Manning: We accept the brown package with grace

In stark contrast to public sentiment which appears to be solidly opposed to the brown package, Prime Minister Patrick Manning declared on Friday night that the Government of Trinidad and Tobago accepted the brown package “with grace.” The statement, which provoked thunderous applause, followed a detailed explanation of Trinidad and Tobago’s non- aggressive stance in the bidding for World Cup Cricket. Manning was addressing the South Trinidad Chamber of Industry and Commerce Annual Awards Presentation at the Hilton Trinidad.

Reiterating that Trinidad and Tobago’s “major objective” was securing the headquarters of the FTAA — a matter in which it had the support of its Caricom partners,  Manning maintained that any “grab” for the World Cup Cricket matches could have alienated that support. Manning said ten years ago when Caricom countries met to choose a headquarters for the ACS,  Jamaica had an “open and shut case” to be the location. But “when the dust had cleared,” Trinidad and Tobago got seven votes, while Jamaica received just three. “And the reason for it was — as I found out at that time — it was felt that Jamaica was seeking to grab everything that the region had to offer,” he said. “And so the lessons of the past ...must guide us in the future,” he stated. “The government of Trinidad and Tobago was of the view that we had absolutely nothing to gain by squabbling with Caricom countries over cricket. Absolutely nothing to gain.

From the start we made it clear we were not prepared to bid against any Caribbean countries. ‘You all take, and whatever is left, Trinidad and Tobago would accept, because you see in many other areas, Trinidad and Tobago has no real competition. In cricket they (the other Caricom countries) can (compete) and if Trinidad and Tobago had made the error of trying to grab, as was ascribed to Jamaica rightly or wrongly some years ago, then we were running the risk of prejudicing our major objective — securing the headquarters of the FTAA. The brown package, ladies and gentlemen,  we accept with grace,” he said to loud applause. “And we are quite happy to support Jamaica with the opening ceremony and Barbados with the closing ceremony,” the PM added. Questioned later on, government sources stressed that the Prime Minister meant moral, not financial support. Manning stressed that it was not in TT’s long-term interest to laud its superior economic status over its sister countries.

Noting that on January 1, 2005, TT, along with Jamaica and Barbados will institute the Cariciom Single Market and Economy (CSME),  Manning said there was already a view with Caricom that the CSME would favour Trinidad and Tobago unduly. Those who say so, say so against the background of a knowledge that 80 percent of Caricom trade involves Trinidad and Tobago “one way or the next,” Manning noted. He said Caricom was TT’s largest market outside of the US. But whereas in the US it was mainly energy products, in Caricom, the trade  also involved manufactured goods.

He added that TT was also the largest market in Caricom — “the largest market for the output of industries in a lot of the Caricom territories.” This meant that if there was a social problem in any one of the islands and the ability of that island to purchase products from TT, then this would manifest itself in unemployment in this country, Manning said, adding that the reverse was also true. “The economy of Trinidad and Tobago and the economies of the region are inextricably  linked and any attempt to expand the economy of Trinidad and Tobago must have as a very important objective, the expansion of its largest market, which is Caricom,” he said. Manning  stated that the trade imbalance (which was overwhelmingly in Trinidad and Tobago’ s favour) had led to a lot of calls in the region for some kind of redress. “And there are those who say that Trinidad and Tobago must begin to recycle some of the revenues it receives as a result of  Caribbean trade,” he said. Manning said this country had been funding a number of things and instituted programmes designed to assist its Caricom partners.

He added that one of those programmes entailed   allowing Caricom countries to borrow in the domestic market. The Central Bank puts into the economy about US $500 million and last year Caricom countries borrowed US$505 million from TT. But even this act of generosity had provoked sceptism, he noted. “There are those who argue that even as we seek to make money available ...to countries — which might have been unable to borrow from any other source, or borrow with higher interest rates — (there are those who say) that Trinidad and Tobago is benefiting... because it has emerged as a financial centre of the region,” the Prime Minister said.

Manning also spoke about the natural gas boom, comparing it to the last occasion “when we had enhanced resources.” He said there were some important differences. He said, whereas in the past this country used its natural gas resources to expand its primary production of ammonia, urea, methanol, iron and steel, this time government would also allow the manufacture of  these products “if associated with them, was a downstream industry, which can produce a raw material that is available on the domestic market for the expansion of our manufacturing capacity.” He referred to the aluminium smelter plant which was advertised on CNN. He said government allowed it because, associated with it, was a number of downstream industries. “As it stands there is a minumum of four downstream plants that are associated with the construction of an aluminium smelter plant,” he said.