By NEIL HARTNELL
Tribune Business Editor
nhartnell@tribunemedia.net
The Bahamas’ chief WTO negotiator yesterday said the concerns expressed by Rupert Roberts are based on “illusion and fiction”, adding: “We are doggedly pursuing the country’s best interest.”
Zhivargo Laing, responding to the Super Value owner’s vehement opposition to The Bahamas becoming a full World Trade Organisation (WTO) member, said it was “challenging” to reply to someone whose mind was seemingly made up based on “matters that are simply not true”.
Reiterating that “free movement of labour” will not occur upon joining the WTO, Mr Laing said he found Mr Roberts’ position particularly “absurd” given that there was “not a possibility that the Commonwealth of The Bahamas” will open up his retail and wholesale sector in the accession negotiations.
He added that himself and The Bahamas’ negotiating team were “keenly sensitive” to the need to protect Bahamian manufacturers and farmers, who currently rely on import tariffs and other forms of protection, in the accession process to ensure they remained “viable” under the WTO’s rules-based environment.
The Bahamas’ chief negotiator also compared Mr Roberts’ fears that the VAT rate will be raised to 25 percent to compensate for lower import tariffs to “me saying if you put a cube of ice on the sun it will not melt” - meaning the two issues are not connected.
While agreeing that valid WTO concerns needed to be raised and discussed, Mr Laing argued that they needed to be based on fact. He added that he was especially disappointed that Mr Roberts and other critics appeared not to have assessed The Bahamas’ initial goods and services offers, as these provided information that may have allayed their fears.
The Super Value principal, in an interview with Tribune Business earlier this week, said he was opposed to joining the WTO and will never change his mind even if studies determine “it’s the greatest thing for The Bahamas”.
“I’m not sold on WTO,” Mr Roberts told this newspaper. “I oppose it. I’m afraid that with WTO we’re going to have to reduce duties, and if we reduce duties to 15 percent we will have to raise VAT to 25 percent, and that creates problems for us with consumer dissatisfaction. We would have to face that.
“I feel that no matter what they [the government] say, no matter what they promise, no matter what they negotiate, that we are going to have free movement of labour. All the banks in the world will be coming in, all the supermarkets in the world will want to come in.
“I think it will be a free for all, and not fair to Bahamians and not work for Bahamians. Yes, I oppose it, and I think there’s members of the chamber that oppose it.”
Mr Laing, in reply, told Tribune Business: “I don’t know how to respond to someone who says their mind is already made up, and no one is changing their mind.” Pointing to Mr Roberts’ promise to reject even the findings of the Chamber of Commerce’s Oxford Economics study on whether WTO membership will be beneficial for The Bahamas, he added: “What can you say?
“I can’t imagine, if everyone in the country takes that position on every issue, it helps us in the discussion but they’re entitled to take that position for sure. It is unfortunate to me that his mind is made up about matters that are simply not true and fictional about how the WTO works.”
Acknowledging that it was natural for persons unfamiliar with the WTO and how rules-based trading regimes work to have concerns, Mr Laing added: “I can understand that, but to have opposition based on illusions, based on fiction, is challenging to address.
“Not only does that [free movement of labour] not occur, he is insisting that no matter what the Government says, no matter what the reality is, that will happen. We are expected to live in an informed world where there are empirical means to verify things we are faced with and concerned about.
“If we are convinced something will happen no matter that there is no basis for that conviction, it becomes a challenge to address.”
Mr Laing added that Mr Roberts’ own industry, the retail and wholesale sector, had been “reserved” in The Bahamas’ WTO offer and was not even “on the table” for negotiation with the status quo remaining in place.
“You can look at the offer and see it’s not mentioned in the offer,” he told Tribune Business. “I can say as a lead negotiator there is not a possibility the Commonwealth of The Bahamas will open up wholesale and retail trade in the way Mr Roberts fears. I find it amazing there is this kind of passion for a thing that is not a worry.”
While conceding that The Bahamas’ final WTO accession terms still have to be agreed via negotiations, Mr Laing confirmed that despite the need to reduce average tariff rates to 15 percent the Government still had the flexibility to maintain or increase existing rates to protect domestic producers and manufacturers.
“Those of us who are in the negotiations are keenly aware of the sensitivities in our market in respect of manufacturers and farmers, and we are keenly seeking to ensure there is viability for those industries; keenly aware,” he told this newspaper.
