Liquor association bemoans excise duties hikes, AA raises toast to unchanged fuel levies
The Automobile Association says Treasury not increasing fuel levies is a victory for consumers
Finance Minister Enoch Godongwana on Wednesday acknowledged South Africans were struggling to keep up with the rising cost of fuel.
AA spokesperson Layton Beard is pleased that levies are being kept at their current rate.
"The AA had earlier urged the minister not to increase the two main levies on the fuel price – the General Fuel and Road Accident levies.
"The fact that this hasn't happened is, of course, very welcome news for the AA as is the news that the minister announced of a review of all aspects of the fuel price."
But there's no tax relief for the alcohol and tobacco industries.
The minister says excise duties will go up by between 4.5 and 6.5 percent from Wednesday.
The liquor industry, which bore the brunt during some of the Covid-19 lockdowns, had called on government to reduce the tax rate.
"The economic recovery remains a pipedream for liquor traders who once again continue to be treated like second class citizens by this country, with no support measure announced by the minister of finance, with excise duties on the increase once again above inflation, " says the National Liquor Association's Lucky Ntimane.
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"Once again, liquor traders have to fend off for themselves to somehow conjure up survival means for themselves against the onslaught of the illicit market which will be celebrating the above-inflation excise duty increase which will in no doubt boost their criminal network."
