SMA wel­comes Govern­ment’s life­line Ini­tia­tive.

The Star (St. Lucia) - - LOCAL -

The St. Lu­cia man­u­fac­tur­ers As­so­ci­a­tion wishes to place on record its sin­cere grat­i­tude and ap­pre­ci­a­tion to the Govern­ment of St. Lu­cia for the re­cent pro­nounce­ment, by Prime Min­is­ter Allen Chas­tanet, of the ex­emp­tion of VAT pay­ment at the ports for Lo­cal Man­u­fac­tur­ers. This long awaited an­swer to our pleas could not have come at a more op­por­tune time, as our As­so­ci­a­tion has been con­sis­tently & re­lent­lessly plead­ing for this vi­tal mea­sure of re­lief, on be­half of its mem­bers, from the in­cep­tion of VAT in Oc­to­ber 2012. VAT at the ports im­poses a sig­nif­i­cant cash flow li­a­bil­ity on man­u­fac­tur­ers, par­tic­u­larly small man­u­fac­tur­ers, who in at­tempt­ing to ben­e­fit from economies of scale in or­der to be com­pet­i­tive are com­pelled to pur­chase sig­nif­i­cant amounts of raw ma­te­ri­als, much of which re­mains in stock for pe­ri­ods in ex­cess of a year, thus tying up large cash re­sources in in­ven­tory which can ad­versely af­fect the vi­a­bil­ity of their busi­nesses by in­duc­ing stran­gu­la­tion and suf­fo­ca­tion and, which may have con­trib­uted to the un­timely demise of a num­ber of busi­nesses. Our As­so­ci­a­tion rec­og­nizes the fi­nan­cial con­straints which Govern­ment are faced with and, are pleased that this ad­min­is­tra­tion has lis­tened to the cries of man­u­fac­tur­ers and has ac­ceded to our re­lent­less pleas by al­low­ing us the op­por­tu­nity to pay VAT when the goods are sold in­stead of on im­por­ta­tion. Our mem­bers can as­sure the Govern­ment and peo­ple of St. Lu­cia that the ben­e­fits of this life­line ges­ture will be rein­vested into res­cu­ing, im­prove­ment and ex­pan­sion of their busi­nesses and the ul­ti­mate achieve­ment of some level of economies of scale, so crit­i­cal to their vi­a­bil­ity and sur­vival in this rapidly chang­ing, hos­tile global en­vi­ron­ment. P O Box MF7177, Cas­tries, St. Lu­cia, Tel: 453-7805 Fax 453 7806 - Email: sluman­u­ - Web­site: made­in­stlu­

Newspapers in English

Newspapers from Saint Lucia

© PressReader. All rights reserved.