Traders will have to continue digging deep into their pockets as the Malawi government has revealed that there are no immediate plans to completely remove standing 2% duty on goods imported from South Africa as it has been heavily proposed.
This comes as member states in SADC have been promoting a free trade practice, a talk which prompted South Africa to ask Malawi to consider completely implementing the commitment.
But speaking to MIJ Online Mark Katsonga Phiri Minister of Trade and Industry said the country cannot completely remove duty as there is huge importation of goods from South Africa which is being regarded as a main trading partner.
According to Phiri, as it stands Malawi might lose a lot by agreeing to completely remove tax from the current reduced 2% on goods between the two countries.
Phiri added that they will maintain reduced duty on goods between Malawi and South Africa as this is key in sustaining country’s revenue collection.