Online Reporter
Edgar Vhera
Specialist Writer – Agribusiness
COTTON to clothing value chain stakeholders have called on the Government to temporarily shelve the proposed increase in the customs duty on selected polyester staple fibres with dyed woven fabrics of cotton until the completion of the ongoing study on the state of the industry.
The Competition and Tariff Commission (CTC) and National Competitiveness Commission (NCC), at the instigation of the Ministry of Industry and Commerce, are conducting a study to gain a better understanding of capacities across the whole value chain and problems limiting linkages between the stages of the value chain.
The Government has increased by 300 percent the customs duty on selected imported polyester staple fibres with dyed woven fabrics of cotton to support local production and strengthen the cotton-to-clothing value chain.
Finance, Economic Development and Investment Promotion Minister, Professor Mthuli Ncube, disclosed this when presenting the 2026 National Budget in Harare last Thursday.
“In support of local production, I propose to review and align the customs duty rate on selected polyester staple fibres with dyed woven fabrics of cotton from the current rate of 10 percent to 40 percent (300 percent) plus US$2,50 per kilogramme.
“I, further propose to review materials benefitting from the Clothing Manufacturers Rebate to exclude the above-mentioned fabrics, subject to quality and competitive pricing from local manufacturers. These measures take effect from January 1, 2026.”
Zimbabwe Clothing Manufacturers Association (ZCMA) chairman, Mr Jeremy Youmans, said it was too early to effect these measures as the study results are yet to be released.
“We request that the Ministry of Industry make the Ministry of Finance aware of the ongoing study being done by CTC and NCC.
“We believe only after the final study recommendation and full value chain stakeholder agreement can proper support measures be crafted,” he said.
