Classification Classification Systems and the Systems and the

System of National System of National Accounts (SNA) Accounts (SNA)

20082008

Research, Design and Evaluation Research, Design and Evaluation DivisionDivision

Statistical Institute of JamaicaStatistical Institute of Jamaica

Classifications used in the Classifications used in the SNA 2008SNA 2008

The 2008 SNA utilizes several major The 2008 SNA utilizes several major classification systems including the classification systems including the following:following:

Harmonized Commodity Description and Coding System (HS) Harmonized Commodity Description and Coding System (HS) Standard International Trade Classification (SITC)Standard International Trade Classification (SITC) Classification by Broad Economic Categories (BEC)Classification by Broad Economic Categories (BEC) Classification of Individual Consumption According to Classification of Individual Consumption According to

Purpose (COICOP)Purpose (COICOP) Central Product Classification (CPC)Central Product Classification (CPC) International Classification of Status in Employment (ICSE)International Classification of Status in Employment (ICSE) International Standard Classification of Occupations (ISCO)International Standard Classification of Occupations (ISCO) International Standard Industrial Classification (ISIC)International Standard Industrial Classification (ISIC)

ISIC Rev. 4ISIC Rev. 4 The ISIC classification is used to

develop the production account and the generation of income accounts by industry.

ISIC provides the basis for the construction of the survey framework that is the Business Register.

Several other social indicators are also compiled by industry and therefore utilize ISIC.

The Jamaica Industrial The Jamaica Industrial ClassificationClassification

The Jamaica Industrial Classification The Jamaica Industrial Classification (JIC) 2005 is a national adaptation of (JIC) 2005 is a national adaptation of ISIC Rev. 3.1 and was published in 2008. ISIC Rev. 3.1 and was published in 2008.

The JIC maps into the ISIC usually down The JIC maps into the ISIC usually down to the Class (4-digit) level. JIC adds to the Class (4-digit) level. JIC adds another level - another level - the Sub-Classthe Sub-Class – which is – which is the most detailed level of the the most detailed level of the classification. It is denoted by a five-classification. It is denoted by a five-digit code.digit code.

This additional layer of detail better This additional layer of detail better reflects the structure of economic reflects the structure of economic activities at the national level.activities at the national level.

ISIC Rev. 3.1ISIC Rev. 3.1 Section ASection A - -

Agriculture, Hunting Agriculture, Hunting and Forestryand Forestry

Division 01Division 01 - - Agriculture, Hunting Agriculture, Hunting and Related Service and Related Service Activities Activities

Group 011Group 011 - Growing - Growing of Crops; Market of Crops; Market Gardening; Gardening; Horticulture Horticulture

Class 0113Class 0113 - Growing - Growing of Fruit, Nuts, of Fruit, Nuts, Beverage and Spice Beverage and Spice Crops Crops

JIC 2005JIC 2005 Section ASection A - Agriculture, - Agriculture,

Hunting and ForestryHunting and Forestry Division 01Division 01 - -

Agriculture, Hunting and Agriculture, Hunting and Related Service Activities Related Service Activities

Group 011Group 011 - Growing of - Growing of Crops; Market Gardening; Crops; Market Gardening; Horticulture Horticulture

Class 0116Class 0116 – Growing of – Growing of Spice CropsSpice Crops

Sub-Class 01161Sub-Class 01161 – – Growing of PimentoGrowing of Pimento

0116201162 – Growing of Ginger – Growing of Ginger 0116301163 – Growing of Pepper – Growing of Pepper 0116401164 – Growing of Thyme – Growing of Thyme 0116901169 – Growing of – Growing of

Culinary Herbs and other Culinary Herbs and other Spice CropsSpice Crops

Revision ProcedureRevision Procedure Establish a Revision Committee with the Establish a Revision Committee with the

requisite Terms of Reference & requisite Terms of Reference & Implementation ScheduleImplementation Schedule

Review and update the classification in Review and update the classification in accordance with the revised Structure of ISIC accordance with the revised Structure of ISIC

Develop detailed Structure (up to the 5-digit Develop detailed Structure (up to the 5-digit level)level)

Verify the existence of the activities classifiedVerify the existence of the activities classified Prepare Conversion Tables; Classification Prepare Conversion Tables; Classification

Index and related Explanatory NotesIndex and related Explanatory Notes Train coding staff (Business Register)Train coding staff (Business Register) Assign revised JIC codes to all establishments Assign revised JIC codes to all establishments

on Business Register.on Business Register.

Proposed Implementation Proposed Implementation ScheduleSchedule

Implementation of the revision is Implementation of the revision is scheduled for Q2 2013 – Q4 2014. scheduled for Q2 2013 – Q4 2014. (Focus on revision of Structure (Focus on revision of Structure and Conversion tables)and Conversion tables)

ISIC Rev. 4ISIC Rev. 4 Proposed Proposed CompletionCompletion

Sections A - CSections A - C October 2013October 2013

Sections D - ISections D - I March 2014March 2014

Sections J – OSections J – O September 2014September 2014

Sections P – USections P – U December 2014December 2014

Areas of Major ChangesAreas of Major Changes Section D – ManufacturingSection D – Manufacturing

Six clusters of activity in Manufacturing have Six clusters of activity in Manufacturing have been elevated to Division status been elevated to Division status

Reorganization and condensation of five Reorganization and condensation of five divisions (Mfg of Machinery and Equipment) divisions (Mfg of Machinery and Equipment) down to three.down to three.

The disaggregation of Section K – The disaggregation of Section K – Real Estate, Renting and Business Real Estate, Renting and Business Activities into three independent Activities into three independent Sections:Sections:

Real Estate Activities Real Estate Activities Professional, Scientific and Technical Activities Professional, Scientific and Technical Activities Administrative and Support Service Activities Administrative and Support Service Activities

Areas of Major ChangesAreas of Major Changes The disaggregation of Section O – Other The disaggregation of Section O – Other

Community, Social and Personal Service Community, Social and Personal Service ActivitiesActivities Section O was regrouped into 2 new sections and a Section O was regrouped into 2 new sections and a

number of activities elevated to the Division level. number of activities elevated to the Division level. The new sections are:The new sections are:

Arts, entertainment and recreation (Section R) Other service activities (Section S)

The new Section J – Information and The new Section J – Information and CommunicationCommunication The new Section J consists of 6 Divisions that

cover: Publishing activities including software publishing (division 58)

from Mfg. Motion picture and sound recording activities (division 59) from

Other Community… Radio and TV broadcasting and programming activities (division 60)

from Other Community… Telecommunications activities (division 61) from Transport… Information technology activities (division 62) from Real Estate.. Information service activities (division 63) from Real Estate..

Special ChallengesSpecial Challenges Dedicated Staff - A minimum of two (2) Dedicated Staff - A minimum of two (2)

Statisticians required.Statisticians required. Steep learning curve for all new staff Steep learning curve for all new staff

assigned.assigned. Verification of new activities required.Verification of new activities required. Harmonization of Statistical series based Harmonization of Statistical series based

on ISIC Rev. 4 is required for the on ISIC Rev. 4 is required for the production of Integrated Economic production of Integrated Economic Statistics.Statistics.

Staff of the Tax Administration Jamaica Staff of the Tax Administration Jamaica (TAJ) may require technical support to (TAJ) may require technical support to expedite the transition to ISIC Rev. 4.expedite the transition to ISIC Rev. 4.