Jamaican government yet to decide on bauxite tax removal, opposition raises concerns

<p>Finance Minister of Jamaica Audley Shaw announced that the government has not yet decided to remove tax on bauxite mining. Recently, Jamaica has been facing problems for the non-performance of the bauxite levy arrangement, mostly because of the fluctuations in the global alumina market.</p> <p><img style="vertical-align: middle; display: block; margin-left: auto; margin-right: auto;" src="http://www.alcircle.com/uploads/images/Bauxite-307768.jpg" alt="news" width="517" height="226" /></p> <p>At sitting of parliament&rsquo;s Standing Finance Committee, Mr. Shaw spoke to Dr. Phillips; Opposition Spokesman on Finance, that the recent profit sharing arrangement with Noranda should not be interpreted as a policy push for removing bauxite tax.</p> <p>Commenting on profit share agreement, Opposition Spokesman on Mining and Energy, Phillip Paulwell stated: "[the] bauxite Levy is an efficient tax, and conditions in the industry are at their best in 10 years. Oil prices are low and alumina prices are improving".</p> <p>Paulwell has raised his concerns regarding the government&rsquo;s decision on removing a tax companies mining bauxite in Jamaica,</p> <p>{googleAdsense}</p> <p>He further stated: &nbsp;&ldquo;There is a real possibility that the Government will not collect any revenues from the profit share scheme, as this is dependent on the company reporting a profit. Bauxite is a depleting resource and it is important that the country gets maximum value for this asset.&rdquo;</p> <p>According to the Finance Minister, the government has not anticipated revenues from bauxite levy arrangements for this fiscal year. He explained that the Chinese-owned, Jiuquan Iron and Steel, JISCO, is planning to double its alumina production in Jamaica.</p>