Thoughts on Jamaica Becoming a Global Logistics Hub

There has been much talk in the news and on the streets as to whether or not Jamaica should become a global logistics hub and it is only fitting that I share my ‘two cents’ on the issue.

The positioning of Jamaica as a global logistics hub is not fully appreciated by many Jamaicans for a myriad of reasons; many argue that this initiative will only do more harm than good for our country. However, if proper measures are implemented, the repositioning of Jamaica will serve as a platform for growth in all areas of our economy, thus positively impacting the quality of life here. The Euro-Platforms group defines logistics hub as “a center or specific area designated to deal with activities related to transportation, organization, separation, coordination and distribution of goods for national and international transit, on a commercial basis by various operators”. Against the definition provided, this post will analyze how the quality of life in Jamaica will be positively impacted if the country is to become a designated center for commercial activities.

Currently, Jamaica’s economy is in arrears and foreign exchange is necessary to remedy this problem. Therefore, the opening of Jamaica as a logistics hub will encourage foreign investors to conduct business here and thus our economy will be boosted tremendously. The development of Jamaica into a global logistics hub will be beneficial to micro, small and medium sized enterprises (MSME) who are desirous of investing in or expanding their current operations on the island. No longer will persons have seek jobs offshore as an array of employment opportunities will emerge from the logistics hub initiative; however, as Jamaicans we must equip ourselves with the requisite skills needed to access these jobs. It is important that we clear the misconception that the logistics hub is a mere port that conducts trading business between countries, it’s about people with skills who will work to develop the country to better the economic situation.

Jamaica already has facilities in place to expedite the development of a global logistics hub; there’s a vibrant shipping industry placing Jamaica as the seventh largest harbor in the world, the country also boasts a talented and competitive labor force, major highways and a developed telecoms infrastructure. Taking these factors into consideration alongside the expansion of the Panama Canal scheduled for completion in 2015, Jamaica has ample time to continue training persons to make them adequately prepared for what is deemed a transformative, economic activity.

To date only three logistics hubs exist in the world; Dubai, Singapore and Rotterdam, all of which have booming economies and are a source of great prosperity to the countries in which they are located. Jamaica’s proposal to become the fourth node in the global logistics chain is the centerpiece of the Government’s growth strategy and is expected to transform our economy, create jobs and position Jamaica on the global value chain.

We must be proactive in seizing opportunities that will be beneficial to us. The main advantage of Jamaica becoming a logistics hub is the vast employment opportunities that will materialize. The onus is on the government to ensure that this project isn’t a political matter but one that promotes national unity. I stand in full support of this initiative proposed by the Government since positioning Jamaica as a global logistics hub will open doors for investment opportunities, develop businesses, provide employment, grow our economy and of course improve the quality of life here in Jamaica.