TANZANIA: TANGLED UP IN DUTIES

摘要

The Tanzanian government's decision to increase levies on dry hair imports including wigs,hairpieces and extensions-widely popular in the country-has been met with real concern and some anger by the east African beauty industry.Tanzania has amended excise duty legislation so that duty on both locally-produced and imported artificial and natural hair and related products is now levied at 10%(for Tanzanian products)and 25%(for imports),respectively.The plans were announced in the Tanzanian Minister of Finance,Philip Mpango's 2019-20 budget,unveiled on 13 June 2019.Hair dealers,manufacturers and salons have warned that such heavy taxation could doom their businesses.The move is backed by conservatives who want to see women showing their natural hair only.This is sure to upset many women,who commonly wear wigs,extensions and weaves,not just in Tanzania but across east Africa.Traders and manufacturers in neighbouring countries such as Kenya are also concerned.”Over 70% of the artificial hair sold or used in the region is sourced from Tanzanian manufacturers or importers,so this duty will have an impact across east Africa,”said Heril Bangera,CEO of the Flame Tree Group,a Nairobi Securities Exchange-listed manufacturer that sells products across the east African region.