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Zanzibar to usher in Ramadhan...
2006-09-19 09:51:18
By Mwinyi Sadallah, Zanzibar
Zanzibar has waived the 25 per cent import duty on imported food to enable business people import more food to pre-empt a soar in prices during the holy month of Ramadhan, which starts next week.
The decision follows a meeting between government officials and major food importers, who had complained that high import duty was a major deterrent in importing enough stocks to last the entire fasting period.
Zanzibar Minister for Tourism, Commerce and Investment Samia Suluhu Hassan said yesterday that the decision to waive import duty on food was intended to check inflation during Ramadhan.
She said the waiver would be for two months only. He added that the government would ensure that the window of opportunity would not be abused.
She said that during the meeting with the businesspeople, it was agreed that retailers cut down their profit by 10 per cent during the month of Ramadhan. The minister also said that retailers would be barred from selling foodstuffs at prices higher than those set by the government.
”We’ll take to court people who sell foodstuffs at higher prices,” she said.
She said effective yesterday, a kilogramme of wheat flour would be sold at 600/- instead of 700/-, while the same amount of sugar would be sold at 1,000/- instead of 1,050/- and rice would be sold at 600/- instead of 800/-. She said the government would be reviewing the prices of foodstuffs every two months in accordance with trends on the world market prices.
Zanzibar Chamber of Commerce, Industries and Agriculture Chairman Abdalla Abasi hailed the move, saying it would provide relief to Zanzibaris in the holy month.
Abasi said the government’s move to initiate dialogue with the business community was crucial and must be supported. He, however, said that the reason for high inflation levels on the Isles was poor seaport services.
He said clearance of cargo at the Zanzibar port takes long because of poor services and cumbersome procedures.
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