VATAs per information available from the reliable sources, it has been reported in a circular issued by the government of Cambodia that it has removed the current value-added tax (VAT) of 10% on milling machines as part of effort to support the rice millers. Further, according to the circular, the removal of VAT on the milling machines would come into effect immediately. Moreover, it has been observed that the VAT removal would make rice production more price-competitive. In addition, all the agricultural products have been granted an exemption from the VAT, as indicated in the circular.

Indian Queen Basmati Rice Ad.
Indian Queen Basmati Rice by Bharat Industrial Enterprises Limited

Furthermore, in the circular, it has been revealed that the government has also announced some measures, including the VAT removal on milling machines and curbing rice imports from neighboring countries as it was decided in an emergency meeting held on March 31, 2016 involving   the members of the Cambodia Rice Federation (CRF) and the stakeholders with the Deputy Prime Minister. In last week, one of the leading exporters informed to the reporter that the decision to remove the 10% VAT will benefit local millers so that they can compete with their foreign counterparts.

LEAVE A REPLY