Small and medium scale miners will continue to benefit from fuel, and concessions on mining equipment parts, as the contracts were renewed on December 21 by the relevant Ministries and associations, GINA said.
GINA said that the Ministries of Finance and Natural Resources, and the Guyana Gold and Diamond Miners’ Association (GGDMA) renewed two contracts for concessions relating to the mining industry. Small and medium-scale miners will now access duty-free concessions on imported equipment, and a 10 percent tax reduction on fuel.
For months, the GGDMA had accused the government of not giving effect to concessions previously agreed. There have also been acrimonious exchanges between the two sides and claims by the miners that the industry faces dire circumstances.
GINA said that the agreement provides for eligible gold miners to be exempted from the payment of custom duties on fuel, matting, All Terrain Vehicles, jackhammer drills, flex hoses, expanding metals, pumps, pump housing, impellers, shaft and engines.
Minister of Natural Resources, Raphael Trotman stated that the Government is happy with gold declarations and with the commitment shown by miners. He added that the government has no desire to “hinder, frustrate or even close down the industry as some would suggest.”
Trotman added, according to GINA, that while concessions are given, with every benefit comes responsibility.
“We expect better declarations, we still believe that despite the high declarations that an amount of our gold, a significant amount of our gold is not being declared.
These two agreements will not be signed and implemented, simply because you are a miner you shall be entitled; with the entitlement comes some responsibilities, and one such responsibility is good stewardship of what you have been given,” Trotman asserted.
The Minister further said that the country is transitioning into a green economy, so unsafe mining and bad environmental practices will not be tolerated.
Minister of Finance, Winston Jordan, said that the agreements will be valid for one year. He said that the gold industry is supporting the economy at the moment and that the government will continue to assist it in any way it can.
Jordan further stated that the government will “never be interested in killing any industry”.
The Finance Minister also said that the Government is giving substantial concessions and believes that it is reaping benefits from the concessions. “Taxes are very important to a country; we all use the roads, whether you are a miner, farmer or public servant, we all use the roads. We use the lights, we use electricity. If we don’t want to pay our taxes, then a small section of society will forever be burdened with the taxes, and this is not something that the Government will countenance, and this is something that the Government will not shy away from, ensuring that everybody pays their fair share of taxes,” Jordan said.
President of the GGDMA, Terrence Adams expressed gratitude to the Government for keeping its promise to the miners and renewing the contracts, GINA said. Adams said that the association will be working along with the ministries to ensure that the persons pay their taxes.
