Govt. slaps 25.8% duty on cement imports

Jamaica's government has approved a 25.8% duty increase on imported cement, which pushes the total duty to 40.8%, The Jamaica Observer and The Jamaica Gleaner reported. The Anti-Dumping and Subsidies Commission recommended the additional duty after investigating a complaint filed in October by Caribbean Cement Company Limited (CCL) against cement importer Arc Systems, claiming that Arc was importing dumped Portland grey cement from Egypt, and that they, along with Mainland International, which imported primarily from China and Argentina, were hurting its operations, the reports said. The reports add the duty is a provisional one and will last an initial 200 days, until a further determination is made. The Jamaica Observer quoted Arc marketing manager Canute Salmon as saying that his company "will not import cement anymore," adding the cost to his company would be high as "we will have to lay off 120 workers in our cement division." Arc employs some 300 workers. Salmon also forecasted hard times for the building industry with job losses jobs and and escalating construction costs. "As soon as January runs off there will be a shortage of cement and costs are going to hit the roof," he claimed, noting that even if CCL imports to meet the shortfall, they would have to pay the increased duty. When CCL filed the complaint, Arc denied that its cement was being dumped in Jamaica, and argued that its imports were helping stabilize local cement prices. Last month, The Jamaica Observer has reported that CCL would shelve a proposed US$100mn expansion of capital Kingston's Rockfort plant if the government revoked an undertaking to protect the market from imports by imposing the additional duty.