Imported grain and flour to be exempted from customs duties and VAT

The food grain, fodder grain, fodder barley and the wheat flour will be exempted form duties on import, import Value Added Tax and subsequent tax on sales performed on the internal market. The Parliament approved a draft law in this respect on Friday, July 6 in first reading, at the proposal of Speaker Marian Lupu. Minister of Finance Mihai Pop said that this issue was discussed by the Government and that he supports this proposal, as the situation in agriculture is difficult. Referring to the losses, the Minister said that after the introduction of these provisions there will be no losses in the case of the Value Added Tax, and in what concerns the customs duties, some insignificant losses will be registered, but they will be recovered. These amendments will be applied after they are published in “The Official Monitor of Moldova” and will be valid until July 1, 2008.