Zanzibar government blames Middle East conflict for rising import costs

Unguja. Zanzibar has attributed rising prices of essential goods to increased shipping costs from China and India, which it says have been driven by the ongoing conflict in the Middle East.

Acting Minister for Trade and Industrial Development Shariff Ali Shariff (pictured) told the House on Monday, September 14, 2026, that shipping costs for a 20-foot container had risen from $3,600 to $4,600.

He was responding to a question from Tumbe Representative Mmanga Mohammed Hamed, who sought an explanation for the rising cost of living and the Government’s plans to ease the burden on consumers.

Mr Shariff said the increase in shipping costs followed security concerns linked to the conflict in the Middle East, which had prompted several shipping companies to suspend or alter their services.

To ease the impact of rising import costs, he said the Government had introduced tax measures covering key commodities, including rice, sugar and wheat flour.

The Government has removed value added tax (VAT) on imports of sugar, rice and wheat flour, reducing the applicable rate from 25 percent to six percent, he said.

It has also introduced a fixed customs duty of $200 per tonne for rice and wheat flour imports, a measure intended to help keep the prices of the commodities affordable.

Mr Shariff said the Government had also introduced a 30 percent reduction in customs duty on goods imported through Mkoani Port to address the higher cost of supplying Pemba directly.

Mr Hamed also asked when residents could expect relief from the rising cost of living.

Mr Shariff said the Government would continue monitoring global economic developments and introduce short- and long-term measures as circumstances required.

“The main objective of the Government is to ensure that its people get relief from the cost of living and reduce the burden through these tax measures and monitoring of prices in the market,” he said.