Local jewellers welcome VAT exemption
Local jewellers are happy with the government’s choice to remove Value-Added Tax (VAT) on locally made jewellery, calling it a smart and helpful move for consumers and the industry.
During the 2026 National Budget presentation in the National Assembly on Monday, Minister within the Office of the President with Responsibility for Finance, Dr Ashni Singh, said the decision will significantly reduce costs for customers while improving the competitiveness of Guyana’s jewellery sector.
The proprietor of King’s Jewellery, Harinand Persaud, explained that the removal of VAT would allow savings to be passed directly to consumers and help reposition Guyana on the global jewellery market.
“The removal of this VAT… will make us more competitive. We are definitely going to be able to compete with any other country because now these savings will go directly to the customers,” Persaud said.
He mentioned that Guyana is known worldwide for its jewellery making and believes this measure will help local goldsmiths and craftsmen, especially as global gold prices continue to rise.
Vead Persaud, owner of LSM Jewellers, called the initiative a big help for the industry, stating that VAT has been a problem for locally made jewellery.
“One of the biggest issues that we had in this industry is the VAT addition to locally manufactured jewellery… the removal of VAT is helpful not only from a business perspective but also from a consumer perspective,” Persaud said.
He explained that once implemented, consumers can expect an immediate 14 per cent reduction in prices, a significant saving given current record-high gold prices.
Both jewellers noted that gold remains a preferred form of investment for Guyanese, with jewellery offering both long-term value and everyday enjoyment.
The VAT removal is expected to spur local purchases while also boosting sales among tourists seeking authentic Guyanese gold jewellery.
This measure forms part of the People’s Progressive Party Civic Government’s broader effort to support local manufacturing, reduce costs for consumers, and strengthen small and medium-sized enterprises.