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Industry Sector remains the basis of economic dynamism, says Prime Minister

GIS 28 February 2018: The Industry sector is called upon to play a pivotal role in the Mauritian economy and an essential element for the future of our country and remains the basis of our economic dynamism representing 13.3% of our GDP and employing over 98,000 people while at the same triggering a ripple effect on other sectors of activity.

The Prime Minister, Minister of Home Affairs, External Communications and National Development Unit and Minister of Finance and Economic Development, Mr Pravind Kumar Jugnauth, made this statement on 26 February 2018 during the inauguration of a new canning line for PhoenixBev factory in Phoenix.

According to Prime Minister Jugnauth, the new canning line for PhoenixBev with investments of more than Rs 200 million combined with technical excellence and manufacturing requirements will allow the company to take a new direction in terms of competitiveness, industrial productivity, diversification of markets and products, innovation and sustainable development. On this score, he called upon other companies to follow same and become pioneers in the manufacturing sector.

The Prime Minister underlined that the challenge is to create new industrial jobs and business services, permanently anchored in sectors with high added value. He further observed that there will be no growth and jobs policy without a determined action for the development of the industry. He enumerated various accompanying measures introduced by Government to keep Mauritius as a competitive and attractive market.

These measures include: the ‘Speed-to-Market Scheme’ to support exporting companies; the tax exemption for an initial period of 8 years to new high-tech manufacturing companies in addition to a reduction in the tax rate from 15 per cent to 3 per cent on the profits generated by exports; Leasing Equipment Modernisation Scheme to optimise production capacity of manufacturing companies and the Freight Rebate Scheme to encourage exports to Africa.

Moreover, in view of stimulating industrial renewal, the Prime Minister spoke on the strategy to identify and develop export-oriented high value-added niches and expressed his determination to improving the business climate with an ecosystem conducive to the attraction and sustainability of high-tech companies. This, he added will in turn ensure contribution of technology and knowhow favorable to a transition to the industry of the future. In this context, he highlighted the role of the Economic Development Board which will be called to spearhead the industrial renewal.

Prime Minister Jugnauth concluded by expressing satisfaction with regards the increase in Foreign Direct Investment from Rs 13.6 billion in 2016 to around Rs 15.5 billion for 2017 which according to him demonstrates the robustness and dynamism of the Mauritian economy.

Source: Government of Mauritius