, due to lower production of sugar cane and of other crops. The share of agriculture is expected to have declined even further in 2006 and 2007 as sugar production was halted at the end of July 2005. The contribution of sugar cane to GDP was just 0.5% in 2005. Production was in St. Kitts, where it was the main crop until 2005;
149. The main event during the period under review has been the closure of the sugar industry. The St. Kitts Sugar Manufacturing Corporation (SSMC), the sole producer and exporter of sugar, continued to make heavy losses up to the end of July 2005, when the Government decided to close it. The closure left some 1,500 workers unemployed, equivalent to some 12% of the labour force. These workers were given EC$44 million in severance payments, and the OECS Secretariat was requested to help prepare a study to facilitate their insertion in other parts of the economy.[26] The closure was prompted by the industry's high production costs, which averaged EC$2,440 per tonne, while the average selling price was about half that level. Sugar exports have taken place under quotas and preferential price conditions. For sales to the EC,
150. In support of the former sugar industry workers, and the post-sugar industry rehabilitation programme the Food and Agriculture Organization (FAO) assisted the Government through an emergency support project valued at US$393,000.00. This provided technical support and the supply of the necessary inputs for the establishment of 100 crop and 46 livestock enterprises for the most affected displaced workers.
151. Production of non-traditional crops also lost GDP share during the period under review, affected especially during the 2004-05 period by adverse weather conditions.[30] However, there seems to have been a substantial recovery since 2006: non-sugar crop production showed marked increases for the first nine months of 2006, compared with the same period for 2005. Particularly dynamic were certain fruits such as pineapple, papaya, and watermelon, as well as tomatoes. The production of white potatoes, sweet potatoes, onion, sweet peppers, and peanuts has also been increasing. The increase in food crop production resulted in small exports to the nearby islands. Agri-processing has developed significantly with the activation of a processing unit for a wide range of local fruits into dehydrated products as well as juices. There was a substantial increase in livestock production during 2006, particularly pork production.[31]
152. The Department of Agriculture in the Ministry of Housing, Agriculture, and Fisheries formulates the overall agricultural policy and sector-specific policy measures; the Department of Fisheries is responsible for fisheries policies. The Government provides some support services to farmers, such as a Farmer Training Programme, and market research and marketing assistance. A number of financial incentives are also granted to the sector, for example, a special rate for water used by farmers for agriculture, and duty and tax concessions on farm vehicles, farm equipment, and farm inputs.
153. The primary objective of the Government’s strategy for the development of agriculture, following the closure of the sugar industry, is to significantly increase agricultural production in a sustainable manner through the transformation of the sector to satisfy local demand and to supply selected export markets.[32] The focus is on developing commercial farms for both crop and livestock production. Production will be market-led with special emphasis on commercialization of farms, in an attempt to make the sector internationally competitive. The main goals of the strategy are to: (i) foster food security; (ii) raise rural incomes; (iii) provide employment options; and (iv) generate foreign exchange savings. The Department of Agriculture has been placing great emphasis on the development of fruit production and exportation; the Marketing Unit of the Department has been conducting field visits to nearby markets.
154. Until 2005, the St. Kitts Sugar Manufacturing Corporation (SSMC) was the only producer and exporter of sugar. The Central Marketing Corporation CEMACO acts as marketing agent for non-sugar agricultural produce, and competes with the private sector; its monopoly rights have been abolished. CEMACO acts as an outlet where farmers dispose of excess supply of a product, and functions in practice as a price stabilizer, absorbing excess supply and preventing prices from falling. CEMACO does not provide farmers with agricultural extension services.
155. Tariff protection is higher for agricultural products than for non-agricultural goods. The 2006 applied MFN tariff on imports of agricultural products (WTO definition) averaged 14.6%. Using the ISIC classification, the average tariff on agriculture and fisheries was 13.6% in 2006, compared to an average tariff of 10.3%. Some agricultural products, such as fruit and vegetables, animals and products thereof, beverages and spirits, coffee and tobacco benefit from higher than average protection (Table III.3). All agricultural products grown in
(2) Manufacturing
156. The manufacturing sector, including food processing, accounted for 9.7% of current GDP in 2005. Manufacturing lost GDP share over the 2000-05 period, but increased in 2006. The production of refined sugar declined substantially during 2001-05, and was stopped at the end of the July 2005 harvesting season. The manufacturing sector in St. Kitts and Nevis now comprises mainly light manufactures like beverages (beer, malt, rum, bottled water, and soft drinks), and pasta for the domestic market; and enclave industries that assemble electrical or electronic components, and traps for the cable industry, for the external market, particularly the United States. During the review period production of concrete, electronic components and bottled water has increased. In 2006, production benefited from increased international demand, which led to the expansion and upgrading of certain industries, concentrating in products with higher value added.[33]
157. The 2006 average MFN tariff on imports of industrial products (ISIC-2 definition) was 10.2%, with a peak of 70%. The highest average tariffs are applied on beverages and tobacco, clothing and apparel articles, footwear, and other manufacturing articles. Incentive schemes are available for manufacturers. The Fiscal Incentives Act grants tax relief from corporate tax and customs duties to approved enterprises for up to 15 years (Chapter III(3)(ii)).
(3) Services
(i) Main features
158. Sector-specific commitments under the General Agreement on Trade in Services (GATS), were made in 5 of the 12 main service areas: financial services (other financial services), tourism and travel related services (hotels and restaurants); recreational, cultural and sporting services (entertainment and sporting services); communications services (telecommunication services); and transport services (maritime transport).
159. With the exception of hotel and restaurant services, no sector-specific commitments are limitations for cross-border supply and consumption abroad. In contrast, certain sector-specific commercial presence limitations are maintained in most subsectors in which commitments were undertaken. In the case of tourism, a market access commitment, without restrictions, is granted for hotels in excess of 50 rooms. As regards the presence of natural persons, market access and national treatment are generally unbound or subject to limitations.
160.
(ii) Telecommunications
161.
162. There are no limits on foreign ownership of telecom companies, nor are there citizenship requirements for directors. All telecom licensees must be established as local companies. Mobile calls are subject to a 5% tax, which has replaced a 5% surcharge applied on international calls prior to liberalization of the market. There are no sector-specific fiscal incentives.
