Imbert presents short-term customs solution to business today

FINANCE MINISTER Colm Imbert is expected to get back to business groups today with a short term solution to the customs crisis, where goods that would have usually been cleared by the Customs and Excise Division (CED) via express release now have to go through full clearance with a broker.

In a release Tuesday, Imbert said pending legal advice and confirmation of stakeholder consensus on the suggestions, he would give an update on the process.

The minister met with representatives from business interest groups on Tuesday including courier companies, business associations like the Downtown Owners and Merchants Association, the TT Manufacturers Association, the American Chamber of Commerce and the TT Chamber of Industry and Commerce.

In February, the CED implemented a rule they had initially waived for “items for companies” coming into the country, where goods valued at less than $20,000 would be allowed to enter and be cleared without the need for a broker. For the last nine years, since the rule waiver was first announced in a budget presentation by former finance minister Winston Dookeran, who had said no formal change of the rules was required, customs has honoured the agreement. But in February, the CED took the decision to apply the rule because, among other things, it was losing revenue. Businessmen claimed there was no formal announcement of the change, leading to havoc on the clearance system, including long delays of up to ten days, an overcrowded bond and additional costs to hire a broker.

In some cases, TT Chamber CEO Gabriel Faria explained, a product that might cost $100 to import could require a customs broker fee of $500.

But he was reassured by the minister’s intervention to solving the problem. “I want to commend the minister’s very proactive approach to the meeting and the significant empathy he displayed.” Imbert, he said, understood the plight of business even as he acknowledged customs’ argument about loss of revenue. “It was one of the best meetings I ever attended with the Minister of Finance.”

In a subsequent statement, the TT Chamber said the minister assured that he genuinely recognises the impact of the recent change in customs practice on the business community as it relates to imports by businesses via courier companies. “He has acknowledged the importance of developing a long-term solution to facilitate the ease of doing business and the clearance of shipments in an expedited and cost-effective manner. Notwithstanding, he has to be cognisant of the lack of compliance with the law by some companies, revenue leakage and challenges to national security.”

Faria said that the business community in no way condones illicit trade that would allow loss of revenue but at the same time business can’t be brought to a standstill. “I think that’s why the minister acted so promptly and so empathetic.”