Tahoe translation The issue of mining in Guatemala was again discussed by experts, officials and treasurers during the presentation of the study "Economic and Fiscal Impact of mining projects in Guatemala," an activity organized by the Union of Extractive Industries (Gremiext) with the support of Central America Business Intelligence (CABI). Here are the main findings of the study.
This is the third study carried out by the company of intelligence and economic consultancy on the Guatemalan mining operation and delves more in the microeconomic aspects of the national sector, with emphasis on the two larger mining projects in the country's history: the investment of Goldcorp and the Tahoe.
Conclusion 1: millionaire investments
according to the study, in the mining sector in Guatemala have invested more than $2.000 million, being the second largest foreign direct investment by importance in the country in the 21 century. This information was extracted from the database of foreign direct investment that compiles the Banco de Guatemala (Banguat). The following table displays it for the past 10 years:
The information of the companies Goldcorp and Tahoe Resources is reliable and is available to be studied in any financial information site in the world. These companies have the highest levels of compliance with regulations and standards of all kinds: tax, labor, environmental, tax and jurisdictional, according to the study and the value of their actions depends on it since both are listed on the Stock Exchange.
"With regard to Goldcorp and Tahoe, we dare to say that are likely to be the largest individual investments in the country's history," said Paulo de Len, of the Central American Business Intelligence (CABI).
Conclusion 2: quoted products it
is no secret that among the main mining products exported from Guatemala to the world are the stones and precious metals, iron, lead and aluminum. Of these five main products, four are metallic minerals. Currently, the gold and silver are the most important metallic minerals in Guatemala for its sale. This was not the case 15 years ago.
The following shows the historical performance of exports (FOB) of the products it produces the extractive industry in Guatemala, with data obtained from the Central Bank of Guatemala, the external sector:
Conclusion 3: Taxes vital
Another finding of the study is that mining is a producer of foreign exchange for the country and that without them, the currency would be more depreciated. The taxes paid by the sector to the SAT in concept of regular taxes such as VAT, ISR, and other more has the following behavior:
Conclusion 4: Royalties generous in
spite of the fact that the number of mining companies in Guatemala have decreased in number, there has been an increase in the amount of royalties that leaves the sector to the State of Guatemala. As shown in the following graph, with data from the Ministry of Energy and Mines (MEM):
According to the data, from 2012 began with the voluntary donation of royalties, which correspond to 4% of the total income of mining companies, these royalties are different to the royalties bill that currently represent 1% of the total income of mineral companies. The above are the royalties until the year 2015. These revenues have to join what SAT reports as the tax collector are other State Agencies. Until 2015 the close of Q800 million of royalties, which amount to almost 160 million Q for the next two years: 2016 and 2017.
Complete the tax paid by the sector, including all state, municipal taxes and royalties, for the case of Guatemala is 45% on net income.
"They say that mining companies do not leave anything, they take it all. This is a lie. The 45% d operating profit goes to the State; almost half of it is for the Government and that is not little, is quite what firms pay," said Paulo de Len, of the Central American Business Intelligence (CABI).