The erosion of agriculture in an oil economy: The case of export crop production in Trinidad

Abstract

This paper examines the pressures upon export agriculture in Trinidad that have led to dramatic declines in sugar, cocoa, copra and citrus production over the past two decades. Data drawn from official publications and primary surveys reveal the financial strains on the industry and highlight the adverse impact of the oil economy. The latter is manifested through inflationary pressures on wage rates, the funding of major capital projects offering alternative employment opportunities, the uncontrolled expansion of recurrent expenditure on politically motivated job creation schemes that have aided withdrawal of labor from socially and financially less rewarding agricultural employment, and an escalation in land values which has diminished the need for agricultural improvement. Particular concern for the decline is expressed as efficiency and future viability of the new power-based manufacturing developments have yet to be proved.