Tourism has become the bread and butter of economy of Jamaica and many tourists flock to this island country. However, after two years of emptiness in the beaches, pubs and nightclubs, many other alternatives could be looked at for this island country to grow. So, now efforts are being made to develop local industries which are a significant driver of sustainable development.
The pandemic impacted tourism in a very brutal manner when visitors stopped and flights ceased to operate. This situation made it imperative for Kingston to make it attractive to tourists by selling and supplying various types of local products. This could be possible through the usage of vast natural resources which Kingston is rich.
This article focuses on how Kingston developing small-scale enterprises can be a model for other Caribbean countries as well, where the tourism sector constitutes a major part of employment.
Diversify Tourism Sector
Recently, JHTA President Robin Russell stated about local industries to be promoted for the tourism sector to grow out of the damages created by the Covid-19 pandemic. Russell projected a growth of USD$ 5 billion for 2023 as well during the Montego Bay Conference on 4th November, where he praised this initiative which could attract businesses and help in rebooting growth in St James.
These sorts of initiatives show that Jamaica is diversifying its economy from only being a tourist sector to also focussing on small-scale enterprises growing as an industry.
Looking at the importance of local craft vendors, Foreign Minister Edmund Bartlett aspired to provide USD$ 20 million to assist 651 craft traders to attract even more visitors from North America and Europe. In 2021, according to the Jamaica Gleaner, Jamaica received 16,237 cruise passengers from 10 different cruise lines. Here, crafts will sell like hotcakes in the areas near the cruise ports, as it is the main hub where tourists come.
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Jamaica is one location in the Caribbean which is a hotspot for trips, where the last month 2 million visitors visited the island country and the earnings went up to USD$ 3.7 billion through this giant industry. This is still not enough because the country is facing challenges such as high-interest rates, increased foreign competition, a huge trade deficit, a high crime rate and external shocks. According to a World Bank report, the public debt is supposed to go down by 60 per cent but this will only be possible if multiple industries are provided with a level playing field.
Kingston even faced a contraction of about 70 per cent in 2020 due to the pandemic, which shows that it was heavily impacted during this period. Also, Jamaica is still prone to illicit activities and human trafficking, where small-scale medium enterprises will be beneficial in skill development. Along with that, small-scale medium enterprises constitute 80 per cent of global tourism, which could be the only way out for many from illegal activities such as human trafficking.
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The tourism industry could also generate USD$ 5 billion in 2023. Benefits will be there for local crafts if they are promoted and funded properly which will be immensely beneficial for the economy in diversifying. In the case of Jamaica, the first step has already been taken towards this.
Now, Jamaica is calling on its hotels to provide locally-made items and products to tourists. You can call it Jamaica’s version of being ‘VOCAL FOR LOCAL’. By banking on its surging tourism sector, Jamaica is promoting its local industries too.
Other nations in the Caribbean should also follow this model and come out of the shackles of dependency on a single sector and foreign aid. Countries which are involved in tourism generation include the Bahamas, which needs to learn from the initiatives of Jamaica about diversifying in other sectors too.
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