Active complaints

Showing items 21 to 40 of 66
Complaint number NTB Type
Category 1. Government participation in trade & restrictive practices tolerated by governments
Category 2. Customs and administrative entry procedures
Category 5. Specific limitations
Category 6. Charges on imports
Category 7. Other procedural problems
Category 8. Transport, Clearing and Forwarding
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Date of incident Location
COMESA
EAC
SADC
Reporting country or region
COMESA
EAC
SADC
Status
Actions
NTB-000-803 2.6. Additional taxes and other charges 2018-02-28 Tanzania: Importation into Tanzania Malawi In process View
Complaint: CORI Ltd visited Tanzania last year to look for export markets for cooking oil in Tanzania. CORI was informed that the government in Tanzania does not promote/support importation and that Tanzania has a 15% surcharge on the importation of cooking oil.  
NTB-000-802 2.6. Additional taxes and other charges 2018-02-28 Zimbabwe: Ministry of Industry & Commerce Zimbabwe Malawi In process View
Complaint: CORI Ltd visited Zimbabwe last year to explore their local market to check if there is potential for their products (cooking oil). CORI Ltd discovered that they could not export cooking oil into Zimbabwe as the government in Zimbabwe has instituted Statutory Instrument (S.I 64) that banned imports of a variety of products (cooking oil is one of them).

Zimbabwe also has 40% (or $0.50/litre) duty on cooking oil imports
 
Progress: On 3rd April 2018, Zimbabwe Focal Point reported that SI 64 of 2016 has been consolidated with other SIs through SI 122 of 2017 which was gazetted on 22 September 2017. The consolidated SI removed the requirement for import and export licences on some products. The new requirements of SI 122 of 2017 will be recorded in the Non Tariff Measures database for Zimbabwe  
NTB-000-801 2.6. Additional taxes and other charges 2018-02-28 Zambia: Ministry of Trade. Malawi In process View
Complaint: 1. CORI (Capital Oil Refining Industries) Ltd intend to export cooking oil and soya bean cake into Zambia. However, the
company has been advised to pay 5% SGS surcharge on export of its product into Zambia.

2. The company (CORI Ltd) is also considering to register a company in Zambia in which case they have been advised that they require an import permit from Zambian Authorities for every consignment (of cooking oil and soya bean cake) that will be sent to Zambia.
 
NTB-000-800 2.3. Issues related to the rules of origin 2017-11-01 In process View
Complaint: Lack of preferential treatment to Cerelac product manufactured in Kenya and exported into Tanzania on the basis that Kenya via Legal Notice No.EAC/70/2017 was granted stay application of CET in respect to raw sugar.

EAC Legal Notice No.EAC/70/2017 granted Kenya duty remission on raw sugar not a stay. For a company to import, it has to follow due process of gazettement. So far no company has applied, no DRS application received and no company has been gazetted to import raw sugar.
 
NTB-000-797 1.14. Lack of coordination between government institutions 2018-01-02 South Africa In process View
Complaint: Distell, a Tape Town based exporting company is experiencing delays and high costs of processing SAD500 entries and SADC certificates for their wine exports to Zimbabwe. The current procedure where the Distell driver cannot take the SAD500 entry and SADC certificate to Customs to have it stamped and signed over the counter is cumbersome and costly for the company. The company has to wait for at least 2 days for either the release notification or the stamped and signed SADC certificates. This leads to the truck waiting at the depot for the documents, which results to either standing time cost at the depot or standing time at the border.
The requirement is as follows: Distell Company loads Bulk orders in Tanktainers and Drums from Monis in Paarl or Adam Tas in Stellenbosch, Cape Town which goes by road to Zimbabwe. Currently export documents can only be done by the Freight forwarder immediately after the Tanktainer or Drums are loaded. Export documentation cannot be processed earlier, as company has to wait for the final weight loaded into the truck. The alternative method to use flow meters and cut off the loading on a specific amount of liters is used because it is does produce accurate measurements.
Actual Current process for Bulk - Tanktainers (Tankerservices transport)
- Truck to be arranged for loading very early on a Tuesday morning @ 07:00am
- Most of the time 2 to 3 truckloads which will load one after the other.
- The following is all also done on the Tuesday:
o The wine is loaded.
o Distell invoices and forward the relevant documentation to Imperial Logistics in Johannesburg.
o Imperial Logistics processes the Customs entry via EDI.
- Once EDI release is received (after at least 2 days), Imperial Logistics sends the Release notification via e-mail.
- Distell advises Tanker Services to collect the relevant documentation and leave for the border.
- Imperial Logistics will have the SADC certificate stamped at the border.
- Tanker services driver to collect the original SADC certificates at the border.
A permanent solution for exporters in Cape Town to provide an over the counter service for our SAD500 & SADC entries is required.
 
