To protect the domestic product .. Iraq refuses to grant Jordan customs exemptions on its goods

To protect the domestic product .. Iraq refuses to grant Jordan customs exemptions on its goods

economy Since 2017-03-27 at 16:45 (Baghdad time)

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A member of the Iraqi-Jordanian joint committee, Ali al-Saadi, denied that Iraq exempted Jordanian goods from the customs tax, stressing that the Iraqi side rejected a Jordanian request in this regard to protect the local product and to avoid possible corruption.
The twenty-seventh session of the Joint Jordanian-Jordanian Committee was held in Baghdad on 19 and 20 of the current month. The two parties agreed to grant Jordanian companies the approvals for processing the foodstuffs imported by the Iraqi Ministry of Commerce within the ration card, Issuing the results of the analysis of Jordanian medicines by laboratories of the Iraqi Ministry of Health, activating the work of the Iraqi Jordanian Company for Industry and accelerating the procedures for direct implementation of the oil and gas line connecting to the port of Aqaba.
"Jordan has asked Iraq in the talks to exempt Jordanian goods from customs duties, but the Iraqi side refused to do so," Saadi said, adding that "the exemption of Jordanian goods from customs tax will destroy the Iraqi national industry and will be exploited by corrupt people through The import of Chinese goods and paste a tape showing it is a Jordanian industry, and then be introduced into Iraq, "as he put it.
He added that 'Iraqi officials assured the Jordanians, that the country is committed to apply the protection of local product and activate the role of national industry', noting that 'the issue of the port of Trebil border between the two countries was discussed.
In the same context, the spokesman for the Ministry of Industry and Minerals Abdul-Razzaq Abdul Wahid said that "the recent Iraqi-Jordanian negotiations that took place in Baghdad, resulted from several agreements on industry and trade and land and air transport," stressing that "the Jordanian side was interested in the need to open the port of Trebil border and promised Iraq to open it coming soon" .
He stressed that "Jordan raised the issue of exempting its goods from the customs tax, but Iraqi officials rejected this, because it will open doors to other countries demanding the exemption of their goods," noting that "Iraq asked Jordan to know the production capacity of its plants in order to agree on a mechanism through a decision Issued by senior Iraqi officials, "noting that" Iraq called on Jordan, the need to invest through investment opportunities, which currently amounts to 125 opportunities. "
He pointed out that "Iraq agreed with Jordan, the need to exchange experiences between the two countries in the issues that develop industry and domestic product." Iraq decided last April to impose a 30 percent tax on Jordanian goods. Jordan has also been severely affected after the closure of the border port of Trebil between the two countries.
For his part, said a member of the Jordanian delegation Fathi al-Jaghbir, "We have submitted to Iraq lists of goods to exempt them from customs duties, and Baghdad requested us to provide them with the production capacity of Jordanian factories that want to export their products to Iraq to be studied and exempt from fees."
"The chambers of industry will supply Iraq with the production capacity of the Jordanian factories by the beginning of next May, likely to obtain a final approval from Iraq to receive Jordanian goods exempt from customs duties after a month of receipt of the list of production capacity of Jordanian factories, which means that export to Iraq exempted goods Of tariffs will begin in June. "
"The Iraqi authorities are seeking every effort to open the crossing as soon as possible, and they put forward a tender to secure the road from the Trebil crossing to Baghdad, which was submitted by two foreign companies. It is likely that the flow of goods between the two sides will begin by June, the need for some roads and bridges to maintain , In addition to securing the road and ensuring the safety of passengers and goods.
"The Jordanian-Jordanian agreement on the Jordanian goods tax is part of the regulation of the Tariff Law and the prevention of duplication with the Arab Convention on goods of Arab origin subject to customs exemption," said Mitham Laibi, a professor of economics at Mustansiriya University. Cause a problem with the Tariff Act under which those goods are subject to tariff. '
"The Iraqi side has to form a good team of real representatives from the private sector concerned, not just a government team, and not to be dragged into such lists and tax free," he said.
He pointed out that "Iraq will continue to need to work diligently in the area of ​​customs tariffs, and subject them to the philosophy of the state to build a competitive base that strengthens domestic production and promote non-oil exports."


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