The staffs of the Banjul Breweries Limited has declared a strike action today Monday after waiting for the government to come up with a decision on excise tax policy introduced in December 2018 from 10% to75%, which already forced the company to lay off some staffs
Banjul Breweries Ltd, Gambia’s only brewery and producers of Julbrew beer and non-alcoholic drinks, is in the process of winding up operations as a result of a new government tax policy introduced in December 2018.
According to reliable sources, workers swore to go on strike and demonstration for new excise tax catapulted the company’s tax obligation from 10% percent to 75%, forcing the company to lay off staff to review downwards.
At a recent press conference, officials said Banjul Breweries Company Ltd. is negotiating with the Gambia government to avoid closure of the country’s only brewery.
Information Minister, Ebrima Sillah, gave assurance on behalf of the government that Banjul Breweries Ltd. will not shut down, adding that the government has listened to the concerns of the company and the public.
“Personally, I have reached out to the Banjul Breweries Company’s Sales manager, Borri Darboe, and assured him of government’s commitment to listen to their concerns.”
Also in a recent local media interview, Borri Darboe, the Sales and Marketing said that their negotiation with the ministries of Finance and Trade is finally in progress, noting that they are now waiting for them to make a move that meets the aspirations of all businesses in the sector.
Meanwhile, a member of National Assembly who spoke with The Voice on condition of anonymity said, the House committee on Trade is yet to look into the matter of Banjul Breweries Limited.
Osei Adumagedu, Secretary General of Wholesalers Association of Banjul Breweries, recently said the increment of the tax from 10-70% has really affected their business. As distributors, he said their daily sales has dropped down drastically to an extent of not knowing what next to do taking into consideration their staffs, rents, and other expenses.
He said the direct workers of Banjul Breweries which among were laid off already doesn’t know their fate yet because the company is threatening to wind-up in due time since they cannot continue to bear the situation from the tax increment.
Osei appealed to the government of The Gambia to revisit the tax “to at least bring it down so that the company can keep on working and direct workers of Banjul Breweries can maintain their job as well as the indirect workers like wholesalers, retailers and even the consumers, too.”
The company started construction of its bottling plant in 1975 and began production in 1977.
Banjul Breweries Ltd is one of the oldest companies in The Gambia. It sells four varieties of Julbrew beer, each with different alcohol content and corresponding symbols.
Banjul Breweries Ltd. also makes non-alcoholic beverages under the name Julpearl. The company, which has won many awards, also bottles and sells Guinness.
