| – Miners roast Gov’t over unfulfilled guaranteesBy Sunita Samaroo“Is the Gold and Diamond Mining industry not in trouble? Are we not entitled to help from this Government? Have we not contributed to the growth of Guyana’s economy over the past six years? Did goat bite the smallMiners at the meeting yesterday.and medium scale mining industry?”These were some of the questions being asked by President of the Guyana Gold and Diamond Miners Association (GGDMA), Patrick Harding, as the body hosted its second membership meeting for the year at Regency Suites, Hadfield Street, Georgetown yesterday.Addressing a sizeable gathering, Harding said that the body is calling on the Government to hear the call of the miners before it is too late.“This gold and diamond mining industry may be wobbling for lack of attention, but with the resilience and commitment of miners it will survive. The survival of Guyana’s economy depends on the survival of the gold and diamond mining industry. We are too big to fail,” Harding stressed.The GGDMA head reiterated that the industry has for the past ten years been the largest foreign exchange earner and has been the driving force in the continued development of the local economy by providing employment and business developmental opportunities to other industries.“We told the President that in the year 2013, even though the price for an ounce of gold had fallen from US$1,800 to US$1,300 around mid-2013, miners having already invested in equipment and technology continued their operations with the hope that gold prices would go back up. This was not so.”“At the end of year 2013, most miners were broke, having re-invested their earnings and savings to produce the record declarations for the year 2013, and the mining industry was in a crisis and needed immediate assistance for it to maintain the continued level of development. That was very important, not only to the industry, but to the economy of Guyana.”He explained that equipment companies were repossessing excavators, miners were just leaving their equipment in the bush, since they could not afford to bring the equipment out and mining lands were being abandoned.“We were told that miners are rich and should invest in other businesses, if you are not successful then get out of the business.”Harding reflected at length on a meeting the body had with President Donald Ramotar, in January last year, where they made clear that the industry was in a crisis.Among the concerns highlighted were the falling gold prices, high operation and maintenance costs, poor and inefficient recovery technology, reduction in the use of mercury, high land rentals from GGMC, limited lands for miners, disparity in concessions between foreign and local mining entities, high fuel costs, increase in criminal activities and illegal mining, impassable roadways, roads built not surviving the first rainy season and reclamation costs that are an additional burden, among other things.He explained that GGDMA had sought several things from the government, but received a number of promises, most of which the GGMDA is still awaiting to come to fruition.The GGDMA head said that Ramotar then set up an Inter-Ministerial Task Force to deal with the problems facing the mining industry. GGDMA and various government agencies were mandated to arrive at collective interventions that would alleviate some of the problems facing the mining sector.He said that they had obtained interventions from negotiations with government agencies, “albeit we are in the fourth month (April) of 2015. Fifteen months have passed and the Government has not fulfilled any of these promises”.Harding outlined that they met with Ramotar on March 3, last,Wholesale Jerseys Free Shipping, at the Convention Centre where they reminded him of the promise made to the miners that GGMC will reduce the rental of mineral properties and claims by 50%, since the price of gold had fallen to US$1,200 per ounce.“He promised to inform GGDMA within two weeks. To date, the Association is still waiting,” he said.He said duty free waivers on selected types of vehicles based on gold declarations were approved by cabinet, “but are awaiting final documentation.”“GGDMA has petitioned the Government that small and medium scale gold and diamond mining operators enjoy the same benefits as the large scale mining companies and to have the waiver of all duties on Mining equipment, and spares for the operations,” he said.According to Harding, despite efforts to attain this, they are still waiting.He highlighted as a challenge, too, that GGDMA Trading Inc. has been granted a licence to import and distribute diesel fuel and lubricants for the mining industry.“However, because of the taxes on diesel fuel, GGDMA Trading Inc., found it difficult to compete with other major distributors of diesel fuel,” he said, adding that last December, Cabinet approved a discount of ten percent (10%) Excuse Tax on diesel fuel for the mining industry.At present the miner pays royalty of five percent (5%) on the gross value of gold sold to the GGB.“This 5% royalty is one of the highest in the world. Neighbouring Suriname pays 4%. GGDMA has petitioned the Government to reduce royalty payment to 3% once the price of gold is under US$1,400/ounce, on a sliding scale that, whenever the price of gold goes over US$1,400/ounce, the royalty payment will increase proportionately. GGDMA is awaiting response from Government.”The association head called on government agencies to implement the promises made to the industry and to “free up the internal governmental road blocks that are hindering the process.”They called for the 50 per cent reduction on licence rental at GGMC; to complete the agreement on 4×4 vehicles; waiver of taxes on mining equipment and supplies,Cheap Jerseys, and 10 percent reduction of import tax on diesel fuel.The Association wants the Guyana Geology and Mines Commission (GGMC) to implement an efficient system of advertising and awarding road and infrastructural contracts. This,Cheap Soccer Jerseys Free Shipping, Harding explained, will facilitate the movement of miners to their work sites.The GGDMA asked that the GGMC make available to small miners, land that has mineral information and infrastructural development.“President Ramotar at a political meeting in Essequibo promised rice farmers rich agriculture lands, and to put in place, a paddy and rice support mechanism, for rice farmers… Former President Jagdeo promises to invest hundreds of millions of dollars to improve the Skeldon Sugar Factory,Jerseys NFL Cheap,” he said, adding that the PPP Manifesto pledges to support the sugar with a minimum investment of $20 billion for the continued viability of the industry.Harding said that they need operational financing that will assist the small and medium scale miners to get back on their feet,Cheap NFL Jerseys China, direct financial assistance from GGMC’s surpluses gained from the Mining Industry Royalties and Fees, “instead of lending GUYSUCO and Guyana Housing Authority.”His sentiments were echoed by Edward Shields, founding member of the GGDMA, who said “We have got nothing but promises,” which earned him a resounding round of applause.In a fiery delivery, Shields lambasted the government for its attitude toward the industry. He said “It’s very simple for the miners and government to work, but it has to start with respect. You can’t have people who have no clue about mining, people who never pass Bartica making decisions for mining.”He said that last January, the President made promises but “today nothing.” He added that meetings with the Minister of Natural Resources and the Environment and GGMC were set up, but there were hardly any that materialized.He reiterated that mining is in a crisis. “The fact is, mining is in a crisis. That is the reality. Mahdia is like a ghost town…the girls ain’t even coning out no more.”He went on to state that those who make the policy decisions, don’t have a clue about what is going on. “We here know what’s going on.”He said that the association has survived every president and will continue to survive any president because we are here to stay. “When you talking about mining talk to GGDMA,Jerseys Wholesale, we know what we want,” he said.Present at the meeting was A Partnership for National Unity Prime Ministerial Candidate, Moses Nagamootoo, who spoke on the policies the coalition will adopt to improve the industry. Nagamootoo rolled out several plans the coalition has and told miners that among the plans was to review GGMC.He also engaged the miners on their burning questions. |
