Prices of 7,000 luxury items to reduce; govt cuts import duty

In a major relief for importers and consumers, the federal government has announced sweeping reductions in regulatory duties on 6,980 imported items, ranging from vehicles and luxury goods to essential food products and industrial raw materials.

The revised duty structure is part of the Finance Bill 2025, aimed at boosting trade, reducing inflationary pressures, and encouraging legal imports.

Duty reductions on imported vehicles

• Imported jeeps: Regulatory duty slashed from 15% to 10%

• New imported sports vehicles: Reduced by 5%, now 10%

• New imported sports jeeps: Massive drop from 90% to 50%

• Luxury boats, ships, and cruises: Now taxed at only 5%

Luxury goods see major cuts

• Branded sunglasses: Duty reduced from 30% to 24%

• Imported cosmetics: Cut from 50% to 40%

• Imported perfumes: Reduced from 50% to 40%

• Branded watches: Down from 30% to 24%

• Artificial jewellery: Now 36%, down from 40%

• Sunblock, sunscreen, shaving cream, soap and face wash: Duty now 40% from 50%

• Makeup products: Import tax reduced from 55% to 44%

Home & lifestyle products

• Imported washbasins and bathtubs: Duty reduced from 30% and 20% to 24% and 16%, respectively

• Bath washing tanks: From 30% to 24%

• Tablecloths and netware: Reduced from 30% to 24%

Food & agricultural products

• Imported milk, powdered milk, and yogurt: Now taxed at 20%

• Cheese: Reduced to 40%, honey to 24%

• Canned vegetables: Duty now 5%

• Dried bananas: Down to 10%

• Dates, coconuts, Brazil nuts and cashews: Reduced to 20%, fresh apples to 24%, peaches to 36%

• Figs, pineapples, avocados, guavas and mangoes: Duties reduced by 20%

• Papaya and apples: Duties reduced from 45% to 36%
• Nuts: Regulatory duty reduced by 4%

• Wheat flour, maida, and corn: Duty now 20%

• Butter, milk cream, milk fats: Reduced to 20%

• Poultry and cod fish: Duty cut to 5%, frozen fish now 17.5%

Other reductions

• Mobile phone SIM cards: Regulatory duty cut from 15% to 12%

• Dog and cat food: Reduced by 5%, now 40%

• Bird eggs: Duty down from 15% to 10%

• Tobacco: Duty slashed by 40%

Officials say these reductions are intended to curb smuggling, encourage formal imports, and provide relief to both businesses and consumers. The government also aims to support local industries by reducing regulatory duties on industrial raw materials, ensuring that production costs remain competitive.