Barbados Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in barbados, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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eCommerce
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Assessment of Current Buyer Behavior

In 2020, about 82 percent of Barbadians had access to the internet.  The social distancing measures associated with the COVID-19 pandemic spawned an increase in e-commerce platforms among local businesses.  Local banks, the BIDC, and the Barbados Chamber of Commerce and Industry provide support for companies who would like to use e-commerce as a sales platform.  Online purchases from U.S. websites continue to increase as the influence of the U.S. media and the prevalence of social media has made it easier to see and obtain products and services online.  Buying online has become the preferred method to acquire a range of products through preferred e-commerce plaforms.

Local eCommerce Sales Rules & Regulations

Local laws that govern e-commerce are the Computer Misuse Act, the Electronic Transactions Act CAP 308B and associated regulations.  There are also efforts to draft a Cyber Crime Bill.  The 2019 Data Protection Act borrows from the European Union’s General Data Protection Regulation (GDPR) and will affect all companies when fully implemented, notably those in the service sector such as tourism and financial services.  The Act establishes a Data Protection Authority, requires the appointment of a company data privacy officer, and introduces fines for non-compliance, data losses, and breaches.  The private sector and the public have raised regarding personal data and its use.  The Ministry of Innovation, Science and Smart Technology can provide more information about the Act, and a copy of the Act can be accessed on the Barbados Parliament website: https://www.barbadosparliament.com/.

Barbados also amended its tax laws to require collection of VAT on online purchases of goods and services to be consumed in Barbados.  The VAT is to be collected at the point of sale.  Local shipping agencies offer package clearing services for Internet purchases that are then shipped to Barbados for a fee.  Items purchased usually include clothing, beauty supplies, electronic equipment, and automobile parts.  There are also local companies that are wholly web-based and conduct business only via websites or social media.

While the use of e-commerce platforms has increased, the majority of local businesses still require off-line payments for transactions that may have been initiated over the phone or via email.  This is primarily evident in the real estate sector.  There has been an increase in internet-based companies that advertise and sell goods and services primarily through social media.  While payment is usually cash on delivery, some companiesutiliized online payment platforms due primarily to the Covid-19 pandemic.  Most small and medium enterprises (SMEs) are creating websites or social media presence to showcase and market their goods and services.  The government has also started to offer e-payment options for some of its services.  The Ministry of Energy, Small Business and Entrepreneurship regulates this issue.  More information can be obtained from https://www.commerce.gov.bb/.

Local eCommerce Business Service Provider Ecosystem

Currently, Barbados does not collect statistical data on cross-border e-commerce, but evidence suggests the top country for online overseas purchases is the United States.  Some challenges exist in the areas of electronic payment systems and order fulfilment.  Most SMEs experience great challenges when seeking to have an internet merchant account approved by local banks.  The cost of shipping from Barbados is also extremely high.  Within the airline and hotel industries, websites are much more dynamic and individuals can book various services online.  Recently, a few e-commerce platforms were launched to enable online sales of Barbadian and Caribbean goods and services.

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Global Business Navigator Chatbot Beta

Welcome to the Global Business Navigator, an artificial intelligence (AI) Chatbot from the International Trade Administration (ITA). This tool, currently in beta version testing, is designed to provide general information on the exporting process and the resources available to assist new and experienced U.S. exporters. The Chatbot, developed using Microsoft’s Azure AI services, is trained on ITA’s export-related content and aims to quickly get users the information they need. The Chatbot is intended to make the benefits of exporting more accessible by understanding non-expert language, idiomatic expressions, and foreign languages.

Limitations

As a beta product, the Chatbot is currently being tested and its responses may occasionally produce inaccurate or incomplete information. The Chatbot is trained to decline out of scope or inappropriate requests. The Chatbot’s knowledge is limited to the public information on the Export Solutions web pages of Trade.gov, which covers a wide range of topics on exporting. While it cannot provide responses specific to a company’s product or a specific foreign market, its reference pages will guide you to other relevant government resources and market research. Always double-check the Chatbot’s responses using the provided references or by visiting the Export Solutions web pages on Trade.gov. Do not use its responses as legal or professional advice. Inaccurate advice from the Chatbot would not be a defense to violating any export rules or regulations.

Privacy

The Chatbot does not collect information about users and does not use the contents of users’ chat history to learn new information. All feedback is anonymous. Please do not enter personally identifiable information (PII), sensitive, or proprietary information into the Chatbot. Your conversations will not be connected to other interactions or accounts with ITA. Conversations with the Chatbot may be reviewed to help ITA improve the tool and address harmful, illegal, or otherwise inappropriate questions.

Translation

The Chatbot supports a wide range of languages. Because the Chatbot is trained in English and responses are translated, you should verify the translation. For example, the Chatbot may have difficulty with acronyms, abbreviations, and nuances in a language other than English.

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