The Quality of International Insertion and Competitiveness in the Greater Caribbean - Applying ECLAC Instruments in Assessing Competitiveness

This document was prepared jointly by the Sub-regional Headquarters of ECLAC in Mexico and Port of Spain at the request of the Association of Caribbean States (ACS) for presentation at the Seminar-Workshop: The Greater Caribbean in International Trade Negotiations (Port of Spain, Trinidad and Tobago, 14-15 July 2003).

Its objective is to show the analytical potential of both programmes in assessing the export performance and competitiveness of ACS member states, as well as to support the presentation of both programmes during the workshop. Given the large number of member states and their marked inequalities, the current analysis uses selected cases to illustrate the use of MAGIC and CAN.

This document consists of five parts. The first part examines the dynamics of world trade, and it constitutes the backdrop against which the analysis is done. The second part explains the indicators used by CAN and MAGIC and their interpretation. It seeks to stress the differences and similarities between both programmes. It also makes reference to the recently prepared Caribbean trade database. The third part completes this scenario by suggesting additional indicators to complement the current ones.

The fourth part applies the concepts of CAN and MAGIC to ACS member states in relation to their main trading partners. The final part deals generally with the subject of competitiveness in the services sector, which for some countries such as those of the Caribbean, is vitally important. An indicator is also suggested for evaluating the performance of the services sector. The tourism sector is used as an example.