163. The Prime Minister is the Minister for Telecommunications, and is assisted by the Minister of State in the Ministry of Finance, Sustainable Development and Information Technology. The National Telecommunications Regulatory Commission of St. Kitts and Nevis (NTRC) is responsible for regulation of the sector. At the regional level, the Eastern Caribbean Telecommunications Authority (ECTEL) plays an important advisory and policy-coordinating role (see Overview Report). The main legislation governing the sector is the Telecommunications Act No. 2 of 2000, (as amended by Act No. 12 of 2000), which deregulated the sector and opened it to competition. This Act, as amended, is substantially the same as the telecom laws of the other OECS ECTEL-Member States. It, inter alia, specifies criteria for the granting of a licence; universal service conditions that may be applied; and procedures for concluding interconnection agreements. In the Second Schedule to the Telecommunications Act (as amended), the Minister responsible for telecommunications is empowered to attach terms and conditions to licences granted. To date, these have included universal service requirements, and, in one case, a licensee was required to establish a joint venture with a local company. The Telecommunications (Tariff) Regulations No. 17 of 2004 stipulate that where there is effective competition in the telecommunications market, licensees may set tariffs. In services where there is insufficient competition, the NTRC may designate this service as a regulated service; within 30 days, the telecoms provider must file an applicable tariff with the Commission for approval. The tariffs for regulated services in
164. Key changes over the period since liberalization have been a major increase in mobile penetration (from 14% in 2002 to 104% in 2006), as well as a corresponding increase in local traffic originating from mobile phones. Fixed line penetration has decreased gradually, as has local traffic originating from a fixed line. Other indicators have either fluctuated since 2002, showing no clear trends or have remained stable (Table IV.1).
165. As at May 2007, 11 individual licences had been issued in
Table IV.1
Telecommunications statistics, 2002-06 (March)
|
|
2002 |
2003 |
2004 |
2005 |
2006 |
|
Telecommunications revenues (EC$ million) |
80 |
84 |
88 |
98 |
91 |
|
Fixed-line penetration (%) |
52 |
52 |
49 |
42 |
41 |
|
Mobile penetration (%) |
14 |
32 |
47 |
61 |
104 |
|
Internet penetration (%) |
9 |
10 |
13 |
17 |
18 |
|
Investment (EC$ million) |
29 |
17 |
17 |
38 |
23 |
|
Employment |
150 |
122 |
120 |
140 |
159 |
|
Local traffic from a fixed line (million minutes) |
n.a. |
154 |
117 |
110 |
118 |
|
Local traffic from a mobile phone (million minutes) |
n.a. |
5 |
15 |
15 |
10 |
|
International outgoing traffic (fixed and mobile) (million minutes) |
14 |
16 |
15 |
15 |
n.a. |
n.a. Not applicable.
Source: Information provided by ECTEL.
166. With respect to the fixed line market, although three licences have been granted, the incumbent, Cable and Wireless, is currently the only provider. According to the authorities, the new entrants have claimed that they are experiencing difficulties negotiating interconnection terms with the incumbent; however, this issue has not reached the NTRC for action. The authorities note that, following liberalization of the market, Cable and Wireless changed the fee structure for fixed line calls to adopt what they considered to be a market-orientated approach to call tariffs; previously, international calls had subsidized local calls. Fixed-to-fixed line tariffs for peak time local calls were raised from EC$0.08 to EC$0.09 per minute, and fixed line tariffs for peak time calls to the United States were reduced in 2003 from EC$3.60 to EC$1.65 per minute. The Price Cap Plan introduced in 2004 resulted in reductions in certain fixed line tariffs: peak tariffs for local fixed-to-fixed calls have decreased to EC0.07 per minute, and off-peak tariffs for local fixed-to-fixed calls have fallen from EC$0.07 per minute to EC$0.05 per minute. For fixed-to-mobile calls peak tariffs have fallen from EC$0.76 to EC$0.71 and off peak tariffs from EC$0.76 to EC$0.69. The costs of calls to other
167. Competition in the mobile market began in April 2005, with two additional licencees, AT&T Wireless Services and UTS-Cariglobe Mobile services, commencing operations in addition to Cable and Wireless. In spite of increased competition, ECTEL has reported that rates for mobile to mobile and mobile to fixed line calls have remained stable; Cable and Wireless, the first operator in the market had set high tariffs, in the absence of regulated prices. Tariffs for mobile to mobile range from EC$0.50 per minute for calls on the same network to EC$0.89 for calls between networks. The tariff for mobile to fixed was EC$0.85 per minute in 2006.[35] The authorities note that the reasons for the major growth in the mobile phone market include: increases in the availability of pre-paid mobile services; low prices for handsets; and an increasing trend for individuals to have more than one mobile phone to take advantage of the lower cost of calls on the same network. The authorities also note that the termination rates, which the operators had negotiated between themselves, were high and interconnection issues were being looked into. As reported by ECTEL, 90% of mobile subscribers have pre-paid mobile phones.
168. Of the four companies licensed to provide Internet networks and services, three are currently operational (Cable and Wireless, The Cable, and Caribbean Cable Communications). All providers offer high speed Internet access and, as in other OECS countries, there has been a marked shift in
(iii) Financial services
169.
(a) Onshore banking and insurance
Banking
170. Domestic banks in
171. In order to carry out banking business in St. Kitts and Nevis, banks must be licensed by the Minister of Finance, and fulfil the conditions required for licensing (see Overview Report). These include that banks (both local and foreign institutions) must have a place of business there. Citizens and companies of
172. At the end of 2006, there were six commercial banks operating in St. Kitts and Nevis: three are branches of foreign banks (Bank of Nova Scotia, First Caribbean International Bank (Barbados) Ltd, and, Royal Bank of Canada); one is a subsidiary of a foreign bank that has been locally incorporated (RBTT Bank (SKN) Ltd); the other two are locally incorporated and locally owned (Bank of Nevis and St. Kitts-Nevis-Anguilla National Bank Ltd.).[37] Information was not available on whether the Government of St. Kitts and
173.
174. The IMF has expressed concern that the burden of financing the public sector deficit largely falls on domestic institutions, thereby increasing the vulnerability of locally owned banks. It emphasized the importance of strengthening prudential supervision, so to better assess the financial sector's health.[40] As noted by the ECCB, the public sector deficit is being financed largely by resort to the Regional Governments Securities Market (RGSM).
