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Thupeyo Muleya Beitbridge Bureau

The Zimbabwe Revenue Authority (Zimra) has started complying with the new import regulations after the Government lifted all restrictions on the importation of basic commodities to boost market supplies and granted 100 percent retention of domestic foreign currency earnings.

Prior to the latest development goods were paying import duty and levies of up to 40 percent.

The move by the Second Republic is expected to tackle resurgent price madness and stabilise the economy.

Announcing the latest measures last week, Finance and Economic Development Minister, Professor Mthuli Ncube, said the interventions have been necessitated by the resurgence of macro-economic instability in which domestic inflation was being driven primarily by the skewed preference for the use of the United States dollar as a savings currency.

The recent spate of price increases linked to wild parallel market rates has led to the erosion of people’s incomes and is constraining aggregate demand for goods and services.

This has piled enormous pressure on the exchange rate as the skewed preferences have continued to increase the velocity of the Zimbabwe dollar, said Professor Ncube.

The phenomenon has seen a growing US-dollar cash economy and it is estimated that a large portion of domestic transactions are now being conducted in foreign currency, he added.

Zimra’s head of corporate affairs, Mr Francis Chimanda said yesterday the suspension on duty would apply to selected goods effective from May 12.

These included cooking oil, maize meal, milk, sugar, rice, flour, salt, bath soap, washing soap, washing powder, toothpaste and petroleum jelly among others.

He said Zimra has also published Public Notice No. 30 of 2023 communicating the above and providing a general list of the specified goods.

“The recent pronouncements in Statutory Instrument 80 of 2023 are similar to those publicised in the previous Statutory Instrument 98 of 2022, which ran its course in 2022 and extend the same concessions to both private and commercial importers,” he said.

“These measures are effective from 12 May 2023. This means that importers will not be required to pay any duty and value added tax on the specified goods.

In addition, the removal of the requirement of an import licence issued by the Ministry of Industry and Trade means that importers will not be required to obtain or produce an import licence when importing these goods.”

Mr Chimanda said all other permits required in terms of other regulators remain applicable for any controlled goods on any controlled goods on the specified list.

He said there is no limit to the quantities that may be imported by both commercial and private importers.

However, there is a need for importers to observe the administrative requirements in terms of how these goods should be cleared at both private and commercial levels.

“Goods should be cleared on a bill of entry and commercial importers are required to engage the services of a registered customs clearing agent to do the clearance on their behalf unless they are approved as a declarant with a currently licensed in-house customs clearing facility,” said Mr Chimanda.

He added that private importers of goods not exceeding a maximum value of US$1 000 could be cleared on a private declaration on Form 47 for accompanied baggage.

“Privately imported goods with a value exceeding US$1 000 should be cleared on a bill of entry and the importer is required to engage the services of a duly registered and licenced clearing agent,” said Mr Chimanda.

“It should be noted once again that the concession suspends the payment of duty and VAT and the production of an import licence from the Ministry of Industry and Commerce.”