Products: 2204.10: Sparkling wine of fresh grapes  
NTB-000-792 8.7. Costly Road user charges /fees 2017-11-01 Zambia: Chililabombwe SADC In process View
Complaint: Transporters are being charged a motor vehicle fee by Chililabombwe Municipal Council. There is no justification for such a fee since the transporters do not receive any services from the Council. The transporters are travelling on national roads, which are maintained by the government and not the Council. The transporters pay road user charges to the government to maintain the roads. According to NTB-000-480, this was addressed on the 7 September 2016, but this problem has emerged again since 20th October 2017.  
Progress: On 25th January 2018, Zambia Focal Point Reported that the Ministry of Transport and Communications through the Road Transport and Safety Agency (RTSA) had corresponded with the Ministry of Local Government on the fees charged by several Municipal Councils. All levies collected by the council are guided by section 69 and 70 of the Local Government Act chapter 281 of the Laws of Zambia. Additional background information on where exactly in Chililabombwe the fees in question are charged will be helpful.  
NTB-000-788 2.3. Issues related to the rules of origin 2017-06-01 Ethiopia: All Ethiopian banks. Egypt In process View
Complaint: Ethiopian banks are requiring invoices for sales to Ethiopian customers to be stamped by a Chamber of Commerce in Egypt as validation for letters of credit, which is contrary to COMESA rules. Indeed, as per Rule 10 of the COMESA Protocol on Rules of Origin, the only documentary evidence to demonstrate that a good originates from a COMESA Member State is a certificate of origin (not invoices). Consequently, any company should be able to issue an invoice from any country inside or outside the COMESA region, as long as the origin of the products themselves is correctly documented according to COMESA rules through a certificate of origin. Ethiopian banks should comply with Rule 10 of the COMESA Protocol on Rules of Origin and stop requiring invoices to be stamped by predetermined entities (including, inter alia, by a Chamber of Commerce in Egypt).  
NTB-000-785 8.8. Issues related to transit 2017-10-25 Zimbabwe: Beitbridge In process View
Complaint: Haphazard breaking of seals at Beitbridge Border without any proof of authentication. Customs officials are breaking the transit cargo seals on the containers and merely crossing out the seal on the manifest and replacing it with the temporary seal. This has severe implications as these containers have already been fumigated and opening the container compromises the fumigation process and leaves the load susceptible to tobacco beetle cross infestation at the border. As there is no authenticity/customer number/stamp endorsing the seal change it means that anyone could have tampered with the cargo on route and this possess another issue with our customers in the USA as it contravenes their anti terrorism procedures . There was legislation passed by ZIMRA in terms of SI 113 of 2017, the Customs and Excise (General) Regulations, SI 154 of 2001, Section 60 that states no seals should be opened in transit through Zimbabwe in order to improve the management of transit cargo. This new legislation needs to be passed on to the officials at Beitbridge (Zimbabwe side)as they are still breaking seals at the border.  
Products: 2401.10: Tobacco, unstemmed or unstripped  
NTB-000-783 2.8. Lengthy and costly customs clearance procedures 2017-09-19 Zimbabwe: Beitbridge South Africa In process View
Complaint: Zimbabwe Revenue Authority (ZIMRA) is not adhering to their new procedure for handling transit cargo thereby causing serious delays in clearance of trucks at the Beitbridge border post.
Truckers are experiencing serious delays because ZIMRA is not adhering to the procedure it stipulated in its communication documents. ALL transit cargo is being fitted with seals, despite the cargo already being sealed by client at loading point. Communication from drivers indicated that, currently only 5 trucks being sealed per day.
Trucks then going onto a "list" for transit escort. This is despite the official communication stipulating that ONLY trucks carrying cargo that is not covered by a suitable tent/tarpaulin that cannot be sealed will be considered by authorities to be escorted.
Truck is a tautliner and thus can be sealed yet driver has been informed it needs to be escorted, and he was informed that 5 trucks per day are escorted to Chirundu. Currently he is number 48 in the "list". This goes against what was communicated in ZIMRA informational document.
Our trucks have Route Risk Assessment done prior for the reasons stated by another complainant, yet ZIMRA wants to dictate which roads and routes to use. This procedure is causing unnecessary delays at the border.
 
