Find Industry and Manufacturing expertise in Barbados
The manufacturing sector in Barbados is fairly small, contributing just 5% to GDP (2012). Barbados is rated 91 out of 185 countries by the World Bank for ease of doing business, a ranking based on how conducive the regulatory environment is to the opening and operation of a local firm
The two main sources of overseas revenue from manufacturing in Barbados are rum and sugar. Although the amount of revenue from sugar has decreased steadily since 2007, the manufacture and export of rum has continued to increase year on year with an overall rise of 7% between 2007 and 2013. Although the most profitable, these are not the only manufacturing industries in Barbados. The country also produces cement, clay tiles, garments and textiles, paper, furniture, soap, food products, edible oils, paint, chemicals and electronic components.
Manufacturers involved in the production of products approved by the Barbados Investment and Development Corporation are entitled to special incentives under the Fiscal Incentives Act, such as a 15-year tax holiday, exemption from exchange controls and the duty free import of machinery. This has resulted in increased manufacturing investment from foreign countries, particularly Canada which already has a double taxation treaty with Barbados.
The World Economic Forum Global Competitiveness report 2013–14 gives Barbados a rating of 47 out of 148 countries included in the report, with a rating of 4.0 out of 7.0 for overall product process sophistication.
The Barbados Manufacturers’ Association (BMA) was established in 1964. It is an umbrella body representing local companies involved in the production of goods and services throughout Barbados. The BMA is pivotal to the development of the manufacturing industry in Barbados and to the continued growth of the Barbadian economy. One of the major undertakings of the BMA is an annual trade show which showcases the country’s goods to the public and potential foreign investors.