CONVEYANCE OF MOTOR VEHICLES AND GOODS TRANSITING THROUGH ZAMBIA

Written by: Topsy Sikalinda

In an effort to support local companies in the clearing and forwarding sector that have in the past faced various risks related to clearing of transit vehicles, all motor vehicles (excluding trucks, tankers and heavy-duty vehicles) transiting through Zambia as cargo by road, will be required to be transported using a carrier specifically designed to carry such vehicles effective 1st January 2022.

The requirement to move motor vehicles in transit on carriers is in line with the Customs and Excise (Goods in Transit) Rules, 2021, which are contained in Gazette Notice No. 124 of 2021.

The measure will protect customs bonds for clearing agents whose business operations get disrupted due to outstanding transit transactions on the customs system that are reported, that the vehicles do not exit the country. According to a 2020 Auditor General’s report, over 25 million Kwacha has not been collected by the Authority due to pending outstanding transits that have not been acquitted in the system.

Please note that this measure does not affect local imports of vehicles. Our imports will continue being driven by road and the drivers at the borders will continue generating income on importations into Zambia and other new opportunities that will be created by this measure.

This measure is aimed at improving trade facilitation by enhancing the logistics sector through the reduction of risks related to transit vehicles. The measure will further improve revenue collection for all Revenue Authorities in the region as smuggling loopholes are closed not only for Zambia but its neighbouring countries.

This measure is NOT being implemented in isolation but in consultation with all key partners/ Revenue Authorities in the region.

The Authority further wishes to encourage Zambian entrepreneurs to take advantage of the various business opportunities that this measure creates for the local economy.

All stakeholders under this category are therefore urged to familiarise themselves with this requirement before 1st January 2022 and ensure compliance.