The Ministry of Finance (MoF) approved the imports of agricultural mechanization, irrigation and animal feed technologies, and equipment to be tax-free. The Ethiopian Agricultural Transformation Agency (ATA) in close collaboration with the Ministry of Agriculture (MoA) initiated the tax reform policy by conducting a cost-benefit analysis and identified and listed the equipment to be imported tax-free.
Based on the study recommendation by ATA, the Agricultural Transformation Council provided direction to facilitate farmers’ access to agricultural technologies which will ensure food security at the household level and national nutrition development, the MoA formally submitted the tax wavering request in December 2018.
This tax reform is aimed at enhancing the agriculture sector by removing duty and taxes on imports of farming machinery, irrigation and drainage equipment as well as animal feed ingredients and technologies; providing incentives to invest in the importation and local production of these technologies.
The MoF wrote the letter of approval to the Customs Commission with a list of technologies and equipment to be imported tax-free.
For further info see details in the Ministry’s letter @: http://www.ata.gov.et/wp-content/uploads/2019/05/Duty-Free-Irrigation-Mechanization-and-Animal-feed-5.07.2019.pdf