The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

The private sector-funded report detailing the impact full World Trade Organisation (WTO) membership will have on the economy is set for an early April completion, it was revealed yesterday.

Darron Pickstock, who heads the Chamber of Commerce’s trade and investment division, said the Oxford Economics study will also assess the “policy trade-offs” available to The Bahamas during its accession process.

Mr Pickstock, speaking after a chamber breakfast meeting yesterday, told Tribune Business: “They are now having to look at the various positions. The next approach is they are going to review our current negotiating position and look at the policy trade-offs for The Bahamas to accede to the WTO. They will also look at various other economies and countries that acceded as well.”

“They [Oxford Economics] are going to design potential scenarios from that, and will give recommendations regarding the design of negotiating strategies. This will be shared with the government so that, if and when this proceeds, we will have our recommendation on any negotiating strategy.

“Once that report is completed the chamber will make its determination as to whether it is beneficial for The Bahamas to become a member of the WTO. In any event, we have asked them to come up with various negotiating strategies. We expect to have that report in the first week of April. We really have only one more month and that report should be ready.”

Mr Pickstock said Oxford Economics had conducted numerous interviews with private sector stakeholders, who had expressed various concerns. “They were on the ground for perhaps the entire month of November 2018 doing private sector and government meetings,” he added. “They have pointed out some of the challenges raised, and points expressed, by the private sector.

“Mainly it was issues such as the high cost of doing business; the concern that local business would struggle to benefit from the WTO in the absence of the right environment that would allow them to compete directly with foreign suppliers. They also pointed out the inefficient and costly bureaucracy. They also pointed out high bank charges, insurance rates, high legal fees, access to credit and labour costs.

“They have indicated that effectively to become a member we would have to look at our policy and regulatory choices as they have an impact, obviously, on the competitiveness of our economy. This is a part of what the government has to do if it is to become a member of the WTO.”