NTB-000-782 8.7. Costly Road user charges /fees 2017-09-17 Zimbabwe: Chirundu Zimbabwe In process View
Complaint: Trans[porters are experiencing the following delays and other administrative costs as a result of the sealing process by ZIMRA:
• The vehicles are delayed up to 24 hours while waiting for the seals
• ZIMRA Officials remove existing seals to fit their seal and then do not replace the seals when their electronic seals are removed
• ZIMRA Officials have refused to endorse the documents when seals have been removed
• They have damaged transporters equipment and gone so far as to use a drill on a loaded fuel tanker to drill a large hole to fit their seal. This is completely unacceptable!
• Where one of their seals was incorrectly fitted and fell off the truck, they then cut other seals and drew samples of the product to ensure it had not been contaminated. No explanation was given and our customer consequently rejected the load as the integrity had been corrupted
• Transporters are expected to adhere to routes stipulated by ZIMRA. We have Route Risk Assessments on all our routes. The route is determined due to a number of factors including distance and safety. This is pertinent to Zimbabwe where the road infrastructure is failing
• Beyond the instruction to pay for the sealing, transporters are further expected to pay the costs of escorts
 
NTB-000-781 2.6. Additional taxes and other charges 2015-11-19 Mozambique: Delegação Aduaneira de Goba (Road) Eswatini In process View
Complaint: An import surcharge is applie to all imported sugar (i.e. SADC and non-SADC) ased on the difference between Dollar-based reference price (DBRP) and the world marker price quoted on the New York #11 and London no.5 commodity exchanges for brown and white sugars respectively. The current DBRP is US$806 per tonne for brown sugar and US$932 per tonne for white sugar.  
Progress: 1. On 5th November 2017, Mozambique Focal Point updated that Mozambique is still working on the matter and a multisectorial team, which involves Revenue Authority (Customs and International Cooperation Directorate) and Ministry of Industry and Trade has been established to analyse the matter and the answer will be sent as soon as possible..

2. On 1st September 2017, Mozambique and Swaziland Focal Points reported that they are urgently following up with relevant authorities to assist the complainant . All efforts are being made to resolve the matter expeditiously.
 
NTB-000-776 8.7. Costly Road user charges /fees
Policy/Regulatory
2017-05-05 Tanzania: Ministry of Works, Transport & Communications Uganda In process View
Complaint: Tanzania still charges US$500 to Uganda trucks compared to US$152 charged on Rwanda trucks.  
Progress: 1. During the Extra Ordinary SCTIFI, the issues of Road User Charges were referred to the Sectoral Council on TCM for resolution.
2. The meeting Senior Officials meeting that met in October, 2017 noted that this NTB would be resolved if Road User Charges were harmonised with in the EAC. The meeting therefore urged the Secretariat to expedite the process of harmonisation of the Road User Charges to facilitate resolving this NTB.
3.The Ministerial bilateral meting held on 19 December 2018 directed that Experts and Senior officials of the two countries should engage and harmonize the charges and report progress to the Ministers by end of June 2019.
4. The 27th Regional Monitoring Committee meeting held from 29 April - 3 May noted that Tanzania was committed to resolve this NTB as agreed during the Bilateral meeting. Uganda requested that this NTB be discussed during the PSs level
Bilateral meeting.
 
