With its stunning beaches, vibrant culture, and strategic location, Turks and Caicos (TCI) has emerged as an attractive destination for US tourists and investors alike.
Recently, Turks and Caicos Islands have set their sights on diversifying and expanding their tourism offerings to include niche segments that can withstand demand fluctuations. With a strong focus on conservation, sustainability, and innovative technologies, TCI aims to attract luxury travelers and investors seeking promising opportunities. “TCI is actively targeting niche segments, including eco-tourism, heritage and cultural tourism, event tourism, and marine tourism. The promotion of these niche segments aims to tap into the growing market of travelers who prioritize conservation and sustainability in their travel choices” stated Angela Musgrove, the CEO of Invest Turks and Caicos. “Eco-tourism, in particular, offers significant opportunities as travelers put conservation and sustainability at the core of promotions and travel choices” she added.
In addition to tourism, TCI is also looking to enhance its agricultural sector through the adoption of Agricultural Technology (Agritech). By leveraging technologies designed to maximize output and efficiency while minimizing resource inputs, TCI aims to increase food production in limited space. This strategy presents lucrative investment opportunities in the Agritech sector. The CEO emphasized the potential of Agritech, stating, “The use of technologies to grow more food in less space and with fewer inputs is an area ripe with investment opportunities. With the global demand for sustainable and efficient agriculture, TCI is well-positioned to attract investors interested in this growing sector.”
TCI recognizes the potential of the Blue Economy, aiming to capitalize on ocean-related activities beyond traditional sectors such as fisheries, tourism, and transportation. The CEO highlighted aquaculture, biotechnology, renewable energy, and seabed mineral extraction as areas of interest. “Already, the exportation of conch and lobster to the USA has generated substantial revenue, reaching over US$2 million in 2020.” TCI also envisions leveraging Ocean Thermal Energy Conversion (OTEC) technology to harness renewable energy from ocean currents, wave motion, and offshore wind. This ambitious approach further demonstrates TCI’s commitment to sustainability and innovation.
Beyond tourism and agriculture, TCI boasts a wide range of financial services that cater to the international business community. The country offers banking, insurance, trusts, mutual funds, investment dealing companies, and partnerships. This sector is experiencing steady growth and is increasingly attracting investment interest.
The Strong Bond: TCI’s Economic Partnership with the USA
The economic development of TCI is intricately tied to its close relationship with the North American markets, particularly the United States. The USA not only serves as the country’s largest import market but has also been a significant source of foreign direct investment (FDI) over the years. The geographical proximity between TCI and the USA, coupled with the shared use of the US dollar as the national currency, has further strengthened their economic ties.
“The North American markets, particularly the USA and Canada, continue to play a vital role in our economic development. However, it is the USA that stands out as the country’s most crucial partner, accounting for a significant portion of trade and investment”, the CEO emphasized. The USA’s proximity to the TCI provides logistical advantages, making trade between the two countries seamless. With a short 90-minute flight from Miami, TCI has easy access to one of the largest consumer markets in the world. Additionally, the use of the US dollar simplifies financial transactions and facilitates smoother trade processes.
Highlighting the importance of the USA to TCI’s trade, Mrs. Musgrove revealed key statistics: “In 2021, imports from the USA totaled US$412 million, representing nearly 85% of the country’s total imports. Similarly, in 2020, imports from the USA accounted for approximately 86% of total imports, totaling US$301 million.” These figures underscore the dominant role that the USA plays in meeting the country’s import needs.”
TCI’s primary exports of conch and lobster find a receptive market in the United States, which consumes almost one hundred percent of TCI’s primary exports of conch and lobster.
The Future of TCI-US Economic Ties:
As TCI looks towards the future, the strong economic bond with the USA is expected to remain a cornerstone of its development strategy. The geographic proximity, combined with the economic advantages of trade and investment, will continue to foster growth opportunities for both parties.
The CEO looks forward to welcoming long-term investors whose primary goal is the economic development and the socio-economic health of TCI. “We want investors who are in it for the long term. We are not looking for investors who are solely looking for short-term gains and paying attention only to their bottom line; we are looking to welcome investors whose interests are not tunnel-visioned on the economic benefits of their investment, but whose vision is extended to the impact of their investment on the development of the surrounding communities and the socio-economic health of the Turks and Caicos Islands as a country” Angela Musgrove concluded.