Wed, 26 July 2017
Last Updated: Wed, 26 Jul 2017 2pm
Solomon Star
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MMF defends Ports

Malaita Ma’asina Forum (MMF) has rubbished claims by some of the largest foreign companies investing in the country that they have been affected and incurred losses as a result of the ongoing reform by Solomon Islands Ports Authority (SIPA).

President Charles Dausabea speaking to the paper yesterday argued that National Fisheries Development (NFD), Solrais and Guadalcanal Plains Palm Oil Limited (GPPOL) are earning huge profits from their operation in the country and continue to send their money to the mother companies overseas.

He claimed MMF had done a thorough research on the websites of those concerned companies and found out that these firms have maximised their profits at the expense of SIPA to fund their headquarters overseas.

Mr Dausabea explained that Solrais parent company is Sunrice Australia with the headquarter in Australia and is an entirely owned subsidiary of Sunrice Australia.

He claimed Solrais earns revenue of SBD$500 million, which is more than the un-tax profit of Sunrice Australia that stands at SBD$412 million during its financial year.

Mr Dausabea said, Solrais’ media attack on SIPA CEO is a smoke screen to retain its revenue stream.

“When Solrais stops selling rice or generate lesser revenue from Solomon Islands Sunrice share price will plummet and shareholders overseas will earn less, which is the real reason why Solrais is doing all it can to stop SIPA from selling rice.”

The president said, another grieving company GPPOL has its board known as New Britain Palm Oil Limited (NBPOL) with headquarter in Papua New Guinea (PNG) and is wholly owned subsidiary of Sime Darby Plantations Sdn Bhd.

“The MMF findings show that NBPOL consists of eight directors from PNG, United Kingdom (UK) and Malaysia.”

MMF said from its finding it shows that revenue by GPPOL is around SBD$82 million and profit before interest and tax is SBD$6.3 million and net earnings is SBD$4.3 million.

MMF president stated that SIPA charge for 5 months is SBD$404,899 which is the fraction of the profit after tax of -0.000095 of 1%.

 In the case of NFD, MMF claimed it found out that they generate a revenue of SBD$6.9 million with a profit after tax of SBD$138 million.

“NFD parent company is Tri Marine with headquarter in the United States (US).”

MMF president said it is a multi-national company which have its operations located in North America, Latin America, Asia, Oceanic and the Indian Ocean.

Dausabea said SIPA charge for five months is SBD$6.7 million, which is 4.85% of Tri marine profit after tax.

He pointed out that this is exactly the same situation, which this foreign investors wants to maximise profits at the expense of Solomon Islands, to fund their profit target set by their head office abroad.

Mr Dausabea calls on all foreign investors to play fair and spend their money here in Solomon Islands, rather than complaining about their own faults and on sending their profit overseas.

MMF has thrown its support to the reform by the ports reform since it was implemented under the management of Collin Yow as CEO.



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