Ramesh: Govt did not consult us

SENIOR COUNSEL Ramesh Lawrence Maharaj submitted in the High Court yesterday that the Minister of Finance had a duty to consult poultry producers before he made a decision to reduce the surcharge on imported chicken parts from 86 percent to 40 percent in the last Budget presentation. Maharaj is representing Nutrimix in an application for  judicial review of the decision of Prime Minister Patrick Manning, who is also the Minister of Finance, to reduce the surcharge on the importation of leg quarters. Maharaj said Nutrimix claimed the decision of the Minister was in breach of natural justice as the Cabinet acted unfairly towards the company. The matter is being heard before Madame Justice Amrika Tiwari-Reddy in the Port-of-Spain Fifth Civil Court.

Maharaj leads Seenath Jairam SC, Rikki Harnanan, and Dharmendra Poon-wassie. Russell Martineau SC and Deborah Peake appear for the Prime Minister. Hearing continues this morning. Manning, in his Budget presentation on October 8, said the surcharge on the importation of chicken and turkey parts would be reduced from 86 percent to 40 percent from November 1. In its application before the High Court, Nutrimix Feeds, which is involved in all aspects of poultry production and processing, is contending that reduction of the surcharge on the importation of chicken parts from 86 to 40 percent would have a disastrous effect on the entire poultry industry, resulting in heavy losses in investment and jobs. The company claimed the new measures would result in closure of poultry farms, pluck shops, manufacturing and processing plants and a substantial reduction in the contribution to GDP.

The company further claimed there could be an increased risk of dumping inferior chicken on the local market. In its application, Nutrimix contends that over the years, governments have instituted measures to protect the poultry industry as a means of boosting the agricultural sector, protecting jobs, and providing an affordable source of protein for the population, especially those on the lower end of the income scale. Maharaj told the court government entered in an arrangement with local poultry producers that there would be an 86 percent surcharge on the importation of chicken parts until the end of 2004. “But before the benefit came to an end at the end of 2004, government slashed it by more than half in total disregard to the poultry producers,” Maharaj submitted.