Fiji's Bottled Water Industry Ceases Production To Protest New Tax
(Fiji Times)
Fiji’s bottled water industry ceased production to protest a new tax structure imposed by the interim government, the Fiji Times reports.
The industrial action affects 720 workers.
This is followed a move by Cabinet to impose a 20 cents per liter export duty on all mineral water exports and 20 cents per liter excise duty on mineral water sold for domestic consumption — taxes that industry officials say makes it unprofitable to bottle water and undermines its ability to compete in international markets.
Industry officials met yesterday representing the Warwick Pleass, Fiji Water, VTY, Mr Pure, Island Chill, Aqua Pacific, Diamond Aqua, Tappoos Beverage, Fresh Spring Limited and Minerals Water of Fiji.
Bottled water industry spokesman Jay Dayal said the bottled water industry "is at a standstill and all the workers will be sent home.”
Interim Finance Minister Mahendra Chaudhry said the interim government had made a decision and the tax was already in place. Chaudhry said the tax was not new and had been imposed in other countries to generate revenue by governments.
"The State has a duty to impose tax and this tax will not hit the poor people," he said. "Mineral water is a scare resource, which will deplete and a fair share of returns has to be passed on to the nation.”
http://www.fijitimes.com/story.aspx?id=94130
