High tariffs in Iran, Pakistan discourage Afghan iron producers
- Iron producers in Afghanistan have complained of exorbitant tariff rates they face when exporting their goods to neighbouring Iran and Pakistan.
They argued that the tariffs should be reconsidered as Afghanistan’s steel mills grow and the country’s beleaguered economy seeks to industrialise.
According to a number of steel mill owners, up to 90 percent tariffs are imposed on all iron products exported to Iran and Pakistan, while Afghanistan only imposes a 10 percent tariff on iron imported from abroad.
The disparity in duties has made it impossible to compete with foreign companies, the Afghan iron producers maintain.
The Afghan Chamber of Commerce and Industries (ACCI) has voiced support for the iron producers, echoing calls for the tariffs to be lowered for Afghan products being exported abroad.
“Afghanistan’s production is improving, steel mills are active and are working, so neighbouring countries must reconsider their Custom tariffs,” said Mir Zaman Popal, the Chairmen of Industrial and Export Development at ACCI.
Economic experts have agreed that ramping-up Afghanistan’s exports is essential to developing the nation’s economy as the levels of foreign aid continue to decline in confluence with the NATO coalition’s withdraw, says a report by ToloNews.
Yet officials at the Ministry of Finance (MoF) have responded to the concerns of the iron producers with mild resignation.
“When traders export iron products to Iran and Pakistan, these countries create problems for Afghan traders, as they only want to sell their own products in the markets,” MoF spokesman Abdul Qader Jeelani said.
He highlighted that no fees are imposed on domestic products in Afghan customs offices.
Publish date : Monday 26 January 2015 18:26
Story Code: 20271