Africa-Press – Malawi. The government has not implemented the once-touted duty-free week for the past two years, a development that has riled secondhand car dealers, who feel short-changed by the move.
In January 2022, government implemented duty-free week, one of the campaign promises that featured highly in Tonse Alliance manifesto. However, since observing the day two years ago, government has been silent on it as it has not been included in recent national budgets.
Simplex Chithyola BandaFinance Minister Simplex Chithyola Banda told The Daily Times that he has no handover notes on the duty- free week.
“Who implemented that? It was the former minister. So, I do not have handover notes on that.
“However, we are yet to present this year’s national budget. So, why can’t you wait until we cross the bridge?” Chithyola Banda said.
During the previous duty-free week, which government officials said was initially introduced to promote small and medium-scale enterprises, traders were allowed to import goods whose Value for Duty Purpose did not exceed $3,000.
Meanwhile, Malawi Revenue Authority spokesperson Steve Kapoloma has said they always wait for the government to declare the Duty Free Week because their duty is to implement Ministry of Finance directives on tax issues. However, Secondhand Car Dealers Association, through their president Themba Mkandawire, urged government to live up to its promise on the issue.
“This is akin to cheating Malawians. People were promised the duty-free week and our expectation was that this is something that was there to stay but this silence probably means that government has abandoned the initiative.
DECLARED DUTY-FREE WEEK— Mlusu“This could have benefitted small business doers, who are already struggling,” Mkandawire said.
In 2021, former minister of Finance Felix Mlusu informed Malawians about the introduction of duty-free week. His successor Sosten Gwengwe did likewise, declaring the week in 2022.
However, Gwengwe did not mention the initiative in other budget statements—a tradition continued by Chithyola Banda. Parliament is, meanwhile, meeting for the budget session, which will culminate in the birth of the 2024-25 national budget.
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