Metal and Engineering Corporation Asks for Tax Break

The Metal and Engineering Corporation urged the Ethiopian government to create a policy solution for the challenges associated with the taxed imposed on imported goods.

The tax imposed on imported manufacturing goods and raw materials for industrial use which are essential to the manufacturing process are much higher in Ethiopia than in other countries said Kinfe Dagnew, Brigadier General of the Corporation speaking to the House of People’s Representatives.

The tax imposed on locally manufactured goods are lower than in other countries of similar economic status which is encouraging to manufacturers but the taxes levied on imported equipment vital to the manufacturing sector remain high he added. Finding a solution to this issue will be an important factor for the success of the current industrialization process underway in the country according to Kinfe.

The corporation has already submitted its proposal on the issue to the government and discussions have been launched he said urging the house to follow up on the situation.

It was not made clear if the ongoing negotiations to implement the proposed tax reduction include the private sector or in what way the private sector could expect to benefit from the proposal.

Source: The Reporter

Exchange Rates

USD 43.4238  42.5724 
EUR 52.8164  51.7808 
GBP 58.4765  57.3299 
AED 10.6979  10.4881 
CAD 32.4460  31.8098 
CHF 46.0367  45.1340