The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

Commercial fishermen yesterday said they would have welcomed a reduction in import tariffs on vehicles used to transport their catch rather than tax breaks on equipment already duty-free.

Adrian LaRoda, the Bahamas Commercial Fishers Alliance’s president, reacting to the government’s decision to decrease duties on fishing materials from 45 percent to 20 percent, said: “It’s very good. It’s welcomed. I must say that in this time it is unexpected, but any move from the government is a good move because for years we had asked for the duties for commercial fishing to be eliminated. A reduction is welcomed, but we would have preferred to see an elimination like we requested three years ago.”

K Peter Turnquest, deputy prime minister, in unveiling the 2020-2021 budget, said: “For the agriculture and fisheries industry, we will reduce the duty on fishing materials from 45 percent to 20 percent, effective July 1, 2020. Some of these items include fishing rods, reels, lines, tackles and other materials.”

Mr LaRoda, though, said it was unclear whether the tax relief would boost the fisheries industry. “Most of the items required for commercial fishing are already duty free to commercial fishers who have the duty-free card,” he added.

“For example, if you want to bring in a boat for commercial fishing that is duty free; engine parts are duty free. If you are buying traps, etc, those are duty free. If you are bringing in materials for your condos then those are duty free, once you are in possession of a duty free card.

“So this concession is really going to be supplementary because some operators can’t afford to purchase their supplies in bulk or have them imported, so this would help with local sales. It would definitely boost the sales for the local marine stores, but it is welcomed.”

Mr LaRoda added: “What we had originally asked for is if I wanted to buy a small craft for commercial fishing, I would have gotten that duty free, but I would have had to pay duty on the trailer. Just like for farmers; they have bonded vehicles, we had asked for the same thing for commercial fishermen who need a truck for the use of his business. They would also be able to get that duty free, but we haven’t been able to get that yet. We are still fighting for it. But any reduction is good.”

Keith Carroll, the former Bahamas Commercial Fishers Alliance (BCFA) vice-chairman, said of the duty reductions: “It still wouldn’t affect me because everything I bring in is duty-free anyway. Maybe it would help those who do pleasure fishing, but for those who do commercial fishing like me we only pay 12 percent VAT. The majority of the stuff we bring in is duty-free.

“You can’t operate on a boat alone; you need a truck to have a transfer of your catch. A truck can only last you about four or five years anyway. You may get more out of the engine, but all of the salt water will rust the back bed of the truck off. If they were giving fishermen duty-free on vehicles it would have helped.”