Dr. Youssef Boutros Ghali, the Minister of Finance, has given executive instructions to the Customs Authority not to drop legal claims in cases involving evasion of customs duties, income tax, and other taxes and fees, whenever the value exceeds L.E. 50,000.

Various aspects of the Ministry's modernization and development plan have recently been implemented. These aspects focused on facilitating dealing with the business community via development of customs clearance methods and systems, payment of tax and customs online, establishing trust with Customs and Tax authorities' clients, as well as the development of operational laws and regulations. All are aimed at more streamlining and easing the public burdens, and will reflect positively on consumers who should find goods and services available at affordable prices, said the minister.

In the last five years, customs tariffs were modified 4 times. Each time, the tariff was reduced on various goods and products which considerably lowered the average tariff, now standing at about 5.5%, Ghali pointed out. Likewise, many basic staples, production inputs, machinery and equipment items are fully exempted from customs duties in order to give a boost to Egyptian industries and exports. Last year, the Public Treasury paid L.E. 1 billion, in sales tax due on machinery and production lines, on behalf of the industrial community in the wake of the global financial crisis. In addition, the Export Development Fund's (EDF) financial allocations for the current fiscal year have been raised up to L.E. 4 billion, which confirms the governmental drive to support serious producers and exporters, Dr. Ghali noted.

To limit smuggling operations, an integrated customs database is currently being updated and networked with the official bodies concerned, such as the Egyptian Tax Authority (ETA) and the General Organization for Exports and Imports Control (GOEIC), so as to measure carefully the flow of actual transactions. This takes place in coordination with security services and control bodies, including the Interior Ministry's Ports Security Department, to tighten control over ports customs, Dr. Ghali added.