Govt targets industry growth through duty free measures

By ZBC Reporter

Zimbabwe has started operationalising duty relief measures on raw materials and machinery imports to cushion companies from high costs of production during the course of this year.

The rebate and suspension of duty facilities revealed in the 2022 national budget will benefit the mining, agriculture, manufacturing, tourism, transport, clothing and textiles and energy sectors, among others.

Beneficiaries will benefit from free duty or relaxed charges on selected machinery, including raw materials.

Association of Zimbabwe Travel Agencies Past Chairperson Mr Ignatious Matungamire spoke on the impact of a suspension of duty on motor vehicles imported by safari and tour operators, effective this month.

 “A lot has taken shape and we anticipate that such initiatives will in the near future enable the industry to further grow,” he said.

For Agricultural and Rural Development Authority (ARDA) Chief Executive Officer Dr Tinotenda Mhiko, duty free interventions on the dairy sector and improving the small holder farmers will positively impact on farming viability.

“If you look at the duty-free structures or measures for the dairy sector they pinpoint to the growth and recovery of the entire value chain in Zimbabwe, said Mhiko.

A tax consultant Mr Dumisani Ngwenya explained how rebates and suspension of duty on machinery imports affect production.

“It is all about what needs to be done to facilitate growth and overall growth of the industry in light of measures to restore business confidence,” indicated Ngwenya.

Treasury says it surrendered more three billion Zimbabwe dollars during the just ended year through suspending duty on selected imports and supporting firms in paying duty charges at reduced rates.

The post Govt targets industry growth through duty free measures appeared first on ZBC NEWS.

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