|21 July, 2019

Jordan clothing tariffs among highest in world

The Textile and Readymade Clothes Syndicate has called on the government to lower taxes on imported clothes, citing economic conditions and high tariffs

A worker arranges clothes at the Charity Clothing Bank in Amman, Jordan, July 15, 2015, ahead of Eid al-Fitr. Image for illustrative purposes.

A worker arranges clothes at the Charity Clothing Bank in Amman, Jordan, July 15, 2015, ahead of Eid al-Fitr. Image for illustrative purposes.

REUTERS/Muhammad Hamed - RTX1KDFO

AMMAN — The Textile and Readymade Clothes Syndicate has called on the government to reduce taxes and customs on children's clothes and shoes or exempt them completely in light of economic conditions.

Jordan’s taxes and customs on clothing and shoe imports are "the highest not only in the region but in the whole world", Syndicate President Muneer Deyeh told The Jordan Times on Saturday.

The following taxes are imposed on imported clothing: 20 per cent in customs fees, 16 per cent in sales tax, 5 per cent in customs duties fees, 2 per cent in income tax and 1.5 per cent in miscellaneous taxes, and the same costs apply to shoes, except for customs fees, which is 30 per cent instead of 20 per cent.

The Ministry of Industry and Trade delegates the authority to calculate fees to the Finance Ministry, which in turn issues instructions to the Jordan Customs Department on the amount of taxes to levy on imports, Deyeh said, noting that the government needs to make it easier for people to obtain necessities such as children's clothing and shoes.

Most Jordanian households have children less than 18 years of age, who need clothing during Eid holidays and school, and reducing or exempting this particular segment of clothing will lower their prices by at least 35 per cent, making it easier for people with lower incomes to obtain them, according to Deyeh.

He added that not only do sector traders pay the 50-60 per cent fees and costs immediately upon importing to the country, but they also have operational expenses to pay.

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