Govt. will not act hastily towards complaints against Chinese supermarkets and hardware stores - Minister of Commerce

Govt. will not act hastily towards complaints against Chinese supermarkets and hardware stores – Minister of Commerce

Jul 15, 2024 News

…says will discuss concerns with Finance Minister

Kaieteur News – Almost three months after the local business community raised a series of serious concerns about the proliferation of Chinese supermarkets and hardware stores in Guyana, the government has said it will not act hastily in addressing the situation but will now discuss an approach.

Local business community raised a series of serious concerns about the proliferation of Chinese supermarkets and hardware stores

The truck and crane Navindralall was operating at the time of his death.

Minister of Minister of Tourism, Industry and Commerce, Oneidge Walrond on the sidelines of an event told this newspaper, last week, in an exclusive interview that the government treats every concern as a priority regardless of whether it is raised by the business community or an ordinary citizen.

The Guyanese Businesses Owners Association (GBOA), comprising 65 entities and individuals in a letter to President Irfaan Ali and other senior Cabinet members, dated April 22, 2024 highlighted their concerns over the flooding of Chinese supermarkets and hardware stores across the country.

The Guyanese business owners were keen to note that while they recognize and embrace healthy competition for the benefit of consumers, their primary concern pertains to the perceived lack of adherence by Chinese businesses to the same laws and regulations governing Guyanese enterprises.

They argued, “Many of these Chinese stores fail to provide tax invoices automatically with purchases, and when requested, such invoices are begrudgingly provided. Additionally, they neglect to display TIN (Taxpayer Identification Number) on invoices, omit charging VAT (Value Added Tax) on applicable items, and abstain from listing product descriptions on invoices.”

The missive also noted that there have been instances where consumers unknowingly purchased expired food items from these establishments, only to find no recourse for product support.

These flagrant breaches, according to the Business Association, raise questions about accountability and concerns about the oversight by relevant authorities. To this end, the businesses said they cannot help but speculate whether these non-naturalized Chinese businesses receive preferential treatment or special concessions.

Meanwhile, the Minister of Commerce said, “I saw the letter and the issue appears to be across many sectors such as the financial sector which would include the Minister of Finance and we do plan to look and see what the genesis is and what really is at the bottom of it.”

Walrond added, “We have seen the letter and we noted the concerns but instead of having a kneejerk reaction, I do need to sit with the Minister of Finance and we have spoken informally for us to meet and discuss what really the real issues are and how they can be addressed.”

The business community is concerned that the rapid expansion of Chinese businesses may not reflect normal market competition but may be a strategy to undermine local businesses by diminishing their market share, potentially impacting those with financial obligations to lending institutions such as loans and mortgages.

In light of the growing number of Chinese owned supermarkets and hardware stores, the local businesses questioned whether they were being subjected to the same taxes and import duties as local businesses, or whether they receive preferential treatment such as duty-free concessions for their imports.

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business, Chinese, Government, hardware, stores, supermarkets

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