U.S. Department of State Background Note
Trinidad and Tobago
PEOPLE AND HISTORY
Columbus landed on and named Trinidad in 1498, and Spaniards settled the island a century later. Spanish colonizers largely wiped out the original inhabitants--Arawak and Carib Indians--and the survivors were gradually assimilated. Although it attracted French, free black, and other non-Spanish settlers, Trinidad remained under Spanish rule until the British captured it in 1797. During the colonial period, Trinidad's economy relied on large sugar and cocoa plantations. Tobago's development was similar to other plantation islands in the Lesser Antilles and quite different from Trinidad. During the colonial period, French, Dutch, and British forces fought over possession of Tobago, and the island changed hands 22 times--more often than any other West Indies island. Britain took final possession of Tobago in 1803. The two islands of Trinidad and Tobago were incorporated into a single colony in 1888. Trinidad and Tobago achieved full independence in 1962 and joined the British Commonwealth. Trinidad and Tobago became a republic in 1976.
The people of Trinidad and Tobago are mainly of African or East Indian descent. Virtually all speak English. Small percentages also speak Hindi, French patois, and several other dialects. Trinidad has two major folk traditions: Creole and East Indian. Creole is a mixture of African elements with Spanish, French, and English colonial culture. Trinidad's East Indian culture came to the islandbeginning May 30, 1845 with the arrival of indentured servants brought to fill a labor shortage created by the emancipation of the African slaves in 1838. Most remained on the land, and they still dominate the agricultural sector, but many have become prominent in business and the professions. East Indians have retained much of their own way of life, including Hindu and Muslim religious festivals and practices.
GOVERNMENT
President--George Maxwell Richards
Prime Minister--Patrick Manning
Attorney General--John Jeremie
Chief Justice--Satnarine Sharma
Selected Short List of Key Ministers
Minister of Foreign Affairs--Arnold Piggott
Minister of Energy and Energy Industries and Public Administration--Lenny Saith
Minister of Finance--Patrick Manning
Minister of National Security--Martin Joseph
Minister of Tourism--Howard Chin Lee
Minister of Trade and Industry--Kenneth Valley
Ambassador to the U.S. and to the OAS--Marina Valere
Ambassador to the UN--Phillip Sealey
The embassy of the Republic of Trinidad and Tobago is located at 1708 Massachusetts Avenue NW, Washington, DC 20036 (tel. 202-467-6490; fax. 202-785-3130).
POLITICAL CONDITIONS
The twin-island nation of Trinidad and Tobago continues to experience real GDP growth as a result of economic reforms, tight monetary policy, fiscal responsibility, and high oil prices. In 2006 the country experienced a real GDP growth rate of 12%, which followed 8% growth in 2005. The PNM-led government continues its sound macroeconomic policies. Long-term growth looks promising, as Trinidad and Tobago further develops its oil and gas resources and the industries dependent on natural gas, including petrochemicals, fertilizers, iron/steel and aluminum. Additional growth potential also exists in financial services, telecommunications and transport. Strong growth in Trinidad and Tobago over the past few years has led to trade surpluses, even with high import levels due to industrial expansion and increased consumer demand. The debt service ratio, was a moderate 4.7% in 2004, and fell to 2.5% in 2005. In 2006, unemployment fell to 5% down from 6.7% in 2005. Headline inflation peaked at 10% (year-on-yar) in October 2006, then moderating to 8.0% as of March 2007. Food price inflation slowed to 18.8% (year-on-year) in March 2007, down from 22% in October 2006. During 2006, the Central Bank has raised interest rates eight times for the year. However, since September 2006, the Bank has maintained the rate at 8.0%. There are no currency or capital controls and the central bank maintains the TT dollar in a lightly managed, stable float against the U.S. dollar. The exchange rate as of May 10, 2007, was TT $6.31 to U.S. $1.
