Gov't Urged: Delay Wto Until 2021'S New Power Plant Established

Gov't Urged: Delay Wto Until 2021'S New Power Plant Established

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Government was yesterday urged to delay the Bahamas' WTO accession until 2021 to coincide with the prospect of lower energy costs for New Providence at least.

Robert Myers, the Organisation for Responsible Governance's (ORG) principal, told Tribune Business that the proposed timetable for Shell's liquefied natural gas (LNG) power plant "gives the timeline" for when the Bahamas should seek to become a full World Trade Organisation (WTO) member.

Reiterating that he was in favour of the Bahamas ultimately joining the WTO once it could realize the full benefits, Mr Myers again urged that accession be delayed to properly position the economy for this.

 

Suggesting that the Government was currently on a WTO "sales mission" and "blowing smoke up our backsides" over the need to join global trade's rules-setting body, the ORG chief said his personal experience called into question the advantages said to flow from membership to Freeport.

Mr Myers argued that Freeport should instead be labelled "bureaucratic port", recalling how the imposition of 1 per cent Customs processing fees on all imports and exports - plus a doubling in Customs attendance fees - ultimately sank his VTrade transhipment/logistics business.

VTRade's business model was built on quick turnaround, bringing in bulk shipments for 'break down' and forwarding on to consumers via smaller loads. However, the extra costs and bureaucracy introduced by the former Christie administration ultimately undermined its existence and forced the company's closure.

"Why do they think the WTO is going to open up Freeport?" Mr Myers told Tribune Business. "What's closing down Freeport is that you have to deal with two governments: the Grand Bahama Port Authority (GBPA) and the Governmentx.

"You've got to jump through all the Port Authority stuff, and still have to deal with Immigration and Customs, and have Customs breathing down your neck. They imposed a 1 per cent fee on all goods imported and exported, and then doubled the Customs attendance fee.

"Every time you imported or exported something, you had to have Customs come in and inspect it. That's not a 'Freeport'; that's a bureaucratic port. That's what put me out of business. Until you get Customs and Immigration, and government, out the way, it's a 'bureaucratic port'."

Mr Myers argued that the Government seemed to be solely focused on selling WTO membership's supposed merits, rather than addressing productivity, energy, and cost/ease of business challenges that made Bahamian businesses uncompetitive with their international and Caribbean counterparts.

"I'm not buying it. Nobody's talking sense yet," he told Tribune Business. "They're on a sales mission to cram WTO down our throats without thinking. When they stop doing that, and start having real conversations, dealing with the gorilla in the room, they'll have better traction.

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