The Ministry of Agriculture and Rural Development has proposed for increase in export tax for DAP and MAP fertilizers to ensure domestic supply.

At yesterday's seminar to find solutions to stabilize the supply and stabilize fertilizer prices before the domestic fertilizer price increased too high, affecting agricultural production and farmers' lives, Huynh Tan Dat, Deputy Director of the Plant Protection Department under the Ministry of Agriculture and Rural Development, informed that many countries have restricted the export of fertilizers in different forms to ensure supply to the domestic market.

Therefore, in its report to the Government, the Ministry of Agriculture and Rural Development has proposed to increase the export tax of fertilizers. Simultaneously, it asked the Ministry of Finance to study and consider

The Ministry of Finance is collecting opinions on amending Decree No. 122/2016/ND-CP, which adjusts Clause 4, Article 4 in the direction of applying a level with an export tax of 5 percent; nevertheless, the export tax of the group of organic fertilizers 31.01 will ma0intain the current export tax rate of zero percent whereas the rest of all other fertilizers including those with mineral resource value plus energy costs below 51 percent will have an export tariff of 5 percent.

The Ministry of Agriculture and Rural Development supports this proposal, and at the same time, proposes to expand the taxable objects by reducing the current percentage of mineral resources plus energy costs as a basis for taxing.

This solution aims to ensure supply for domestic agricultural production, encourage the saving of mineral resources, and promote the reduction of energy costs.

Source: SGGP News