Foreign businesses must pay taxes so they don’t undersell locals – VP Jagdeo

Vice President Dr Bharrat Jagdeo on Thursday announced that the Guyana Revenue Authority (GRA) is investigating businesses that are bypassing the payment of taxes.
He made this revelation during his weekly press briefing in light of criticisms over the ability of businesses owned by foreigners to sell commodities for a cheaper cost, attracting the majority of customers.
“We cannot allow people to out-compete Guyanese because of ripping off of the taxes and all of that, and sometimes they do and the GRA is having an intense look at that,” he told reporters.
However, he pointed out that Guyanese businesses must also work to promote the products which they sell. “If you are a businessman, you have to be nimble. We can’t force people to buy your tools that you’re selling at twice the price,” the Vice President contended.
Aside from imported products, many people have also been complaining about the increasing cost of food items on the local market. Responding to questions about this, Jagdeo said it is the “middlemen” or retailers who purchase from the farmers that increase the prices.
“We have to keep working to ensure that the farmers benefit more from any profit because they’re working in the fields and their margin is very very slim and they do the hard work, and the middlemen, they make most of the money,” he posited.
He added, “When you go into the supermarket, the prices will be three times what you can buy from the farmers and all they do is probably washing and packing it a bit more.”
In this regard, the Vice President stated that the Government is investing in processing plants across the country to provide a constant market for the harvests, therefore encouraging the farmers to plant more. An increase in production will lead to lower costs.
Further, he highlighted that the farmers must be more organised to remove the “middlemen” and increase their profit margin. This, he said, will ensure that they are also adequately compensated for the hard work put into the fields.
The Government is also investing in drainage and irrigation along with farm to market roads and farmers’ market initiatives to address the cost of local produce.