“The best way to carry on a regulation is setting up a labor union”

Which is the balance of FADJA 2010 edition?
It was a smaller event in size, however, as every year, the quantity of visitors has been growing, which I think is crucial for exhibitors. We do not search for quantity but quality of exhibitors and public, and FADJA has achieved it once more.

How has the new regulation affected the market?
There have been much fear by Colombian operators towards regulatory change that is being promoted by the government. That fear had helped investors to decrease their investments a bit. However, I think regulation is necessary and operators must be united so the government has a valid negotiator to discuss. It is what Colombia currently lacks: neither laws not the regulatory change are being discussed. So operators feel ignorante and  distrust. We have to try to promote laws, and consensus is the base of a law that may be complied any time. A law imposed will never have results.

To sum up, Which are the changes that are being developed in Colombia and their issues?
Beyond tax aspects (new taxes and fees have been established) are promoting certain changes, as well as online systems and records. This type of things, that in other markets are being held successfully, are new in Colombia and there is a certain inicial rejection.

Is rejection part of the industry or at a governmental level?
Operators have not understood the benefits of the regulatory changes yet, because no one has discussed the issue with them. I have always declared that, in case of a regulatory change, it is important that the industry is united and that a labor union is set up, something that does not exist in Colombia so far.

As far as my experience concerns in other jurisdictions, the best way to carry on a regulation is setting up a labor union that gathers not only operators but also manufacturers, providers and all the parts involved. This labor union should be the valid speaker before the government. In case of a bill or a regulatory change, there should be a leader on behalf of the labor union that discusses and raises convenient changes for everybody, in a way in which the operator feels comfortable and the government feels that has the control of the market.

There are three crucial aspects in the gaming industry: 1) tax collection 2) employment generation 3) it is a restringed industry controlled by the government. The third point is the one that Colombia still does not have. We need a serious regulatory frame for the industry. This way, operators will have licenses that will be more valuable in the future.

Can you bring any country as a reference?
I have always named Peru as an example. Six or seven years ago, there was a complete informality in the country: of 1,000 operators, 35 had licenses. There was a regulatory change that was discussed and agreed in the middle of a trade union of operators and of all the actors involved, who debated the changes with the government.

The formalization process in the industry have been so successful that there are currently 450 centers authorized, representing the 95% of the industry. There, operators acknowledged that a regulated industry remains in time.