DUSHANBE, December 22, 2009, Asia-Plus — A roundtable meeting formally titled “Exemption of Import of Agricultural Production Means from VAT as One of Efficient Mechanisms to Strengthen and Develop Agrarian Sector of Tajikistan” took place in Dushanbe today..
Organized by the Agribusiness Association of Tajikistan under technical support of the USAID Business Environment Improvement (BEI) Project, ACTED and CECI, the meeting brought together representatives from the ministries of agriculture, economic development and trade and finance, tax committee, custom services, as well as the Association of Dehqon (peasant) Farms, heads of business structures and international organizations active in the country.
Speaking at the meeting, the Deputy Minister of Agriculture, Shukrullo Rahimnazarov, noted that agricultural was one of the key sectors of Tajikistan’s economy. However, there are restrictions that impede development of the agrarian sector, he said.
“Shortage of mineral fertilizers and pesticides affect the volume of quality of farm produce and have impact on the farm produce prices,” said Rahimnazarov, “Many problem face domestic and foreign companies that are engaged in delivery of the agricultural production means (mineral fertilizers, pesticides, seeds) to Tajikistan. One of such problems is an 18-percent value added tax (VAT) and high customs duties for imported agricultural production means that leads to increase in prices of agricultural goods in the country.” Besides, this forces farmers to use low-quality fertilizer, pesticides and seeds, according to him.
Rahimnazarov noted that exemption of the agricultural production means imports from VAT would promote development of the agrarian sector.
We will recall that similar roundtable meeting was held in Khujand, the capital of the Sughd province on December 16.