NTB-000-769 2.3. Issues related to the rules of origin 2017-05-05 Tanzania: Tanzania Revenue Authority Kenya In process View
Complaint:
Despite Kenya Tobacco raw material being fully sourced in Kenya, the manufacturers are required to pay 80 per cent higher excise for cigarettes exports into Tanzania.

 
Progress: 1. The Bilateral meeting that took place in January 2018 noted that Kenya and Tanzania need to harmonize their domestic taxes and local content policies and request the EAC Secretariat to fast track the process of harmonization in all partner states.The meeting also agreed that the two Partner States should take cognizance of the national treatment provision under Article 15 of Custom Union Protocol not to impose directly or indirectly internal taxation on goods from other partner states in excess of that imposed on similar domestic goods.
2.During the Bilateral Meting held from 23- 27 April 2019, both parties reiterated their 2018 commitments to champion harmonization of their domestic taxes and local content policies and therefore request the EAC Secretariat to fast track the process of harmonization. In this regard, United Republic of Tanzania maintained that, both parties should implement the 2018 bilateral agreement on harmonization of their domestic taxes and local content policies. Kenya, however, maintained that this is a trade restrictive matter and should be resolved at the Community level in accordance to Article 15(2) of the EAC Customs Union Protocol. The bilateral Meeting therefore agreed to escalate this matter to the Council of Ministers.
 
NTB-000-765 2.7. International taxes and charges levied on imports and other tariff measures
Policy/Regulatory
2017-05-05 Tanzania: Tanzania Revenue Authority Kenya In process View
Complaint: Tanzania does not recognize price adjustments for duty purposes particularly the reduction by milk processors in Kenya.  
Progress: 1. During the Regional Monitoring Committee meeting of 2018, Tanzania reported that, this is not an NTB but a valuation issue that can be resolved between the revenue authority and the importer. KRA and TRA were therefore quested to hold a bilateral meeting to resolve the matter by 21st November 2018.
2. The Regional meeting held from 29 April - 3 May 2019 referred the matter to the Committee on Customs .
 
NTB-000-760 2.3. Issues related to the rules of origin
Policy/Regulatory
2017-05-05 Tanzania: Tanzania Revenue Authority Kenya In process View
Complaint: Lack of preferential treatment. Payment of full CET duty on cement exports from Kenya to Tanzania due to interpretation of Chapter 25. This also affects situations where the local content is at a high percentile. Tanzania authorities attach a 35% duty to cement that is not ‘wholly produced’ in an EAC state. This is opposed to previous practice which had other categories on the rules of origin certificate that for cement included ‘value addition’ and/or ‘substantially transformed using material content not exceeding 60%’ - the Authorities do not consider these categories anymore; the rules of origin must state whether the item is either wholly produced or not.  
Progress: 1. The Extra Ordinary SCTIFI that sat in February, 2018 directed that the EAC Secretariat coordinates a verification mission on edible oils, cement, lubricants in Kenya by 31st March 2018.
2. During the SCTIFI meeting of 16th November, 2018, Kenya reported that the NTB for Lubricants & edible oils has been resolved but the NTB on cement in respect of Clinker that is locally sourced and imported is not resolved.The Meeting of the SCTIFI directed the Secretariat and CoC to develop guidelines on applicability of separation of materials as provided by Rule 11 of the EAC Rules of Origin, 2015.
3.During the bilateral meeting in December 2018,Kenya reported that the NTB for Lubricants & edible oils has been resolved but the NTB on cement in respect of Clinker that is locally sourced and imported is not resolved.
The Meeting recommends to the SCTIFI to direct the Secretariat and CoC to develop guidelines on applicability of separation of materials as provided by Rule 11 of the EAC Rules of Origin, 2015.
 
