Zambian Breweries welcomes clear beer excise duty reduction

Zambian Breweries has welcomed the government’s announcement of a reduction in excise tax on clear beer.

In his 2016 Budget submission to Parliament, Finance Minister Alexander Chikwanda, announced that excise tax on clear beer will be reduced from 60 percent to 40 percent.

The move is intended to restore competitiveness in the local clear beer industry, encourage investment and curb smuggling and the consumption of illicit alcohol.

And in a statement to Qfm News Zambian Breweries Managing Director Annabelle Degroot says her company commends the government for taking this move to increase productivity in the clear beer sector and stimulate forward and backward linkages.

Ms. Degroot says this gives her company the confidence to invest further in its business for the long-term, thus creating more employment and stimulating purchases of agricultural inputs from local farmers.

She is of the view that the revised rate would increase revenue collection for the government in the medium and long term, as well as create additional employment.