Customs officials unlikely to reduce insurance requirement for Egypt’s brokers
LEGISLATION WATCH- Brokers are unlikely to get a break on new higher insurance payments introduced under recently-ratified changes to the Customs Act, but the government could consider other incentives, Customs Authority official Shahat El Ghatwary said. The authority has already sent out instructions to officials to streamline the clearance process to enjoy the benefits of the improved law ahead of issuing improved executive regulations, Ghatwary said.
Background: Customs brokers have been lobbying officials to rethink the new insurance requirements, which require large companies to deposit EGP 100k and small companies EGP 50k to be allowed to operate. Brokers previously only needed to deposit as little as EGP 5k. The new law will allow smaller companies to pay the insurance in installments, Ghatwary said.