PSC steps up to assist in tackling illegal trade, counterfeit products

– illicit trade desk set up at Waterloo St headquarters

Cognisant of the challenges monitoring illegal trade, smuggling and counterfeit products, among other illegalities, the Private Sector Commission (PSC) is stepping up to assist the State by establishing an Illicit Trade Desk at its Waterloo Street headquarters.
According to the PSC in a statement, the Desk will be established to take in reports and complaints on cases related to unfair trading practices, smuggling, uncustomed goods, and counterfeit products.
“The Desk will be housed at the Commission’s headquarters on Waterloo Street. It is open to any member of the public, and complaints can be made in person, by telephone, or by sending an email to the Commission. Once complaints are received, the Commission will forward them to the relevant law enforcement agencies for action,” the PSC explained.
PSC Chairman Komal Singh was quoted in the statement as making it clear that these crimes were taking their toll on legitimate businesses and members of those businesses. He noted that the Commission was determined to do its part and collaborate with the relevant stakeholders.
“Illicit trade continues to erode the competitiveness of our local businesses, distributors, and traders. Many of our members are losing market share, which directly impacts their long-term profitability.

“Employment opportunities, business stability, and economic growth are also at stake. In doing our part, we will continue to collaborate with the relevant stakeholders, and the Commission intends to continue raising awareness on this matter via public awareness programmes,” Singh further said.
It was also noted by the umbrella organisation that when these crimes persist, the safety and well-being of citizens are in jeopardy since these illicit products can include pharmaceuticals and consumables.
“Illicit trade is a crime that involves counterfeiting, tax evasion, and the smuggling of consumer products. Key items susceptible to illicit trade include highly-taxable commodities such as tobacco, alcohol, pharmaceuticals, designer apparel and footwear, and wildlife.
“The scope of illicit trade is extensive, and products sold illegally or unregulated pose serious health concerns to consumers. Despite these implications, the crime persists, affecting legitimate business operators and impacting the safety and well-being of citizens,” the PSC explained.
Another point made by the PSC was the strain on the resources of law enforcement since they are also faced with solving more high-level crimes. According to the Commission, the public and private sectors need to work together on the issue.
“The Commission understands that addressing this issue requires a collaborative effort between public and private partners and is committed to providing resources to strengthen public and law enforcement agencies to address the scourge. Persons with information or complaints related to activities they suspect to be illicit trade can contact the Commission via email [email protected] or telephone 225-5347,” the PSC said.
Guyana has been faced with illegal trade of a range of commodities, from gold to cigarettes. For instance, the Demerara Tobacco Company (DEMTOCO) Limited had estimated earlier this year that the country could lose as much as $1 billion in revenue from the illicit trade of cigarettes this year.
According to DEMTOCO Managing Director Vijay Singh, the market share of illicit cigarettes in Guyana has risen alarmingly to an estimated 29 per cent, representing a 100 per cent increase in just one year.
In Guyana, songbirds are also a frequent target for intended smugglers. In 2023, several persons were caught attempting to smuggle songbirds out of Guyana and were penalised in accordance with the provisions of the Wildlife Conservation and Management Act (2016).
But perhaps the most notorious case of smuggling involved the gold trade. Two US citizens and one Guyanese were charged last month after being intercepted with US$560,000 worth of raw gold at the Cheddi Jagan International Airport (CJIA).
Further, in recent sanctions imposed against local gold dealers Nazar and Azruddin Mohamed and their associated businesses, the United States has alleged that some 10,000 kilograms of gold had been smuggled out of this country between 2019 and 2023.
The US Department of the Treasury’s Office of Foreign Assets Control (OFAC), which announced the sanctions, alleged that owing to the under-declaring of gold and tax evasion, the State was defrauded of more than US$50 million in duty taxes.