Over the past two months, a government taskforce has confiscated tens of thousands of bottles of alcohol from the country’s largest distributors in several raids, while company officials could face criminal charges for allegedly importing alcohol without a licence.
The raids, on wine and luxury food importers Quarto Products and Premium Distribution, have unnerved the hotel and restaurant industry, and led to the large-scale withdrawal of imported wines and spirits from supermarkets.
Some small vendors do remain in Myaynigone and Botahtaung townships, but stocks are shrinking and prices are growing, sellers said.
“The government mobile team is confiscating alcohol from the main distributors, but these shops get the products from people who buy supplies from duty-free shops,” said a liquor retail shop owner in Bogyoke Aung San Road, who asked not to be named for fear of persecution by the government.
“An aircrew can bring three bottles per day, each,” he added.
He said that demand is greatest for imported whisky, with the most popular brand, Johnny Walker Red Label, now K30,000 for a 1-litre bottle, up from K16,000 to K18,000 just two months ago.
The price of a 1-litre bottle of Johnny Walker’s Black Label, meanwhile, has grown from K28,000 to K39,000, while Ballantine’s whisky now costs K13,000, K5000 more than before.
A director in the Customs Department, who is not authorised to speak to the media, said agents had also discovered that the price of alcohol was about 50 percent up for almost all imported brands since the raids.
The Ministry of Commerce and the Internal Revenue Department have promised to reform import regulations that would put an end to the short supply of alcohol as quickly as this month. In doing so, they have pledged not to raise the tax or duty rates, said Ministry of Commerce spokesperson U Win Myint.
“Boosting rates could encourage smuggling,” he said, adding that rates were unlikely to change as they have already been set in line with the World Customs Organisation.
“Reducing the tax rate is not the most important thing,” he said.
Customs duty for alcohol is about 40pc, while cigarettes are taxed at 30pc. A separate tax imposed by the Internal Revenue Department, however, charges 50pc for the retail value and customs duty for alcohol and 100pc for cigarettes.
People entering the country are allowed two litres of alcohol and a carton of cigarettes duty-free, U Win Myint said. “[If these levels are exceeded] we cannot seize them all,” he said, citing staff shortages.
source: The Myanmar Times
No comments:
Post a Comment