Trinidad and Tobago's Commendable Fight Against Illicit Trade: A Case Study by TRACIT

In a compelling address to a conference hosted by the Trinidad and Tobago's Manufacturer’s Association on October 26, 2023, Jeff Hardy, the Director-General of the Transnational Alliance to Combat Illicit Trade (TRACIT), recently shared insights on collaborative strategies to combat illicit trade. The focal points of his discussion are highlighted in TRACIT’s recently published case study Good Practices in Fighting Illicit Trade: The Case of Trinidad and Tobago featuring  the commendable efforts of the Trinidadian government to tackle illicit trade. 
 
The Urgency of a United Front
Although Trinidad and Tobago has a strong economy and a high GDP per capita, the country faces significant vulnerabilities to illicit activities. Local reports indicate that approximately 22 percent of imported alcohol and 5-10 percent of the domestic tobacco market are affected by illicit trade, resulting in substantial revenue losses—estimated at around US$4.5 million annually. These losses, in turn, hinder the government's ability to fund crucial public services in health, security, and education. The government emphasised the need for innovative, collaborative, cross-border approaches in the fight against illicit trade.

 “The efforts undertaken by Trade Minister Paula Gopee-Scoon to orchestrate a holistic government approach across various agencies and fostering private sector engagement have been valuable in strengthening the nation’s endeavours to combat illicit trade,” said Jeff Hardy, Director General of TRACIT. 

Government Initiatives to Combat Illicit Trade
Responding to the challenges posed by illicit trade, the government initiated a series of measures outlined in the Road Map for Trinidad and Tobago: Transforming to a New Economy and a New Society. One notable initiative was the creation of the National Anti-Illicit Trade Task Force, comprising representatives from various government, regulatory, and law enforcement agencies.
The targeted actions address a range of sectors, including cosmetics; clothes; petroleum products; tobacco; alcohol; wildlife; music; pharmaceuticals; and intellectual property rights. The measures aim to enhance the policy and legal framework; reduce the supply of illicit goods; decrease consumer demand; improve transparency; and enhance customs procedures.
Randall Karim, the Permanent Secretary of the Ministry of Trade, emphasised the importance of setting up a Task Force to review current legislation, conduct a gap analysis, and create a strong legal framework. This, he said, “Sends a strong signal that illicit trade will not be tolerated in Trinidad and Tobago”.

Commendable Progress, but More to Be Done
The government's proactive steps to curb illicit trade in recent years are commendable, serving as a valuable example for other nations. However, TRACIT highlights that more needs to be done, proposing additional policy recommendations to further strengthen Trinidad and Tobago's fight against illicit trade.

TRACIT calls for prioritised commitments to enhance cooperation with neighbouring countries; improve data access and exchange; integrate anti-illicit trade policies into national plans for Sustainable Development Goals (SDGs); strengthen intellectual property rights enforcement; promote a clean digital environment; and fortify the customs environment.
“It is evident that the government of Trinidad and Tobago has taken significant steps to prevent illicit trade in recent years. These efforts are commendable and represent meaningful steps forward - in Trinidad and Tobago and as lessons for others,” said Jeff Hardy.” Nonetheless, more needs to be done and additional policy recommendations can help Trinidad and Tobago to mitigate illicit trade more effectively.”

In conclusion, Trinidad and Tobago's efforts to combat illicit trade showcase a dedicated commitment to securing the nation's economic stability and protecting public interests. By sharing these experiences, the case study serves as a valuable resource for other nations grappling with similar challenges, emphasising the importance of collaboration, innovation, and sustained efforts in the global fight against illicit trade.
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Meilun Yu
TRACIT Staff Writer

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