With the country facing tough economic times, president and CEO of Massy Group Gervase Warner is urging citizens to embrace the opportunities this country has to offer. Warner, who is also chairman of the United Way T&T National Day of Caring, made the remarks at the organisation’s media launch at the BG T&T/Scotiabank Box at the Queen’s Park Oval, in Port-of-Spain, yesterday.
He said while last week’s mid-year review by Finance Minister Colm Imbert may appear to be “doom and gloom” for some “the truth is all of us need to embrace where we are as a country and quite frankly there are great opportunities that arise out of circumstances and situations like this.”
He said this was the opportune time for people to consume more local products which would automatically create a stronger demand for agro-processing and local manufacturing. Even retrenched workers, he added, could now venture into businesses for themselves.
“Some things might spill over in terms of increased cost. For food distribution that will increase the cost a little bit but the cost of food is really more tightly tied to the cost of raw materials and imported products but because the minister did mention that he was going to keep the exchange rate at a limited devaluation, that would limit the extent to which we would see food inflation barring what happens to the commodity prices around the world,” Warner said.
Commenting on the seven per cent tax on online shopping, Warner said one of the biggest challenges facing the country is that more foreign exchange is being used than is earned. There must be ways to curb such a demand, he said.
“Many of the banks that we deal with have been frustrated by the volume of credit card transactions that they are compelled to make so I understand that is a big opportunity for them to create more foreign exchange availability for major purchases of pharmaceuticals or food etc . . . we really need to get it into the country as opposed to just pure consumer shopping,” Warner said.
Vincent Pereira, general manager of BHP Billiton T&T, said for creation of employment there is need “to recognise is that the fundamental comparative advantage of this economy lies with the natural resources that we have which are oil and gas and it is a great generator of wealth. This then needs to be converted into something else.”
He lauded efforts in the manufacturing sector where some diversification has already taken place resulting in the creation of businesses outside the country.
“There are some things that are happening but more is needed. We need to find other ways of generating revenue in the long run but we need to build off some of the things which we already have,” Pereira said, adding that the agri sector is one such area.
He said doing away with the fuel subsidy had to happen and there would now be a closer look at gas consumption to ensure it is managed well in addition to looking at energy efficiency. “It is very difficult to manage energy efficiency in an environment where things are subsidised and that has to become part of our future. We have to become more energy efficient,” he said.
About the initiative
National Day of Caring takes place on May 22. Volunteers, private and public organisations will be involved in some 41 projects, including assisting the needy and cleaning the environment.
“The intention is to fully engage the attention of everyone to let them know the need to help neighbours, communities and by extension our country,” Warner said.