Gambia raises tax on Senegalese imports

Gambia raises tax on Senegalese imports
24 January 2019

Gambia has imposed a new import tax regulation on cement being imported from Senegal that has exacerbated the shortage of cement and increased prices in the country.

Both the Commissioner General of GRA, Yankuba Darboe, and the Permanent Secretary at the Ministry of Finance, Mod Secka, confirmed that a cabinet decision was reached on the increment of excise duty on cement, imported from neighbouring Senegal. A five per cent excise tax was put on the CIF import value from 1 January 2019. The move was desigend to boost the local cement industry.

The tax has created a queue of cement trucks at the border post. Mr Darboe claims the directive to charge cement coming into the country is being carried out. "We are directed to charge one dalasi (GMD1) per bag of cement. Local cement dealers who import from Senegal were aware of the new tax regulation before it was effected against them," Mr Darboe said.

However, truck drivers stuck at the border are being charged GMD 80/bag (US$1.61), according to local news service Foroyaa.

Cement prices are quickly rising. Hamidou Jah, a manager at the Jah Cement Factory said they are selling wholesale for GMDD245 (US$4.9) and GMD255 for retailers. Meanwhile information from Salam Cement factory indicated that they sell for GMD260 as wholesale price.

Published under Cement News