The severe cuts in customs tariffs decreed last week by the new government have a double objective: On one hand it will help revive growth through the stimulation of consumption, and on the other hand, it will prepare Lebanon’s entry to the WTO by bringing closer the country’s norms to those imposed by the latter.
These reductions affect the most part of imported products with the exception of cars, tobacco, cement and fuel products, which assure the bulk of the customs receipts to the state.
Nevertheless, raw materials and semi-finished products with an industrial use that are not produced in Lebanon are exempt, as well as multimedia supports, software packages and information technology.
In general, the rate of 105 percent inflicted on certain mass-market products has been reduced to 70 percent.
The cutback was also pertaining to all alcoholic beverages (from 105 percent to 15 percent), cosmetics and detergents, clothing (from 35 percent to 15 percent), household appliances (less than 5 percent) and furniture (from 40 percent to 30 percent).
The government requested from all merchants to reflect the cutbacks in their prices or else it will reverse its decision. ― ( Banque Libano-Française Sal )