Insurance
175. There are 16 registered insurance companies in
176. A uniform Insurance Act for all OECS Member countries is at an advanced stage of drafting and expected to be transposed into national legislation. Until then, the onshore insurance business in the OECS remains governed by the Insurance Act No. 14 of 1968. Insurance businesses operating in the domestic market or in businesses exclusively in EC dollars must be licensed under this Act. Licences may be granted either for two years or longer. The Act requires insurers to maintain a deposit equivalent to 10% of annual average premium income. For companies licensed to operate for two years or more, the latter is defined as the annual average of the gross premiums payable within two to ten years for policies issued by the registered insurer in St. Kitts and Nevis; for insurers holding a two-year licence, it is half of the premium income. There are no citizenship requirements for managers or directors of insurance companies. The authorities confirm that there is no legal restriction on companies located abroad from offering insurance coverage to locals.
177. Individuals and companies remitting payments to persons outside of St. Kitts must deduct a 10% withholding tax from non-life insurance premiums.[41] This withholding tax does not apply to reinsurance premiums.
(b) Offshore financial services
178.
179. There are no offshore banks licensed in St. Kitts; there are, however, 48 captive insurance companies licensed. There is one offshore bank (the International Bank of Nevis), registered in
180. In June 2000,
181. Among institutional and legislative changes that are applicable both in St. Kitts and in Nevis are the enactment of the Proceeds of Crime Act No. 16 of 2000 and the Anti-Money Laundering Regulations (2001, with amendments in 2001 and 2002), as well as the creation of the Financial Services Commission, under which, Financial Services (Exchange of Information) Regulations were promulgated in 2002. These regulations set out the powers of the Financial Services Commission to obtain information and to assist a foreign regulatory authority with its inquiries. In addition, a Financial Intelligence Unit was established in 2000. Its role includes collecting and acting upon suspicious transaction information and liaising with money laundering intelligence agencies outside
182. Under the Financial Services (Regulations) Order No. 25 of 1997, authorization from the Minister of Finance is required to carry out any offshore finance business (deposit-taking, investment, insurance, assurance, trust, corporate business) within St. Kitts.
183. Offshore banks and insurance companies in St. Kitts are regulated by the Companies Act No. 22 of 1996 (as amended); the Limited Partnerships Act of 1996; and, the Captive Insurance Companies Act No. 12 of 2006.[46] Amendments to the Companies Act included the creation of a mechanism to register bearer shares that includes identifying the beneficial owners, as well as new requirements that a company's secretary must be a resident of the Federation and that the registered office of the offshore entity must be at the place of business of a registered agent or person authorized under the Order. Captive insurance companies may only provide insurance for risks that take place abroad. Companies and limited partnerships are exempt from all taxes as long as they conduct their business exclusively with non-residents.
184. The Nevis Island Administration has issued several Ordinances that govern offshore business in
185. The Nevis Offshore Banking Ordinance, 1996 (as amended) governs offshore banks in
186. The Nevis Offshore International Insurance Ordinance (2004, as amended in 2006), and the Nevis International Insurance Regulations (2004) and the Nevis International Insurance Regulations (2006), govern the offshore insurance sector.[51] Offshore insurance companies must be registered with the Registrar of International Insurance. They must have a registered office in Nevis, and either a management in
187. The 2006 amendment to the Ordinance provided for the establishment an Insurance Advisory Committee to report to and advise the Minister on matters connected with the development and regulation of the international insurance industry.
(iv) Air transport
188.
189. A contract awarded in 2005 to upgrade and expand the
190.
191. Overall responsibility for air transport in St. Kitts and Nevis rests with the Minister of Public Works, Utilities, Transport and Postal Services. The Air Transport Licensing Board deals with applications for air transport licences, and sets landing charges. At the regional level, regulatory oversight for safety and security issues is provided by the Eastern Caribbean Civil Aviation Authority (ECCAA). Responsibility for the airports rests with the St. Christopher Air and Sea Ports Authority and the Nevis Air and Sea Ports Authority. These authorities provide all airport management and auxiliary services, with the exception of ground handling services, which are provided by private local companies.
192. The main legislation governing the sector is the Civil Aviation Act, 2004. The Act specifies the criteria to be considered in the granting of an air transport licence: existence of other air services; need/demand for the proposed service; and any unfair advantage of the applicant over other operators by reason of the terms of employment of persons employed. The Minister has final authority to suspend consideration of the application. For countries with which
193.
194.
(v) Maritime transport
195.
196. The Ministry of Public Works, Utilities, Transport and Posts is responsible for maritime transport formulation and management.
197. The main legislation governing maritime transport is the Merchant Shipping Act of 2002 as amended in 2005. Under the Act, persons qualified to own St. Kitts and Nevis ships include: St. Kitts and Nevis citizens; CARICOM citizens resident in a CARICOM member state as long as the ship is engaged in international voyages; individuals or corporations in joint-venture shipping enterprise relations with St. Kitts and Nevis citizens; corporations established and with a registered office in St. Kitts and Nevis; and any other persons determined by the Minister. Non-eligible persons may register a ship under the
198. According to the authorities, there are no restrictions on cabotage. There are no government-owned cargo vessels, and government cargo is not reserved for domestically flagged vessels.
199. The main ports in St. Kitts are
200. In 2003, UNCTAD reported the cost of freight as a percentage of the value of imports in
201. During the review period, steps have been taken to upgrade security at
202.
(vi) Tourism
203.
204. In 2005,
205. The Minister of Tourism has overall responsibility for the formulation of tourism policy and implementation in
206.
207. In 2005, the Government of St. Kitts and Nevis enacted a Cricket World Cup 2007 (Tourism Accommodation Incentives) Act (No. 11, 2005), providing tax incentives for a limited period for the construction or conversion of buildings into hotels, villa resorts, condominiums or residential complexes of at least eight bedrooms. These include tax holidays, the duration of which varies according to the number of rooms[61]; and customs duty and consumption tax exemptions on imports of building materials for a period to be determined by the Cabinet. A Customs Service Charge still applies. Applications for tax benefits had to be made to the Cabinet for approval before
208.
(vii) Professional services
209.
