TRA unveils a move to streamline the import of cooking oil from Zanzibar

ZANZIBAR: The Commissioner General of the Tanzania Revenue Authority, Yusuph Juma Mwenda, has announced plans to introduce a new system for importing cooking oil from Zanzibar to the Tanzania Mainland.

The initiative aims to streamline legal trade while curbing smuggling, which has been causing revenue losses for the government and creating unfair market competition.

Speaking at an Iftar event organized by TRA Zanzibar, Mwenda stated that the new system will ensure that the volume of imported oil aligns with actual market demand. He emphasized that the measure is also designed to protect domestic industries from unfair competition arising from products entering the market outside official channels.

According to Mwenda, under the new framework, oil importers will be required to obtain special permits before conducting their business. The system is expected to increase transparency, strengthen trade monitoring, and ensure compliance with tax regulations. Essentially, the policy seeks to close smuggling loopholes and improve government revenue collection—an area where studies on revenue administration indicate that strengthened border controls could boost revenues by 10 to15 percent.

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Mwenda also used the occasion to highlight the importance of taxpayers in supporting national economic growth, noting that the import sector, including cooking oil, plays a significant role in trade circulation and employment. He explained that the Iftar event was part of the authority’s strategy to build closer relationships with taxpayers, which in modern tax compliance frameworks has been shown to increase voluntary compliance.

In another development, the Commissioner General commended TRA staff for consistently exceeding monthly revenue collection targets. He stressed that the authority will continue improving the business environment through friendly policies and robust management systems, a move expected to stimulate sustainable economic growth in Tanzania.