Author: SME Chamber

Businesses and individuals importing goods from Sicily through the Catamaran that are meant for re-sale must declare the goods they are importing and pay the relevant excise and other taxes due according to the procedure below:

• Trader should register as an Excise Registered Consignee with Customs immediately. It is not a lengthy procedure and does not involve any expenses. In order to do so trader is advised to contact Mr Carmel Farrugia, Manager Excise, on 25685219.
• Prior departure to Sicily, trader is to inform the Excise Section (25685200) that he is travelling to another EU MS and will possibly return with excisable goods. Date of return is to be communicated to Customs.

• The Excise Section of our department will pass on the message to our Enforcement Section.    
• On arrival, trader should provide to Enforcement Officers a copy of the invoice pertaining to excise goods and exits the gate with the goods. The invoice will be immediately passed to the Excise Section the following day.
• Within 48 hours from arrival trader, or his representative, should call personally at the Excise Section’s offices, with the original invoice, in order to submit a formal declaration and pay the taxes due.

This week GRTU formally launched the Association of Private Security Agencies of Malta, known as “APSAM”. This is an Association that was formed with the full assistance of GRTU and is fully affiliated, through their independent structure, within GRTU. APSAM has a 5 men Committee representing different company members.

GRTU Deputy President Philip Fenech explained that APSAM brings together 

12 security companies, the absolute majority of agencies providing private security services. The Association covers security guards, patrols, cash in transit etc. The main objectives are to bring the interests of the agencies together and raise standards and the level of professionalism within the industry. The initiative should lead to better adherence to the legislation and a very necessary step forward for the sector.

Chairman of the Association Julian Dimech explained that the idea of the association would be to consult with interested parties and eventually affect comprehensive legislation that meets the requirements of the sector, adequate standards and the realities in which we operate. He added that amongst the aims of the Association is that of improving the image of the sector, improving the standards and conditions for their workforce, through a number of projects the Association will be working on.

“I believe this is a good initiative and I hope to see progress in this industry in the coming months and years” Mr Dimech stated.

Police Commissioner said that this is a very good initiative that would better contribute to creating a healthy working synergy with the Police Force and other stakeholders directly concerned. He said that one would be able to see better cooperation with the police force.

Closing the event, Home Affairs Minister Carmelo Abela augured all the success to the Association and thanked the GRTU for the initiative. He stated that it would be very helpful for the Association to cooperate and work closely with those that are responsible of keeping order in the country. The Minister mentioned that Public Private Partnerships are something that we need to explore better and this would provide an ideal example. He said that we are all on the same side and have common interests, keeping order in the country.

During January 2015 GRTU has conducted a survey about small business performance in 2014 as compared to the same period in 2013. The survey was conducted online using a system of tokens. 200 members were selected at random and emailed a personalised token. Only members who received this token could participate and each could only submit their response once. The respondents were selected from across the business spectrum and included services as can be seen in the first graph of the survey.

The Survey showed that overall, when considering all the respondents including service providers a larger percentage of businesses fared better.

When the data was filtered to include only respondents with retail businesses the situation is markedly different with 40% claiming to have fared worse as opposed to 25% who claimed that they fared better.

The survey questions also asked the respondents why they think they did better or worse accordingly. The choices provided were varied and respondents were also allowed to key in other reasons apart from the ones provided in the selections.  Those that did worse in 2014 cited increased local competition and 24% cited sales lost to online shopping as well as 15% citing illegal trading as the main reasons.

Another question asked “What are your expectations for 2015″ and the responses clearly showed that business is looking at 2015 with optimisim with 36% responding that they feel that 2015 will be better and only 17% expecting it to be worse. The responses to these questions tallied with the response for the next question which asked “What are your plans for your business for 2015?” where 31% are planning to expand their business and 57% planning to keep their business the same size.

Other questions included an assesment of sales performance during the Christmas period and here again the response was largely positive with 46% claiming that they were satisifed and only 19% claiming that they were not satisfied.

