Post-MOU Monitoring ReportDeirdre SalmonCandice Earle-Hynes202000-05-02T18:20:00Z2007-11-19T17:29:00Z2007-11-19T17:29:00Z1217012372Monthly Report - April 2000MICT103291451311.0000UPDATE NO. 5JUNE - AUGUST 2000POST- MOU MONITORING REPORTBACKGROUNDThis monitoring report represents an update on the issues raised in the GOJ/PSOJ consultations which are reflected in the Memorandum of Understanding between the Government of Jamaica (GOJ) and the Private Sector Organization of Jamaica (PSOJ) which was signed on 10th February, 2000 and incorporates Appendix A of the MOU - the “timeframes” document - GOJ/PSOJ Consultations on Obstacles to Doing Business. It also incorporates recent updates provided by Ministries, Departments and Agencies at a meeting held at the Ministry on Wednesday, 26th July 2000.This monitoring report is prepared by the Ministry of Industry, Commerce and Technology in accordance with the expectation of adherence to the timeframes indicated for the issues to be addressed. ISSUES – STATUS AND TIMEFRAME FOR REVIEW 1The Customs Department:Customs ClearanceBonded WarehousesJoint ForumPlease see Issue 14 for customs-related matters. 2Urban Renewal LegislationThe Urban Development Corporation (UDC) has advised that the time frame for the processing of applications is six (6) weeks. The UDC has provided documentation on its Tax Incentive Programme for Urban Renewal - Downtown Kingston and Montego Bay. This documentation was brought to the attention of the PSOJ. This issue will be reviewed in September 2000. 3New Product RegistrationThe Standards and Regulation Branch of the Ministry of Health has advised that the lead times for the registration of pharmaceuticals are as follows:120 days – New chemical moieties.90 days – Generic drugs and Me Toos.90 days – Vitamins and herbs.60 days – Fast track for drugs used for life-threatening conditions, eg. cancer, HIV/AIDS etc. 24 hours –- PermitsThe Ministry of Health provided a status report on New Drug Registration, other product assessment and permit approvals for the period April – June 2000. This was brought to the attention of the PSOJ. This issue will be reviewed in September 2000. 4Free ZonesIn collaboration with the Free Zone Council, the Ministry of Industry, Commerce and Technology reports that applications to establish Single Entity Free Zones are processed within a period of five (5) weeks. In circumstances warranting earlier approval, the Free Zone Council accommodates by utilizing a round robin approach for speedy resolution. The proposed Regulations to the Free Zone Export Act are still being drafted. The target is for the processing of applications within a maximum of thirty (30) calendar days. This issue will be reviewed in September 2000. 5Productivity Incentive SchemesAt a meeting held at MICT on 26th July 2000, it was agreed that this issue would be pursued by JAMPRO through the Ministry of Industry, Commerce and Technology. This issue will be reviewed in September 2000. 6The Life Insurance IndustryThe Office of the Superintendent of Insurance has confirmed that the public awareness campaign is on stream. At the meeting on 26th July, it was agreed that the issue regarding “suitcase salesmen” (and local agents) should be pursued further. It was also proposed that input should be obtained from the Life Insurance Companies Association of Jamaica (LICA) in this regard. This issue will be reviewed in September 2000. 7The General Consumption Tax:GCT on Capital GoodsGCT on Coverings and ContainersThe GCT Committee has held a number of meetings to examine proposals to facilitate legislative reform and the adoption of new operational procedures. The committee is expected to submit a report of its findings and recommendations by the end of August. This issue will be reviewed in September 2000. 8Trade Policy: Cheap ImportsThe Anti-Dumping and Subsidies Commission reports that a series of amendments to the Customs Duties (Dumping and Subsidies) Act 1999 have been proposed. This issue will be reviewed in September 2000. 9Expired ProductsThe report submitted by the Bureau of Standards was forwarded to the PSOJ. A response is still awaited from the PSOJ. 10Procurement PoliciesAt the meeting on 26th July 2000, the Ministry of Finance and Planning reported that the National Contracts Commission (NCC) has been actively working to update the government’s procurement policy relating to the purchase of goods and services, as well as the award of contracts. Progress on this issue will be reviewed in September 2000. 