Trinidad and Tobago has made a transition from an oil-based economy to one based on natural gas. In 2006, natural gas production averaged 4 million standard cubit feet per day (mmscf/d), compared with 3.2 mmscf/d in 2005. The petrochemical sector, including plants producing methanol, ammonia, urea, and natural gas liquids, has continued to grow in line with natural gas production, which continues to expand and should meet the needs of new industrial plants coming on stream in the next few years, including iron, aluminum, and ethylene. In December 2005, the Atlantic LNG fourth production module or "train" for liquefied natural gas (LNG) began production. Train 4 has increased Atlantic LNG's overall output capacity by almost 50% and is among the largest LNG trains in the world at 5.2 million tons/year of LNG. Trinidad and Tobago is the fifth-largest exporter of LNG in the world and the single largest supplier of LNG to the U.S., supplying 70% of all LNG imported into the U.S. The energy sector experienced strong growth in 2006, estimated at 20.6%, and accounted for 41.5% of GDP at that year's end.
Growth across the non-energy sector in 2006 slowed to 6.5%, down from 8.7% in 2005. Manufacturing was the most dynamic, with 11.8% growth in 2006, led for the third consecutive year by food, beverages and tobacco (19%), and assembly-type industries (11.1%). The services sector grew by 5.9%, led by construction sector growth resulting from Trinidad and Tobago Government investment in housing and infrastructure, and ongoing projects in the energy sector. Performance in the agriculture sector has been erratic and weak, with a 0.6% decline in output resulting largely from the shrinking and restructuring of the sugar industry. The government is seeking to diversify the economy to reduce dependence on the energy sector and to achieve self-sustaining growth. The diversification strategy focuses on seven key industries: yachting; fish and fish processing; merchant marine; music and entertainment; film; food and beverage; and printing and packaging. A National Research and Development Fund will be established to stimulate innovation and investment in a technology park, to be constructed.
Trinidad and Tobago has an open investment climate. Since 1992, almost all investment barriers have been eliminated. The government continues to welcome foreign investors. The government has a double taxation agreement, a bilateral investment treaty and an intellectual property rights agreement with the United States. The stock of U.S. direct investment in Trinidad and Tobago was $1.98 billion as of 2005. Total foreign direct investment inflows average $700 million annually over the last decade. Among recent and ongoing investment projects are several involving U.S. firms: ISG Trinidad started operations in November 2004 in a plant that has the capacity to produce 500,000 metric tons annually of hot briquetted iron. In December 2006 Nucor began producing direct reduced iron for shipment to the U.S. at its plant in Trinidad, which has a production capacity of 2.0 million tons per year. Two aluminum smelter plants are also planned, one of them to be owned by Alcoa. The first major business-class hotel to be opened in several years bears the Marriott Courtyard brand. A Hyatt-managed hotel is scheduled to open in late 2007, part of a multimillion-dollar port development project in Port of Spain.
Trinidad and Tobago's infrastructure is adequate by regional standards. Expansion of the Crown Point airport on Tobago is being planned, which follows opening of the Piarco terminal on Trinidad in 2000. There is an extensive network of paved roads. Traffic is a worsening problem throughout Trinidad, as the road network is not well suited to the volume of vehicles and only a rudimentary mass transport system exists as an alternative. Utilities are fairly reliable in cities, but some rural areas suffer from power failures, water shortages in the dry season, and flooding in the rainy season due to inadequate drainage. Infrastructure improvement is one of the government's budget priorities, especially rehabilitating rural roads and bridges, rural electrification, flood control, and improved drainage and sewerage. The government is evaluating bids to construct a light rail system and is expected to award a contract for the design and planning phase of the project in mid-2007.
Telephone service is modern and fairly reliable, although significantly more costly to consumers than comparable U.S. service, including for wireline, wireless, and broadband services. Change began in the wireless market when the new Telecommunications Authority invited two firms to offer competition to state-owned monopoly incumbent TSTT (co-owned by Cable & Wireless). Two wireless providers, Bmobile and Digicel are already operational, while a third licensee, Laqtel, had not launched service as of May 2007. Long distance, cable, and Internet services have not yet been deregulated, but the government has indicated that it will do so in those markets as well, beginning with cable TV. Internet has come into widespread use, with broadband access available in upscale business and residential areas, along with a number of wireless "hot spots." Improvements in service and price are likely as TSTT prepares itself to meet competition for Internet services in coming years.
FOREIGN RELATIONS
As the most industrialized and second-largest country in the English-speaking Caribbean, Trinidad and Tobago has taken a leading role in the Caribbean Community and Common Market (CARICOM), and strongly supports CARICOM economic integration efforts and has advocated for a greater measure of political security and integration. CARICOM members are working to establish a Single Market and Economy (CSME). In early 2006, Trinidad and Tobago, in conjunction with the larger CARICOM nations, inaugurated the CARICOM Single Market, a precursor to the full CSME. As a first step toward greater security integration, Trinidad and Tobago and the other members of CARICOM collaborated with the US on an Advance Passenger Information System in preparation for the 2007 Cricket World Cup tournament, which took place in nine Caribbean venues in March and April of 2007.
