Europe’s overstretched supply chains may need a Caribbean node, argues Laurence Jones, Europe Regional Manager, JAMPRO.
Here’s Why Jamaica is the Strategic Answer. Global logistics is being rewritten. Port congestion, rising warehousing costs, geopolitical risk, and the demand for faster delivery are all placing unprecedented pressure on supply chains across Europe. For decision-makers tasked with keeping goods moving while margins tighten, the hunt is on for smarter, more resilient solutions. And surprisingly to some, Jamaica is fast emerging as a compelling strategic partner.
For decades, Jamaica has been a transshipment point between the Americas. But today, the island is stepping confidently into the role of logistics hub for the modern age. Here’s why logistics leaders should be paying close attention.
Prime Geography Meets Modern Infrastructure
Kingston Harbour is one of the largest natural harbours in the Caribbean and among the largest in the world. Strategically positioned along major global shipping lines, Jamaica lies directly on key east-west and north-south routes. Kingston, its capital, is just 3–5 sailing days from major US ports like Miami, Savannah, and New York. This makes Jamaica an ideal location for companies pursuing just-in-case and nearshoring strategies in a post-COVID, post-Brexit world.
At the heart of this potential is the Kingston Logistics Park (KLP), a port-adjacent, bonded SEZ (Special Economic Zone) located next to the CMA CGM-operated Kingston Freeport Terminal. With over 100,000 square metres of space and direct customs integration via ASYCUDA World, KLP offers a scalable platform for regional consolidation, e-commerce fulfilment, reverse logistics, and light manufacturing.
Exceptional Cost Advantage
Compared to European and US logistics hubs, Jamaica offers highly competitive cost structures. Labour costs are 40–60% lower than US equivalents. Land and warehouse lease rates typically range from US$0.85- US$1.75 per sq.ft. per month, depending on location, infrastructure, and amenities. US$0.25–0.60 per sq. ft./month. Energy and telecoms infrastructure support modern distribution models, with solar integration opportunities for sustainability-conscious brands. In addition, SEZ benefits include a reduced corporate income tax of 12.5 %, which may be lowered to 7.5% with the approval of additional tax credits. Other incentives include duty-free inputs, and VAT/GCT exemptions on capital equipment.
Market Access to 40+ Million Caribbean Consumers
Beyond Jamaica itself, a logistics base in Kingston opens access to more than 40 million consumers across the Caribbean. Jamaica’s connectivity to Latin America and the US East Coast makes it ideal for firms looking to expand regional presence without committing to costly continental operations. Major carriers including CMA CGM, ZIM, Seaboard Marine, Tropical Shipping (represented locally by Kestrel Liner Agencies) and Maersk call at Kingston, ensuring consistent service schedules and reliable outbound reach.
Government Support and a First-Mover Advantage
JAMPRO and the Government of Jamaica are actively seeking logistics partners. We are ready to facilitate site visits, coordinate SEZ approvals, and connect investors with trusted developers. Workforce development programmes are already in place via HEART/NSTA to ensure trained staff are ready for new logistics roles. Importantly, no multinational 3PL has yet established a flagship logistics hub of scale in Jamaica. This presents a unique first-mover advantage for visionary firms willing to lead.
European logistics firms don’t need more of the same. They need adaptable, cost-effective, strategically located infrastructure that can buffer against future shocks. Jamaica is not just another dot on the map — it’s a gateway to the Americas, waiting to be activated.
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