Mozambique Exempts Sugar, Oils, Soaps from VAT to Ease Cost of Living

• Mozambique’s government approved a VAT exemption on sugar, edible oils, and soaps until the end of 2025.
• The exemption also applies to raw materials and machinery in these sectors.
• The government aims to ease the cost of living.
• The decision involves relieving factors of production and allowing entrepreneurs to introduce or reintroduce products with ease.
• The government expects prices to be maintained and no speculation to occur.
• The proposed law extends the VAT exemption period until December 25, 2025.
• The exemption applies to the transfer of sugar, edible oils, and soaps, raw materials, intermediate products, parts, equipment, and components made by the national sugar industry.
• Mozambique’s main business association supports the president’s decision to reduce the cost of living.
• The association believes the decision will contribute to social peace in the country.
• The association estimated that the cost of the basic food basket had risen by around eleven percent in November.

Source: clubofmozambique.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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