Myanmar to Keep Import Tariff at Reduced Rate of 10 Pct until 2010

Myanmar will keep the commercial tax for five main importing goods unchanged until 2010, which is at a reduced rate of 10 percent, denying allegations that the tariff will be raised to the original rates, the weekly Voice reported Sunday.

The five commodities, namely diesel, fertilizer, gasoline, medicines and computer accessories, have been granted with such commercial tax relief on an exceptional basis since June 2004.

The taxation not only benefited importers but also the consumers, importers said.

                                                                                                                                                                                            

According to the Ministry of Finance and Revenue, import goods arriving at the Yangon Port through normal trade have been taxed since June 2004 at an exchange rate of 1 U.S. dollar to 850 Kyats, while those through border trade at 1 dollar to 1,200 Kyats since 2006.

The official foreign exchange rate is traditionally 1 U.S. dollar to nearly 6 Kyats when imports and exports are valued, according to the finance authorities.

Myanmar's total foreign trade in the fiscal year 2007-08 amounted to 8.851 billion dollars, of which the exports accounted for 6.043 billion dollars while the imports amounted to 2.818 billion dollars.

Myanmar's main export goods are natural gas, agricultural, mineral, marine and forestry products, while its key import goods are machinery, crude oil, edible oil, pharmaceutical products, cement, fertilizer and consumers goods.

Source: CRIEnglish