Tiraspol, 16 February. /Novosti Pridnestrovya/. The import duty on cigars, cigarillos and cigarettes can be reduced from €3 to €0.6 per 1.000 pcs. The corresponding draft decree has been considered by the government today.
According to the minister of economic development, Sergey Obolonik, the volume of imports directly depends on the level of collected customs duties. Thus, a reduction in import duty will increase tobacco imports, and as a consequence, the republican budget will receive more revenues from the payment of import duty.
«The introduction of high import duty significantly reduces the economic feasibility of importation; thus, we protect the domestic market. So, with the import duty on cigars, cigarillos and cigarettes amounting to 20%, but no less than €0.5 per 1,000 pcs, which was applied in 2012, the volume of import was 8,100 tonnes in physical terms. And in 2016, the volume of import was 1,600 tonnes with a duty rate of €3 per 1,000 pcs. It is obvious that this decrease in turnover, the budget revenues became even lower than before," explained Obolonik.
The government has approved this draft decree.