Trinidad and Tobago is active in the Summit of the Americas (SOA) process of the Organization of American States (OAS). It recently hosted hemisphere-wide ministerial meetings on energy (2004) and education (2005), as well as an OAS meeting on terrorism and security (also 2005). It also hosted a negotiating session in 2003 for the OAS Free Trade Area of the Americas (FTAA), and aspires to hosting an eventual FTAA secretariat. It will host the SOA summit in 2009.
Trinidad and Tobago is a democracy that maintains close relations with its Caribbean neighbors and major North American and European trading partners. After its 1962 independence, Trinidad and Tobago joined the UN and the Commonwealth. In 1967, it became the first Commonwealth country to join the OAS. In 1995, Trinidad played host to the inaugural meeting of the Association of Caribbean States and has become the headquarters location for this 25-member grouping, which seeks to further economic progress and cooperation among its members.
U.S.-TRINIDAD AND TOBAGO RELATIONS
The United States and Trinidad and Tobago enjoy cordial relations. U.S. interests here and throughout the hemisphere focus on increasing investment and trade, and securing more stable supplies of energy. They also include enhancing Trinidad and Tobago's political and social stability and positive regional role through assistance in drug interdiction, health issues, and legal affairs. The U.S. embassy was established in Port of Spain in 1962, replacing the former consulate general.
International Military Education and Training (IMET) and Foreign Military Financing (FMF) programs were suspended in 2003 under the terms of the American Service Members Protection Act (ASPA), because Trinidad and Tobago, a member of the International Criminal Court, had not concluded a bilateral non-surrender or "Article 98" agreement with the United States. However, when the Congress de-linked IMET funding from the Article 98 sanctions, a nominal allocation of $45,000 in IMET was reinstated for late 2007. Currently, the main source of financial assistance provided to the defense force is through State Department's Bureau of International Narcotics and Law Enforcement funds, Traditional Commander's Activities funds, the State Partnership Program (with Delaware), and IMET. Assistance to Trinidad and Tobago from U.S. military, law enforcement authorities, and in the area of health issues remains important to the bilateral relationship and to accomplishing U.S. policy objectives.
The U.S. Government also provides technical assistance to the Government of Trinidad and Tobago through a number of existing agreements. The Department of Homeland Security has a Customs Advisory Team working with the Ministry of Finance to update its procedures. Similarly, the Treasury Department has an Internal Revenue Service (IRS) advising team that works with the Board of Inland Revenue modernizing its tax administration. The U.S. Centers for Disease Control and Prevention (CDC), a part of the Department of Health and Human Services, has a regional office here that collaborates with the Caribbean Epidemiology Center (CAREC) and other regional partners to provide technical assistance and financial support for HIV/AIDS-related epidemiology surveillance and public health training in the region.
U.S. commercial ties with Trinidad and Tobago have always been strong and have grown substantially in the last several years due to economic liberalization. U.S. firms have invested more than a billion dollars in recent years--mostly in the petrochemical, oil/gas, and iron/steel sectors. Many of America's largest corporations have commercial links with Trinidad and Tobago, and more than 30 U.S. firms have offices and operations in the country. Trinidad and Tobago is a beneficiary of the U.S. Caribbean Basin Initiative (CBI). The U.S. embassy actively fosters bilateral business ties and provides a number of commercial services to potential investors and traders. A double-taxation agreement has existed since the early 1970s. A tax information exchange agreement was signed in 1989, and a Bilateral Investment Treaty (BIT) and an Intellectual Property Rights agreement were signed in 1994. The BIT entered into force in 1996. Other agreements include Extradition and Mutual Legal Assistance treaties, which have been in force since 1999. An agreement on Maritime Cooperation was signed in 1996.
There are large numbers of U.S. citizens and permanent residents of Trinidadian origin living in the United States (mostly in New York and Florida), which keeps cultural ties strong. About 20,000 U.S. citizens visit Trinidad and Tobago on vacation or for business every year, and more than 4,600 American citizens are residents.
