- October 25, 2021
- Posted by: Taapano Paradza
- Category: Temporary rebates
On 22 October 2020, the International Trade Administration Commission (ITAC) initiated a temporary rebate investigation on bulk white chocolate. Bulk white chocolate is value added to produce retail-ready chocolate products. A temporary rebate is used when local supply is not available or is available but in insufficient quantities.
The applicant, Bayers Chocolates cc indicated that the available local manufacturers do not manufacture for reselling. Furthermore, Bayers Chocolates indicated that the rebate will assist in reducing the import costs of this vital raw material. A Customs duty of 37% is levied on the product when imported. However, bulk white chocolate imported from the EU is subject to a 25% duty.
Furthermore, the Bayers Chocolates raised concerns about imports from the EU which enter the SACU market duty-free, while local manufacturers are subjected to the above-mentioned duty.
Over the years the chocolate industry has unsuccessfully tried to apply for protection against EU imports. The domestic industry remains unprotected from competitively priced final chocolate products imported from the EU.
Interested parties can provide comments on the matter until 19 November 2021.