210. Professional services are regulated by the Government rather than by self-regulating professional bodies. Very little information was available regarding the processes for recognizing professional qualifications obtained abroad. Under the Licences on Business and Occupations Act (Act No. 6, 1972), as amended, certain professional service providers must obtain a licence from the Minister of Finance in order to practice. These professional service providers include medical doctors, dentists, lawyers, architects, and accountants (public, certified and chartered). Licences are valid for up to one year, and are renewable; application fees and annual renewal fees range from EC$500 to EC$1,000 depending on the profession concerned.[63] Certain professional service providers must also pay a consumption tax.[64]
211. A number of steps are being taken at the national and CARICOM levels to give effect to requirements of Chapter III of the Revised Treaty of Chaguaramas, which relates to the right of establishment and to the provision of services within CARICOM. According to the authorities, a Draft Model Professionals Bill has been developed at the CARICOM level, which, inter alia, deals with the requirements and procedures for the registration and licensing of certain service providers, including professional service providers. This should form the framework for laws for specific professions, to be transposed into national legislation.
212. Some general legislation indirectly affects the market access of foreign profession service providers. Under the Caribbean Community Skilled Nationals Act, No. 12, 1997, a regional initiative to enhance the free movement of skilled persons, CARICOM nationals who are university graduates may enter and work in
213.
(viii) Other offshore services
214. Offshore companies in St. Kitts are regulated by the Companies Act of 1996, and in
215. As reported at the time of the last Review of St. Kitts and
Agritrade-CTA (2006), EC sugar-sector reform: implications for ACP countries. Viewed at: http:// agritrade.cta.int/en/resources/extended_comments/eu_sugar_sector_reform_implications_for_acp_countries.
ECCB (2006a), Annual Economic and Financial Review 2005. Viewed at: http://www.eccb-centralbank.org/PDF/AEFR%202005%20-%20Final%20Document.pdf.
ECCB (2006b), National Accounts Statistics 2006. Viewed at: http://www.eccb-centralbank.org/ PDF/NAC06.pdf.
ECCB (2007), Annual Economic and Financial Review 2006. Viewed at: http://www.eccb-centralbank.org/PDF/AEFR%202006%20-%20Final%20Document.pdf.
ECTEL (2006), Annual Telecommunication Sector Review, 2006. Viewed at: http://ectel.int/ectelnew -2/Telecoms%20Market%20Data/ Telecoms%20Sector%20Review%202006.pdf.
Government of
Government of
OECS Secretariat (2005),
UNCTAD (2005), Étude Sur Les Transports Maritimes, Geneva.
Vuletin, Guillermo, "The Size of the Informal Economy in the Caribbean", Eastern Caribbean Currency
World Bank (2007),
Table AI.1
Merchandise exports and re-exports by group of products, 2000-06
(US$ million and per cent)
|
Description |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
|
|
(US$ million) | ||||||
|
Total |
33 |
31 |
27 |
48 |
42 |
34 |
.. |
|
|
(% of total) | ||||||
|
Total primary products |
24.6 |
25.2 |
4.1 |
18.3 |
33.4 |
4.2 |
.. |
|
Agriculture |
24.6 |
25.1 |
4.0 |
18.2 |
33.3 |
4.2 |
.. |
|
Food |
24.6 |
25.0 |
4.0 |
17.7 |
31.5 |
4.1 |
. |
|
1123 Beer made from malt (including ale, stout and |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
1.4 |
.. |
|
1110 Non-alcoholic beverage, n.e.s. |
3.2 |
1.6 |
1.1 |
1.0 |
1.1 |
1.3 |
.. |
|
1124 Spirits |
0.1 |
0.1 |
0.1 |
0.1 |
0.1 |
0.4 |
.. |
|
0361 Crustaceans, frozen |
0.7 |
0.4 |
0.5 |
0.5 |
0.5 |
0.3 |
.. |
|
0019 Live animals, n.e.s. |
0.1 |
0.1 |
0.2 |
0.1 |
0.0 |
0.2 |
.. |
|
0989 Food preparations, n.e.s. |
0.1 |
0.0 |
0.0 |
0.0 |
0.0 |
0.1 |
. |
|
Agricultural raw material |
0.0 |
0.0 |
0.0 |
0.6 |
1.8 |
0.1 |
.. |
|
Mining |
0.0 |
0.1 |
0.1 |
0.1 |
0.0 |
0.0 |
.. |
|
Ores and other minerals |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
Non-ferrous metals |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
. |
|
Fuels |
0.0 |
0.1 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
Manufactures |
75.4 |
74.8 |
95.9 |
81.7 |
66.6 |
95.8 |
.. |
|
Iron and steel |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
Chemicals |
0.2 |
0.2 |
0.1 |
0.4 |
0.2 |
0.1 |
. |
|
Other semi-manufactures |
2.2 |
2.9 |
2.6 |
1.3 |
0.5 |
1.3 |
.. |
|
6924 Reservoirs, tanks, vats of iron, steel or aluminium |
0.4 |
0.4 |
0.1 |
0.1 |
0.0 |
0.6 |
.. |
|
6415 Paper and paperboard, uncoated, rolls or sheets |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.2 |
