OBA & Govt On Customs Tariff Amendment Act

June 6, 2025 | 0 Comments

OBA Senate Leader Marcus Jones, Shadow Public Works & Environment Minister Craig Cannonier, and Junior Finance Minister Wayne Furbert have shared differing views on the Customs Tariff Amendment Act.

OBA Senate Leader Marcus Jones

Mr Jones said, “In the recent Budget Debate in the Senate, the Customs Tariff Amendment Act 2025 legislation was brought to the chamber having been passed in the House last week.

“I requested the session go into Committee to ask more questions on specific line items listed in the First Schedule but the Government Senate Team blocked any further discussions on any potential amendments to give all participants within this sector an opportunity for relief.

“In all of this, Government’s claim to have initiated legislation to give the construction industry relief to help stimulate building developments, falls short of giving a hand up to all within the industry.

“For a Labour Government to fail to provide relief for electricians and plumbers by not securing custom tariff relief for materials integral to their trades demonstrates a PLP government that has forsaken their core supporters.

“The OBA supports the intent of this legislation but is disappointed that certain sectors within the construction industry were left out. Fairness has been one of the principles that this PLP Government has heralded but in this situation fairness has been an afterthought. The Opposition Senate Team gave the Government ample time to right this wrong in the form of possible amendments but there was no demonstrative action on their part to make it happen.”

Shadow Public Works & Environment Minister Craig Cannonier

Mr Cannonier stated, “Not too long ago I listened to a statement by economist Craig Simmons concerning price control in Bermuda. He said it would make more sense working with the business community on these matters.

“Why am I mentioning this…we just debated the Customs Tariff Amendment Act in the House of Assembly, which was to provide relief for everyday Bermudians and the working community.

“Upon reviewing the Bill presented on May 26th it was evident that more information was required to fully understand what items were being targeted. After several attempts for clarity and additional information it was only provided the same day the Bill was to be debated.

“That’s unfortunate and not worthy of healthy debate especially knowing it was over 450 items to review.

“Additionally it is vexing to find out the same information we were requesting and only received the day of the Debate was provided to others the day they tabled the Bill.

“Now let’s circle back to the intent of this Bill. To reduce the cost of building houses and reduction of car parts etc…..

“This labour Government failed to consult enough relevant stakeholders and presented an half baked Bill.

“Plumbers and electricians have been left without tool for their sites. No house passes planning requirements without plumbers and electricians but this is the house that our Government has built.”

Junior Minister of Finance Wayne Furbert

“The Opposition’s comments regarding the Customs Tariff Amendment Act 2025 reflect either a lack of understanding of the legislative process or a deliberate attempt to mislead the public,” said the Junior Minister of Finance, Wayne Furbert.

The Junior Minister said, “First, the Opposition Senator Leader’s statement that the Government blocked debate in the Senate is factually incorrect. The Bermuda Constitution states that the Senate cannot proceed upon any amendment to a financial bill. Rather than being loud and wrong, Senator Marcus Jones should take his time to learn the Constitution.

“Second, it is standard legislative practice for Customs Tariff amendments to include the full new customs tariff, which was provided to the House of Assembly.

“While the Opposition requested additional clarity, it is important to note that nothing was hidden or done any differently than any other time that customs duties have been changed. Further, the Government provided the opposition with an additional breakdown of the significant duty reductions as they requested.

“Further, MP Canonier’s claims that the duty reductions have excluded electricians and plumbers are again factually incorrect. The legislation reduces the duty to 10% on a wide range of materials used in electrical & plumbing trades, including:

  • Wire of iron or non-alloy steel
  • Stainless steel wire
  • Alloy steel wire
  • Non-insulated stranded wire of copper, aluminium, and iron or steel
  • PVC pipes and other essential plumbing materials
  • Plumbing fixtures such as toilets, sinks and bathtubs.

“The only major category not included in this reduction was electrically insulated wire, which remains at 25%. However, Customs data shows that most of these imports were already duty-exempt through end-use relief programs.

“Of the $360,000 of imports in this category last fiscal year, only $103,000 was dutiable, resulting in just $19,000 in duty collected. By contrast, the materials covered by the duty cut represent a much more significant share of imports.

“Let’s not forget, during their time in office, the Opposition dramatically raised taxes and offered no customs duty relief to help families or businesses cope with rising costs, while they doubled the tax on energy bills. Their sudden concern now rings hollow.”

Junior Minister Furbert concluded, “If further changes are needed, the Government will make them. However, this Government is focused not just on reducing taxes and duties but on ensuring those savings are passed on to the people. Our priority going forward is to work with stakeholders to ensure that the benefits of this customs duty relief are not absorbed into private sector profits but are reflected in lower prices for Bermudian consumers.

“We encourage the Opposition to learn and understand the legislative process and engage with integrity and facts, not distortions. In the future, if the OBA wishes to recommend further changes, an email will suffice, not a hastily called press conference at which they are wrong on the facts, damaging the little credibility they have left.”

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