In May 2023, the Government allowed the importation of the aforementioned products duty-free in response to shortages and rapid price changes as suppliers resorted to forward pricing.
The repeal of the duty-free status was gazetted on Wednesday, 31 January, by the Minister of Finance, Economic Development and Investment Promotion, Professor Mthuli Ncube in Customs and Excise (Suspension) (Amendment) Regulations, 2024 (No. 272) published in Statutory Instrument 10A of 2024. Reads the SI:
IT is hereby notified that the Minister of Finance, Economic Development and Investment Promotion, in terms of section 235 as read with section 120 of the Customs and Excise Act [Chapter 23:02], has made the following regulations:-
1. These regulations may be cited as the Customs and Excise (Suspension) (Amendment) Regulations, 2024 (No. 272).
2. The Customs and Excise (Suspension) Regulations, 2003, published in Statutory Instrument 257 of 2003 (hereinafter called “the principal regulations”), are amended by the repeal of section 91 (Suspension of duty on Cooking Oil, Maize meal, Milk, Sugar, Rice, Flour, Salt, Bath Soap, Laundry Soap, Washing Soap, Washing Powder, Toothpaste and Petroleum Jelly) with effect from 1st February 2024.
The repeal of the duty-free status is somewhat not surprising as the 2024 national budget proposed various taxes which have deepened citizens’ suffering.
Whilst Ncube backed down on some of his “outrageous” revenue-raising proposals, businesses and citizens now pay more taxes/fees than in 2023.