Construction investments and projects outside of Trinidad and Tobago are the next steps for contractors to look at in order to remain afloat, says president of the Trinidad and Tobago Contractors’ Association (TTCA) Glen Mahabirsingh.
In an interview with Business Day, he said survival for the sector is critical because the effects of the covid19 pandemic have put a tremendous strain on local operations.
With price increases over the last 18 months in steel, steel-related products, cement, lumber and aggregate, local contractors cannot continue on the same path into 2022, he bemoaned.
Mahabirsingh said local contractors had the knowledge and had ample resources to extend their reach outside of TT, especially in other countries in the region.
He explained that by doing this the local sector could remain afloat, create jobs, and provide a stimulus for the economy.
“The contractors have a significant amount of expertise in construction practice, they have great depth of knowledge in dealing with specific projects and have tremendous resources and equipment.
“One of the opportunities would be to create projects in TT that could earn foreign exchange and in agriculture and manufacturing there is great potential. We can also provide construction services abroad, especially in developing and emerging economies.”
Mahabirsingh said Guyana is a lucrative market because of its new found wealth in the oil and gas and its thrust towards quick development.
“They (Guyana) have started to develop all aspects of their infrastructure such as roads, schools, and hospitals. So, there is an opportunity for operators in TT to provide services and become a foreign exchange earner.
Grenada, St Lucia, and Dominica also presented good opportunities, he said.
Mahabirsingh said the construction sector employed around 89,000 people with a different and specialised skillset in various tiers and is valued at about $9.4 billion.
The sector, he pointed out, is critical to job creation and improving the standard of living for the population.
“Construction has always been viewed as the cornerstone for economic development. For every job created on a construction site there are at least four jobs created in the supporting industry, in sectors such as manufacturing, transportation, and food and beverage.”
Additionally, he said most of the local construction projects are government-funded and timely payments would be a critical factor for the sector’s survival.
“One of the important things in construction is cash flow and timely payments would definitely support the life of the industry. Contractors usually expend on materials, labour, management, installation, certification up front. A contractor must spend first before he gets paid.”
Based on international market prices of construction materials, Mahabirsingh said there should not be a contraction but rather a slow-down of personal projects.
He pointed out that people doing home r