11Data AvailabilityA verbal update of efforts to provide timely and accurate data was presented at the meeting on 26th July by representatives from the Planning Institute of Jamaica (PIOJ), the Statistical Institute of Jamaica (STATIN) and the Bank of Jamaica. The PIOJ advised on the average processing time for the Economic Update and Outlook (8 weeks) and the Economic and Social Survey Jamaica (first week in April for Ministers in time for the Minister of Finance and Planning’s presentation in Parliament). There is also an in-house mechanism to review progress in this regard.The Bank of Jamaica reported that the bank makes every effort to adhere to its publication schedule. STATIN reported that it expects updated data entry and scanning systems to be in place by November of this year. STATIN hopes that the quality of output will be improved with the introduction of new technology at the Institute. The written report provided by STATIN was brought to the attention of the PSOJ. This issue will be reviewed in September 2000. 12Restriction of Meat ImportsThis issue will be kept in view. 13Electricity SupplyThe report on damage to equipment as a result of interruption in the power supply submitted by the JPSCo was forwarded to the PSOJ. A response is still awaited from the PSOJ. This issue will be reviewed in September 2000. 14The Customs Department:Legislative ReformOperationsExport Rebate SchemeFast Track Customs Clearance for Certified Manufacturers and ExportersCustoms OvertimeImplementation of the Customs Modernization ProjectAll customs-related matters will be addressed within the context of the Customs Modernization Project. At the meeting held at the Ministry on July 26, it was reported that an agreement had been signed between Customs and the Consultants. The proposed modernisation plan provides for detailed strategies for developing and maintaining modernized Customs operations. The redesigned system should include an upgraded organizational structure, a supportive classification system, a salary and benefits package that will attract and retain desirable employees, a comprehensive training and development plan that will equip employees with the needed skills, an aggressive performance management system that will reward desired behaviour and punish undesirable behaviour, a set of supporting human resource policies, and a strategic approach to human resource change management. It is estimated that this project will require $507 million over a period of five (5) years, in addition to the $493 million the Customs Department currently spends. At the meeting, Customs was asked to give priority to aspects of the modernization plan which would enhance commercial activities. Customs reassured the meeting that one of its primary aims is business facilitation. This issue will be reviewed in September 2000. 15Planning ApprovalInformation Tracking System: The Ministry of Land and Environment provided an update on progress with regard to the development approval process. This report was brought to the attention of the PSOJ. This issue will be reviewed in September 2000.Business Roadmap Study: The Ministry of Industry, Commerce and Technology reported that consultants visited Jamaica in July and did the appropriate fieldwork. A draft report is expected in September, with the presentation of the finalized report in October. This issue will be reviewed in September 2000. 16Acceleration of the Land Administration and Management Programme (LAMP)and Other Land Registration ActivitiesAt the meeting on 26th July 2000, it was announced that a Retreat would be held on Tuesday, August 8, 2000, specifically to examine land-related matters. The Retreat was, however, postponed and a new date will be announced shortly. This issue will be reviewed in September 2000. 17Electricity SupplyAn update is awaited from the JPSCo. This issue will be reviewed in September 2000. 18The General Consumption TaxSee Item 7 for GCT-related matters. 