Traders in Kampala under their umbrella KACITA are planning massive protests against Uganda Revenue Authority’s new policies which derail business.
The authority has instructed all importers to clear taxes in Mombasa before their good enter Uganda something which traders perceive poorly orchestrated idea aiming at “killing business.”
“In accordance with Regulation 64(k) of the East African Community Customs Management Regulations, 2010, the Commissioner Customs Department, Uganda Revenue Authority hereby informs the General Public that effective 01st June, 2023, the following goods below shall not be eligible for the Customs Warehousing Regime,” URA issued the notice at the beginning of June.
The products affected include; Wheat Flour & Wheat grain, Mobile devices & phones, Tiles, Marble & Granite of all kinds, Lubricants, Automotive Batteries, Toiletries and Cosmetic products, Pasta and Spaghetti and Flavours for soft drinks.
“The above items are an addendum to the following items that are already restricted for warehousing; sugar, milled and broken rice, motor cycle/vehicle tyres and tubes, dentifrices, and used motor vehicles of 13 years and above from the year of manufacture.” The notice adds.
“Customs clearance for the above goods SHALL be facilitated under the Single Customs Territory (SCT) arrangement where taxes shall be paid upon arrival at the first Port of entry into the East African Community.”
However, traders in Kampala say this policy is hard be implemented considering that the economy is bleeding.
“When you import something you keep looking for money so that by the time the goods reach Kampala you have at least got the money to pay taxes. But now URA wants us to pay from Mombasa,” said a trader said a popular businessman in town whose 10 containers remain holed up in Kenya.
“We had previously been dealing with this method of clearing taxes but Rujoki and his team have since failed to understand that most businesses were terribly hit by Covid. We are just recovering. Instead of introducing measures that favour the business environment, they are instead becoming more harsh. And we are saying enough is enough,” the frustrated business mogul added.
A number of other traders this website interviewed have no kind words for the Rujoki Administration.
Abel Kagumire, the Commissioner Customs did not answer our numerous calls when contacted to substantiate on this issue.