Re-deliberating on the Customs Duty (Amendment) Bill 2021, the National Assembly supported the National Council’s recommendation to retain the Customs Duty on import of betel nuts at 50 per cent and to reduce the Customs Duty on electric fence energizers at zero per cent. The NA passed the Customs Duty Amendment Bill 2021 through a majority show of hands today.
“We proposed for a flat 10 per cent Customs Duty during the discussion. But the National Council recommended it to keep at the existing rate of 50 per cent. I support their recommendation because we don’t import betel nuts from third countries. When we draw a ratio between the producers and consumers in our country, we have enough producers of betel nuts. And I also support the NC’s recommendation of zero taxation on electric fence energisers,” said Namgay Tshering, the Finance Minister.
“There is a lot of human-wildlife conflict in the country. One of the main things that are giving rise to the issue is the lack of electric fencing. But not everyone can afford it because the cost of the energiser is very expensive. That is why I support this recommendation of the National Council,” added Gyem Dorji, Draagteng-Langthil’s MP.
“I think this will not affect the local firms. We will have the opportunity to copy from other products that are of good quality. We will also get to learn how to enhance quality from their products,” said Yeshey Penjor, the Agriculture Minister.
“The reason why people say our economy and the currency is weak is because of inflation. Now, when the government is reducing the tax and amending the bill, people can buy things with the limited resources that they have,” said Ugyen Tshering, Lamgong-Wangchang’s MP.
The standard tariff rate of 10 per cent is expected to create an open economy with diversified products, giving people a comparative cost advantage and choice.
Meanwhile, the National Assembly stood by its proposal to defer the Goods and Services Tax 2021 to July 2022 and adopted the Amendment Bill. Both the bills will now be forwarded for Royal Assent.
Tshering Dendup
