Latest news with #dutyfree
Reuters
3 days ago
- Business
- Reuters
India extends duty-free yellow pea imports to March 2026
MUMBAI, May 30 (Reuters) - India has extended permission for duty-free imports of yellow peas until March 31, 2026, according to a government order issued late on Friday. The South Asian nation is the world's biggest importer of yellow peas, which it imports mainly from Canada and Russia.
NHK
4 days ago
- Business
- NHK
LDP lawmakers to propose abolishing tax-free shopping for overseas visitors
A group of lawmakers from Japan's ruling Liberal Democratic Party says it has come up with a proposal that includes abolishing, in principle, the tax-free shopping system for foreign visitors. Under the current system, eligible foreign tourists can purchase items at duty-free shops in Japan without paying consumption tax. But it is pointed out that there have been many cases where visitors are buying a large amount of duty-free items and reselling them to gain illegal profits. An LDP study group initiated by Supreme advisor Aso Taro basically approved the draft plan on Thursday calling for the abolition of the tax exemption system. The draft is raising doubts about whether the government can gain the public's understanding for supporting sales of luxury brand items to foreign tourists through the tax system. But the group also notes that regional development needs to be supported. It calls for preferential measures for duty-free shops at regional airports and ports that sell specialty products such as sake to overseas visitors who have completed their departure procedures. The group says it will submit its proposal to the LDP's Research Commission on the Tax System for discussions on tax reform in fiscal 2026.
Associated Press
22-05-2025
- Business
- Associated Press
Kenyans worry a US duty-free trade deal might end and expose them to Trump's tariffs
NAIROBI, Kenya (AP) — It's crunch time for the maker of Levi's and Wrangler jeans in Kenya's capital, Nairobi. Hundreds of sewing machines whir in a crowded, air-conditioned factory. On another floor, workers pack clothes destined for the U.S. market. The fate of about 16,000 workers in the factory at the United Aryan export processing zone hangs in the balance. In September, a duty-free trade agreement between Kenya and the United States could expire under the African Growth and Opportunity Act, or AGOA. The factory's founder, Pankaj Bedi, said manufacturers would be unable to compete well in the U.S. market if the AGOA agreement is not renewed, due to the difficult business environment in sub-Saharan Africa. Without AGOA — meant to benefit African nations that meet certain U.S. expectations in areas including governance and human rights — many Kenyan goods would no longer have duty-free access to the U.S. market. And they would be exposed to the uncertainty of the Trump administration's global tariff campaign. It's a concern across the continent. South African President Cyril Ramaphosa, speaking to journalists after his Oval Office meeting with President Donald Trump, noted that AGOA is 'going to be further discussed ... it is top of mind for them as well' in the U.S. administration. Bedi said his business has benefited from 25 years of the AGOA agreement but will not survive if the deal is not extended again. 'This time around, we are hoping that President Trump will pass it for a longer period, then a long-term strategy can come in play,' he said. The longest extension has been for a decade. In making his pitch, Bedi said he believes that Africa offers the perfect alternative sourcing to Asia with its large and youthful workforce. Seventy percent of people in sub-Saharan Africa are under 30, according to the United Nations. 'I think the real shift of supply chain will happen, and Africa is the last frontier. We cannot go to the moon and start manufacturing there,' Bedi said. Kenya's government would not comment on the deal or why it might be under threat. Economist Wangari Muikia said the new U.S. tariffs reflect a shift towards reviving American manufacturing, 'consistent with Trump's priority to re-shore jobs,' but warned that ending AGOA may 'strain diplomatic ties and weaken American soft power.' African governments have promoted AGOA as a major job creation avenue. In Kenya, AGOA has led to the creation of 66,000 jobs since the program began in 2000, according to government statistics published in 2024. Kenya's overall unemployment rate is 12.7%, but the rate among those under 35 is 67% — part of a wider issue for much of Africa's booming young population. In 2023, Kenya's total exports under AGOA including agricultural products, apparel and handicrafts were worth $510 million, according to the U.S. Department of Commerce. United Aryan said it exports an average of 8 million jeans annually from Kenya to the U.S. But some African governments and leaders have objected to AGOA's conditions. Ugandan President Yoweri Museveni criticized the program after it was used in 2023 to pressure him on his stance on homosexuality. Kenya's former ambassador to the U.N., Martin Kimani, said in an interview with The Associated Press that he believes AGOA's unpredictability has not been good for the economy. 'The real measure of a trade regime is its predictability and its integration into long-term production,' he said. 'The tariffs and the program's upcoming expiration signal that AGOA is not a stable foundation for African industrial growth.' If Kenya's AGOA deal isn't extended, the country will need to look for alternative markets like the African Continental Free Trade Area to ensure jobs are not lost and manufacturers keep exporting goods, said economist James Shikwati, founder and director of The Inter Region Economic Network. The continental free trade area has shortcomings that include underdeveloped infrastructure that makes it expensive to transport goods, mistrust that makes it hard for some countries to be fully open to trading with neighbors and a lack of strong institutions that can mediate trade disputes. Judging by the Trump administration's recent trade-related policies, every trade partner will need to reevaluate its engagement with the U.S., Shikwati added. For those whose jobs could be affected, there is concern. United Aryan employee Valdes Samora hopes to keep the sewing machines humming, and that livelihoods will not be lost after September. The 59-year-old father of nine has been working at the company for two decades. His wife also works there. Workers are paid an average of $200 per month, in a country where the minimum wage is $115. 'I never completed my education, but through this work I have been able to educate my children,' he said.
