Jamaica looks to grow its seafood exports as trade tensions continue between the USA and China
Rainforest Seafoods, a Jamaican company, has expanded its exports of live lobsters to China. The timing of this could not be better with US lobster exports, experiences higher prices due to the US-China trade war.
Why is this significant?
Well, its lobster!
All kidding aside, this is a important development for Jamaica and in some ways for the rest of the world as well. These live lobster exports highlight:
- That trade wars create opportunities for other countries
- The importance of quality standards in trade
- Jamaica’s Logistics hub is active – #hubactive
Trade wars create opportunities for others
History has proven that trade wars are generally a bad thing. However, they do create opportunities for other countries to fill voids created by the expense of paying the higher duties imposed. In this specific instance live lobsters from the US, particularly from its east coast, are now more expensive and thereby creating an opportunity for Jamaica.
This trade war has created an opportunity for a Jamaican company get its foot in the door and gain market presence that will last well after the trade tensions have passed. And I am sure that the other major Jamaican seafood company, B and D Trawling, is not far behind.
One of the things I really like about this story is that the company itself was quick off the draw in recognizing the opportunity and acting on it .
US trade battle creates Chinese opportunity for Jamaican seafood
Chinese seafood merchants have already begun buying lobster and fish from other countries as tariffs make American seafood too expensive, according to a recent article out of Beijing, China. President of the United States Donald Trump last week imposed a 25 per cent tariff on US$34 billion worth of Chinese imports for the country's "dirty trade tactics".
The importance of quality standards in trade
The importance of quality standards in international trade cannot be over stated.
Quality standards are the key to tapping export markets and developing market access, turning that access into market presence. In other words without quality standard there are no exports.
Quality standards are clearly important and so much so that in a globalized world they are critical to economic development and growth. This is something that Jamaica has now integrated as a core value into its economic development.
But now back to the company.
Rainforest has been seeking to tap into the Chinese market for some time however it found itself locked out for the most part because of non-tariff barriers (ie not meeting China’s food quality standards and or being accredited to meet those standards). The ability of the company to now tap into the Chinese market with their live lobster exports is a testament to its diligence and hard work and an overall improvement in Jamaica’s quality standards infrastructure.
Quality standards are the key to tapping export markets and developing market access, turning that access into market presence. In other words without quality standard there are no exports. Click To TweetJamaica’s Logistics hub in motion
So what does the exports of live lobster from Jamaica to China have to do with Jamaica’s logistics hub?
Everything!
Its a clear demonstration of the Hub at work. From the use of individual pieces of infrastructure to the interconnection between them (production facility, road, airport) to tapping into new export markets to innovation and research and development to sanitary standards to reach global markets, its all about being #hubactive.
Quality standards are clearly important and so much so that in a globalized world they are critical to economic development and growth. This is something that Jamaica has now integrated as a core value into its economic development. #hubactive Click To Tweet