Principal U.S. Embassy Officials
Ambassador--
Roy L. AustinDeputy Chief of Mission--Eugene P. Sweeney
Economic/Commercial Chief--John Ries
Political/INL Chief--Avraham Rabby
Consular Chief--Armando Armendariz
Management Officer--Terrence R. Flynn
Regional Security Officer--Mark Lewis
Public Affairs Officer--Michelle L. Jones
The U.S. Embassy is located at 15 Queen's Park West, Port of Spain (tel. 868 622-6371, fax: 868 822-5905).
Other Contact Information
U.S. Department of Commerce
International Trade Administration
Trade Information Center
14th and Constitution, NW
Washington, DC 20230
Tel: 1-800-USA-TRADE
http://www.trade.gov/td/tic/
American Chamber of Commerce of Trinidad and Tobago
62 Maraval Road, Woodbrook
Port of Spain, Trinidad and Tobago
Tel: (868) 622-4466, 622-0340 and 628-2508
Fax: (868) 628-9428
E-mail:
inbox@amchamtt.comhttp://www.amchamtt.com/TRAVEL AND BUSINESS INFORMATION
The U.S. Department of State's Consular Information Program advises Americans traveling and residing abroad through Consular Information Sheets, Public Announcements, and Travel Warnings. Consular Information Sheets exist for all countries and include information on entry and exit requirements, currency regulations, health conditions, safety and security, crime, political disturbances, and the addresses of the U.S. embassies and consulates abroad. Public Announcements are issued to disseminate information quickly about terrorist threats and other relatively short-term conditions overseas that pose significant risks to the security of American travelers. Travel Warnings are issued when the State Department recommends that Americans avoid travel to a certain country because the situation is dangerous or unstable.
For the latest security information, Americans living and traveling abroad should regularly monitor the Department's Bureau of Consular Affairs Internet web site at http://www.travel.state.gov, where the current Worldwide Caution, Public Announcements, and Travel Warnings can be found. Consular Affairs Publications, which contain information on obtaining passports and planning a safe trip abroad, are also available at http://www.travel.state.gov. For additional information on international travel, see http://www.usa.gov/Citizen/Topics/Travel/International.shtml.
The Department of State encourages all U.S citizens traveling or residing abroad to register via the State Department's travel registration website or at the nearest U.S. embassy or consulate abroad. Registration will make your presence and whereabouts known in case it is necessary to contact you in an emergency and will enable you to receive up-to-date information on security conditions.
Emergency information concerning Americans traveling abroad may be obtained by calling 1-888-407-4747 toll free in the U.S. and Canada or the regular toll line 1-202-501-4444 for callers outside the U.S. and Canada.
The National Passport Information Center (NPIC) is the U.S. Department of State's single, centralized public contact center for U.S. passport information. Telephone: 1-877-4USA-PPT (1-877-487-2778). Customer service representatives and operators for TDD/TTY are available Monday-Friday, 7:00 a.m. to 12:00 midnight, Eastern Time, excluding federal holidays.
Travelers can check the latest health information with the U.S. Centers for Disease Control and Prevention in Atlanta, Georgia. A hotline at 877-FYI-TRIP (877-394-8747) and a web site at http://www.cdc.gov/travel/index.htm give the most recent health advisories, immunization recommendations or requirements, and advice on food and drinking water safety for regions and countries. A booklet entitled "Health Information for International Travel" (HHS publication number CDC-95-8280) is available from the U.S. Government Printing Office, Washington, DC 20402, tel. (202) 512-1800.
Further Electronic Information
Department of State Web Site. Available on the Internet at
http://www.state.gov, the Department of State web site provides timely, global access to official U.S. foreign policy information, including Background Notes and
daily press briefings along with the directory of
key officers of Foreign Service posts and more. The Overseas Security Advisory Council (OSAC) provides security information and regional news that impact U.S. companies working abroad through its website http://www.osac.gov
Export.gov provides a portal to all export-related assistance and market information offered by the federal government and provides trade leads, free export counseling, help with the export process, and more.
STAT-USA/Internet, a service of the U.S. Department of Commerce, provides authoritative economic, business, and international trade information from the Federal government. The site includes current and historical trade-related releases, international market research, trade opportunities, and country analysis and provides access to the
National Trade Data Bank.
Revised: May. 2007
