Turks and Caicos: Interview with Mr. Andy Robinson & Mr. Delton Jones

Mr. Andy Robinson & Mr. Delton Jones

CEO/ Managing Director & Deputy Director (TCI Ports Authority)

2017-03-22
Mr. Andy Robinson & Mr. Delton Jones

Being a British Overseas Territory with an independent Government, Turks and Caicos Islands have a somewhat unique position in the Caribbean. Its 35.000 inhabitants enjoy a high standard of living with a GDP per capita of almost 24.000 USD, among the highest in the Caribbean. But there are many countries in the region that compete in similar sectors; tourism, real estate, financial services… Which do you think are the main advantages that set Turks and Caicos apart from the rest of the Caribbean countries?

Andy Robinson: Our people. We have one of the smallest populations in the region, but what we have been able to achieve is a testament of our people’s expertise; wise leadership in the government and the private sector.

Delton Jones: Good governance is certainly a hallmark of the Turks and Caicos Islands. Being a British territory ensures long and enduring political stability that combined with the US dollar as the main currency and the proximity to the United States certainly offers us a good advantage.

In terms of the national development, notwithstanding the fact that we may have eventual political changes, there is broad agreement on the general direction going. We have been able to weather the international global financial crisis and to bounce back rather quickly. The basic fundamentals of the economy in terms of the stability are that we have a stable and well-known framework to ensure the private or local investment.


Turks and Caicos Islands were strongly hit 8 years ago by the global financial crisis and Hurricane Ike, a combination that lowered tourism sector’s revenues, which had a serious impact on the economy. However, according to the International Monetary Fund, since 2012 the country’s economy maintains a steady growth and a public debt that has reduced to around 11% of GDP. Which are the reasons behind this economic performance?

Delton Jones: It can be attributed to stability and good governance. We instituted a number of reforms in the financial sector and an agreement with the British government in terms of public debt, so Turks and Caicos has one of the best debt to GDP ratio in the region. There is also a strong emphasis on fiscal transparency. For instance, the Premier has to report either to Parliament or the Minister of Finance once every quarter and everything is in the open.

In tourism we are focused on the high-end sector, especially the market in New York, the Tri-State area and Canada, and trying to diversify in places like Brazil and the BRIC economies. Turks and Caicos is a low crime territory, another factor that has enabled us to quickly bounce back.


Due to geographical reasons, the seaport transportation is key for the development of Turks and Caicos. It is a country that depends 100% on imports, mainly from the US. After that the new administration, led by the Premier Cartwright-Robinson, took office in December 2016. Which are the main challenges in the seaport system for this government?

Andy Robinson: We are trying to bring all of our ports in compliance with international standards. Even though we are connected to the conventions at the IMO and ISPS, from an infrastructural standpoint, that might be the only challenge that we are facing right now.

Our ports need to be brought up and redeveloped and actually we do have an infrastructural plan in place. Within the next four or five years, all of our ports definitely will be fully compliant when it comes to construction standards. The biggest challenge from an international shipping standpoint is probably accommodating bigger vessels. Irrespective of that, we have still managed to be successful.


TCI Ports Authority is the institution that guarantees the well performance of the seaports in the country and has the vision to make T&C one of the Caribbean’s leading ports. Which are the services that the Ports Authority in TCI can offer and cannot be found in the neighboring countries?

Andy Robinson: Unlike a lot of neighboring countries, we have a dynamic multi-port system. We have four main islands; Provo is the main hub, but we also have Grand Turk, South Caicos and occasionally North Caicos. It really puts us head and shoulders above different actors in the region. Our ports, even though the islands may be small, are considered to be deep-water ports, which enable us to accommodate cruise ships and different naval vessels. Turks and Caicos is multifunctional as it relates to our seaport business.

We have visitors coming to the islands who mostly are businesspersons and want to invest in Turks and Caicos. We have to show them that we have an effective product as it relates to our mandates, but also an ease of business policy in place on the government arm.

Delton Jones: We have a very strategic location as most of the shipping in the Caribbean will pass through the Columbus passage, an opportunity for transshipment and the like. The government is doing a twenty-year plan for the whole country and the TCI Ports Authority is developing its own strategy in tandem with this national plan. We are working to complement the different ports with each other and offer the possibility of transshipment hubs. We have to ensure that domestic shipping is safely regulated to promote the movement among the islands, and we are working actively to enable the country to realize its development goals.

 

 

The Ports Authority is responsible of the seaport services and owner of the facilities. However the company operating the ports in Providenciales and Grand Turk is Provo Stevedoring Ltd. Why the management of the operations has been transferred to this company? And what is the relation between the two entities?