19Security and Justice:Security of Goods and PersonnelSecurity Issues Affecting the Tourism IndustryThe Judicial SystemThe Ministry of National Security and Justice is still expected to respond to these issues, which are considered to be in need of urgent attention. The Commercial Court is also a major area of concern. This will be reviewed in September 2000. Installation of Surveillance Cameras at Ports: The Port Authority provided an update at the meeting held on 26th July 2000. There were some delays in the work at Kingston Wharves as a result of other major works that are also going on at the wharf. This issue will be reviewed at the end of May 2000.Procurement of Additional X-ray Equipment: The Revenue Protection Department (RPD) provided a comprehensive update at the meeting of 26th July 2000. This issue will be reviewed in September 2000. 20The Shipping Industry:Tax Incentives for the Ownership of ShipsRegistry of ShipsInternational Register of Ships: The Maritime Authority envisages that the international register should be in place by the end of September. This issue will be reviewed in September 2000. 21Road Conditions (Newport West Area)Comprehensive Project for Newport WestThe Ministry of Transport and Works reports that work is continuing in this area. The comprehensive project is still at the pre-design stage. At the meeting held on 26th July, it was proposed that Newport East should be added to the schedule for road repairs. This issue will be reviewed in September 2000. 22Role of the Bureau of StandardsAt the meeting held on 26th July, the Minister reported that two (2) private laboratories were recently accredited by the Bureau of Standards to do certain classes of tests on food samples in the areas of chemistry and microbiology. This issue will be reviewed in September 2000.Role of the Scientific Research CouncilThe Scientific Research Council (SRC) provided an update on various aspects of its work relating to value-added food products, treatment of industrial wastewater, tissue culture, scientific and technological information, chemical and microbiological assays, technical assistance and training. The summary report was brought to the attention of the PSOJ. Progress will be reviewed in September 2000. 23DivestmentAt the meeting on 26th July, the NIBJ reported that the Agency is experiencing delays in the privatization of entities. Nevertheless, efforts would be made to see that due progress is made in this regard.This issue will be reviewed in September 2000. 24Labour Market Reform:Individual Retirement Savings SchemesLabour ReformThe Ministry of Labour and Social Security reported that work on the proposed National Pension Scheme was progressing. It is expected that the appropriate legislation will be drafted shortly. At the meeting held on 26th July, there was lively discussion with regard to the issues relating to labour reform – the definition of a worker, the right to strike, reinstatement, flexible workweek, overtime etc. This issue will be reviewed in September 2000. 25Sector Management – Tourism:Cruise ShippingIncentives for Hotel ExpansionGrowth in TourismThe Minister reported that matters relating to cruise shipping were recently examined by the Cabinet and that a report will be made to the Development Council regarding proposed incentives shortly. A comprehensive report is to be provided by the Ministry of Tourism and Sport in September 2000. 26Updating of the Pound Laws (Keeping of Animals Act)The Ministry of Local Government, Youth and Community Development reports that work is being undertaken with the Parish Councils so that pounds islandwide can be operational. Factors that are being considered include identification of owners, redress for damages, keeping of animals in built-up areas and on large estates and agricultural properties, conditions for keeping and transportation of animals etc. It was recognized that stray animals roaming the streets do pose a threat to life, crops and properties. This issue will be reviewed in September 2000. 27Building Approvals (Building Code)The Ministry of Local Government, Youth and Community Development reported that the Building Code is among legislation identified for review under the Local Government Review Programme. There is as yet no specific timetable for implementation. Progress will be reviewed in September 2000. 