Injustice as Businesses Fail to Pass on Tax and Duty Savings at Bridgetown Port, Says Minister Kirk Humphrey

Minister of People Empowerment Kirk Humphrey says it is an “injustice” that some businesses which are enjoying savings on taxes and duties at the Bridgetown Port are not passing them on to consumers.

He was debating the Facilitation Of The International Maritime Traffic Bill 2024 in the House of Assembly, yesterday morning.

During the first session of Parliament for the year, Humphrey said that despite Government surrendering a percentage of the port charges to ease consumers last year, it was not having the envisioned effect for the Barbadian public.

In April 2023, the Bridgetown Port announced a ten per cent reduction in container related port charges, with another 7.5 per cent decrease set to be introduced this year.

“The reductions surrendered translate all now to BDS$10 million a year and this was done to reduce the cost,” Humphrey said. “If the Bridgetown Port and the Government of Barbados can reduce the cost of doing business and the private sector players receive these benefits but do not pass on these benefits, then they are doing an injustice to the people of this country. We have a responsibility to stay on task and make sure that these benefits are passed on to these people.”

The minister said: “Where else in the world are you seeing a Government pass on this kind of money at a time like this? Governments all over the world cash in but this one is making a decision to surrender a significant amount of the revenue to allow business to operate at a reasonable level, but if we are being honest, most of us do not feel as if most of those benefits are being passed on.”

His comments come just weeks after Prime Minister Mia Amor Mottley spoke on this point. During her first address to the Nation at Ilaro Court on January 6, Mottley said: “We are not satisfied however that the full extent of these reductions have been passed on to end consumers and customers.”

She continued: “Hence, we will invite the consumer protection bodies, along with the Ministry of Commerce, to monitor with a hawk’s eye the businesses that are passing on these reductions and savings to share with the public.

“I’m not using a stick, I’m using a carrot and we will help the public learn who are the businesses that have done the right and decent thing, which is pass on the savings to the members of the public. The information will be shared and the public will decide who you will make your purchases with.”

This Bill, if passed, would make provision for the electronic transmission and exchange of information to facilitate and expedite the clearance of international maritime traffic. It would also create an enabling environment for a port community system as well as the provision for relating matters.