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NEW YEAR, NEW LAW FOR ZIM CROSS BOARDER TRADERS

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  • Regulation to protect Zim textileand clothing industry announced

New Year usherd in new laws  for Zimbabwe as all clothing items ceased to be covered by traveller’s rebate with effect from January 1.

Tendai Biti

Under the new regulation meant to protect the local clothing industry which has been under threat due to imports mainly from Asia and South Africa travellers will only be allowed to bring into the country their used clothes which do not exceed  US$300( about P1900.00).

“All clothes other than the travellers used clothing, even if they are within the $300 duty free allowance will not qualify under the rebate. Duty shall therefore be payable at a rate of 40 percent plus $3 (P19.50) per kilogrmme, reads a statement from the Zimbabwe Revenue Authority (ZIMRA).

“What this simply means is that each traveller should only bring in used clothing which are theirs  and are not worth more than $300. Anything more or new will attract duty. We are all out to enforce this new regulation,’’ said a ZIMRA official stationed at the Kazungula border post.

The new regulation was announced by Zimbabwe Minister of Finance, Tendai Biti when presenting the 2012 national budget last November.He said it had come to Government’s attention that consumers were now shunning local clothing products for cheap and mostly sub-standard foreign products.

Many companies and manufactures in Zimbabwe which had either closed or scaled down when the economy collapsed are now on a rebound due to the introduction of the Us dollar, which has led to marked improvements of the economy.

Many clothing and textile industries will benefit from this regulation as they had long called on the government to act on the flooding of cheap imports which were threatening their existence and recovery.
“Business will surely improve from this regulation as we expect more customers.

The good thing is that we also have credit facilities which give people a maximum of six months to pay for their clothes,’’ said Ronald Matanhire, Victoria Falls branch manager of Topics, which is one of the leading clothing stores in Zimbabwe.