28Trade Policy: International NegotiationsThis issue of private sector involvement in international negotiations will be reviewed in September 2000. 29Double TaxationIn his budget presentation on 7th April, 2000, the Minister of Finance and Planning announced the Government’s plans for the removal of personal income tax on dividends. With effect from June 1, 2000 income tax on dividends would be reduced from 25% to 20%. The reduction will take place gradually over a two-year period. From 1st April 2001 the tax will move from 20% to 10% and from April 1, 2002 it will be zero-rated.At the meeting held on 26th July, the PSOJ expressed satisfaction with initiatives made by the government thus far in addressing this issued. It was, however, felt that there is still a long way to go until 2002. This issue will be reviewed after six months of operation (at the end of December 2000). 30Basic IndustriesThe Ministry of Finance and Planning is to report on this issue. Progress will be reviewed in September 2000. 31Motor Vehicle Licensing and ExaminationThe Ministry of Transport and Works reports that negotiations for the privatization of the Motor Vehicle Inspection Services are still taking place. This issue will be updated in September 2000. 32Accelerated DepreciationA response is awaited from the Ministry of Finance and Planning. This issue will be reviewed in September 2000.Ministry of Industry, Commerce and TechnologyAugust 25, 2000Post-MOU Monitoring ReportJune - August 2000, Page PAGE 2PAGE H4sIAAAAAAACC5WXC3COZxbH//+Te8QtKlgaUSFNVzYhNrFUmmjS2lApGxXDhoYgEfkixGUpdgy6 q1VspVWUkbLDrhFTa6cXOyzdmlXtyE7a7oW2bHQpinbXrevb//t+3ycXNV0xv3mec97znPOc8z7f eV4fHfvTK3D/KqzS+tCZPfIUEQEEnQ8FopAR5OjuE71D2yIWXv0Fu/IYT+XkNniiZFKlZ5Znyuw4 Rw6RvpU5K5xZlHxWWJhm3xh9YRAskiQoAm5YiKuTSzzgf0I49l2DZ9lM149vtc8msNr8q3H7L7A6 CM52Y91VMcGVfh8dxU370OuzXe1uJTgT0fklM4pnxY0onhs3yjPj6XL08nsJdkfTXpz9Rbg+mvut cHXt/FWJcavi7tH7X+FErbTAGsfXD9iYeSBPZwxiOFrWzGNldi/19q1o7eaIln9ElC9eyO2cAqNv d43Rfbk5vgLvybH61trhztol+fMKvUvNAn4bddHSlUs73XxZlGt2b3k7K+6ad7ZvP2H3nMmP/JmE 31GxNv7dRfvfd7jkuqAHQzJCXwoLnNOGhgYLvOOI26ecLU55ZJO6nxLxQR78Cim2EQm2FV1tB9pb LcJsP/7Dd3GR7+E0P8BxHsURHsEf+A728iB2ihqxUVTzAF4QK3gIS7VmsewX8riowwIxX8yTrorv o1J4JJfxcxTxHArFWDGGZzGKJ5DNeqRqbQ/FbcvDiOR+hHAfvNiN69iJr/FrXMR2nMU2/BPrUY+N OIKteFu63aIGW7ADG7AH1XhDeb2NNfgt1mKT5s+LRdJXiXJRjJdRKArkJ19+nsRmDHPZgtzbbMWP 5fUxxcuW/2zt4VHsQhZqxevIxF6xD48o2sNioORUP/38pPhJlr1DktYmale95Ku7dtsFK6SfqljD MA39sRJxyiUaHyFSpykMffTO8tledbwfrzIJB5mFzzgWXs5BF7tbP2rljpe0NtC5fHIE7vW8OH04 PmgTp9ksllg5S20ay6yIM2y8dOM5ycax0MZyrI3hU5bP0ZbHUTacIy2XeTZEDNQ8VfokjlenL9I4 zfrKRxorbBArLV2kihQ6N0GFdZDvmyixUyiyoxhre5Fnm5FtK5Fuc5EmUq0K/USyzUZvm48HbAFi baHqsQgdbTHa2s8RbksRZMtxk7/QWV6Jy3wOF/g8zmr8l+QGPquzvRynuBQnuRD/YJUox985VeME fMoCnOEonOcIrR0qH4/iOh8W/fGl3sMZ9pZdHOr4PbzLjtjPttijum9XJ9rFNvqddMCb7IxDem+H 2UtjEg4wTQzWPFs8rneZq9/UE3hLMd7kSJEvCvAGx+H3/Cn2sVB+CvG6qJW8S+MO7W272Kb5Nukc amS/lcOwSfvcIN/VzMRa7XUN0/XbTMUqJmvsI/kh6R0S8aKolm6Dnm1minykyJdDchO6yWcHrGMU nlMnX8ab3kW84Z3Pa95KXvWWihKXa+KGd5qeT+At7zjZFmjNKK3NEyPEMJGrOuXIZxZ7YrD2ka54 ac3oh0RmtCATyap9mvIazMcwRGSrdjkuQ/G4apij3IeojlmqYwafxCDVcYBqksYiUao4ZZLLNJZL rnRJ52yXAXrvWfRon+WiDCM5Xfuert9cqSjEBMVxmNiEKYpTqhgVijGXT+NnnKxeNxWLtG6J/CyR zyU6U0t1tpbp/K3QeXtW5+6XOn8r+YJYrflasU76atmtwzPSz5VdhezLZFsiuVg2RXo2STbFfEms V+z1ir0eM/iKeukm2W918bBGuu0uedwiaoQz36H671T9d6v+tarXXtXokPrKUTzEY6rvB6JO1Iu/ ic/EWXERPUV3nkdXyZ3VszvzE8TwY0TLPkprw9TPTdzCMdzAn9WfdWfgsPrzIZzGQZyQXI86vIeT enpK8/P4UCv+Kk6ou32qzn4a3+AMruFz/BvncEXrv8Qll8t+rkjfml8p8mV04wXEaTfxPKMMzqCv bo90XtLJuKoTcEsnIZg5jGQ223AIo5nJGNGFWewmOU76RA5lMoczjSM5iKOZwfGymCyLMllUMZfz 9GQBC7iYhVzOSXyRJXyNHu7lHB7kIh7lCtZzFT/hOn7Bal4R12UFW8VQW8Ywe4aRNoetzcN26pYd bCI7qUPebyPZU10xwbL4fRvAJHW8FEtgP+vOH1pnDrRoZlkkh+rKz7OrGG0X1P2uYrzkQukn2n3q nrHquAmiL4vVPYvVaYutULJHz5eow65hgW3hT6yWw+0Ac+x9ZthJ+T+neNcVP8Q6WbRFWazBEu0r 9rAvtLsG7fYkg+1j3uBfeJnHeVZ5nuY74rD4I0+5HBRvSf6d2MMG/kZ2r/ICV/NrLlMFFjLEFrCV zWNbVaCjVbGr6KG7o5fNVNYeZexhfytTttOZqerk2BQOs2LdEcW6P6boHilRtmXKdCa/6y6L9H8X RbrfRUTT78emY+OX+503XIRuZ+eGi0ECH2QK+7CvS6LmjpygWbz+xbIHO7M72+tEhbEjw9mBrXTC Wot2on0zYthJJ85ZE98ii4hmWTTuMMz/3Pf1l0DnK7RxDNi1lJ3v3uZyiN9PqH8MaxbP+Z9KuL9q of6q/X9xgpt8XweefNe3f6j71Q38D5NhlBPuDQAA ......... Ministry of Industry, Commerce and Technology. . . . . . . . . . . . . . . . . . . . . . . . . . . .