By: Ousman Saidykhan
Hundreds of trucks loaded with cement were stranded at the Gambia-Senegal border in April because the importers “refused” to pay a levy charged on their cement, Minister of Trade, Industry, Regional Integration and Employment said.
The government increased import duty on cement from D30 to D180 per bag in late April, resulting in a stalemate as importers felt the levy was too much. The government said they wanted to protect the domestic industry.
“The hold up of trucks was as a result of the importers of bagged cement refusing to pay the levy introduced by the government as a revenue-enhancing measure, said Babucarr Ousmaila Joof.
Minister Joof, who was answering questions at the Parliament, said they did not communicate with the cement importers before introducing their “revenue enhancing measure” because the Trade Ministry was unaware of the importers’ official engagement as businesses in the country.
“As soon as the decision was made, communication was sent to the Gambia Revenue Authority. At the time, the major players in this business were not recognized or registered.[They] did not even have contacts with my Ministry. So we did not know them,” said the Minister.
Cement Importers and Trader Association have accused the government of trying to kill their businesses by introducing such measures.
However, Joof said the measure was “calculated” to enhance the Gambia’s economic performance.
“It was well-researched and well-analyzed, and we found that engaging in the current steps that we have taken will benefit the economy of the Gambia more than what was happening before,” he told the Parliament.
In early June, the government allowed the stranded trucks to come in to alleviate a “stockpile situation.” It also said the action is a one-time “gesture” meant to clear the “backlog.”
The price of cement had sky-rocketed as soon as the hundreds of cement-laden trucks were stranded at the border, with citizens across the country raising concerns over the new measure introduced by the government.
The Trade Minister said that was during the first weeks of the measure and was a result of some challenges they faced with the distribution, resulting from reluctance from the people he said were asked to go beyond the border to bring cement.
Minister Joof Said: “So that trucking challenge created some pockets of challenges, but that was within two weeks, and it was stabilized. Currently, we have a stable industry moving on.”