NTB-000-756 8.7. Costly Road user charges /fees 2017-05-05 Kenya: Kaijado County Burundi In process View
Complaint: Namanga/Kajiado County charges 2,000 Ksh for all Burundi cargo trucks transiting Kenya  
Progress: 1. During the Meeting that was held in October, 2017, Kenya reported that she was consulting the County Government on the same and will report during the NTB Forum in March, 2018

2. Kenya reported during the RMC meeting held on 29April - 3 May 2019 that the County has stopped charging the levy, but will consult further and revert.
 
NTB-000-754 7.3. Corruption 2017-07-01 Mozambique: Police checkpoint in Dondo Mozambique In process View
Complaint: A week or so ago one of the drivers got stopped at Dondo Check Point in Mozambique.
They told the driver that his International Driving Permit (AA) was fake.
We ended up having to pay a fine of 50,000 mts equating to $833.00. With administration charges we have paid out $1,026.00 (fine attached)
The AA have verified our Driving permit is actually not fake.
Attached the report from our agent in Beira of Beloma Mr. Dirk Dieltiens.
Attached his report and correspondence.
Attached the old and new Permit from AA and the letter confirming documentation is in good order.

 
Progress: The Mozambique Focal Point reported that consultations had been initiated with the focal point in the Ministry of Industry and Trade, who will get in touch with the police to clarify this issue, as soon as possible  
Products: 98 - 99: Service  
NTB-000-751 8.7. Costly Road user charges /fees 2017-05-01 Zambia: Ministry of Trade Zambia In process View
Complaint: Transporters have noted the many benefits of using Botswana as a transit instead of Zimbabwe. It is a well known fact that Zimbabwe borders are slow and congested, there are many tolls we pay (for no service), numerous road blocks (harrassment of drivers and lack of adherence to SADC appreciation of the Soveriegnty of Foreign COF's), high fuel costs and failing road infrastructure. The completion of the Kazungulu Bridge is a much anticipated event that will give transporters access to an efficient and cost effective transit to Zambia.

On the 11th November 2016, Zambia issued SI 85 of 2016, The Tolls Act in which the Second Schedule Section A and B outlines Entry Tolls for COMESA/SADC and other Countries. Botswana was not included under SADC and awarded tolls higher than other SADC States. On the 1st May 2017, Botswana retaliated by issuing an Amendment of the Road Traffic and Road Transport (Permits) regulations, 2017. Under this Amendment, tolls were increased and in turn, Zambian Transporters handed a hefty penalty. The result is that as a Zambian Transporter our Transit Fees through Botswana increased by 70%.

This makes the Botswana route unattractive and given the congestion at Kazungulu, we have had to run through Zimbabwe again. We are delayed here by congestion, delays in ZIMRA electronic sealing processes and run the gauntlet as described above.

Surely the whole idea of building the Kazungula Bridge is to improve the flow of traffic through Botswana and create economic advantage? With the increase in the tolls in a tit for tat manner, building the bridge is a waste of time.

Could the member States please meet and look at treating each other in the spirit encouraged by SADC.
 
NTB-000-747 8.8. Issues related to transit 2017-05-03 Zambia: Several Locations in Zambia South Africa In process View
Complaint: There are plus minus 540 trucks loaded with Mukula Wood which were loaded in the DRC, impounded by the Zambian Government in Zambia.

There is another plus minus 600 trucks still on the DRC side which have been refused entry through Zambia. These 540 trucks impounded in Zambia have been there for approximately 60 to 70 days in all different areas of the country, in the middle of the bush without any water, sanitation or access to supplies.

There has already been incidence of drivers having to leave their trucks in critical condition with malaria and other drivers with diabetes that have run out of medication, as well as a driver who suffered a stroke this morning at Kafue.