Respondents were also asked about how the 2014 Budget effected their businesses and here 29% claimed that the effect was negative with 15% claiming that the Budget was positive for their business. The remaining 56% claimed that the Budget has no effect on their business. The respondents that replied that the Budget had a positive impact on their busines claimed that the following factors effected their business positively :

• The reduction in electricity prices
• The promise that this year the Government will be tackling unfair competition by sea
• The promise that this year the Government will be removing Eco Tax
• The promotion of certain specific sectors
• The extension of certain schemes
• The reduction in road tax for small engine capacity motorcycles
• The addressing of transport issues that has eased delivery problems.
• The change in the VAT regulations that obliges everyone to issue VAT receipts.
• The changes in stamp duty of first time property buyers.
• The vehicle scrappage scheme

Respondents who claimed that the Budget effected their business negatively cited the following reasons :

• The small cost of living (COLA) increase which translates into less consumer spending power.
• The increase in excise duties on ammunition, wines, tyres, lubricant.
• The fact that the price of fuels did not decrease but instead was increased (during 2014).
• The Increase in road licenses.
• The introduction of new excise duties will only aggravate the problem of unfair competition.
• There were few incentives to industry.
• The measures regarding employment of people with a disability.
• There was Increase in running costs throughout the year.
• The Increase in tax on cement.
• The change in the taxation system when selling property.

Finally, respondents were also asked what are their concerns for 2015 and their repsonses are shown below in order of preference.

• Unfair competition and illicit trading is creating a market distortion.
• High fuel costs.
• Parking in all localities, especially in commercial areas and Valletta.
• Reduction in bureaucracy and Government administrative charges.
• Business should have easier access to funds and grants.
• The Eco Tax.
• Saturation of market.
• Issues in relation to fairness in public procurement.
• More help for Gozo businesses.
• Tackle dominant position players and their charges.
• Help to compete online.
• Hawker permits.
• We need to attract better quality tourists.
• Labour force limitations and lack of skills.
• Postal charges to export.
• Late payments.
• The removal of the Student card.
• The Rent laws.
• Reducing heavy vehicle licenses.
• Wardens harrassing potential clients.
• Loading and unloading issues.
• Car scrapping scheme to include also commercial sector.
• Opening Hours. (Bars want extended opening hours)
   

Please click here for the full Survey Document

The Substance Abuse Free Employee policy (S.A.F.E) was launched last week by Aġenzija Sedqa. This policy is aimedto raise awareness at the workplace of the dangers of drug, alcohol, gambling and technology abuse. It also supports employers as they recognise staff who may have a problem and encourage employees to seek help.

S.A.F.E. programme focuses on raising awareness on substance abuse at the workplace and is delivered by the Prevention Services. It comprises four different phases which include exhibitions and dissemination of informative material, training sessions with middle and senior management, informative sessions with employees and the formulation of the Substance Abuse and Gambling Policy.

The Policy, also addressess other addictions such as gambling, at the workplace sets out a company’s policy and procedures, including education, training and eventual referral, for helping with drug, alcohol or gambling-related problems. 

The GRTU together with representatives from the Malta Employers Association and the unions representing employees agreed that the addiction or abuse issues should be addressed in the same way as all other generally-accepted health issues. Such a policy will be encouraging and supporting all employees who have a drug, alcohol or gambling problem to seek help so that their work performance is not affected.Philip Fenech, GRTU, Deputy President, emphasized that SMEs find it very difficult to cope as their resources  are very limited. The long term absence of an employee with specialized competences  or tasks would be of a far greater effect on the business.

Moreover, the Agency is also focusing on promoting the concept of skills-based workshops where participants have the opportunity to discuss case studies based on real situations that they meet at the workplace.​​ Sessions are designed according to the needs of the company requesting the programme and the industry it operates in.

The Hon.Dr Michael Farrugia, Minister for the Family and Social Solidarity, Mr Joseph Gerada, Chairman of the Foundation for Social Welfare Services, Mr Alfred Grixti, Chief Executive Officer of the Foundation for Social Welfare Services, Dr Ronald Agius and Mr Jesmond Schembri, Operations Director for Aġenzija addressed those present.

Transport Malta has notified GRTU that it will very shortly be implementing a Budget measure as stipulated in the Budgetary Bill, 2015.

“Transport Malta in conjunction with the Ministry for Transport and Infrastructure, receiving applications in accordance with a New Scheme to register Category M1 (Passenger Cars) and Motorcycles to be used during weekends and Public/National Holidays Only”

In accordance with the 2015 Budget measures, as from the 2^ndFebruary 2015, Transport Malta will be receiving applications to register Category M1 (vehicles used for the carriage of persons and which may carry no more than eight passengers in addition to the driver) and Motorcycles to be used during weekends and Public/National Holidays Only.

Such vehicles will be registered and licensed through the normal system, but the registration plates will be of a red colour and hence differentiate from the current fleet. Furthermore vehicles registered under this scheme may not be parked on the public road between Monday to Friday (both days included). The registration tax payable under this Scheme will amount to 40% of the full registration tax due. The Annual Circulation Licence Fee will be paid annually in full.