.. |
|
6956 Knives, cutting blades, for machines; plates, etc. |
0.5 |
0.0 |
0.1 |
0.0 |
0.0 |
0.1 |
. |
|
6911 Iron or steel structures, tubes and the like |
0.8 |
0.0 |
0.4 |
0.2 |
0.0 |
0.1 |
.. |
|
6995 Miscellaneous articles of base metal |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.1 |
.. |
|
Machinery and transport equipment |
66.3 |
65.4 |
88.3 |
77.1 |
62.9 |
90.6 |
.. |
|
Power generating machines |
3.0 |
0.1 |
0.4 |
0.8 |
0.2 |
4.1 |
. |
|
7165 Generating sets |
0.3 |
0.0 |
0.0 |
0.4 |
0.2 |
4.0 |
.. |
|
7169 Parts, n.e.s., for machines of 716 |
2.8 |
0.1 |
0.4 |
0.3 |
0.1 |
0.1 |
.. |
|
Other non-electrical machinery |
0.5 |
0.6 |
2.4 |
2.7 |
2.9 |
2.2 |
.. |
|
7232 Mechanical shovels, etc., self-propelled |
0.0 |
0.0 |
0.5 |
1.2 |
1.2 |
1.1 |
. |
|
7231 Bulldozers, angledozers, etc., self-propelled |
0.0 |
0.0 |
0.0 |
0.3 |
0.0 |
0.6 |
.. |
|
7283 Other mineral working machines |
0.1 |
0.0 |
0.5 |
0.0 |
0.0 |
0.1 |
.. |
|
Agricultural machinery and tractors |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
Office machines & telecommunication equipment |
1.1 |
4.5 |
4.7 |
0.1 |
0.5 |
2.4 |
. |
|
7643 Radio or television transmission apparatus |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.9 |
.. |
|
7649 Parts and accessories for apparatus of division 76 |
0.2 |
3.5 |
4.5 |
0.0 |
0.0 |
0.6 |
.. |
|
7763 Diodes, transistors, etc. |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.5 |
.. |
|
7642 Microphones and stands thereof; loudspeakers |
0.7 |
0.6 |
0.0 |
0.0 |
0.4 |
0.1 |
. |
|
7641 Electrical apparatus for line telephony/telegraphy |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.1 |
.. |
|
Other electrical machines |
57.7 |
58.8 |
79.6 |
73.1 |
58.5 |
80.7 |
.. |
|
7725 Switches, relays, fuses etc. for a voltage < 1000 V |
52.8 |
56.1 |
65.7 |
38.1 |
40.6 |
53.3 |
.. |
|
7786 Electrical capacitors |
4.7 |
2.5 |
13.7 |
34.7 |
16.8 |
27.1 |
. |
|
Automotive products |
0.9 |
1.0 |
1.0 |
0.2 |
0.5 |
0.5 |
.. |
|
7812 Motor vehicles for the transport of persons, n.e.s. |
0.6 |
0.8 |
0.5 |
0.1 |
0.4 |
0.2 |
.. |
|
Other transport equipment |
3.1 |
0.4 |
0.2 |
0.1 |
0.3 |
0.7 |
.. |
|
Textiles |
0.1 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
. |
|
Clothing |
2.1 |
1.6 |
1.1 |
0.3 |
0.2 |
0.1 |
.. |
|
Other consumer goods |
4.5 |
4.7 |
3.7 |
2.5 |
2.8 |
3.7 |
.. |
|
8928 Printed matter, n.e.s. |
2.8 |
3.1 |
1.1 |
1.6 |
1.2 |
1.9 |
.. |
|
8997 Basketware, etc., n.e.s., brooms, brushes, etc. |
0.2 |
0.7 |
0.4 |
0.4 |
0.6 |
0.9 |
. |
|
8921 Printed books, pamphlets, maps, etc. |
0.1 |
0.3 |
0.2 |
0.1 |
0.2 |
0.3 |
.. |
.. Not available.
Source: UNSD, Comtrade database (SITC Rev.3).
Table AI.2
Merchandise imports by group of products, 2000-06
(US$ million and per cent)
|
Description |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
|
|
(US$ million) | ||||||
|
Total |
196 |
189 |
201 |
205 |
182 |
210 |
.. |
|
|
(% of total) | ||||||
|
Total primary products |
29.9 |
28.2 |
24.1 |
27.8 |
32.0 |
29.6 |
.. |
|
Agriculture |
21.6 |
19.4 |
18.3 |
18.5 |
21.3 |
20.0 |
.. |
|
Food |
19.0 |
17.4 |
15.6 |
16.1 |
19.5 |
18.5 |
.. |
|
0123 Poultry, meat and offal |
1.5 |
1.6 |
1.5 |
1.5 |
1.9 |
2.0 |
.. |
|
0989 Food preparations, n.e.s. |
1.4 |
1.9 |
1.3 |
1.5 |
1.9 |
1.5 |
.. |
|
1110 Non-alcoholic beverage, n.e.s. |
1.6 |
1.4 |
1.2 |
1.2 |
1.1 |
1.4 |
.. |
|
0545 Other fresh or chilled vegetables |
0.8 |
0.7 |
0.6 |
0.6 |
0.6 |
0.6 |
.. |
|
1124 Spirits |
0.6 |
0.4 |
0.4 |
0.4 |
0.5 |
0.6 |
.. |
|
Agricultural raw material |
2.5 |
2.0 |
2.7 |
2.3 |
1.9 |
1.5 |
.. |
|
2482 Wood of coniferous, sawn of a thickness > 6 mm |
1.0 |
0.7 |
0.9 |
0.8 |
1.0 |
0.6 |
.. |
|
2483 Wood, coniferous (incl. for parquet flooring) shaped |
0.9 |
0.8 |
0.4 |
0.5 |
0.3 |
0.5 |
.. |
|
Mining |
8.3 |
8.8 |
5.9 |
9.4 |
10.6 |
9.6 |
.. |
|
Ores and other minerals |
0.2 |
0.8 |
1.0 |
0.4 |
0.3 |
0.2 |
.. |
|
Non-ferrous metals |
0.5 |
0.5 |
0.4 |
0.3 |
0.4 |
0.6 |
.. |
|
Fuels |
7.6 |
7.5 |
4.5 |
8.7 |
9.9 |
8.8 |
.. |
|
3341 Motor gasolene, light oil |
2.2 |
1.8 |
3.5 |
7.7 |
3.7 |
2.6 |
.. |
|
3425 Butanes, liquefied |
0.5 |
1.0 |
0.4 |
0.4 |
0.6 |
0.5 |
.. |
|
Manufactures |
70.1 |
71.8 |
75.8 |
72.2 |
67.9 |
70.3 |
.. |
|
Iron and steel |
2.4 |
3.6 |
2.6 |
4.8 |
2.3 |
2.2 |
.. |
|
6795 Tube or pipe of iron/steel |
0.6 |
0.6 |
0.6 |
0.6 |
0.6 |
0.7 |
.. |
|
6741 Flat-rolled products, iron/steel, zinc plated |
0.3 |
0.4 |
0.2 |
0.2 |
0.3 |
0.3 |
.. |
|
Chemicals |
7.5 |
8.1 |
8.0 |
6.9 |
6.9 |
6.9 |
.. |
|
5429 Medicaments, n.e.s. |
0.8 |
0.8 |
0.8 |
0.8 |
0.7 |
1.3 |
.. |
|
5334 Paints and varnishes; plastics in solution; etc. |
1.1 |
0.9 |
1.0 |
0.9 |