The goods were loaded in Lubambashi and other areas in the DRC and the wood is in transit through Zambia to various Ports in Namibia, South Africa, Tanzania and Mozambique.

No Seizure Notices of any sort have been given to the drivers, they trucks were impounded by the Zambian National Services and according to them it comes from the top and their hands are tied.

Last week Friday 28 April, a contingent of around 28 transporters and exporters from the DRC met with the Zambian Director of Lands to try and resolve this matter and after discussion, he informed us that there were two teams travelling around the country to verify the cargoes and endeavour to get them released.

After this meeting we met with the Permanent Secretary’s Office in Lusaka and demanded a meeting. Whereafter, we had a consultation lasting approximately 1.5 hours. The Secretary assured us that two teams had been appointed to the task of travelling around Zambia with the aim of releasing the impounded vehicles.

We brought to his attention the inhumane conditions in which these drivers have been detained and although he empathized he didn’t seem overly concerned about their plight.

On the same day, Friday a team had to be rushed to Nkonde Border between Zambia and Tanzania where there were about 110 trucks stuck on the Zambian side as Tanzania had temporarily closed the border due to the discontent on the drivers. The Secretary told us these trucks would be released the same day but until now, nothing has happened and the trucks are still there.

The 180 trucks stuck at the Kasumbalesa Border between DRC and Zambia on the Zambian side which were inspected and verified on Sunday are still stuck there and no one has been released and ZNS are not telling the drivers why they have not been released.

We estimate that there is in the region of 80-90 South Africa trucks being detained and the rest comprise of Zambian, Tanzanian, Botswana and Namibia trucks.

As you can imagine this has caused chaos with the Transporters as the banks are not getting paid and people are losing their businesses because of the dire situation. We need urgent intervention to prevent any further destruction of our businesses and the welfare of our drivers.

We have this minute been informed by drivers on the Zambian/Tanzania Border on the Zambian Side, that plus minus 250 trucks have been locked and surrounded by the Zambian Army and the drivers told to go home until further notice.

NOT ONE TRUCK HAS BEEN ALLOWED TO LEAVE.
 
Progress: On 8th June Namibia Focal Point prpvided the following update and plea for Zambia to release the trucks:
The Namibia Chamber of Commerce and Industry (NCCI) has been intervening in this issue since it was brought to their attention by their members affected by this development.

During February 2017, a number of Namibian trucks contracted by various customers to transport timber from the Democratic Republic of Congo (DRC) were intersected and impounded by the Zambian authorities once they entered the Zambian territory. The goods on those trucks were NOT harvested in Zambia but by businesses operating in the DRC with valid permits from the Government of the DRC to do so. The Namibian truckers were simply transporting goods from the suppliers to the clients and were never involved in the harvesting of the timber. Namibia understand that the Mukula timber which caused the impounding, is prohibited to be harvested in Zambia but not in the DRC.

Namibia trucks carried timber from the DRC with valid documentations which were inspected by Zambian customs officials and found to be valid and authentic. The Zambian authorities even sealed the cargo at the Kasumbalesa border post between DRC and Zambia which under normal circumstances would be inspected again at the Sesheke-Katima Mulilo border post. Despite the valid and authentic documents which Namibia drivers had and despite the Zambian authorities having satisfied themselves at the boarders that the trucks were carrying goods legally, the same Zambian authorities still impounded trucks.

While the harvesting of makula timber is not permitted in Zambia, the Zambian law never disallowed such timber to be transported on Zambian roads until April 2017 when they reportedly passed a law preventing the transportation of mukula timber on Zambian roads. This law was enacted and implemented retrospectively which is neither normal nor legal. The NCCI has engaged the Zambian and Namibian authorities on several occasions to resolve this dispute diplomatically and amicably but these efforts did not yield any results.

