The plan to impose new taxes on goods imported into the nation that can be made locally has been accepted by the cabinet.
The government will implement a tax of USD 250 per ton on Steel according to the Trade and Industry CS Moses Kuria.
“We are going to put new taxes on products that are going to be imported into the country that we can produce. This is what is killing our manufacturing sector in the country. Cabinet has approved these levies to be subjected to these products. We will start with steel and wires rods,” the CS stated.
The government will also tax furniture, paper, and pharmaceuticals as the importation of these goods has reduced the contribution of the manufacturing sector from 9% to 7%.
“When we see people being unemployed, unemployment being high, it is not witchcraft, it is because we stopped producing and have frustrated manufacturing. Our manufacturing has shrug from 9% to 7% GDP. It is my objective that I have been given by the president that by 2027 I must raise that to 15% and go to 20% by the year 2030. ,” Kuria said.
The East Africa Community countries however will be exempted from the taxes.
