11 Feb 2009

Palau's export tax an obstacle to fishing joint ventures

11:24 am on 11 February 2009

Palau fishing officials have told Philippine companies about their hefty tax on tuna exports with many Filipino operators saying it will be hard to invest in the tuna rich nation.

Palau slaps an export tax of 35 US cents per kilogram on tuna and tuna-like species regardless on the quality of the stocks.

Domingo Teng, the owner of TSP Marine Industries, told the Business Online newspaper in the Phillipines that it's quite a significant tax and will be difficult to work at that rate.

He says with the price of tuna in the international market at 1,000 dollars per ton and then you have to take 35 US cents a kilogram for tax, that's a heavy burden.

Kuniwo Nakamura, former Palau President, and now president of Kuniyoshi Fishing Company said that Palau's private sector leaders are willing to bring the issue to the attention of their government.