Dominica Association of Industry and Commerce meets with government

CEO of the Dominica Association of Industry and Commerce (DAIC), Achille Chris Joseph.

The Board of Directors of the DAIC in keeping with its agenda to partner in creating a better business environmentmet with Government on two separate occasions over the last two weeks in January 2011 to discuss areas of interest and concern.

The highlights of the discussions were as follows:

Procurement Legislation

DAIC requested an update on the Procurement Bill and Government advised that there was need for some redrafting to streamline the legislation to make it less bureaucratic and gave a commitment to have it introduced in Parliament this calendar year.

DAIC requested and received clarification on the recent DOWASCO tender process and urged Government to institute procedures for procurement to avoid the perception of a lack of transparency.

Removal of VAT on local produce like chicken, meat, pork etc when sold through supermarkets

Government has accepted the DAIC’s position for removal of VAT on the captioned items. The appropriate Ministries will develop the necessary Regulations required for the implementation of the VAT legislation exempting local agricultural produce as amended by Government. This will be of tremendous benefit to local producers who can now focus on the production side thereby increasing their output.

Streamlining and rationalizing various inconsistencies on certain tariffs

This has been and is an ongoing discussion with the Ministry of Trade which accepts in principle some of the recommendations made and are in turn working towards a resolution.

VAT exempt purchases from the local private Sector on projects granted VAT exemptions.

DAIC explained the inequity of businesses with concessions being able to import directly and benefit from waiver of VAT but have to pay VAT if the same item is purchased locally. Government expressed concern with creating loopholes which may lead to abuse and has asked DAIC to provide information on how it is dealt with elsewhere for further consideration.

Status of Electoral reform

An update was requested and provided. The private sector now has a better understanding of the ID card issue and will be seeking further clarification on the matter.

Continued income tax reform to further reduce rates and increase threshold

DAIC sought a continuation of the phased reduction in PAYE whereby the tax brackets would be reduced to 10, 20 and 30%. Government will give consideration to this in this year’s budget but would have to be guided by certain fiscal parameters and targets which have been adversely affected by the global recession.

Duplication of charges- namely environmental levy and tipping fees

Government explained that it is unlikely that one of the two charges can be eliminated due to the cost of solid waste disposal.

Implementation of recording the proceedings at the Magistrates’ Court

Equipment is being ordered.

Non Compliant merchants

Despite several meetings with the authorities (Customs, IRD and VAT) and training seminars organized and hosted by DAIC for such merchants, the problem remains and there is no sense of improvement thus resulting in the State losing significant revenue. It is understood that for the authorities to have a stronger hand in dealing with this, that IRD needs to link up with the ASYCUDA system at Customs for better sharing of information. DAIC urged that this be done soonest. It was also agreed to convene a meeting between a Ministerial team led by the PM, reps from IRD, VAT and Customs and DAIC to fully discuss the issue.

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9 Comments

  1. peter karam (Pedro)
    February 2, 2011

    billions in profits is all the DAIC want to continue to make. every time they meet with GOVT is all about how to maintain their billions in profitss an pay less and less in taxes and income tax.

  2. AGeorge
    February 2, 2011

    This is exactly how NGOs, central and local gov’ts are supposed to work. Have a civil discussion about how true progress can be made. I think if all those folks in power start putting their difference behind and work together to achieve real results, then we won’t have so much political discord we have today.
    You can’t criticize someone in public and next minute expect to act favorably toward you… even in the most professional realm, it is difficult to do with impartiality. If you scream at someone to get things done, you are likely to get the same reaction… and even more adversely so.

  3. Patat
    February 2, 2011

    But, but, DAIC all you better than d opposition man. All you get all your questions answered. Guess there were no old speakers on the P.A. system.

  4. vai23
    February 2, 2011

    NOTICE ACHIELLE WANT, GO AND DO HARD WORK

  5. Hey just giving my two cents
    February 2, 2011

    Good and nformative article. I would really hope that most DNO readers would read the articles above and the explanations of what the Government intends to do regarding some concerns some of which I myself have raised as a citizen.

    I do hope many of you will read. These are some of the things that you should read about and comment on for the development of our country.

    Too many things are politicised and the real issues, persons are not reading and really making recommendations and suggestions. In order to grow mentally and accademically we need to look at the issues and comment objectively.

    We should be seeing more of those kind of articles from civil organisation and would challenge all the naysayers and negative persons who ony comment politically to give their inputs for the development of lovely Dominica.

    Thanks to all and DNO.

    • Eyes Wide Open
      February 2, 2011

      Really and trully this doesn’t say much to me. it just looks like a smoke-screen. The public has bee calling on tshe DAIC for a very long time to speak on the issues that are of concern. Ok they asked the government for an update on electora reform – ‘ The private sector now has a better understanding of the ID card issue and will be seeking further clarification on the matter’ . What further clarification is really needed I dare ask, do you know how long the request for electoral reform has been placed, since around 2005; and yet DAIC is still waiting on clarifiacation in this year 2011. I mean come on, they want people to think they are actually doing something of substance but in truth and in fact they are not.

      • bb
        February 3, 2011

        was electoral reform the only thing the article talked about?? i definitely doubt!!! is the same thing with all you all day long!!!! is why time passes by and nothing changes!!!

    • bb
      February 3, 2011

      i agree with 2 cents. i enjoyed reading this informative article. stop with all the damn politicking and get working!!!

  6. following their masters like poodles
    February 2, 2011

    Good work DAIC please continue the effort and do timely follow ups on the promises made but also all you must get more of populace involve in the items all you would be taking to the Govt. But we do appreciate the effort so far.

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