Complaint

Complaint number
NTB-000-821  
NTB Type
6.5. Variable levies  
Complaint
On 20th and 21st February 2017, Zimbabwean and Kenyan companies involved in distribution of tilapia into Zambia reported that the Government of Zambia had enacted the Customs and Excise Amendment Act number 47 of 2016 effective 1 January 2017.The amendment imposes a surtax of 5% on all imported goods that are produced or manufactured in Zambia. The surtax was meant to encourage local sourcing of inputs for the manufacturing sector in order to reduce the cost of production.  
Status note
Zambia and Kenya held a bilateral meeting during the 5th TFTA focal points meeting held in Nairobi in August, 2019. Zambia informed Kenya that the measure is under review and has also affected domestic companies and therefore does not violate the national treatment principle. Thus it should not be reported as an NTB.  
Progress update note
During the 33rd meeting of the COMESA Customs and Trade Committee, it was noted that Zambia private sector had lobbied for imposition of surtax on locally produced inputs, however there was a blanket application of the surtax covering inputs not locally produced and finished products as a way of raising revenue for the government.  
Policy or regulatory NTB
Yes 
Location
Zambia: Zambia Revenue Authority (Government institution)  
Reporting Country or Region
Kenya  
Country specific trade issue
No  
Date of incident
2017-02-21  
Status
Resolved  
Date of resolution
2019-08-21  
Product Description
Fish, Tilapia  
Total value
0  
Date reported
2018-06-11 11:51  
Modified
2020-03-18 13:51