DUSHANBE
, July 19, Asia-Plus – It is unprofitable to create enterprises on production of gold ware in
Tajikistan
, Mahmadullo Gulov, Deputy Minister of Industry, remarked at a news conference in
Dushanbe
on July 19.
According to him, it is connected with payment of value added tax (VAT) for precious metals in
Tajikistan
. “With paying VAT, gold and silver wares produced in
Tajikistan
will cost at least 20 percent more than those imported to the republic.”
“Export of gold and realization of it to the state (Ministry of Finance and the National Bank of Tajikistan) are exempted from VAT, while domestic producers purchasing gold inside the country, have to pay a 20-percent VAT for precious metals,” said Mr. Gulov, “That is why it is more profitable for domestic producers to purchase gold for producing jewelry from other countries because in this case, they will pay only a five-percent excise.”
Mr. Gulov also noted some 99 percent of gold ware coming on the market in
Tajikistan
is imported from
Uzbekistan
,
Turkey
and the United Arab Emirates (UAE).
According to information from the Ministry of Industry,
Tajikistan
has 28 known gold deposits containing an estimated more than 400 tons of gold.
Tajikistan
produces just 2.1 tons of gold per year, most of which comes from the deposits operated by the Zarafshon Gold Company (ZGC). ZGC is a joint venture with Nelson Resources Ltd (44%) and the
Tajikistan
government (51%) and the IFC (5%). The other gold producer is JV Darvoz that produces gold from its alluvial operation at the Yakhsu deposit, located in the Khatlon province in southern
Tajikistan
. It reportedly has proven reserves of around 25 tons gold. The Darvoz joint venture includes a 49% interest from
UK
based Gold and Mineral Excavation. The third joint venture company developing
Tajikistan
’s gold potential is Canadian Gulf International Minerals, which has a 49% interest in the Aprelevka joint venture. The Aprelevka deposit has estimated proven reserves of over 500 000oz.
