Tax on Imported Food Would Burden Jamaicans – Chung

Financial Analyst and Chartered Accountant Dennis Chung says a tax on imported food would burden Jamaicans.

He was responding to a proposal from Opposition Spokesman on Agriculture, Dr. Dayton Campbell, that the PNP would implement the tax if they form the next government.

Dr. Campbell claims the goal is to promote import substitution and modernize local agriculture.

Mahiri Stewart reports.

According to RJR News, Dr. Campbell made the comments at a PNP meeting in South East St. Elizabeth earlier this week.

The tax would fund the development of the local agriculture sector.

This is similar to the levy on international calls that supports the Universal Service Fund, which has funded Wi-Fi hotspots across the country.

Dennis Chung warns the tax could lead to higher prices.

Dr. Campbell’s proposal has sparked a wave of criticism for the PNP.

In response, Opposition Leader, Mark Golding, stated that the PNP does not see a need for new taxes at this time.

Mr. Golding sought to clarify that what Dr Campbell was suggesting is an innovative approach that would earmark existing taxes that are collected on imported food items.

He says those taxes would then be used to create a fund to support import substitution and export-led production of critical agricultural items.

Meanwhile, Chung also criticized Dr. Campbell’s suggestion to ban the importation of Irish potatoes and onions.

According to Dr. Campbell, the ban would help to reduce the country’s high import bill.

But Chung says Jamaica does not produce enough Irish potatoes and onions.

Meanwhile, Mr. Chung says more focus must be placed on addressing the fundamental issues in agriculture, including praedial larceny, farm roads and making markets more secure.

Dennis Chung, Financial Analyst and Chartered Accountant.