EVEN as the Government moves to make exporting an expeditious process under the National Export Strategy (NES) Phase II, the concept has been criticised, particularly by those in the private sector, for being impractical.

Jamaica Export Association (JEA) President Marjory Kennedy told the Jamaica Observer that ,although the Government says that the NES will depend, in part, on the public-private partnership, it has completely ignored the research done by the Shipping Association and JEA in the last two years to update and amend the current Customs Act, which she describes as being stuck in the 1920s.

Kennedy said that, instead, the Government had focused on increasing the rates charged to exporters, which was not only a disincentive, but enabled the underground informal economy.

Earlier, in her address at the launch, the JEA president told the prime minister that the Customs Bill which is before Parliament “bears no resemblance to what is needed”, and encouraged the Government to “do things right the first time” rather than “tweaking” them later on.

Prime Minister Portia Simpson Miller took a similar stance to that of the industry minister, as she said “exports present the most viable option for rapid GDP growth and increased investor confidence” and “reverse the balance of trade between ourselves and our major trading partners.

“In 2008 when Jamaica embarked on the journey of launching a National Export Strategy … it was taking an average of 21 days to export a product from Jamaica: 10 days for document preparation; 4 days for Customs clearance and technical control; 3 days for ports and terminal handling; and 4 days for transportation and handling,” the prime minister said.

“What was taking Jamaica 21 days took a country like Singapore five days, which is the global benchmark. What was taking 21 days in Jamaica was taking six days for the United States, our largest trading partner,” she continued.

“Today, I am informed, it takes about one week to export agricultural produce from Jamaica to the United States. So, we have made some progress since the launch of the NES in 2008,” she explained, adding: “What is even more remarkable is that, in 2015, Jamaica moved up 27 places from 85 to 58 in the World Bank’s Ease of Doing Business Ranking. We also improved our performance in the Global Competitiveness Index, reaching a position of 86 out of 144 countries in 2014, when compared to 94 out of 148 countries in 2013.”

In his address, Minister of Industry, Investment and Commerce Anthony Hylton explained that, despite Jamaica’s improvement in the 2014 Doing Business Report, the time and documentation needed for processing exports must become competitive with that of regional counterparts.

“…While tariff barriers and regulatory barriers are being systematically lowered worldwide, non-tariff barriers and especially technical barriers to trade have become more pronounced, impeding the access of our products and services to global markets,” Hylton said.

“In Jamaica, we face similar barriers in the import-export process. As I have previously stated, according to the 2014 Doing Business Report, Jamaica takes an average of 20 days to export, requiring six documents at a cost of US$1,530 per container. To import, it takes an average of 17 days, requiring the completion of seven documents at a cost of US$2,130 per container. In comparison, Panama takes an average of 10 days to export using three documents at a cost of US$625 per container and to import requires nine days and three documents at a cost of US$965 per container,” he said.

Both Simpson Miller and Hylton credited the National Competitiveness Council, chaired by Jamaica Promotions Corporation, and Trade Facilitation Task Force for the improvement in the export process, as well as the introduction of Automated for Customs Data at the nation’s ports.

But this did not go down well with some, as one attendant expressed that implementing the NES II in a meaningful way will require addressing the level of bureaucracy that discourages companies from engaging in export.