This measure will apply ONLY to M1 vehicles with CO₂emission levels equal to or greater than 221g/km and  must have an Emission level equivalent to the latest Euro standard or Latest -1 Euro standard and motorcycles with an engine capacity equal or greater to 801cc. A minimum level of registration tax equal to €2,000 for M1 vehicles and €1,000 for motorcycles will be established, applicable to both new and used vehicles being registered under this scheme. The objective of this scheme is to introduce a concept where high emission vehicles and motorcycles are kept off the roads during the week and hence reducing pollution. “

GRTU CEO Abigail Psaila Mamo has last week had a very interesting meeting with the new Ambassador to the Kingdom of Morocco, H.E. Tarcisio Zammit. Together GRTU and the Ambassador explored possibilities of business cooperation between the countries. This comes at a very timely moment as Morocco, as a country in north Africa, is very stable and prospering.

The areas identified as promising were:

1. Tourism: Morocco has a very strong tourism sector and since Malta was exploring the possibilities of alternative destinations Marocco could be one of them. At the moment Malta and Morocco do not have a direct link.
2. Renewable Energy: The country is being given a significant amount of funds to invest in solar energy and desalination and this could be very interesting to our RES enterprises to create partnerships and Morocco has the space we are lacking in Malta.
3. Infrastructure and Construction: Morocco is currently undergoing constant restructuring and construction works to develop its infrastructure and increase the standard of living. This can also be very interesting to our contractors and developers.
4. Libya: The issue of Libya was discussed and Morocco could also be seen as an interesting country to explore for the businesses that had to pull out of Libya and until things stabilize they are also looking into other alternatives.

Morocco is rich in resources and has also a strong agriculture, telecoms, IT and textiles sector. It also has very good trade relations with the EU which are set to improve in the coming months.

Members interested to know more about these opportunities or would like to give submit their interest should contact GRTU by email on .  

F’ricerka indipendenti li ghamlet il GRTU jirrizulta li s-sitwazzjoni ta` Malta fejn jidhol prezz tal-fuel iddeterjorathafna. Din hi sitwazzjoni li ilha ghaddejja mis-sena l-ohra pero mill-bidu tas-sena il-prezz tad-diesel ikkumparat mal-medja tat-28 pajjiz ta` l-Unjoni Ewropeja varja bi €0.17c (taxxi inkluzi) sad-dsatax ta` Jannar ta` din is-sena.

Malta sad-dsatax ta` Jannar ta` din is-sena, fejn jidhol prezz tad-diesel bit-taxxi, tikkwalifika it-tielet pajjiz, mit-28, bl-ghola prezz ta` diesel. Ta` min jinnota ukoll li d-distakk mill-pajjizi li jikklassifikaw aghar minn Malta naqas hafna. Mill-banda l-ohra d-distakk mill-pajjizi li jikklassifikaw ahjar minn Malta fil-prezz tad-diesel zdied. Jekk l-affarijiet jibqghu kif inhuma, Malta ma 

ddumx ma ssib ruhha bl-aktar prezz gholi ta` diesel fl-Ewropa.

Il-Lussemburgu, l-pajjiz bl-irhas prezz tad-diesel, qieghed €0.40c irhas.Hemm sbatax-il pajjiz fejn id-diesel hu irhas b’ €0.20c minn dak ta` Malta u tlieta u ghoxrin pajjiz fejn il-prezz tad-diesel hu irhas b’ €0.10c.

Dan jaffetwa b’mod negattiv hafna il-kompetittivita ta` Malta u n-negozji kollha Maltin. Il-GRTU tifhem li la l-argument u lanqas is-soluzzjoni ma huma semplici f’dan il-kaz pero` il-figuri huma li huma. L-intraprizi Maltin bhalissa qed jitilfu opportunita` tad-deheb li l-kompetituri taghhom qed jiggwadanjaw minnha. La Malta bhala pajjiz u wisq anqas l-intraprizi taghha ma jaffordjaw jitilfu din l-opportunita`.

Il-GRTU pero tahseb li d-diskussjoni fuq dan is-suggett trid tkun kostruttiva u matura. Ghaldaqstant il-GRTU illum talbet lill-MCESD issejjah laqgha b’urgenza fil-prezenza tal-Ministru ikkoncernat sabiex issir diskussjoni xierqa, wahda li tikkjarifika fejn possibilment flimkien, l-Imsiehba Socjali u l-Gvern, johorgu b’soluzzjonijiet konkreti.