China slashes tariffs on imports of Rooibos

china slashes tariffs on imports of rooibos

China slashes tariffs on imports of Rooibos

The South African government on Tuesday welcomed the decision by China to substantially reduce tariff rates on imports of South African Rooibos tea, the Department of Trade and Industry said in a statement.

China, the world’s largest tea market, previously had tariffs ranging from 15% to 30% on rooibos tea. This has now been reduced to 6%.

Rooibos tea is a unique South African tea that has gained a strong foothold in global markets with hundreds of millions of rands of annual exports in 2022. South Africa led efforts at the World Customs Organisation (WCO) for a specific tariff code applicable only for rooibos tea.

In August last year, South Africa’s Minister of Trade, Industry and Competition, Ebrahim Patel raised the tariff duties on rooibos tea with his counterpart, the Chinese Minister of Commerce, Wang Wentao, during the 8th meeting of the China-South Africa Joint Economic and Trade Commission. He requested that China considers a request to reclassify rooibos tea and to reduce the duties.

Following further consideration from the Chinese side, the Customs Tariff Commission of the State Council of China advised it will be adopting the new tariff code of the WCO to categorise Rooibos tea under tariff code HS 1211.90.39 with an import tariff rate of 6%.

According to the Rooibos Council of South Africa, approximately 20 000 tons of Rooibos is produced in South Africa every year generating employment for more than 5 000 people. China featured as the 7th largest recipient market in 2023 for South African Rooibos out of a total of 45 countries currently importing Rooibos tea.

Patel welcomed the decision by the Customs Tariff Commission of the State Council of China.

Commenting on the decision, he said: “Our rooibos tea is refreshing, delicious and healthy. This decision will enable more South African rooibos tea to be available to Chinese tea drinkers, creating more jobs in South Africa. Rooibos exporters can now ramp up their exports of tea to China!”

“China is currently South Africa’s largest global trading partner, with Chinese customs reporting two-way trade of more than R900 billion. We look forward to continuing our engagements with our Chinese counterparts as we seek to shift our exports from mainly minerals to a greater basket of value-added agricultural and industrial products. I wish to commend Minister Thoko Didiza and her team for the close collaboration and hard work to get this decision finalised,” Patel said.

BUSINESS REPORT

OTHER NEWS

6 minutes ago

Toto Wolff issues Mercedes update on Max Verstappen as Hamilton’s seat remains open

6 minutes ago

Southgate sack: England bosses told axe must fall with BBC pundit named as ‘perfect’ upgrade

6 minutes ago

How good are Brazil? Soccer superpower are a fading force — but write them off at your peril at Copa America 2024

6 minutes ago

Nortjé: Penalty decision probably going to haunt me a bit

6 minutes ago

CNBC-TV18 Exclusive | The Age Of AI | TCS' Amit Bajaj Bets Big On AI | N18V | CNBC TV18

6 minutes ago

Italian island hit by tourist ban after mayor issues crisis order

6 minutes ago

Youth Month: Who is ‘Summertide’ star Josh Thirion?

6 minutes ago

Fire at South Korea battery plant kills 16 people, local officials say

6 minutes ago

‘Intense' stage of Gaza fighting is close to end, Israel's Netanyahu says

6 minutes ago

Trudeau, Mirren, Atwood and more pay tribute to Donald Sutherland: 'Truly a great Canadian artist'

6 minutes ago

Vogue World: Katy Perry goes braless, Kendall and Gigi ride horseback and Cara Delevingne evokes Madonna

6 minutes ago

Alpine join Williams and Audi in race to sign Carlos Sainz next year

6 minutes ago

BT Podcasts: Investment outlook for the rest of 2024

6 minutes ago

Singapore’s Zhou Jingyi wins Portuguese table tennis league with CTM Mirandela

6 minutes ago

All to play for as Romania and Slovakia vow not to settle for draw

9 minutes ago

Lok Sabha session: INDIA bloc MPs not to assist pro-tem Speaker, to hold 'Constitution march'

9 minutes ago

Concern over Prince William's plans for future of the Royal Family

9 minutes ago

Fred Vasseur issues response to Charles Leclerc’s complaint after Carlos Sainz contact in Spain

9 minutes ago

Jamie-Lynn Sigler Thought Her “Sopranos” Audition Was for a Show About Singers

9 minutes ago

Bok national anthem singer defends poor performance [video]

9 minutes ago

Jeremy Hunt deletes picture of wife after claims it broke law

13 minutes ago

Chelsea blow Bayern Munich away for surprise Barcelona transfer with zero drawbacks

13 minutes ago

Monday's analyst calls: Micron a top pick, Goldman says buy IBM shares

13 minutes ago

A dermatologist debunks common out-of-date myths about summer skincare (but how many do YOU still believe?)

13 minutes ago

Video: Eagle-eyed fans claim they spot Alan Shearer enjoying Scotland's elimination from Euro 2024 - after Steve Clarke's side suffered last-gasp defeat by Hungary

13 minutes ago

Tragedy as four-year-old dies at home in Wales: Air ambulance rushed to scene but paramedics could not save child

16 minutes ago

End of an era at Man City with Bayern Munich to trigger six-time Prem winner’s release clause

16 minutes ago

Thousands flock to Stonehenge to celebrate summer solstice

16 minutes ago

Parents nationwide sign 'Wait Until 8th' pledge to ban smartphones until 8th grade

17 minutes ago

MLB power rankings: Can Rangers rally a World Series defense with Max Scherzer back?

17 minutes ago

Hajj 2024: Saudi Arabia announces 1,301 pilgrim deaths

17 minutes ago

Government waters down vaping ban to win support of Greens

17 minutes ago

Prices could be right on the money at Hawkesbury meeting

17 minutes ago

Strictly Come Dancing stars placed on Giovanni Pernice 'ban' after Shirley Ballas remark

17 minutes ago

Volkswagen Beetle: How Mexico is keeping alive the legacy of one of the world's most beloved cars

17 minutes ago

Saudi Arabia 'may scale back 13 multi-trillion pound giga-projects'

17 minutes ago

Jay Slater GoFundMe: Missing teen's mum explains what will happen to the £30k raised

17 minutes ago

Mets' Edwin Díaz faces a 10-game suspension after being ejected for a foreign substance on his hand

17 minutes ago

Japanese emperor to be finally reunited with his British love: The Thames Barrier

17 minutes ago

Luke Shaw returns to England training ahead of Slovenia match