Monday, April 16, 2012

Economists: tariff indirect taxes borne by the ordinary citizen

Monday 16/04/2012

Baghdad (news) / report / Faleh Hussein / .. The decision to apply tariffs on imported goods to Iraq, a sensation among economists.
Some expressed concern that the prices of materials, goods and higher rates of inflation, while others believe it is necessary to protect national products and prices will return gradually to the origin after a period of application.
Agency (news) surveyed the views of economists to find out the possible outcomes when applying the Tariff Act in (30) of the month of June.
Where A member of the Committee of Economy and Investment MP / National Alliance / Abdul-Abbas Xiaa: The tariff will protect the economy and save the local markets that have become dumping ground for shoddy goods and non-conforming to international standards.
He added that the local product is unable to compete with the imported cost in terms of productivity, the absence of a tariff, noting that prices will rise at the beginning of something as simple implementation, but these gains will fade over time.
The deputy proposed broadly: the distribution of funds accruing from the customs tariff on the social protection network and those with low salaries of retirees and employees, to create a balance between increases in prices and purchasing power of the citizen to avoid inflation, economist in the country, noting that the rate of customs imposed on goods ranging from (5% ) to (30%), this indicates that the funds derived from the tariff would be great.
The head assembly while the Iraqi industrial Abdul Hassan Shammari the need for the application of the Tariff Act as a flourishing agricultural and industrial sectors.
He explained: that the fashions that refuses to implement this law, "incorrect", because the rates of tariff, varying on imported goods, so that the material is necessary to cause harm to the citizen will determine their rates of high tariff, Chalskaúr This is good and advocated by the Ministry of Health, as it will reduce the purchase of and the reduction of smoking and the harms to society.
The Shammari (of the Agency news): The application of this law will support the national economy, which provides security for the people through the absorption coefficient of unemployment after the operation of industrial and agricultural.
There is a high probability of price increases in local markets when the application of the Tariff Act, which may damage the simple citizen.
In this regard, said a member of the Economic Commission deputy / coalition in Iraq / Nahida Daini: The merchant began to store food, industrial and consumer goods to be raised through the application of the law, which will increase their prices, stressing the importance of the formation of an Oversight Committee not to make way the Council for these to exploit the conditions at the expense of ordinary citizens .
The Daini (the Agency news) to: the importance of applying the Tariff Act that the country needs to protect his product to local and national levels.
And economic sectors suffering from the deterioration of Iraqi infrastructure as a result of exceptional circumstances that have passed on the country such as wars and terrorist attacks.
Implementation of the law and can not be customs tariff on goods imported without the presence of a local national product.
He said economic analyst Abdul Latif Salem Ugaili (of the Agency news): A comprehensive economic plan to activate a solid summarized Kalzeraih key economic sectors and industrial insurance and the local product.
He pointed to: that the purpose of the application of the Tariff Act is to support the national product, if there was not a local product, what the purpose of activating the law?, So you must ensure food and goods so as not to increase prices.
For his part, criticized the economic expert Majid picture Ministry of Finance's decision to impose tariffs on imported goods, they will increase their prices, which serve as indirect taxes borne by the simple Iraqi citizen.
He said the picture (of the Agency news): The time is not appropriate for the application of the Tariff Act on imported goods as will serve the merchant and the detriment of citizens simple through the increase in commodity prices, and this will lead to economic problems in the country through high rates of inflation due to the weak purchasing power of citizens and increase the price of articles in the Iraqi market.
He added that the support of the local product and protect it come through the means of many other Koafah of taxes and facilitate the importation of raw materials and the provision of infrastructure such as electricity, transport and communications, noting that the revenue will come from customs duties in one year up to (420) billion dinars, or approximately ( 150) million.
The Ministry of Finance has identified the first of June next date for the direct tariff for all goods entering Iraq to support the production, industry, local agriculture and reduce flood the market with shoddy goods.
The law provides for the imposition of customs duties on imported goods, not included in the table of tariff duties, by no more than 20% of its value, to be exempt samples and models that are not of commercial value, customs duties, and took into account the law in the application of its provisions, the facilities granted under the Investment Law No. 13 of 2006, as amended, on goods imported for investment projects exclusively, and comes with a view to attract the greatest possible investment companies and businessmen to work in Iraq. / Finished / 8. d. Q /

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