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Zimbabwe

Zim lifts import duty on goods

2008-05-13 20:38

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Harare - The Zimbabwean government has lifted import duty on basic commodities in a bid to ease chronic shortages as cash-strapped local producers battle to meet demand, the information minister announced Tuesday.

"As a stop-gap measure... the government has therefore suspended duty on basic commodities for a period of 90 days with effect from yesterday (Monday)," minister Sikhanyiso Ndlovu told journalists.

"This is by no means a substitution of locally-produced goods. This is a temporary measure.

"Our people have been surviving by importing some basic goods to augment local production which has been hampered by sanctions on our country which lead to shortages of foreign currency."

The list of goods exempted from duty include rice, margarine, cooking oil, flour, soap, salt and toothpaste and only goods imported for household consumption qualify for the waiver.

He said the government would continue allocating foreign currency to help local manufacturers buy goods from abroad to increase production.

Zimbabwe is in the throes of an economic crisis characterised by runaway inflation, soaring poverty levels, an unemployment rate hovering at around 80% and chronic shortages of fuel and basic goods like cornmeal.

- AFP

- AFP

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