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Ukraine's government cancels 13% import duty apart from cars and fridges

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KyivPost quoted Ms Oksana Prodan co-chairman of the government's council of entrepreneurs said Ukrainian Cabinet of Ministers has decided to cancel a 13% extra duty on the import of a number of goods, apart from on cars and refrigerators. She said "The government has decided to cancel the 13% extra import duty, apart from on cars and refrigerators." As was reported earlier, a law amending certain other Ukrainian laws to improve Ukraine's balance of payments amid the global financial crisis foresaw the introduction of a 13% temporary extra charge on some goods imported into the country. The law was applied to a number of goods imported in Ukraine, in particular, frozen beef, fresh, refrigerated, and frozen pork, meat by-products and lard, sausages, canned meat products, finished or canned fish and shellfish, caviar, wine, liqueur, vermouth and strong alcoholic drinks, and spirit.

The list also included coal, carpets, knitted fabric, clothes, linen, footwear and hats, furnaces, water heaters, pumps, ventilators and funnels, refrigerators and freezers, electrical water heaters, and household electrical goods. The law was signed by the president, published in the government Uriadovy Kurier newspaper on February 24th 2009, and was supposed to come into effect 10 days after. However, on March 5th 2009, Ukrainian Prime Minister Ms Yulia Tymoshenko announced plans to table in parliament a motion to cancel the 13% duty on some imported goods.

She said "Let us submit [this bill] to the Verkhovna Rada. It might be an unpopular decision for domestic producers, but these kinds of unequal conditions should be avoided. The exchange rate has already adjusted exports and imports, and another 13% is unnecessary.” According to her, the government had received a number of inquiries from diplomatic representatives from various countries who expressed dissatisfaction with the duty.

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