The Independent
22-05-2025
- Business
- The Independent
Kenyans worry a US duty-free trade deal might end and expose them to Trump's tariffs
It's crunch time for the maker of Levi's and Wrangler jeans in Kenya's capital, Nairobi. Hundreds of sewing machines whir in a crowded, air-conditioned factory. On another floor, workers pack clothes destined for the U.S. market. The fate of about 16,000 workers in the factory at the United Aryan export processing zone hangs in the balance. In September, a duty-free trade agreement between Kenya and the United States could expire under the African Growth and Opportunity Act, or AGOA. The factory's founder, Pankaj Bedi, said manufacturers would be unable to compete well in the U.S. market if the AGOA agreement is not renewed, due to the difficult business environment in sub-Saharan Africa. Without AGOA — meant to benefit African nations that meet certain U.S. expectations in areas including governance and human rights — many Kenyan goods would no longer have duty-free access to the U.S. market. And they would be exposed to the uncertainty of the Trump administration's global tariff campaign. It's a concern across the continent. South African President Cyril Ramaphosa, speaking to journalists after his Oval Office meeting with President Donald Trump, noted that AGOA is 'going to be further discussed ... it is top of mind for them as well' in the U.S. administration. Bedi said his business has benefited from 25 years of the AGOA agreement but will not survive if the deal is not extended again. 'This time around, we are hoping that President Trump will pass it for a longer period, then a long-term strategy can come in play," he said. The longest extension has been for a decade. In making his pitch, Bedi said he believes that Africa offers the perfect alternative sourcing to Asia with its large and youthful workforce. Seventy percent of people in sub-Saharan Africa are under 30, according to the United Nations. 'I think the real shift of supply chain will happen, and Africa is the last frontier. We cannot go to the moon and start manufacturing there," Bedi said. Kenya's government would not comment on the deal or why it might be under threat. Economist Wangari Muikia said the new U.S. tariffs reflect a shift towards reviving American manufacturing, 'consistent with Trump's priority to re-shore jobs,' but warned that ending AGOA may 'strain diplomatic ties and weaken American soft power.' African governments have promoted AGOA as a major job creation avenue. In Kenya, AGOA has led to the creation of 66,000 jobs since the program began in 2000, according to government statistics published in 2024. Kenya's overall unemployment rate is 12.7%, but the rate among those under 35 is 67% — part of a wider issue for much of Africa's booming young population. In 2023, Kenya's total exports under AGOA including agricultural products, apparel and handicrafts were worth $510 million, according to the U.S. Department of Commerce. United Aryan said it exports an average of 8 million jeans annually from Kenya to the U.S. But some African governments and leaders have objected to AGOA's conditions. Ugandan President Yoweri Museveni criticized the program after it was used in 2023 to pressure him on his stance on homosexuality. Kenya's former ambassador to the U.N., Martin Kimani, said in an interview with The Associated Press that he believes AGOA's unpredictability has not been good for the economy. 'The real measure of a trade regime is its predictability and its integration into long-term production," he said. 'The tariffs and the program's upcoming expiration signal that AGOA is not a stable foundation for African industrial growth.' If Kenya's AGOA deal isn't extended, the country will need to look for alternative markets like the African Continental Free Trade Area to ensure jobs are not lost and manufacturers keep exporting goods, said economist James Shikwati, founder and director of The Inter Region Economic Network. The continental free trade area has shortcomings that include underdeveloped infrastructure that makes it expensive to transport goods, mistrust that makes it hard for some countries to be fully open to trading with neighbors and a lack of strong institutions that can mediate trade disputes. Judging by the Trump administration's recent trade-related policies, every trade partner will need to reevaluate its engagement with the U.S., Shikwati added. For those whose jobs could be affected, there is concern. United Aryan employee Valdes Samora hopes to keep the sewing machines humming, and that livelihoods will not be lost after September. The 59-year-old father of nine has been working at the company for two decades. His wife also works there. Workers are paid an average of $200 per month, in a country where the minimum wage is $115. 'I never completed my education, but through this work I have been able to educate my children,' he said.
Bloomberg
21-05-2025
- Business
- Bloomberg
Estee Lauder, L'Oreal Suffer as China's Duty-Free Spending Falls
Unable to travel overseas during the Covid-19 pandemic, Chinese consumers sparked a shopping boom in the southernmost province of Hainan, lured by the tropical island's plethora of duty-free shopping malls. Fast forward to today and the travel-retail sector in Hainan is in a 14-month slump with little sign of a turnaround. Duty-free sales dropped 10.8% over the first four months of 2025 compared with a year earlier, according to the latest data from the local customs agency. Both the number of shoppers and products purchased declined more than 25% so far this year.
