- NEWSDAY.CO.TT - A la Une - 31/Jul 03:22

Swaratsingh’s call on SMEs should be heeded

THE TRADE and Investment Convention, put on by the Manufacturers’ Association, and part-sponsored by the Ministry of Trade, Investment and Tourism, between July 17-19, was an encouraging showcase of the vitality of the small and medium-sized enterprise (SME) sector. There were 20,757 participants and 320 exhibitors – up from 2024. This was by design. According to the association’s CEO, Dr Ramesh Ramdeen, floor space was doubled for the annual event at Macoya, and a concerted effort was made to draw more SMEs. The goal was US$100 million in business. But also giving SMEs a recent boost was Minister of Planning, Economic Affairs and Development Kennedy Swaratsingh’s call on July 25 for large companies to take a keener interest in supporting these mom-and-pop operations. Speaking at a Unit Trust Corporation business accelerator event in San Fernando, Swaratsingh said, "One of the major complaints that we would have heard from a lot of people is that they’ve been trying to get on to the shelves of some of the larger establishments and they can’t. Obviously, the stores themselves must think of profit margins and how they create their floor plan. "But I think we can make a better effort to try to get some of these products into some of these established supermarkets." The minister disclosed steps were being taken, inspired by the convention, to have weekend markets in the capital city from October straight to Carnival to let small businesses have a place to display their products. But he also urged, "People like Massy and Xtra Foods and all those establishments must create avenues." This is a sensible call. Big businesses already do a lot to feature and to encourage smaller ones. The sponsorship alone of the convention shows that. At a time when all companies need help – from a better enabling environment to more foreign exchange – the idea of the state urging the private sector to fix its own problems comes close to passing the buck to citizens. Unfulfilled have been many promises from governments to support SMEs over the years. Matter more than words are deeds. Nonetheless, the minister’s pragmatic approach is a fresh take that makes sense – large businesses have a stake in helping smaller ones, and not just in the retail sector. The wider economic picture supports this. According to government officials, the 25,000 SMEs account for 95 per cent of all registered businesses, 30 per cent of GDP and employ 200,000 people. The Central Statistical Office’s Business Surveys Establishment Register 2018 suggested that at least 60 per cent of companies employ fewer than two dozen people, and these businesses are concentrated in places like Port of Spain, Tunapuna/Piarco and San Juan/Laventille. The largest number of sole traders operate in Couva/Tabaquite/Talparo. Widespread is the reach of SMEs. If they are healthy, big business, too, will gain from a robust economic environment. Thus, both the state and the private sector should approach the idea of investing in SMEs as a win-win situation. The post Swaratsingh’s call on SMEs should be heeded appeared first on Trinidad and Tobago Newsday.