Foreign fish farmers allowed to register their businesses
Foreign fish farmers allowed to register their businesses
Vientiane authorities are planning to legalise foreign owned fish farms as part of efforts to generate revenue for the capital.
Officials announced last week that foreigners who operate fish farms should request a business operation licence from the authorities as soon as possible.
According to policies introduced by the government to regulate the issue, foreigners found operating businesses such as wholesale or retail shops, tailoring shops and livestock farms without a business license can apply for legal documents if the value of their business amounts to at least one billion kip.
The government plans to use the business licences which are granted as a reference to collect tax from the fish farmers in question, which are currently not paying any tax to the government.
Those whose business value is less than one billion kip but not less than 250 million kip will be given a two-year period in which to grow their business or they can form a cooperative to reach the one billion kip, after which they can apply for legal documents. Those who fail to do this will not be allowed to stay in the country.
The announcement came after the discovery that there are 13 fish farms being operated by Chinese nationals in the Xaythany district but only four operators currently have legal documents.
It was reported recently that in Vientiane alone there are more than 6,400 foreigners but only 1,624 have work permits, while the rest are working and running businesses illegally.
Au thorities also showed that operating businesses illegally can lead to the government losing millions of kip in revenue collection which could be used for funding development .
The authorities explained that by allowing foreign owned fish farms to operate legally it would simplify the tax collection process and increase revenue while encouraging growth in the fish trade which would create a sufficient supply for the local market.
One member of the audience for the announcement suggested that while allowing the foreigners to legalise their businesses might mean that market prices could come down to benefit consumers there was a danger this could have a damaging effect on local fish farmers over a long period.
vientiane times
