Logistics and supply-chain management: at the hub of job creation

In his presentation to high school students at the launch of the Maritime Awareness Week Open Day and Exhibition held at the Caribbean Maritime Institute on Monday, September 23, 2013, acting permanent secretary in the Ministry of Youth and Culture, Sidney Bartley, noted that Jamaicans must be aware of and take pride in the country's importance in world history.

With reference to proposals to widen the country's role in the global supply chain through its development as a logistics hub, Bartley noted that with Jamaicans being involved in the construction of the Panama Canal in the early 1900s, "Jamaica remains a critical piece of the puzzle" and students interested in careers in shipping and logistics coordination stood to be the greatest beneficiaries with the expansion of the canal.

The Government's announcement of the Logistics Hub Initiative has brought considerable focus to a topic familiar to all Jamaicans: job creation. Throughout its 50 years of independence, Jamaica has embarked upon numerous strategies for attracting foreign direct investment (FDI) to stimulate economic growth and generate employment for youth in particular. According to data collected by JAMPRO, over US$268 million was invested in the country's economy between 1981 and 1994, creating employment for over 30,000 people.

FREE ZONES

The FDI was distributed mainly across the agricultural, tourism, manufacturing, mining, and film sectors. Textile production alone accounted for in excess of US$84 million in FDI under programmes such as the Caribbean Basin Initiative, which helped establish garment factories and free trade zones or 'free zones' in Kingston and Montego Bay.

In recent times, however, with rapid technological advances and the dominance of multinational trade in the global economy, significant emphasis has been placed on increasing the export of services to achieve national and human development. Between 2001 and 2005, Jamaica earned an average of just under US$128 million annually from its export of information and communication technology services, including call-centre operations, data entry, and software development.

EMPLOYMENT OPPORTUNITIES

Additionally, Jamaica Trade and Invest estimates that approximately 14,000 persons are employed as call-centre agents, data entry clerks, software developers, and consultants in the various ICT projects which the agency has facilitated. Logistics and supply-chain Management is another area in which Jamaica hopes to gain a strong foothold in creating more jobs and increasing foreign inflows.

The Logistics Hub Initiative tabled in Parliament by Minister of industry, investment and commerce Anthony Hylton referenced the creation and expansion of and improvements to existing facilities, the legislative framework, and processes necessary to equip Jamaica with the tools to become the world's fourth major link in the global supply chain.

The first three 'nodes', or points, in this vast system by which human resources, raw materials, and components, are provided and transported in the production of goods and services are noted as being Singapore, Rotterdam, and Dubai. The Dubai Logistics City, which is considered to be the world's first truly integrated multi-modal logistics facility, is a key component of Dubai's rise to dominance in global transportation. The facility serves a market of approximately two billion people, including the Middle East, Africa, and India. The Jebel Ali Freezone (Jafza), established in 1985, today covers over 18 square miles and houses more than 6,400 international businesses, including more than 120 Fortune 500 companies. Jafza has accounted for over 50 per cent of Dubai's total exports over the last four years.

The success and sustainability of these vast operations require a myriad of specialised, accessible and efficient support services and have created numerous opportunities for businesses, including drydock facilities for the building, repair, and maintenance of large ships and support. The Dubai Drydocks opened in 1983 and its shipyard has completed over 80 projects since 1994, including oil carriers, barges, and a 2,000-tonne floating crane - the Middle East's largest. Additionally, the Dubai shipyard has repaired over 7,500 vessels to date with a combined tonnage of over 500 million dwt.

DRYDOCK JOBS

More than 12,000 persons are employed by the Dubai Drydocks in its ship repair, vessel conversion, engineering and new building units, and dockyard. Jobs in the drydock range from highly specialised disciplines such as crane operators, high-voltage technicians and boilermakers, to welders, carpenters, painters, and cleaners.

The Kingston Drydock, which can lift vessels up to 150 tonnes, has considerable scope for growth with the type and traffic of vessels that will come with the Logistics Hub. The arrival of 3,664 vessels averaging over 30,000 tonnes in 2012 alone, according to the Port Authority of Jamaica, indicates that opportunities exist in several areas for entrepreneurs and skilled workers in the provision of drydocking facilities and other marine services.

schedule

Kingston: October 22-28

AGENT/VESSELARRIVAL

CARIB STAR

CFS Pamplona 22/10MSC Martina 22/10Rubin 23/10Pagola 23/10CFS Palencia 24/10CFS Paranga 24/10Repulse Bay 25/10MSC Alessia 26/10Hamburg Trader 26/10Vega Saturn 26/10Asia Moon 27/10Inis Mor 27/10ZIM Texas 27/10CFS Pafilia 27/10ZIM Virginia 27/10ZIM Shanghai 27/10ZIM Pusan 28/10Sea Boxer 28/10

CMA CGM JAMAICA

CFS Pamplona22/10CSCL Sydney23/10CFS Palencia23/10Rubin23/10Ilva23/10Seaboard Sun24/10Ocean Emerald25/10Vega26/10Frisia Rostock26/10Inis Mor26/10Ranjan27/10MSC Alessia27/10CFS Pafilia27/10Alva Rickmers28/10

GATEWAY SHIPPING

CSCL Sydney23/10Ocean Emerald25/10Vega26/10Frisia Rostock26/10

JA FREIGHT & SHIPPING

Seaboard Sun23/10CSCL Sydney23/10Spica23/10Stadt Gotha25/10Seaboard Sun27/10Sandwig28/10

LANNAMAN & MORRIS

Vega Saturn25/10Hamburg Trader25/10Phoenix Leader25/10

MARITIME & TRANSPORT

Hamburg Trader 25/10

SEABOARD JAMAICA

Spica23/10Seaboard Ranger25/10Hansa Kirkenes27/10Sandwig28/10

SEAFREIGHT JA LIMITED

Arsos22/10Stadt Gera25/10Vega Saturn25/10Hamburg Trader25/10Repulse Bay25/10Vega Saturn26/10Hamburg Trader26/10Arsos27/10

Montego bay

JA FREIGHT & SHIPPING

Seaboard Sun22/10

SEAFREIGHT JA LIMITED

Hamburg Sud27/10