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by pltm
(PLTM) - Opposition Leader, Hon. Julian Fraser has suggested to the government to subsidize shipping, which will result in the reduction of the exorbitant prices for goods that consumers are forced to pay in the territory.
He said when it comes to the shipping of goods, when one brings a container from the U.S mainland to neighbouring St. Thomas for $2,000, they have to pay an extra $2,000 to get it from St. Thomas to Tortola.
"But it's not only this so called designation of who is international or who is domestic...It doesn’t mean that a ton of goods could sail from the United States to St. Thomas at a fuel rate that is much lower than it is to sail from the United States to Tortola. What it means is that the Federal Government is subsidizing the rates, those rates are subsidized," he said.
Hon. Fraser further argued that the United States Postal Service cannot take a package to St. Thomas for 15 cents and bring it to Tortola for $2.50. "And you think that because it's United States property that’s why it's getting there; it's subsidized."
"So if we are going to stand here as a government and talk about rates, don’t look at the shipping company because you are not going to get any better rates unless you decide to subsidize the shipment of the goods. So lets get real," he said.
The Opposition Leader expressed that the cost of goods is not going to go down unless certain deliberate actions are taken by government.
"Those are the things we have to do if we want to reduce the consumers' expenditure for goods. We have to get involved, help lead the way...It's not going to come down just by talking, it's going to come down by subsidizing the rate for shipping the goods here."
He said, "I think it is something we ought to do and it's only in the best interest of the people of the territory."
Premier and Finance Minister, Hon. Dr. Orlando Smith said that government had many discussions on the matter.
"There was also the discussions...whether we should subsidize freight and this in recognition of the fact that I think the cost of freight between the U.S mainland and USVI is much less the cost of getting something from U.S mainland to the BVI. Again, we have had so many discussions on this," the Finance Minister stated.
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