“Dislocations are bound to occur in the CSME…the anticipated dislocation therefore requires the region’s nationals to develop appropriate responses, seeking alternative job opportunities” – Excerpts from a report on a recent address by Stephen Mc Andrew an official of the CSME unit.
The dialogue on the Caribbean Single Market & Economy seems to be increasing weekly, involving a wider and wider cross-section of the community. Individuals are beginning to understand that there will be some dislocation, as the doors open throughout the Caribbean to accommodate the freedom of movement of people. The challenge is to sell the CSME to the people of the Caribbean as a philosophy which is going to be of mutual benefit in the long run.
The freedom of movement component of the CSME strategy, as I understand it, is for a given country to initially open the doors to people with specific categories of expertise and gradually manage the process to the point where there is freedom of movement for all.
The countries of the Caribbean are not blessed with the same quantum of resources (human, intellectual, social, cultural, physical, natural and financial) and are not at the same level of development. Also, the value of the currencies and the wage levels vary throughout the region. This, therefore, provides a challenge for the freedom of movement of people in an absolute sense.
When one looks at the big picture of the potential benefits of the CSME, it begins to look rather attractive. By “the big picture” I mean treating the region as if it were one landmass and treating all the resources as if they were pooled. From this perspective, there are countries, such as Guyana, with tremendous natural resource potential and a relatively low valued currency just waiting for an influx of management expertise to mobilise their natural resources and convert them into sustainable wealth.
On the other hand, there are countries, like Barbados, with a higher valued currency and higher wages. Can this mix contribute to rapid growth in the Barbados economy, or are partnerships needed to induce external injections in holistic capital to rationalize the situation? We have already seen the wealth, that has been garnered through the commercial banking system in Trinidad & Tobago, being used to partner with commercial banks in Barbados and other territories of the Caribbean towards national and regional cooperative prosperity. There are countries, like Dominica, currently economically challenged but with an average of over 300 inches of rainfall per year, a rich eco-system, and one river for each day of the year, waiting to be economically exploited for the benefit of the citizens of that country. So, from the big picture perspective, it seems that there are many potential benefits to accrue from the CSME.
In the short term, however, there will be uncertainty, fear, insecurity and resistance to change. People, in some countries, will be concerned about their jobs, at the advent of CSME, if this means an influx of more productive and cheaper wage earners in the local market place. Indeed, one is reminded of the saying that ‘one man’s meat is another man’s poison’ - what is good for one person may be bad for another, what is pleasant to one person may become unpleasant to another.
At the base of all this, there is going to be the need for strategic planning from a regional perspective, if it isn’t already in train. The action to be taken by the CSME in the embryonic stages will be fashioned to some extent on achieving the long term objectives of the strategic plan. In this whole process of change we must remember that knowledge is the fourth factor of production and that knowledge management is going to be the key to success.
It is interesting to note that, certainly in Barbados, the Trade Union fraternity seems to be in support of the CSME and I think we have to give them credit for seeing the big picture which will be beneficial to the region as a whole as it expands and competes for market share in the global economy. However, the process of change will have to be managed. I daresay there may be uncomfortable moments for trade unions in the short term before the benefits from the big picture can emerge.
There are two other elements about the development of this region which should not be ignored. The one is the access to resources in the Caribbean Diaspora which can be mobilised to develop a unified Caribbean. Then there is also expertise within some countries of the Caribbean and the Caribbean Diaspora which can be garnered to provide services in niche markets around the world.
With the advent of CSME external forces will inhibit the tendency to remain in the present cocoon of relative comfort. I envisage that the next ten years will be quite exciting as the region’s nationals develop innovative responses to change, creating alternative remunerative opportunities in the wider regional and global marketplace.