The document discusses economic development and activities in the Caribbean. It defines key terms like secondary industries and economic activities. It also outlines challenges facing industries like fishing, agriculture and manufacturing in Caribbean countries. Specifically, it notes that overfishing has depleted fish stocks in Belize and that shrimp trawling damages the seabed. It also explains how preferential trade agreements and labor shortages have impacted agriculture in the Caribbean.

1. CXC geo 2015
Question 6
Economic Development

2. Define the term secondary industry and give one
example of a secondary industry that you have
studied. 3marks
• Secondary industries are those industries which process, refine,
assemble or transform raw material in some way into more valuable
products. Example garment manufacturing.

3. State three ways by which countries can benefit
from the development of secondary industries. 3
marks
• Provide jobs for low skilled labour
• Earn more foreign exchange than when raw materials are exported
• Local manufacturing reduces imports and increases exports.

4. State two economic factors which may influence
the location of a secondary economic activity. 2
marks
• Cost of labour ( compared to other countries)
• Economic incentives from governments (such as exemption from tax
duty)

5. Explain three policies that government may use to
promote sustainable development in primary
economic activities. 6 marks
• Zoning of forests, and enforcement of laws to prevent overharvesting
of timber or clear cutting.
• Create a closed (no harvest) season for certain marine life such as
conch and lobster during the months when most breeding takes
place, so that the stock can replenish itself each year.
• Prohibit the sale of conch and lobster below a certain size so that they
are given a chance to mature.

6. Explain three challenges faced by one of the
following activities in a Caribbean country. Fishing.
Forestry. Mining. 6 marks
• Fishing in Belize
• Competition from international factory fishing ships. It is hard to
control the presence of theses foreign ships which use satellite and
sonar equipment to overharvest fish and deplete the stock.
• The species most valuable commercial species for export such as
marlin, grouper and some types of tuna are threatened by extinction
due to overfishing.
• While shrimp export is very profitable in Belize, shrimp trawling is
indiscriminate and catches too many young fish, often up to six times
the weight of the shrimp harvested.

7. Define the term economic activity 2 marks
• Actions that involve the production, distribution and consumption of
goods and services at all levels within a society.

8. For one type of economic activity you have
studied, describe three changes that have taken
place. 6 marks
• Agriculture
• Preferential trade agreements with the UK and Europe were cancelled
and commercial sugar and bananas became unprofitable.
• Employment in agriculture has fallen dramatically due to trade
liberalization causing loss of markets for products and increased
mechanization of agriculture.
• Agriculture is no longer the largest or most important contributor to
GDP. Residential, manufacturing and tourism uses now compete for
prime agricultural land.

9. Explain three challenges faced by two types of
economic activity in the Caribbean. 12 marks
• Fishing
• Overfishing of major commercial species particularly grouper has
severely damaged the fish stock in Belize
• Shrimp trawling is highly profitable but, it can catch as many as 6kg of
young unwanted fish for every 1kg of shrimp. This means less fish will
mature to commercial size.
• It is difficult to control foreign owned factory ships from Aisia which
compete for Caribbean fish stock. The ships use satellite and sonar
equipment to find and gather fish in an unsustainable way.

10. Agriculture challenges
• Prime agricultural land now under intense competition by other land
uses such as manufacturing, tourist accommodation and residential
development.
• Preferential trade agreements with Europe that previously made
banana and sugar cultivation profitable were cancelled due to trade
liberalization. Most of the Caribbean’s agricultural products cannot
compete on world markets.
• Agriculture is also seeing a shortage of labour supply in the
Caribbean, since most young people prefer to work in tourism,
services or other industries even when agricultural work is available.

11. Name and give an example of two type of
economic activities in the Caribbean 2marks
• Primary economic activity e.g. agriculture
• Secondary economic activity e.g. food processing

12. For a named Caribbean country, describe two
factors which influence the location of a specific
type of economic activity. 6 marks
• In Belize the fishing industry has been located there because
• There is a 280 km long barrier reef where living coral, fish and crustaceans
thrive. The coral reefs, mangroves and sea grass beds provide food and
shelter for a large variety and huge numbers of fish. This makes Belize's
fishing grounds productive in deep and shallow water.
• In many locations communities are organized for commercial fishing. 60 %
of fishers belong to well run co-operatives which allow more sustainable
management of marine stock and maintain profitability for Belize.

13. With reference to a named Caribbean Country, explain how the tourism
industry has been affected by the recent global recession. Include Three
points in your answer. 6 marks
• Stay over tourist decreased by 25 % or more in some Caribbean areas.
This decreases profit for small business and local hotel industries.
• The proportion of tourist choosing cruise ship vacations has
increased while the proportion of stay over visitors is decreasing. Stay
over visitors spend much more in a country than cruise ship visitors,
because food lodging and entertainment is catered for n the ship.
• In light of the recession, north American consumers are choosing
packaged tours in all inclusive resorts because the entire cost of trip
can be planned ahead of time.

