Caribbean seeks stronger Africa trade as traditional routes waver

Caribbean nations are looking to "decisively" broaden opportunities for trade with Africa, the secretary-general of its regional bloc said on Monday, in view of looming uncertainty with its more traditional trade partners.

Stronger trade ties with Africa would signal a key economic shift in a region relies heavily on trade with the US, Canada and Europe, in a period of growing protectionism.

In April, Washington imposed a baseline 10 per cent tariff on nearly all its trade partners. It has been levying its power to influence domestic Caribbean policies on issues such as Cuban medical services and citizen-by-investment programs.

"We must decisively open the door to greater trade between our regions," Caribbean Community (Caricom) Secretary-General Carla Barnett said at the opening of the AfriCaribbean Trade and Investment Forum in Grenada.

"Caricom trade with the continent must grow beyond the current levels of less than three per cent of our overall trade, particularly with the uncertainty that currently looms over trade with traditional partners."

The US is Caricom's largest trading partner, according to latest data from the Observatory of Economic Complexity (OEC).

The US bought a quarter of the bloc's $38.8 billion in exports shipped throughout 2023, according to OEC data, and sold 39 per cent the $43.4 billion worth of goods imported into the region.

Caribbean nations remain particularly vulnerable to global economic shocks such as inflation and pandemics, due to their reliance on tourism, imported food and fuel.

Barnett said the region had already collaborated with Africa on so-far unsuccessful campaigns for slavery reparations from "former colonisers" and for compensation from rich nations for (much disputed) climate change, which, "disproportionately affects small island states," another highly contested claim.

(Reporting by Sarah Morland; Editing by David Gregorio)