18/09/2024
https://www.linkedin.com/posts/conservezim-conservezim-402997277_zimbabwe-apologises-for-taxing-meat-and-fish-activity-7242267039933861888-7vD8?utm_source=share&utm_medium=member_desktop
Zimbabwe Apologizes for Taxing Meat and Fish Products
By John Cassim
Harare, Zimbabwe – The Zimbabwean government has apologised for introducing a 15% Value-Added Tax on meat and fish products earlier this year. The move resulted in significant viability challenges for the fish production sector, amid stiff competition from neighboring Zambia.
Professor Obert Jiri, the Permanent Secretary in the Ministry of Lands, Agriculture, Fisheries, Water, and Rural Development, apologised to fish production stakeholders during the inaugural fisheries and aquaculture value chain indaba held in the capital this Wednesday.
“We want our fish to be as affordable as any staple we eat. So, yes, those who raised concerns when the Finance Bill was introduced, thank you very much. We have addressed that now. With the removal of VAT on meat and other fish products, we should see a change. Some of us are not fisheries experts and may confuse matemba (kapenta) with bream and so on. Please forgive us, but we always listen to you,” Professor Jiri said in his address.
Professor Jiri made these remarks following an announcement by his subordinate that the government has issued a waiver of VAT on live animals and is now awaiting the Government Gazette that will also deal with the removal of VAT on fish.
Professor Jiri added, “We know our stakeholders in the fisheries sector are complaining, and we apologize for the delay.
However, if you look closely, you will see that we had the SADC summit recently. Parliament adjourned, preventing the Fisheries Bill from being debated. Now that parliament is in session, we should see the Bill debated to finality. So, the removal of VAT on meat and fish products will be done soon.”
Currently, Zimbabwe requires 60,000 metric tons of fish per annum, while its production capacity is only 15,000 metric tons. To bridge this gap, a fisheries and agricultural development plan has been developed to guide the sector's transformation, focusing on the smallholder fisheries sector. This is being done through the Agricultural Food Systems and Growth Transformation Strategy, which is supposed to run from 2023 to 2025.
Meanwhile, stakeholders bemoaned the delays in removing the VAT on meat and fish products, saying this has made fish unaffordable for ordinary citizens. As a result, fish consumption in Zimbabwe has decreased to 2kg per capita, compared to 9kg in Africa and 12kg per capita globally.
Fish farmers, through the Chairman of the Zimbabwe Fish Producers Association, Garikai Munatsirei, said the sector is facing serious challenges and cannot compete with their Zambian counterparts.
“The main reason why our colleagues in Zambia are producing fish at US$2.10 is because their government scrapped all duties and taxes on aquaculture equipment. They deregulated the fishing market and attracted some of the best fish feed producers. Meanwhile, the regulatory costs are numerous and restrictive in Zimbabwe, especially for wild fish farmers. This needs to be addressed as soon as possible,” Garikai Munatsirei said.
According to the ZFPA leader, the impediments include high fees charged by government agencies regulating the sector, such as ZimParks.
Zimbabwe is experiencing high license fees, the absence of a law governing the production of quality seed (fingerlings), market development challenges, poor monitoring against illegal fishing and the sale of illegal fish.
Fish feed was said to be complicated to make, and each type of feed depends on the fish species. At one point, Lake Harvest attempted to produce its own feed but resorted to the initial route due to its complexity.
For advertisements contact:
Mobile: 0772920301, 0719920301
Email: [email protected], [email protected]
https://whatsapp.com/channel/0029Vab1cBV9Bb65m32zKg13
