Page 31 - IB JAN 2019

Business Intelligence - PNG

Counterfeit brand rampant

THE most recent and publi-
cised importation of counter-
feit SP beer, has been strongly
condemned by the Manufac-
turers Council of PNG.
It stated said while the coun-
terfeiting of one of South Pa-
cific Brewery’s iconic brands
has been a first, it was only
part of a growing list of local
brands being counterfeited in
the country.
“Biscuits, water, canned
foods, bleach, detergents,
soap, matches, nails, plywood,
water, cigarettes, tea, coffee
and even nails have all been
counterfeited over the years. Hanuabada Village with the outline of the city of Port Moresby in the background Photo: looppng.com
“Consumer safety is our
major concern, followed closely by the brand damage and better prepare them to participate meaningfully in our economy.
loss of business by our members and the state and citizens “These investments are being matched with private sector
for being denied their share. investments in manufacturing – which are now all at risk if
“The council is offended by the suggestion from Customs illicit trade is not controlled.”
that illicit trade is happening because we are not separately Scovell reminded state agencies responsible for the area of
registering our IP with them. Whilst we have supported, and concern that members who are local manufacturers and value
continue to support this facility, it in no way allows Customs adders pay more money into the coffers of government than
to abrogate its responsibilities at our borders,” Council CEO any other sector in PNG.
Chey Scovell said. “If the silence, the inaction of our regulatory authorities and
He said the lack of action from government also was a government is to continue, it would appear we are shifting to
concern amidst the rampant illicit trade in the country which a system where it’s okay not to pay our dues,’’ he said.
is having an adverse effect on the economy. “Instead of dealing with illicit trade, are we encouraging our
“Despite record volumes of imports, we have so little revenue local businesses that are struggling to compete with all these
to show for it, despite the hundreds, if not thousands of trade illicit businesses whom illegally import, whom don’t pay their
stores selling countless goods, we have no taxes to show for tax, stop paying all their taxes too. Would Customs and IRC
it, despite the thousands of workers in these stores we see no be complicit with them?”
increase in the group tax earnings,’’ he said. “My members and the legitimate business community see a
“We have the right plan, our leaders have reached agree- direct correlation between the revenue our government earns
ment and given directions, we have funding in place. But we and what it may spend.
have no action. Why? “As we look down the barrel of another possibly difficult
“Our government has spent unprecedented amounts of year, we can’t but wonder how all of our elected official are not
money improving our infrastructure (roads, ports, airports, realising the correlation between the earnings of the state and
power and water treatment) as well as educating our people to the funds they may each disperse for projects.”

Give us time the government to account for and lock up APEC assets and
THE Bougainville Government has asked the National Airports not dispose them without approval. These assets included the
Corporation for time to address law and order issues that could Maseratis and Bentleys, buses and other assets acquired by the
lead to the indefinite closure of Buka Airport. Bougainville Chief State for use during APEC 2018 which culminated in the Leaders’
Secretary Joseph Nobetau was served the seven-day notice last Summit last November. Chief Ombudsman Michael Dick, Om-
month over issues relating to airport security, and law and order, budsman Richard Pagen and Ombudsman Kevin Kepore recently
including thefts of airport fencing materials and an unwillingness put out a statement which they had served on the government
by former landowners to allow the fencing to proceed. Nobetau with direction notices to all relevant agencies. Chief Secretary to
said that it was in the people’s interest not to close the airport. The Government Isaac Lupari said the government wanted more time
NAC had told Nobetau that the lifting of the impending closure to finalise the APEC inventory which they would present to the
would depend on the Bougainville Government resolving the law Ombudsman Commission. He said that cabinet also needed to
and order issues with the former landowners. make a decision on which assets to give to the churches, schools
and provinces, among others, before a final list would be given
Account for Maseratis to the Ombudsman Commission.
THE leadership watchdog, Ombudsman Commission, has told

Islands Business, January 2019 31