Andy Robinson: The partnership is a longstanding relationship. In 2007, it was determined that the operations would move from Port Administration under customs to a full regulatory body, the Turks and Caicos Ports Authority. At the time, because of the merchant shipping business that was coming in the country, we needed to get off the ground running. There was no Provo Stevedoring Ltd. at the time and subcontractors always did the work. Therefore, the former government decided to bring in someone with experience to take on the current fifteen-year contract.

Delton Jones: We are looking at ports statistics in terms of the containers moved per hour, and thanks to Provo Stevedoring there is more effectiveness on the port compared prior to their coming in. In Providenciales over eighteen containers are moved per hour. It is indeed a private company but, as regulators, we set the standards as far as maintenance.


International relations are fundamental for the development of TCI, and the Ports Authority has signed agreements with the Port Management Association of the Caribbean (PMAC) and American Association of Port Authority (AAPA). Which are the benefits of these agreements? And how are you showing the role and well management of the Ports Authority oversees?

Andy Robinson: PMAC is a Caribbean organization and the AAPA leans towards the North American arm and Canada. Being a part of those memberships you are present in meetings and skills training exhibits that help us to have a greater extension of services, such as Port Maritime services or engineering. Regarding tariffs, we were able to chime in because of the information exchange systems with different countries that are a part of PMAC. For example, right now we are in the revising our Domestic Ferries Act and we have reached out to Cayman and British Virgin Islands just to see what they have on the books relative to different ordinances. It gives us a clear picture of where we definitely want to go when it comes to that particular regulated document.

Since I came on board, we have taken a new posture to re-introduce the ports; not only locally, but to the region at large. Turks and Caicos may be small from a geographic standpoint, but as far as services and ideas, it does not have to be small. We are looking at new revenue streams and thanks to our strategic geographic location we offer opportunities for ship repairs and shipyard.

As the Ports Authority, we are also regulating the territory’s waters that cover about 193 square miles. Unlike other countries, our ordinance gives us a pretty wide remit, and we are responsible for all maritime issues, not only from an ordinance standpoint, but also from a commercial business one.


Tourism is the engine of the Turks and Caicos Island’s economy. In 2015, you received more the 1.3 million visitors, and almost one million of them arrived through the Grand Turk Cruise Center. However, these figures represent a 4.3% less than the previous year. What is the strategy of the Ports Authority to boost the arrival of cruise ships?

Delton Jones: In Grand Turk there is a security committee that meets periodically with the cruise center to look at issues affecting the sector and to try to make sure that there is early and timely resolution of any matter. A key strategy that we certainly want to encourage is to monitor visitor’s satisfaction to see if there is a repeat visitor factor. If you come for a day, maybe we are able to entice you to certainly come back for a longer stay; we aim to create synergies between cruise arrivals and long stay tourism.

Andy Robinson: Despite the 4% falloff, we have exceeded the foreseen figures of visitors per year up to a million plus. We are moving forward and the port administrators will come up with different programs to ensure growth.


Innovation is one of the core values of HBR. The Ports Authority has a commitment with the preservation of the environmental sustainability of the islands, and the sea transportation facilities may have a serious impact in the islands. Which innovations are you implementing to guarantee a sustainable development?

Andy Robinson: We have a very good plan in place to protect the environment. There is an active and robust full environmental protection department in the government. For example, any dredging and sand movement exercises or new constructions must get different environmental assessments.

There are also certain areas, a few beaches and a lot of water reserves, designated as national parks, and we work very closely with the Department of Environment and Maritime Affairs (DEMA) to make sure that our operations do not infringe on the natural reserves of the country.


In June 2016 you assumed the head of the Ports Authority. The development of the country strongly depends on the performance of this institution. Which are the skills of a leader to successfully operate such a fundamental entity?

Andy Robinson: It is a multifaceted job; you have to be familiar with different branches of government; environment, tourism, finance, airports and the land transport sector at large. I am called to make decisions pretty quickly that have long ranging effects, and one needs the vision to project the medium and long term strategies. An effective leader is also open to different ideas from different branches of the government and private sector.


Harvard Business Review Readers include some of the most influential business leaders and top decision makers in the world. As a conclusion to this interview, what would you like to say about the future of the Ports Authority under your administration?

Andy Robinson: We will be known as a transshipment port and we are going to continue to diversify our efforts in order to increase the revenue streams. Ship registry is another key opportunity that we are looking at to develop in the next five years.

The fact that we are a multiport system with deep water is attractive for different international businesses to come to Turks and Caicos and create different container or shipyards. The future is bright, and we will be recognized from a geographic standpoint. We might be small, but from a technical and standard standpoint, can rise to be on line with a lot of ports internationally.