Finance minister Patrick Chinamasa in his 2018 National Budget statement announced that the government to begin effect tax measures starting from January1 aimed at protecting local textile industries.

He said that it is proposed to increase customs duty on imported cotton fabric from 10% to 30% plus $2,50 per kilogramme, with effect from January 1, 2018.

Notwithstanding support measures availed by government to the textile manufacturing industry, the sector continues to face competition due to the influx of dumped cheap imported fabrics.

The problem had been compounded by limited administrative capacity to identify the various types of fabrics, resulting in importers using the capacity gap at borders to declare imported products under tariff codes which attract lower rates of duty.

The Finance minister said that in 2018 his ministry will introduce a fabric specification declaration form that will be used in the verification of fabrics, to combat the false declarations.

The Zimbabwe Revenue Authority will collaborate with the textile industry to capacitate their officers to verify the fabrics.