How do I start an import business in Ethiopia?

How can I import to Ethiopia?

Imports to Ethiopia require:

  1. Agency agreement;
  2. A bank permit;
  3. A bill of lading or airway bill;
  4. Certificate of origin;
  5. Commercial invoices;
  6. Customs import declaration;
  7. Foreign exchange authorization;
  8. Import license;

What documents are required for import?

List of Documents required for Imports Customs Clearance

  • Bill of Entry.
  • Commercial Invoice.
  • Bill of Lading or Airway Bill.
  • Import License.
  • Certificate of Insurance.
  • Letter of Credit or LC.
  • Technical Write-up or Literature (Only required for specific goods)
  • Industrial License (for specific goods)

What are the costs considered while importing to Ethiopia?

The importer is required to pay duties and taxes on the imported goods which include customs duty at 0-35% based on the type of good imported, VAT at 15%, withholding tax at 3% on the CIF (Cost+Insurance+Freight), Surtax at 10% and excise tax for few selected goods at 10%-100%.

What is required for import business?

Documents Required for Import of Goods

Bill of Lading / Air Way Bill. Commercial invoice-cum-packing list. Bill of Entry.

What can I import to Ethiopia?

Ethiopia main imports are: foodstuffs, textile, machinery and fuel. Ethiopia main trading partners are: China (18 percent of total imports), Saudi Arabia (13 percent), United States (9 percent), Russia and India.

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What is custom duty in Ethiopia?

The rate of customs duty ranges from 0% to 35% with an average rate of 17 percent. … These are excise duties on selected goods (e.g., tobacco), surtaxes on many imports and a 15% value added tax (VAT). Ethiopia aspires to be a leading manufacturing hub in Africa by 2025.

What are the steps of importing?

Below, we outline the steps involved in importing of goods.

  1. Obtain IEC. …
  2. Ensure legal compliance under different trade laws. …
  3. Procure import licenses. …
  4. File Bill of Entry and other documents to complete customs clearing formalities. …
  5. Determine import duty rate for clearance of goods.

How can I get import license?

Congress has delegated the specific regulation of imports and exports to the Department of Commerce.

  1. Obtain Your CIN. You’ll need a company identification number, or CIN. …
  2. Research Export Controls. …
  3. Apply for an Export License. …
  4. Apply for Import Licenses. …
  5. Contact Appropriate Agencies.

How much is import tax on a car in Ethiopia?

– Ethiopia is a country with high automotive tax rates. – On high-end vehicles like Land Cruiser VX, taxes reach 256% of CIF value, and on small passenger vehicles like Yaris they reach 132% of the CIF value. – For used cars, tax rates are the same as the table depending on their cylinder capacity.

What is surtax in Ethiopia?

The surtax is a flat tax of 10 percent on all imports, unless otherwise exempted. The withholding tax is a flat tax of three percent on the CIF price of all imports, unless otherwise exempted.

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How do I get a import license for my car in Ethiopia?

Required Documents[edit]

  1. Valid passport of the driver.
  2. Vehicle registration book in the name of the driver.
  3. Letter of authority from the registered owner if vehicle is not owned by the driver.
  4. Temporary exportation document from the Customs authorities in the country from where the visitor is coming from.