Includes information on average tariff rates and types that U.S. firms should be aware of when exporting to the market.
On November 30, 2016, Presidential Decree 538/2016 was published in the official gazette, raising import tariffs for 364 tariff lines, including 53 lines of food and agricultural products. In the decree, the government described these goods as “provocative” or “unnecessary” - essentially luxury products. The food and agricultural items include fresh and dried fruits, chocolate and food preparations containing cocoa, crispbread, gingerbread, sweet biscuits, waffles and wafers, processed nuts, juices, and ice cream. Import tariffs for the majority of these lines were raised by 100 to 200 percent while the rest by 50, 125, 300, 500 and 700 percent.

According to a Cabinet’s spokesperson, the decree is intended to promote an environment that will attract investments, which would bring much-needed know-how to produce many more goods locally, substituting for imports that are a drain on the country’s foreign exchange reserves. U.S. exports of sugar confectionary (HS 170490), nuts and other seeds prepared or preserved (HS 200819), mixtures of fruits and nuts prepared or preserved (HS 20089910), and ice cream and other edible ice (HS 210500) would be the hardest hit.

In addition, Egypt’s Presidential Decree 25/2016, issued Jan. 26, 2016, raised import tariffs on a wide range of products, including household appliances, electronic devices, plastics, clothing, shoes, watches, as well as food for dogs and cats and some agricultural products.  Among the agricultural products affected are fresh and dried fruits and nuts, sugar cane and sugar beet and pet foods.  The tariff increase affects some U.S. exports to Egypt.  U.S. exports of fresh apples and pears, for example, are subject to 40 percent tariffs, compared to 30 percent prior to the decree. U.S. dried nuts are now subject to 20 percent tariffs instead of 10 percent, and U.S. poultry continues to be subject to a duty of 30 percent.  The decree also decreased the import tariff on goods such as raw cane and beet sugar (in solid form) by 2 percent to 20 percent and refined cane and beet sugar by 10 to 20 percent.

At the same time, the country maintains low applied import tariff rates on most other agricultural imports, levying a customs duty of 5 percent or less. Products from the European Union, such as apples, benefit from duty-free access, thanks to the EU-Egypt Free Trade Agreement (FTA).  Egypt’s agricultural import applied tariffs are set lower than the bound rate. Egypt levies prohibitive tariffs of 3,000 percent on alcoholic beverages.  It also applies product specific duties of EGP 150 per net kilogram, equivalent to 211 percent, on tobacco and tobacco product imports.
For most U.S. food and agricultural exports, Egypt maintains import tariffs of five percent or less while U.S. processed and high-value exports face import tariffs of 30-40 percent.  However, U.S. exports of wheat, beef and beef products, and cotton all continue to face sanitary, phytosanitary, and technical barriers to trade.  Egypt maintains a de facto ban on imports of U.S. poultry parts, seed potatoes and feather meal. For more information visit the FAS website and read the “Trade Policy Monitoring Report” for Egypt
 

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