An aerial view of the East West Toll Road and the Spanish Town Toll Plaza along the PJ Patterson Highway.
BUSINESS stakeholders are urging the Government to address traffic congestion in towns amid a surge in infrastructure development.
The concerns were voiced during a discussion following the release of the first-quarter business and consumer indices, which focused on the impact of infrastructure development on businesses.
“I think we can all note that there has been some major improvement in some of the infrastructure, so much so that it is actually creating some bottlenecks in these towns,” said Phillip Ramson, managing director of Chas E Ramson and president of the Jamaica Chamber of Commerce (JCC).
He highlighted the issue, stating that there is a need for a balanced approach to infrastructure development to alleviate congestion and support local businesses, while referring to the construction of highways connecting the north and south coasts that have resulted in increased mobility between Ocho Rios and Kingston. However, he noted that the emergence of bottlenecks emphasised the importance of addressing the issue of infrastructure development in a holistic manner.
While acknowledging the economic stimulation brought about by infrastructure, Ramson stressed the need to consider its broader impact.
“In particular, the towns that it’s bypassing, how are those towns being affected and how can we include them? Because the overall goal for improvement in infrastructure is economic inclusion,” he said.
The national objective prioritises economic inclusivity and enhancing cost-effective business operations across the entire island.
Ramson further emphasised concerns raised by business stakeholders in the JCC consumer survey, noting that, alongside roads, water supply is a significant issue. Despite ongoing projects like the Rio Cobre project aimed at improving water infrastructure, the JCC CEO highlighted persistent challenges islandwide in terms of water supply for businesses. As such, he called for concrete plans to ensure economic inclusivity and infrastructure improvement, addressing the needs of businesses comprehensively.
Ransford Davidson, president of the St Ann Chamber of Commerce, highlighted the impact of road network development and construction on business growth. He noted that roadwork has hindered businesses, primarily due to the population increase in St Ann and the lack of expansion in the road network to accommodate this growth. This situation has led to congestion in the area, resulting in delays in the supply of goods and services.
“There’s some level of optimism based on the fact that in the pipeline, the Government plans to develop a highway on the north coast, and that has somewhat eased some of the concerns, but the timeline for that level of expansion will be critical in order to soothe some of the concerns from businesses in the area,” added Davidson.
With upgrades in the Drax Hall area now underway, Davidson highlights the substantial need for labour, emphasising the necessity for a combination of local and imported workers to meet the demands of infrastructural development.
“It’s really difficult now to keep up, even with the level of expansion that we’re seeing in St Ann,” he remarked.
He further noted, “It has impacted the level of employment locally; even with the introduction of the BPO [business process outsourcing], they have employed in excess of 500 [people], so those are some positive effects we are experiencing in the parish at this time.”
At the same time, Raynaldo Thompson, vice-president of investment management and research at GK Capital Management Limited, emphasised that investment in infrastructure lies at the heart of economic growth and serves as a method to provide employment opportunities and increase productivity across the country.
“These investments, as we have them now, are enabling investments, they have a multiplying effect, they tend to have other businesses and other economic activity that results from them,” he said.
According to Thompson, a brighter future necessitates increased participation from the private sector in investments. He revealed that GK Capital is currently developing a pool of capital dedicated to investments in infrastructure, including energy creation. He further highlighted that improved infrastructure enables businesses to explore new markets.