Cashew nuts smuggling causes 457 million meticais loss

Maputo, 08 Oct (AIM) – Mozambican government has recorded, over the last three years, the loss of 457 million meticais (about 7.2 million US dollars at the current exchange rate) as a result of cashew nuts smuggling.

According to Roberto Albino, Minister of Agriculture, speaking at the first session of the Cashew Committee, about 35,000 tonnes of cashew nuts were smuggled during the period.

In order to reverse the situation, the minister called for tougher actions against those involved in the illegal trade of this product. “I believe that if we want to end smuggling, we have to stop treating smugglers merely as administrative offenders. We have to criminalize it”, he said.

The losses, the minister said, went beyond foregone revenue, as the diversion of cashew nuts from formal channels also prevents the country from benefiting from foreign-exchange earnings generated by exports.

“We have companies exporting cashew nuts to India and Vietnam. But we are not declaring it and we are not paying the taxes. Therefore, we call for greater accountability for those involved in the illegal trade”, he said.

Albino also called for stronger intervention by justice institutions and urged legal advisers to identify cases involving the diversion of public resources and revenue through smuggling that should be subject to criminal proceedings rather than being treated as administrative offences.

“We must digitalize cashew marketing operations to improve transaction traceability and reduce opportunities for the commodity to be diverted into smuggling channels”, he said.

(AIM)

SNN/Zt/Am/