14. Explain three challenges faced by either mining or
fishing or forestry in a named Caribbean country. 6
marks
• Fishing Belize
• Overfishing of crustaceans.
• Shrimp trawling damage
• Competing fishing factry ships and shrimp farms

15. Describe four ways in which the food processing
industry is important in the Caribbean. 8 marks
• Low skilled employment
• Increase value of agricultural exports e.g.. Caribbean fish frozen
products catch higher price, Trinidad chocolate as oppose to cocoa
• Food processing decreases the import bill, e.g. cheaper raw materials
are imported and made into high value items like breakfast cereals
and soft drinks.
• Export processing zones help to industrialize the islands

16. Name and give an example of TWO types of
economic activities in the Caribbean. 2 marks
• Primary economic activity-farming/agriculture
• Secondary economic activity- food processing

17. For a named Caribbean country, describe TWO
factors which influence the location of a specific
type of economic activity. 6 marks
In Belize the fishing industry is located along much of its coast.
This economic activity is highly profitable in Belize because of the
presence of a 280 km long barrier reef which acts as a spawning ground
and protection for young fish as well as habitat for conch, lobster and
shrimp.
Government policies have promoted aquaculture along its flat coastal
plains as a means of increasing production after harvest fell due to
unsustainable harvesting. Now there are 28 square km of shrimp farms
along the coast.

18. For the economic activity identified in b) ii
explain two challenges it faces 4 marks
• There is competition from Asian shrimp farms which produce cheaper
products and Foreign factory ships which use sonar and satellite
equipment to overfish the stock off the coast of Belize.
• Shrimp trawling damages the sea bed and catches and excess of
young fish before they get time to mature to commercial size.

19. For a named Caribbean country, describe TWO
factors which influence the location of a specific
type of economic activity. 6 marks
• In Trinidad, the secondary economic activity of methanol production
is located at Point Lisas.
• Seven methanol plants are located in Point Lisas because natural gas
is extracted in southern Trinidad and a component of natural gas
forms the major raw material for methanol production. (Methanol is a liquid
and is much easier to transport than natural gas, so the manufacturing is located nearest the source of gas.)
• The coastal site it is placed on is influenced by the need for a deep
water port which the chemical tankers use to ship liquid methanol to
north America and Europe.
http://www.energy.gov.tt/our-business/lng-
petrochemicals/petrochemicals/methanol/
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Your text here

21. For the economic activity identified in b) ii
explain two challenges it faces 4 marks
• The raw material Natural Gas is a non renewable resource, which may
run out or decrease in production in the near future
• There is ongoing pressure from the world governing bodies to reduce
the use of fossil fuels and decrease output of carbon dioxide from
sources such as methanol

22. For either food processing or garment manufacturing, explain
how the development of the industry in both a named
Caribbean country and either Singapore or Hong Kong is
influenced by any two of the follow: Labour, Raw materials,
Market. 8 marks.
• In Hong Kong labour is relatively cheap, especially in the past when the
industry was developing and this lead to cheap easily marketed products.
Labour in Trinidad by contrast is extremely expensive since wages are high
relative to other countries. The influence of high wages on the garment
industry in Trinidad has led to a shrinking of the industry overtime to niche
markets such as tailored, professional office wear for banks etc.
• In Hong Kong access to UK and European markets had lead to vast
expansion and growth in garment industry until 2005 when China’s
cheaper garments were allowed to compete for these markets on an equal
footing. As Hong Kong’s market share declined the industry growth began
to stagnate. In Trinidad and Tobago the niche markets are restricted so the
garment industry has been redirected towards international luxery markets
via high value fashion design such as Meiling and Claudia Pegus designs.

23. Fishing in Belize
• Challenges
• Sustainability
• Location of
• Story

24. Belize’s story
• They have a barrier reef
• And that gives them a lot of fish
• And a large percentage of their
GDP
• But Grouper was overfished
• Conch too
• Over 60% in these large cool
cooperatives,
• they manage, buy, sell, process
and negotiate prices.
• But
• Shrimp trawling hurts young fish
• So 28km squared shrimp farm
• Closed season for lobster
• Ban on grouper
• Bans below a certain size
• Marine heritage parks
• Still can’t fight factory ships.

25. Garment Construction
• Hong Kong
• Cheap labour
• Stable government, strong
economy
• Previous preferential access to
Europe (was part of UK)
• Since 2005 outcompeted by when
markets opened up China.
• Trinidad
• Most of the garment industry
closed down, moved to countries
with lower wages decades ago.
• Niche market only now: Janoora’s
Custom made work uniforms &
York T shirts
• Was always outcompeted in main
markets.
• Competes in fashion industry
instead.