Duty Reduction

Our established track record with duty removal applications has assisted many importers to eliminate import duty costs on raw materials and components.

Duty reductions or removals are typically successful if there is no local manufacturer of the product concerned.  If there is a local manufacturer who does not manufacture the full product range or if the product is produced in insufficient quantities, a temporary or industrial rebate provision is created.

Duty removal process

The International Trade Administration Commission (ITAC), receives and investigates duty increase applications. Specific regulations prescribe the manner in which ITAC conducts investigations.

Application and verification

A well prepared, motivated, and a complete application is the most important part of the process. The key information included in the application is financial, labour, and market information. ITAC conducts a verification exercise to check the accuracy of the information provided in the application against the company records.

Comments and oral hearings

Thereafter, ITAC will send out a non-confidential version of the application to interested parties soliciting preliminary comments. When this phase is complete, a decision to initiate an investigation is taken. The details of the investigation are published in the Government Gazette. Interested parties can submit comments regarding the requested duty removal. After that, all interested parties have an opportunity to apply for an oral hearing to present arguments verbally.

Final decision

ITAC makes a recommendation to the Minister of Trade, Industry, and Competition (DTIC) after considering all facts and information at its disposal. The duty removal process takes 6 – 12 months.

With significant expertise in this area, let our expert consultants help you with a duty removal application and guide you throughout the process.

  • Customs duty increase on frozen vegetables rejected

    The Minister of Trade Industry and Competition rejected ITAC’s recommendation for a duty increase on frozen vegetables classified under tariff subheading 0710.90. This means the 10% duty in place will remain as is. The Minister’s reasons for rejecting the Commission’s recommendations centered around the impact of the duty increase on pricing. Indeed, the duty increase

    July 4, 2023
  • Duty increase investigation on sulphates, alums, peroxosulphates of copper

    The International Trade Administration Commission (ITAC) initiated a duty increase investigation on sulphates, alums, peroxosulphates of copper. The products under investigation fall under tariff subheading 2833.25 and are currently duty-free. The applicant, Kimleigh Chemicals SA (Pty) Ltd is requesting a 10% duty. Motivating for the duty increase, the applicant indicated that local producers do not

    July 23, 2021
  • Wheat and wheaten flour import duties increase

    The import duties on wheat and wheaten flour have increased today (14 May 2020) from free of duty to 19,17c/kg and 28,76c/kg respectively, in terms of the existing variable tariff formula. The duty had been on a downward trend since the beginning of the year until the duty was eliminated on 10 March. What causes

    May 14, 2021
  • Creation of temporary rebate provision of customs duties and safeguard duties on flat steel products

    On 16 March, the International Trade Administration Commission (ITAC) initiated a rebate investigation on safeguard duties and ordinary Customs duties covering various flat-rolled products. The investigation has initiated following a policy directive from the Trade, Industry, and Competition Minister to investigate the possibility of creating the rebate. A rebate provides an exemption of duty payment. In

    March 17, 2021