Vehicle imports reprieve for diasporans
Ashley Phiri, [email protected]
GOVERNMENT has partially lifted the ban on the importation of vehicles older than 10 years, in a move that has ignited excitement among returning residents who are among the beneficiaries of the latest regulation.
Initially enforced through Statutory Instrument (SI) 54 of 2024, the ban required anyone importing such vehicles to re-export them at their own cost. This regulation aimed to reduce the import bill and promote the domestic motor industry.
In his 2020-2021 budget statement, Finance, Economic Development, and Investment Promotion Minister Mthuli Ncube emphasized that the ban was necessary as Zimbabweans had spent approximately US$1,3 billion on vehicle imports from 2015 to September 2020.
Government considered banning second-hand vehicles in 2020. In 2021, it banned the import of cars unless an import license was acquired from the Ministry of Industry and Commerce. In March 2024, Government completely outlawed importing vehicles older than 10 years.
However, the latest regulation, detailed in Statutory Instrument (SI) 111 of 2024, permits the importation of these vehicles for returning residents, diplomats, and inherited vehicles.
Industry and Commerce Minister Mangaliso Ndlovu noted in the Government Gazette: “It is hereby notified that the Minister of Industry and Commerce, in terms of Section 4(1) of the Control of Goods (Import and Export) (Commerce) Regulations, 1974, published in Rhodesia Government Notice 766 of 1974, hereby makes the following regulations: Notwithstanding Section 3(1), second-hand motor vehicles aged 10 years and above belonging to the following shall be allowed entry into Zimbabwe, deceased estates (inherited motor vehicles); or diplomats returning to Zimbabwe from their postings abroad, or returning residents.”
The ban had posed significant challenges for many Zimbabweans living abroad. Ms Florence Nyoni, based in South Africa, expressed relief as she had been unsure of what to do with her car, which is over 10 years old.
“I have decided to return home after staying in South Africa for 20 years. During my time there, I worked for a long time and managed to build a house back home because I wanted to be comfortable upon retirement,” she said.
“However, I didn’t know what to do with my car, which was manufactured over 10 years ago since the Government had banned the importation of such vehicles. So this new regulation is a reprieve, and I am quite happy since I will now be able to bring my car home.”
Ms Samantha Dube, residing in the UAE, was also pleased with the new regulation, as it now allows her to bring home a car she had secured at a good deal but could not previously afford to import.
“I was quite disturbed when the Government imposed a ban on the importation of motor vehicles that are older than 10 years. I had secured a good deal to acquire my car, but my hope of bringing it back home had faded,” she said.
“I cannot afford a more expensive car so I’m quite thrilled about the relaxation, which means my children can now benefit from my hard work.”
In interviews, car dealers in Bulawayo urged Government to extend the facility to all citizens, saying the ban on importation of second-hand cars that are more than 10 years old from the date of manufacture, has affected their business.
Rapid Car Sales director, Mr Titch Matongorere said the ban had significantly impacted their business, with sales dropping from an average of four cars per week to four per month.
“Ever since the ban was imposed earlier this year, business hasn’t been good, the ordinary citizen can no longer afford to purchase a vehicle. We used to make an average of at least four sales per week, but now those are monthly figures,” he said.
“We, therefore, urge the Government to consider relaxing the ban in totality so that everyone benefits from this facility given that cars which are 10 years old from the date of manufacture are expensive and beyond the reach for many.”
Mr Matongorere said the total ban had increased the prices of second-hand cars available locally, as these vehicles are now exchanging hands at double the price.
“What’s happening is that vehicles that were in circulation before the ban are now exchanging hands at double the price. Unregistered agents are facilitating these transactions and killing us despite us paying tax,” he said.
Efforts to contact Zimbabwe Revenue Authority (Zimra) Head of Corporate Affairs, Mr Francis Chimanda, for a comment were unsuccessful. In 2022, Zimra earned more than US$2 billion from vehicle imports.
Comments