Namibia trucks remain impounded illegally by the Zambian Government. As a result of the impounding, Namibian drivers have been living in deplorable and inhumane conditions in Zambia for the past five months, far away from their families. NCCI members (the trucking companies) lost a lot of money totalling close to N$ 100 million (a hundred million Namibian Dollars). Their trucks have been standing in Zambia without generating income and some of our members are at risk of losing their businesses altogether. It is important to understand that the Walvis Bay – Ndola – Lubumbashi corridor was developed to promote trade within the region and with the outside world. A lot of efforts were made to promote this transport corridor.

On the 5th of March 2010, the Governments of DRC, Namibia and Zambia signed an agreement which established the Walvis Bay – Ndola – Lubumbashi Development Corridor and since then, we have seen a significant growth in the movements of goods along that corridor. Unfortunately, there were also more goods destined for Zambia and DRC from the Port of Walvis Bay in comparison with goods from Zambia and DRC to Namibia or to the outside world via the Port of Walvis Bay. One of the products identified to be transported as a return load from the DRC to the Port of Walvis Bay was timber and the main market destination was China.

A number of trucks from various countries, primarily Namibia, Zambia, DRC, Tanzania and South Africa started taking timber from the DRC as a return load. It is unfortunate and regrettable that the Zambian authorities decided to impound trucks for such a long time instead of impounding the products which they were trying to protect. The impounding of our trucks has harmed our economy severely, at the time when our economy is already not doing well. There is clear evidence of the impact of the impounding of our trucks on the transport and logistics sector in Namibia. There is currently a lot of cargo that cannot be transported out of the Port of Walvis Bay due to lack of trucks because so many of them are kept standing in Zambia. The timber crisis that we are now experiencing could have been avoided if there was effective communication amongst SADC member states and especially the signatory to the Walvis Bay – Ndola – Lubumbashi Development Corridor Agreement. The Zambian Government implemented laws affecting the operations on the corridor without consulting other member states as required by the agreement they signed in Livingstone in March 2010.


In fact, the Zambian Government has violated that very same agreement. As a representative body for businesses in Namibia, the Namibia Chamber of Commerce and Industry demanded for an immediate release of our trucks unconditionally. We further urge the Zambian and all other Governments which are party to the Walvis Bay – Ndola – Lubumbashi Development Corridor agreement to adhere to this agreement strictly in order to ensure that the corridor plays its rightful role in the development of trade within SADC.
 
NTB-000-745 6.1. Prior import deposits and subsidies 2017-01-19 Zambia: Kazungula Ferry South Africa In process View
Complaint: “SARS received an escalation in January 2017 from Deloitte, regarding a complaint by fuel exporters from South Africa. The complaint is regarding Zambia Revenue Authority (ZRA) Circular No. 9 of December 2016, notifying its officers “that all fuel imported from South Africa under preferential arrangements should be subjected to payments of a monetary deposit equivalent to the full customs duty payable.

The modalities of collection of the said deposit will be temporarily suspending both SSA and SDC preferential rates against goods of HS 2710.12.10 and 2710.19.10 until the Origin verification process is finalised”.

SARs is of the view that the collection of the monetary deposits on fuel imported from South Africa is against the spirit of the SADC Protocol on Trade and the WTO, as this treatment applies only to oil imported from South Africa. It pre-supposes that the ZRA is nullifying the SADC Protocol on Trade relating to those specific products without following the proper procedures regarding derogation on infant industries.

SARs has tried several times to get answers from Zambia Revenue Authority (ZRA) to explain their reasoning behind the circular and so far, they have not provided any correspondence to this matter.
 
Progress: 1. On 25th January 2018, Zambia Focal Point reported that the deposit was a temporal measure pending origin inquiry. The inquiry has reached advanced stage and will soon be concluded and stakeholders will be fully advised on the way forward. This is consistent with the provisions of the protocol on trade which allow for collection of such deposits where necessary, while origin verification is underway.

2. During the 15th meeting of the SADC Sub Committee on Trade facilitation held in may 2017, Zambia reported that consultations will be undertaken with relevant authorities and report back.
 
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