Gov’t should extend business relief measures — BVICOC

The BVI Chamber of Commerce (BVICOC) has called on the government to extend temporary business and cost-of-living relief measures until the end of the year, arguing that worsening global economic conditions continue to place significant strain on businesses and consumers across the territory.

In a statement issued on Monday, the Chamber said it had formally recommended that the measures, which are due to expire on July 31, remain in effect until December 31, with a review every three months to allow the government to respond to changing global conditions.

The organisation acknowledged the government’s introduction of the temporary concessions earlier this year and thanked the Ministry of Finance and the Ministry of Trade, led by Lorna Smith, for continuing discussions with the private sector on the way forward.

The Chamber said international conditions had deteriorated since the programme began, citing higher oil prices, geopolitical tensions, shipping disruptions, increased freight and marine insurance costs, and continuing supply chain instability.

It said many importers had experienced logistics and landed cost increases of between 30 and 40 per cent, while delivery times had lengthened and some essential products had become more difficult to obtain. According to the Chamber, those pressures have forced some businesses to scale back operations, while others have faced possible closure.

“The business community appreciates that government has been listening and engaging with us throughout this process. We are encouraged by the ongoing discussions with the Ministry of Finance and Honourable Lorna Smith as we collectively work toward a practical solution that protects businesses, consumers, and the wider economy,” Chamber Chairman Sinclair Flemming Jr. stated.

The Chamber also recommended that goods already ordered or currently in transit remain eligible for the relief programme if the extension is approved after the current expiry date, saying this would ensure fairness for businesses that placed orders weeks or months in advance.

The government’s relief package, introduced in May in response to global fuel price increases and inflationary pressures, reduced customs duties on a protected basket of essential goods, changed customs duty calculations from CIF to Free-on-Board values, and lowered wharfage and container handling fees.

“We recognise that these decisions require careful consideration and supporting data. The Chamber will continue working closely with the Ministry of Finance and Honourable Lorna Smith by providing the information necessary to assist government in making an informed decision. Our shared objective is to protect jobs, maintain access to essential goods, stabilise prices, and preserve confidence in the Virgin Islands economy,” Flemming added.

The Chamber said it remains optimistic that continued collaboration with the government will produce a balanced solution before the current relief measures expire.