Vietnam to Raise Paper Import Tax to 29 per cent

The Vietnamese Ministry of Finance February 10 decided to raise import tax on newsprint and carton to 29 per cent from February 16, from current 20 per cent and 25 per cent, respectively.

 

According to the Ministry of Industry and Trade (MoIT), Vietnam will need around 165,000 tons of newsprint in 2009, up 30 per cent on year. The country will have to import 60,000-80,000 tons. Demand for printing paper is estimated at 461,000 tons, while local supply can meet 380,000 tons.

 

Late December 2008, the MoIT suggested raising newsprint and writing paper import tax from ASEAN countries to 5 per cent from 0 per cent and 3 per cent, respectively, to help local paper companies.

 

The ministry said paper and pulp price decrease in the world market, resulting in increase in paper import, has hit Vietnamese paper companies. Many of them had to cut production capacity by 20 per cent-40 per cent since early this year to boost sales of last year’s products. (Vietnam Economic Times)