Jamaica edges closer to logistics hub vision
Ground officially broken for Kingston Gateway project
JAMAICA is taking decisive steps toward realising its long-touted ambition of becoming the fourth global logistics hub, with Prime Minister Andrew Holness announcing a wave of new infrastructure developments, including the long-awaited Caymanas Special Economic Zone (SEZ).
After more than a decade of planning, the Caymanas SEZ is expected to break ground within the next two months, or possibly sooner.
“The port authority has been tasked with de-risking the project, and taking on the development risk for the project, and with developing the first 50 acres of the project and finding an anchor tenant. So, Jamaica will have its first true special economic zone,” Holness revealed during the ground-breaking ceremony for Kingston Gateway, a warehouse and logistics complex on Marcus Garvey Drive in Kingston on Friday.
He also announced that a similar SEZ-style development led by Urban Development Corporation (UDC) would break ground in the same vicinity on Marcus Garvey Drive. This upcoming project will make 40 lots, each averaging one acre, available for purchase, with buyers having the opportunity to obtain individual SEZ certifications. The project is expected to significantly expand Jamaica’s warehouse capacity.
“It won’t necessarily be a special economic zone, but the people who purchase land there could probably seek to have their own SEZ certifications. That project is going to add significant warehouse capacity to Jamaica,” said Holness. “The Government is doing its part in creating the real estate capacity to support special economic zones.”
The added warehouse capacity is expected to complement the Kingston Gateway warehouses, a venture conceptualised by SAJE Logistics Infrastructure Limited more than five years ago and which attracted joint venture partnership from Proven Properties Limited.
Kingston Gateway will feature 21 commercial units within a 112,000-square-foot complex with direct access to Marcus Garvey Drive, close proximity to the Port of Kingston, and convenient links to Norman Manley International Airport.
Holness described it as an “economically, spatially, and strategically sound” infrastructure investment to support Jamaica’s ambitions of becoming a key node in the global logistics network. He noted that the next phase will be the actual port and logistics-related infrastructure to allow enough space in ports to clear containers for efficiency. While there have already been some improvements to the port, he notes that challenges still linger to find new areas to expand the facility, and there were considerations to merge Marcus Garvey Drive with the existing Spanish Town Road to create more space for port activities, but the plans are still being finalised.
“We have to recognise that if we are serious about logistics, we are going to have to expand, particularly the nearshore and near-port operations of the port, and we need more land in order to do that. We have plans for the west lands, and we are also looking at the Tinson Pen area and the land between Spanish Town Road and Marcus Garvey Drive, which we’re going to have to address,” he said.
Opposition spokesman on investment, trade, and logistics, Anthony Hylton welcomed the announcements, especially the long-delayed Caymanas SEZ project. He emphasised that the vision of Jamaica becoming a logistics hub has enjoyed bipartisan support since it was first articulated under the Portia Simpson Miller-led Administration.
“It has been long in gestation but I believe that both Government and Opposition are fully aligned on the vision and mission of Jamaica becoming the fourth node in the global trading system and the gateway to the Americas,” said Hylton.