0.8 |
0.8 |
.. |
|
5542 Surface-active agents (excl. soap) |
0.8 |
0.7 |
0.6 |
0.7 |
0.8 |
0.7 |
.. |
|
Other semi-manufactures |
15.5 |
17.0 |
17.0 |
14.7 |
14.4 |
14.7 |
.. |
|
6996 Articles iron or steel, n.e.s. |
1.3 |
1.2 |
1.6 |
1.6 |
1.7 |
2.0 |
.. |
|
6612 Portland cement and similar hydraulic cements |
1.8 |
1.7 |
1.5 |
1.2 |
1.5 |
1.5 |
.. |
|
Machinery and transport equipment |
28.1 |
27.5 |
29.8 |
28.6 |
28.4 |
31.2 |
.. |
|
Power generating machines |
1.2 |
2.2 |
0.9 |
0.8 |
1.7 |
2.5 |
.. |
|
7165 Generating sets |
0.3 |
1.2 |
0.2 |
0.1 |
0.6 |
1.2 |
.. |
|
Other non-electrical machinery |
3.8 |
6.3 |
6.6 |
4.4 |
5.1 |
4.9 |
.. |
|
7232 Mechanical shovels, etc., self-propelled |
0.2 |
0.6 |
0.9 |
0.3 |
0.1 |
0.7 |
.. |
|
7415 Air conditioning machines, and parts |
0.6 |
0.7 |
1.1 |
0.5 |
0.4 |
0.5 |
.. |
|
Agricultural machinery and tractors |
0.2 |
0.3 |
0.5 |
0.4 |
0.2 |
0.3 |
.. |
|
Office machines & telecommunication equipment |
7.8 |
5.0 |
5.9 |
6.1 |
6.9 |
8.2 |
.. |
|
7643 Radio or television transmission apparatus |
0.7 |
0.1 |
0.1 |
0.1 |
1.2 |
1.9 |
.. |
|
7641 Electrical apparatus for line telephony/telegraphy |
1.4 |
0.4 |
1.2 |
1.0 |
0.8 |
1.3 |
.. |
|
7763 Diodes, transistors, etc. |
1.1 |
1.0 |
1.0 |
1.1 |
1.0 |
1.2 |
.. |
|
Other electrical machines |
9.2 |
8.2 |
10.1 |
10.4 |
9.0 |
8.3 |
.. |
|
7725 Switches, relays, fuses etc. for a voltage not exceeding 1000 V |
1.7 |
1.5 |
1.7 |
1.6 |
2.0 |
1.9 |
.. |
|
7731 Insulated wire, cable etc.; optical fibre cables |
1.3 |
1.4 |
1.8 |
1.9 |
1.1 |
1.5 |
.. |
|
Automotive products |
5.3 |
4.8 |
5.0 |
5.8 |
4.9 |
6.3 |
.. |
|
7812 Motor vehicles for the transport of persons, n.e.s. |
3.5 |
2.6 |
3.6 |
3.5 |
3.5 |
3.9 |
.. |
|
7831 Public-transport type passenger motor vehicles |
0.5 |
0.4 |
0.4 |
0.7 |
0.2 |
0.8 |
.. |
|
Other transport equipment |
0.8 |
0.9 |
1.2 |
1.0 |
0.7 |
0.9 |
.. |
|
Textiles |
1.1 |
0.9 |
1.1 |
1.9 |
1.0 |
0.8 |
.. |
|
Clothing |
2.0 |
1.9 |
1.6 |
1.8 |
1.5 |
1.5 |
.. |
|
Other consumer goods |
13.5 |
12.8 |
15.8 |
13.6 |
13.4 |
13.0 |
.. |
|
8939 Plastic articles, n.e.s. |
0.9 |
1.1 |
1.2 |
1.2 |
1.2 |
1.8 |
.. |
|
8215 Furniture, n.e.s., of wood |
1.2 |
0.9 |
3.3 |
2.1 |
1.3 |
1.4 |
.. |
|
8973 Jewellery of gold, silver or platinum metals (except watches) |
0.0 |
0.0 |
0.0 |
0.0 |
0.2 |
1.3 |
.. |
|
8931 Plastics containers, stoppers, lids, etc. |
1.3 |
1.1 |
1.1 |
1.1 |
1.2 |
1.2 |
.. |
|
Other |
0.0 |
0.0 |
0.0 |
0.0 |
0.1 |
0.0 |
.. |
.. Not available.
Source: UNSD, Comtrade database (SITC Rev.3).
Table AI.3
Merchandise exports and re-exports by trading partner, 2000-06
(US$ million and per cent)
|
Description |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
|
|
(US$ million) | ||||||
|
Total |
33 |
31 |
27 |
48 |
42 |
34 |
.. |
|
|
(% of total) | ||||||
|
|
77.6 |
75.8 |
98.1 |
82.5 |
74.1 |
96.8 |
.. |
|
|
66.2 |
71.2 |
93.5 |
78.5 |
70.0 |
91.9 |
.. |
|
Other |
11.5 |
4.6 |
4.6 |
4.1 |
4.1 |
4.9 |
.. |
|
|
0.2 |
0.1 |
0.4 |
0.8 |
0.3 |
0.0 |
.. |
|
|
2.6 |
0.4 |
0.1 |
0.1 |
1.5 |
2.0 |
.. |
|
|
1.1 |
0.8 |
0.9 |
1.2 |
1.1 |
0.8 |
|
|
|
0.2 |
0.1 |
0.1 |
0.0 |
0.0 |
0.3 |
.. |
|
|
2.0 |
0.2 |
0.1 |
0.1 |
0.0 |
0.3 |
.. |
|
|
0.5 |
0.4 |
0.3 |
0.3 |
0.1 |
0.3 |
.. |
|
|
0.5 |
0.3 |
0.1 |
0.3 |
0.1 |
0.3 |
.. |
|
|
0.0 |
0.1 |
0.1 |
0.0 |
0.0 |
0.3 |
|
|
|
0.5 |
0.4 |
0.5 |
0.2 |
0.2 |
0.2 |
.. |
|
|
1.5 |
1.3 |
1.2 |
0.6 |
0.4 |
0.1 |
.. |
|
|
0.8 |
0.1 |
0.4 |
0.2 |
0.2 |
0.1 |
.. |
|
|
1.5 |
0.3 |
0.3 |
0.2 |
0.2 |
0.1 |
.. |
|
|
21.3 |
23.8 |
1.2 |
17.2 |
24.3 |
3.0 |
|
|
EC(25) |
21.3 |
23.8 |
1.2 |
17.2 |
24.3 |
3.0 |
.. |
|
|
20.8 |
23.6 |
0.9 |
17.0 |
24.2 |
1.9 |
.. |
|
|
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.9 |
.. |
|
|
0.4 |
0.0 |
0.2 |
0.1 |
0.1 |
0.2 |
.. |
|
EFTA |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
|
|
Other |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
|
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
|
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
|
0.8 |
0.2 |
0.5 |
0.1 |
1.5 |
0.2 |
.. |
|
|
0.4 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
|
|
|
0.3 |
0.2 |
0.5 |
0.1 |
1.5 |
0.2 |
.. |
|
Six East Asian Traders |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
Other |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
Other |
0.2 |
0.2 |
0.2 |
0.2 |
0.0 |
0.0 |
.. |
|
Areas n.e.s |
0.2 |
0.2 |
0.2 |
0.1 |
0.0 |
0.0 |
|
|
Memorandum: |
|
|
|
|
|
|
|
|
EC(15) |
21.3 |
23.8 |
1.2 |
17.2 |
24.3 |
3.0 |
.. |
|
ASEAN |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
APEC |
67.1 |
71.5 |
94.4 |
79.3 |
71.9 |
92.1 |
.. |
|
MERCOSUR |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
.. Not available.
