Despite having seized over $30M worth of smuggled goods during its first quarter of 2014, the Guyana Revenue Authority (GRA) still faces major challenges in tackling smugglers in the North-West District.
Over the past three months, seizures of a number of items including food products, clothing, and technological instruments have taken place in various parts of Guyana, including Georgetown, the East Coast of Demerara and Berbice.
Anti-smuggling exercises have also been conducted in Port Kaituma, Matthew’s Ridge, Mabaruma and Kumaka, but smuggled goods, especially in outlying areas, continue to be an ongoing challenge, the authority said in a press statement on Thursday. Though large quantities of goods, including foreign alcoholic beverages, have been seized from these North-West District areas, GRA admitted that it is yet to cross the hurdle of clamping down on the illegal activities in these remote areas.
Local businesses in the district are suffering greatly due to the increased level of smuggling taking place. The GRA has noted, with concern, the predicament of these business-owners. Rajesh Tirbanie in particular, a businessman who specializes in poultry, has garnered a response from the authority following an interview conducted with a local newspaper earlier this week. During the interview, Tirbanie revealed that his sales have dropped by at least 65% in the past eight months, about the same time that the smuggling activities began in the area.
The smuggled items, he said, are much more inexpensive than locally-produced items, luring buyers to save an extra dollar and buy the prohibited items instead.
Investments made into businesses, especially in cases where animal rearing is necessary, are apparently non-profitable when the input outweighs the output. Particularly in areas where the costs of items are exponentially increased, the stakes are much higher.
Smugglers seem to be just one step ahead of the agency, with knowledge of impending visits as well as difficult access roads to the areas playing in their favour, GRA said.
The lack of a long-term active or permanent presence in the district has also made the fight against smugglers that much more difficult. Though the Guyana Police Force (GPF) has a base in the district and is equipped to detain persons suspected of smuggling, there have been reports that officers might just be in partnership with the smugglers due to offered bribes by the crooks.
Despite the difficulties faced, there are still some success stories. According to the GRA, two boats were recently detained by the police on suspicion of evasion. The authority was able to recover over $4M in applicable customs duty and taxes after the boats were handed into its possession.
The GRA disclosed that continued efforts will be made to put systems in place to ensure its enforcement activities are improved. However, the agency noted that the effectiveness of these systems is dependent on information received from the public on incidents of corruption and illegal activities that deprive the state of revenue and pose an unfair competition to the local manufacturing sector and legitimate importers.
According to reports, a team of officers will be shortly dispatched into the area to conduct investigations into the complaints.
