The economic lifelines of St. Kitts and Nevis are concentrated in five major sectors: industry and agriculture, tourism, transportation, foreign trade, and economic organizations. As immigration to St. Kitts and Nevis has entered the vision of Chinese citizens, the economic development of the country has also received increased attention.
Industry and Agriculture
Until the 1970s, the sugar industry was the pillar of the economy of St. Kitts and Nevis. Sugar production reached 16,000 tons in 2003 and 14,200 tons in 2004, with a record high of 31,375 tons in 1997. The state-owned sugar factory, managed by Booker Tate, was the largest employer on the island: during the harvest season, its 2,300 employees accounted for 15% of the national workforce. However, losses in this sector accounted for 4% of the annual GDP, and the government abandoned the sugar industry in 2005. In addition, there are some small-scale manufacturing industries, such as agricultural processing, cotton ginning, clothing, electronic components, food production, and brewing. In recent years, the construction and manufacturing industries have flourished.
St. Kitts and Nevis possesses the largest electronic assembly industry in the Eastern Caribbean region. Nevis is developing a small offshore financial sector, currently home to approximately 15,000 international companies engaged in offshore finance, though there is a dispute between the island of Nevis and the federal government regarding control over the offshore financial industry.
Agriculture is primarily focused on sugarcane and cotton. Other agricultural products include coconuts and bananas. The population engaged in agriculture accounts for 13.4% of the total workforce. The scale of agriculture on the island of Nevis is small, mainly producing Sea Island cotton, fruits, vegetables, and livestock for self-consumption.
Tourism
Tourism is the fastest-growing sector of the economy, expanding at an annual rate of 18%. It has now become the most promising area for development and is an important source of foreign exchange earnings for the country. Tourism revenue was $57.2 million in 2000 and $61.2 million in 2001. In 2004, the country received a total of 380,200 visitors, including 120,100 overnight tourists and 260,100 cruise ship passengers. Most tourists come from the United States, Europe, and Canada.
Famous attractions: Brimstone Hill Fortress National Park, coastal scenery.
Transportation
Railways: A narrow-gauge railway with a total length of 58 kilometers, primarily used for transporting sugarcane on the island of St. Kitts.
Roads: A total length of 320 kilometers, of which 136 kilometers are paved. In 1998, there were 11,352 registered motor vehicles.
Water transport: The main port is Port Zante in Basseterre, which can accommodate luxury cruise ships and provides container services. State-owned commercial passenger ferries provide inter-island transport.
Air transport: Robert L. Bradshaw International Airport is the international airport on the island of St. Kitts, and Nevis also has an airport. There are routes connecting to North America, the United Kingdom, and other Caribbean countries.
Foreign Trade
Major exports include machinery, food, electrical appliances, beverages, and tobacco; major imports include machinery, industrial goods, food, and fuel. In 2006, the proportions of exports to major destination countries were: United States (64.7%), Canada (9.8%), and the Netherlands (6.9%); the proportions of imports from major source countries were: United States (49.7%), Trinidad and Tobago (13.3%), and the United Kingdom (4.5%).
Foreign trade in recent years is as follows (Unit: million USD)
Export value 54.9 53.3 51.8
Import value 175.2 175.4 193.5
Balance -120.3 -122.1 -141.7