Source: UNSD, Comtrade database (SITC Rev.3).
Table AI.4
Merchandise imports by trading partner, 2000-06
(US$ million and per cent)
|
Description |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
|
|
(US$ million) | ||||||
|
Total |
196 |
189 |
201 |
205 |
182 |
210 |
.. |
|
|
(% of total) | ||||||
|
|
86.0 |
83.2 |
86.3 |
83.6 |
84.9 |
84.4 |
.. |
|
|
56.9 |
50.5 |
51.2 |
53.4 |
58.0 |
57.9 |
.. |
|
Other |
29.1 |
32.7 |
35.1 |
30.2 |
26.9 |
26.5 |
.. |
|
|
7.6 |
11.4 |
17.7 |
9.2 |
3.6 |
2.2 |
.. |
|
|
12.8 |
12.3 |
8.9 |
13.0 |
14.1 |
14.1 |
.. |
|
|
2.5 |
2.2 |
2.4 |
2.3 |
2.7 |
2.8 |
.. |
|
|
0.8 |
0.9 |
0.9 |
0.9 |
1.2 |
2.1 |
.. |
|
|
0.9 |
0.9 |
0.9 |
0.8 |
0.8 |
0.8 |
.. |
|
|
0.7 |
0.7 |
0.7 |
0.9 |
0.8 |
0.6 |
.. |
|
Dominican Rep. |
0.2 |
0.3 |
0.3 |
0.3 |
0.3 |
0.5 |
.. |
|
|
0.2 |
0.3 |
0.3 |
0.4 |
0.3 |
0.5 |
.. |
|
|
0.5 |
0.5 |
0.4 |
0.3 |
0.4 |
0.4 |
.. |
|
|
0.1 |
0.1 |
0.2 |
0.2 |
0.2 |
0.4 |
.. |
|
|
8.8 |
12.9 |
8.6 |
11.6 |
10.6 |
9.7 |
.. |
|
EC(25) |
8.6 |
12.6 |
8.2 |
11.5 |
10.3 |
9.3 |
.. |
|
|
6.1 |
8.2 |
4.7 |
9.1 |
7.7 |
6.3 |
.. |
|
|
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
1.0 |
.. |
|
The |
0.5 |
1.3 |
0.3 |
0.3 |
0.2 |
0.4 |
.. |
|
|
0.7 |
1.1 |
0.4 |
0.6 |
0.6 |
0.4 |
.. |
|
|
0.4 |
0.8 |
0.4 |
0.4 |
1.0 |
0.4 |
.. |
|
EFTA |
0.2 |
0.2 |
0.1 |
0.1 |
0.2 |
0.3 |
.. |
|
|
0.1 |
0.1 |
0.0 |
0.1 |
0.2 |
0.3 |
.. |
|
Other |
0.0 |
0.0 |
0.2 |
0.0 |
0.1 |
0.0 |
.. |
|
|
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
|
0.1 |
0.1 |
0.0 |
0.0 |
0.0 |
0.1 |
.. |
|
|
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
.. |
|
|
4.7 |
3.5 |
4.7 |
4.4 |
4.5 |
5.8 |
.. |
|
|
0.1 |
0.2 |
0.4 |
0.5 |
0.6 |
0.8 |
.. |
|
|
3.7 |
2.5 |
3.6 |
3.2 |
3.2 |
3.8 |
.. |
|
Six East Asian Traders |
0.4 |
0.5 |
0.4 |
0.4 |
0.4 |
0.6 |
.. |
|
|
0.1 |
0.2 |
0.2 |
0.1 |
0.1 |
0.2 |
.. |
|
|
0.0 |
0.1 |
0.0 |
0.0 |
0.0 |
0.2 |
.. |
|
|
0.0 |
0.1 |
0.0 |
0.0 |
0.0 |
0.1 |
.. |
|
Chinese |
0.1 |
0.2 |
0.1 |
0.1 |
0.1 |
0.1 |
.. |
|
Other |
0.5 |
0.3 |
0.3 |
0.4 |
0.3 |
0.5 |
.. |
|
|
0.1 |
0.1 |
0.1 |
0.1 |
0.1 |
0.2 |
.. |
|
|
0.1 |
0.1 |
0.1 |
0.1 |
0.1 |
0.2 |
.. |
|
Other |
0.3 |
0.3 |
0.3 |
0.3 |
0.0 |
0.0 |
.. |
|
Memorandum: |
|
|
|
|
|
|
.. |
|
EC(15) |
8.6 |
12.6 |
8.2 |
11.5 |
10.3 |
9.3 |
.. |
|
ASEAN |
0.2 |
0.2 |
0.2 |
0.2 |
0.2 |
0.4 |
.. |
|
APEC |
69.2 |
65.5 |
73.7 |
67.1 |
66.4 |
66.0 |
.. |
|
MERCOSUR |
0.3 |
0.3 |
0.4 |
0.4 |
0.4 |
0.6 |
.. |
|
|
0.2 |
0.3 |
0.3 |
0.4 |
0.3 |
0.5 |
.. |
|
|
0.1 |
0.0 |
0.0 |
0.1 |
0.0 |
0.1 |
.. |
.. Not available.
Source: UNSD, Comtrade database (SITC Rev.3).
__________
[1] Totals do not add to 100% since it is necessary to subtract the financial intermediation services indirectly measured (FISIM), which includes total property income receivable by financial intermediaries minus their total interest payable. For details see ECCB (2006b).
