The recent enforcement of increased import duties has led to a significant surge in container clearance costs at the Sierra Leone Ports Authority, with fees escalating from approximately SLe 150 million–170 million to SLe 240 million–270 million, according to industry insiders.
This development has raised concerns among importers, clearing agents, and logistics companies about potential business closures, job losses, and rising consumer prices.
The Finance Act 2024, signed into law by President Julius Maada Bio, introduced various fiscal measures aimed at boosting government revenue, including a 5% import duty on rice starting in 2024, set to increase to 10% in 2025, as well as a 20% tax on cement and a 10% tax on iron rods.
Mohamed Sesay, Deputy Manager of Samosa Clearing and Forwarding Company, highlighted the challenges faced by business owners in clearing goods under the new tariff regime.
He noted that clients who previously paid in full are now opting for installment payments, causing delays and additional strain on operations.
Sesay warned that without a review of the tax increase, many businesses might shut down, leading to layoffs in clearing and forwarding companies.
The business community is urging the Ministry of Finance, Port Management, and the Importers Association to reconsider the duty tax increase. Suggestions include reducing the hike to more manageable levels, such as 20%, 30%, or 40%, to allow businesses to survive while still generating revenue for the government.
As the situation unfolds, stakeholders are keenly awaiting the authorities’ response to these growing concerns.