“If Mr Roberts is intending to be helpful as we have done, he would participate in the consultation process so, just as we have done when we go to Geneva, we have positions that are adopted and have been discussed with the sectors.
“There is no sector in The Bahamas that can come out and say you have reduced import tariffs so low we cannot survive because the fates are in the offer, which they can see.”
Mr Laing, though, said he remained willing to meet Mr Roberts and discuss his WTO concerns, noting that the Super Value owner has changed his positions before - most notably with respect to VAT and the New Providence Road Improvement Project.
“I understand every man has to look after his own interests,” he told Tribune Business. “As a government and as negotiators we have to look out for the interests of the entire country and we very focused on that. Very focused.
“I can say without fear of contradiction, notwithstanding Mr Roberts and notwithstanding his very strong conviction, we are doggedly pursuing The Bahamas’ best interests....
“I am not opposed to people with concerns about the WTO. Society ought to have the right to express its convictions, and when they’re legitimate they have to be taken on board. It is very difficult to do anything about concerns that are fictional.”
Comments
BahamaPundit 5 years, 8 months ago
I simply can't understand this point: If this man has given up his sallary in representing the Government as lead negotiator for WTO accesion, what motivates him to denegrate WTO opponents and put everything on the line to defend WTO? In my opinion, it makes no logical sense from a capitalist perspective. What drives his loyalty to WTO over his intelligent Bahamian colleagues? Who would do all that he has done for free?
Well_mudda_take_sic 5 years, 8 months ago
Laing is a very handsomely compensated lobbyist of Red China. He is being rewarded by Red China for promoting and representing their very keen interest in having the Bahamas join the WTO. Laing is all about Laing and a traitor to the interests of the Bahamian people.
BahamaPundit 5 years, 8 months ago
If you have evidence of this, please ensure that it comes out for the benefit of Bahamians. He should be forced to disclose any third party interests as a matter of process. He takes everything so personally!!! Doesn't he realize that we care about The Bahamas completely and have nothing against him as a person. We would very happily not speak to him ever again, but this is OUR COUNTRY!
ThisIsOurs 5 years, 8 months ago
How will government fees, NIB, NHI and payroll taxes be adjusted when customs duties are removed?
ThisIsOurs 5 years, 8 months ago
"Not only does that [free movement of labour] not occur, he is insisting that no matter what the Government says, no matter what the reality is, that will happen"
He is correct. WTO will take care of govt protection for Bahamian businesses and CEB will take care of the labour component. The shortsighted govt has sold off the only growth industry we had. The first Indian company announced its entry under the CEB bill. They and other foreign interests to follow will now cannibalize that sector and the EU will take care of financial services.
BTC never seemed to have recovered from its sale.
Servants once again under the National Desperation Policy
bcitizen 5 years, 8 months ago
How can any 4-5 year government enter us into a agreement/treaty that cannot be easily undone by the election of another government without it being a major plank in their election manifesto or a referendum put to the population? Neither has been done by either party. This whole process is on the border of being undemocratic and against democracy. I doubt in a referendum regarding joining the WTO that support for it would get more than 10% support. The Bahamas does not want this.
BahamaPundit 5 years, 8 months ago
Agreed. What about oil drilling? We were promised a referendum on that too!
bcitizen 5 years, 8 months ago
Yes the same problem and even though I was for the legalization of the number shops the referendum vote was against it. The government at the time went against the vote. Our democracy is not functioning. Even though the vote was against what I wanted, I accepted it. This is paramount to the trust between elected governments and the people. This breakdown in democracy is an even greater issue than than the WTO or the numbers houses. The people are being sidelined
B_I_D___ 5 years, 8 months ago
Bahamas has already opened up it's wholesale sector through BFS...owned by SYSCO from the USA. Just let them walk on in and take control without any kickback from Government...mind you, Govt may have gotten a LOT of kickback into their pockets.
ThisIsOurs 5 years, 8 months ago
This removes the theory that no medium to large sized company is interested in us little folk. If they can get in "first" and dominate the market they'll do it. You only need one per industry to decimate Bahamian owned businesses or close the door to Bahamian new entrants
birdiestrachan 5 years, 8 months ago
Never mind Laing He has to eat, he has to sleep so roc wit doc gave him a job.
him and doc smart just alike. The glasses worn to make Bahamians believe he knows something. There is nothing there . BLANK , ZERO.
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