Speaking during the official opening of the five-day Tanzanian Industries exhibition in Dar es Salaam last Thursday, Industry, Trade and Investments minister Charles Mwijage, said unscrupulous importers were evading taxes.
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Speaking during the official opening of the five-day Tanzanian Industries exhibition in Dar es Salaam last Thursday, Industry, Trade and Investments minister Charles Mwijage, said unscrupulous importers were evading taxes.
Dar es Salaam. The government has incurred losses in revenue of at least Sh317 billion this year driven by undervaluation of imports, it has been revealed.
Speaking during the official opening of the five-day Tanzanian Industries exhibition in Dar es Salaam last Thursday, Industry, Trade and Investments minister Charles Mwijage, said unscrupulous importers were evading taxes.
The minister said the malpractice has a negative impact on local businesses and creates unfair competition as imported goods were being sold at cheaper prices.
“Up to October this year, we lost at least Sh317 billion due to importers who were undervaluing goods. This is a lot of money and it is high time we concentrated on setting up industries to avoid imports,” he said.
He added: “This would be possible if industrial stakeholders joined hands and established modern industries that produce high quality goods.”
He said for products to meet minimum international standards, high capital investment was required.
Mr Mwijage believes that it was possible for Tanzanians to be self sufficient and called on traders to register their businesses to enjoy the economies of scale like technology and capital which other players are already taking advantage of.
“Even though it would take time, I am looking forward to seeing local producers showcase their products in similar exhibitions with each showing the number of jobs generated directly and indirectly, annual revenue and the taxes paid,” he said.
The ministry’s permanent secretary, Prof Adolf Mkenda, said exhibitions link producers to suppliers of raw materials as well as buyers.
He noted that exhibitions link businesses to international markets.
Confederation of Tanzania Industries (CTI) executive director Leodgar Tenga called for an improvement of business environment if Tanzania expects to attract and retain more investors.
The confederation’s cry has for a long time been among the others, tax multiplicity, electricity supply and infrastructural challenges.
