Mozambique: Imported cement exempt from tax for two years in Mozambique

26 December 2008

Maputo, Mozambique, 26 Dec – The government of Mozambique has announced the suspension for a two year period of the 10.5 percent tax on imported cement with the aim of stabilising consumer prices, officials said.

Government spokesman Luís Covane said that suspending the tax, which was first applied in 1997, had been decided at a government meeting this week in Maputo.

A 50 kilogram bag of cement is sold in Mozambique for between US$12 and US$20.

The Mozambican cement industry supplies just 80 percent of the needs of the South of the country, 80 percent in the centre and 60 percent in the north.

A lack of cement means that consumers are forced to import cement from neighbouring countries at prices that are considered prohibitive. (macauhub)