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Mthuli Ncube Targets “Runners”

November 30, 2024
0
Mthuli Ncube Targets “Runners”

Finance Minister Prof Mthuli Ncube has declared war on smuggling, indirectly targeting cross-border traders informally known as “runners.” The Zimbabwe Revenue Authority (ZIMRA) has been empowered to seize goods unless sellers provide proof of full customs duty payment. The Finance Minister announced the new directive during the 2025 National Budget Presentation at the New Parliament Building in Mt Hampden on Friday.

Prof Ncube said ZIMRA is now authorised to seize certain products if sellers fail to produce full documentary evidence that customs duty has been paid. He stated:

“I propose that the indicative list of products shown below be deemed as smuggled unless the seller provides documentary evidence to the Commissioner that customs duty has been properly accounted for.”

The list of products includes essentials like rice, sugar, and dairy, as well as clothing, tyres, and electrical appliances. Prof Ncube emphasised that ZIMRA will take action immediately if proof of duty payment is not provided.

Comprehensive List of Targeted Goods
The detailed list of items deemed “smuggled” includes:

Alcoholic and non-alcoholic beverages
Cement
Clothing and footwear
Dairy products
Diapers
Electrical appliances and cables
Ploughs and parts
Processed meat
Rice and pasta
Sugar
Tyres and motor spare parts
Washing powder and detergents
In addition to seizure, sellers will be required to pay the duty owed, along with penalties.

Prof Ncube issued a stern warning:

“Failure to provide such documentary evidence will result in the smuggled goods being subject to seizure as provided in the Customs and Excise legislation. Additionally, the seller or owner of such goods will be required to pay duty, including prescribed penalties.”

To ensure compliance, Ncube mandated ZIMRA to provide regular updates on seizures and revenue collected:

“I further propose that the Commissioner be mandated to provide Treasury with a monthly report of Post Clearance Audits, accounting for the smuggled goods and revenue recovered.”

The measures are already in effect.

Impact on Runners & Cross-Border Traders
The policy is expected to significantly affect “runners,” who operate by sourcing products from neighbouring countries to meet customer demands in Zimbabwe. Many of these traders rely on informal processes and may struggle to comply with the new requirements.

In closing, Ncube justified the directive as essential for economic stability:
.

“These measures are necessary to ensure that customs duty is properly accounted for and to support the growth of local industries.”

The coming months will reveal how ZIMRA enforces the new policy and how traders and runners will adapt to these changes.

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