[2] http://www.imf.org/external/pubs/ft/weo/2007/01/data/weoselgr.aspx.
[3] World Bank (2007).
[4] Vuletin, Guillermo (2007).
[5] IMF, Public Information Notice (PIN) No. 06/11, "Executive Board Concludes 2005 Article IV Consultation with
[6] IMF Public Information Notice (PIN) No. 07/42, "IMF Executive Board Concludes 2006 Article IV Consultation with
[7] Government of
[8] Government of
[9] WTO document G/SCM/W/535,
[10] WTO documents WT/DS265/28, WT/DS266/28, WT/DS283/9,
[11] A summary of the evolution of the dispute is available at: http://www.wto.org/english/ tratop_e/dispu_e/cases_e/ds283_e.htm.
[12] WTO document G/
[13] WTO document G/RO/W/106,
[14] These are: refined sugar (HS 1701.999); beer (HS 2203.001), stout (HS 2203.002), and other malt beverages (HS 2203.009); undenatured (HS 2207.10) and denatured (HS 2207.20) alcohol; spirits (nine HS lines, HS 2208.20–2208.60); cigars and cigarettes (HS 2402.10, 2402.20, and 2402.90); and other manufactured tobacco and tobacco substitutes (HS 2403.10, 2403.91, 2403.991, 2403.999).
[15] WTO document G/
[16] The original date was 2004, extended in 2001 by the COTED to 2005.
[17] The eligible products are: aerated beverages (2202.101), waters; other waters (201.10), beer (22.03), malt (2202.90.20), candles/paraffin wax (34.06), curry powder (0910.50), pasta (19.02), animal feed (23.09), wooden furniture (9401.60 /9403.60), solar water heaters (8419.19), and industrial gases/oxygen, carbon dioxide, acetylene (2804.40, 2811.21, 2901.292).
[18] WTO document G/
[19] WTO documents G/
[20] WTO document G/
[21] WTO document G/
[22] The proposal to extend the period is contained in WTO documents G/SCM/W/542,
[23] Most recently, through WTO document G/
[24] Caribbean Development Bank online information. Viewed at: http://www.caribank.org/CDBWeb Pages.nsf/Basicinfo/$File/Basicinformation1.pdf?OpenElement.
[25] WTO document IP/C/M/53,
[26] OECS Secretariat (2005).
[27] Agritrade-CTA (2006).
[28] United States Department of Agriculture online information. Viewed at: http://www.fas.usda. gov/itp/imports/Sugar/SugarTrackingSheetFY07Jan.pdf.
[29] St. Kitts exported sugar to the
[30] ECCB (2006a).
[31] Government of
[32] Government of
[33] Government of
[34] ECTEL (2006).
[35] ECTEL (2006).
[36] WTO document GATS/SC/119,
[37] ECCB online information. Viewed at: http://www.eccb-centralbank.org/Financial/fin_banks.asp.
[38] ECCB (2007).
[39] ECCB online information. Viewed at: http://www.eccb-centralbank.org/Financial/fin_structure.asp.
[40] IMF Public Information Notice (PIN) No. 06/11, "Executive Board Concludes 2005 Article IV Consultation with
[41] St. Kitts Financial Services online information. Viewed at: http://www.skbfinancialservices. com/taxation.php.
[42] ECCB online information. Viewed at: http://www.eccb-centralbank.org/Financial/fin_offshore.asp.
[43] The Financial Services Commission Act, No. 17, 2000.
[44] FATF online information. Viewed at: http://www.fatf-gafi.org/dataoecd/4/32/33922320.pdf.
[45] The Financial Intelligence Unit Act, No. 15, 2000. Further information is available from the FATF, online information. Viewed at: http://www.fatf-gafi.org/dataoecd/4/32/33922320.pdf.
[46] Captive Insurance Company Act, No. 12, 2006. Viewed at: http://www.skbfinancialservices.com/ PDF%20Documents/Captive%20Insurance%20Act.pdf.
[47] The Nevis Business Corporation Ordinance, 1984 (as amended). Viewed at: http://www.nevisfinance.com/PDFS/NBCO%20(1984)%20as%20Amended%20to%202002.pdf.
[48] Offshore companies are permitted to perform a limited number of activities in
[49] Nevis Offshore Banking Ordinance, 1996 (as amended). Viewed at: http://www.nevisfinance.com/ PDFS/NOBO%20(1996)%20as%20Amended%20to%202002.pdf.
[50] A qualified foreign bank is one licensed under the Banking Act or licensed to do domestic banking business in its jurisdiction of incorporation (or a wholly-owned subsidiary of such foreign bank).
[51] Nevis Financial Services Law Library online information. Viewed at: http://www.nevisfinance. com/Law Library.cfm.
[52] An "allied reinsurance company" is a company carrying on insurance business where the registered insurer is allied to a primary insurer who typically initiates insurance contracts as part of its normal course of business, and the allied reinsurer will only assume risks and accept premiums from this primary insurer.
[53] Caribbean Tourism Organization online information. Viewed at: http://www.onecaribbean.org/ information/documentview.php?rowid=4364.
[54] Government of
[55] Canadian Transportation Agency Online information. Viewed at: http://www.cta-otc.gc.ca/air-aerien/agreements/html/stkitts_e.html.
[56] WTO document GATS/SC/119,
[57] Merchant Shipping Act (2002), Part II (Art. 3-8). Viewed at: http://www.st.kittsnevisregistry. net.
[58] UNCTAD (2005).
[59] Caribbean Tourism Organization online information. Viewed at: http://www.onecaribbean.org/ information/documentview.php?rowid=4166.
[60] Nevis Tourism Authority online information. Viewed at: http://www.nevisisland.com.
[61] Ten year income tax holiday for accommodation projects between 8 and 29 rooms; and a 15-year income tax holiday for accommodation projects of 30 rooms and above.
[62] The legislative basis of the hotel room tax is The Hotel Accommodation and Restaurant (Amendment) Act No. 16, 1999.
[63] These fees are laid out in the
[64] Inland Revenue online information. Viewed at: http://www.ird.gov.kn/default.asp?PageIdentifier =117.
[65] CARICOM online information. Viewed at: http://www.caricom.org/jsp/secretariat/legal_ instruments/agreement_cle.jsp?menu=secretariat.
