Ethiopia to impose 150% tax on crust import
A 150% tax will be imposed on exports of semi-finished leather from Ethiopia from December 2011 onwards, according to the country’s Ministry of Finance and Economic Development (MoFED). The move is expected to encourage the export of finished leather and leathergoods.
The new tax was announced in a joint statement by the MoFED and the Leather Industry Development Institute.
Solomon Getu, president of the Ethiopian Leather Industries Association, said that the Ethiopian leather industry had developed the capacity to export finished leather products as of 2010.
The groundwork has been laid to halt exports of raw hides as of December, according to Ahmed Nuru, a representative of the Minister of Trade speaking at a forum discussing the national leather sector in November.
