Seaga counters BPO anxieties
WESTERN BUREAU: THE JAMAICA Special Economic Zone Authority (JSEZA) has rubbished claims that fees and regulations under the SEZ Act are already having a negative impact on the business process outsourcing (BPO) industry, a sector earmarked to spearhead economic growth.
In a recent release, Dr Guna Muppuri, the outgoing president of the Business Process Industry Association of Jamaica (BPIAJ), claimed that the sector has stagnated because of the “ongoing climate of uncertainty surrounding the SEZ legislation, and the range of new fees and taxes being imposed on the sector.
“Chief among the BPIAJ’s concerns is how the industry will be treated under the Special Economic Zone regime, which imposes not only a host of fees and regulations, but also more red tape and bureaucracy,” said Muppuri, whose organisation represents approximately 45 players in the ICT-BPO sector.
“We can see the impact on our industry. New investors are holding back, observing the Government’s legislative moves, and existing players are slowing the pace of expansion while they assess whether Jamaica will continue to be an attractive BPO destination,” added Muppuri.
However, in rejecting Muppuri assertions, a statement from the Metry Seagaled JSEZA stated that the fees and guidelines for operators in the sector have not affected the growth agenda.
“We are happy to report that we have, in fact, taken on board some of BPIAJ’s recommendations through our series of stakeholder meetings,” the JSEZA release stated. “Contrary to the BPIAJ’s outlook, we are encouraged by the industry’s potential growth as we are currently processing applications from BPO companies seeking to establish and expand existing businesses in Jamaica.”
According to JSEZA, the development of the SEZ was done in concert with a number of key players across a range of industries in Jamaica, including players from the BPO industry, and members of the BPIAJ executive.