Freight Rebate Scheme
Exporters are informed that, as announced in Budget 2014, they may apply for a refund of 25% of the Basic Freight Cost to the maximum of USD 300 per 20-feet container and USD 600 per 40 –feet container exported to eligible Ports in Africa, Madagascar and Reunion Island (see 1.0).
An outline of the conditions and modalities of the scheme is being provided to guide applicants.
1.0 Countries and Ports to which Scheme will apply.
The scheme would apply to the following main 45 ports:
- Angola-3 Ports (Lobito, Luanda, Soyo)
- Cameroon-1 Port (Douala)
- Comoros Island - 3 Ports (Moroni, Port of Mutsamudu, Fomboni)
- Congo (Brazzaville) - 1 Port (Pointe Noire)
- Egypt-3 Ports (Alexandria, Damietta, Port Said)
- Gabon-2 Ports (Libreville, Port Gentil)
- Ghana – 1 Port (Tema)
- Ivory Coast (Cote D’Ivoire) - 1 Port (Abidjan)
- Kenya-1 Port (Mombasa)
- Madagascar – 3 Ports (Mahajanga, Fort Dauphin, Tulear)*
- Mayotte – 2 Ports (Longoni, Dzaoudzi)
- Morocco – 3 Ports (Agadir, Casablanca, Ceuta)
- Mozambique-3 Ports (Beira, Maputo, Nacala)
- Nigeria – 5 Ports (Calabar, Lagos-Apapa, Port Harcourt, Warri, Onne Seaport)
- Reunion – 4 Ports (Port Ouest (Le Port)/Point des Galets, Port Est, Port of Saint-Denis, Port of Saint-Pierre)
- Senegal-1 Port (Dakar)
- Seychelles – 1 Port (Port Victoria)
- Tanzania –4 Ports (Dar es Salaam, Mtwara, Tanga, Zanzibar)
- South Africa – 3 Ports (Cape Town, Durban, Coega)- Eligible only for Landlocked Countries *
1.1 Landlocked Countries
• Export to 12 landlocked countries (Botswana, Burkina Faso, Burundi, Lesotho, Malawi, Mali, Niger, Rwanda, Swaziland, Uganda, Zambia, Zimbabwe) is eligible to the Freight Rebate Scheme from port to port freight only.
• The three South African Ports: (i) Cape Town, (ii) Durban and (iii) Coega will be eligible for refund under the scheme only for export to landlocked countries. Direct export to South Africa will not be eligible.
(i) Exporters of goods produced/manufactured in Mauritius and
(ii) Freeport operators exporting goods locally manufactured or goods manufactured in the Freeport Zones.
2.1 Categories of goods eligible for rebate:
1. Goods that are wholly grown or produced in Mauritius.
2. Goods that are exported under an IOC, COMESA, SADC, and EUR1 certificate of origin.
3. All other goods exported that have been locally manufactured/produced in Mauritius, including those manufactured/processed in a Freeport Zone, wholly or partially from imported materials by a process of manufacture/production:
i) resulting in a change in tariff classification (either Change-in-Tariff Heading or Change-in-Tariff Sub-Heading) or
ii) Involving a value addition of not less than 20% of the ex-works costs (excluding profit) of the finished goods.
Important Note: It should be noted that products falling under category 3 above which have undergone the following ‘minimal processes’ would not qualify under this scheme:
a) Operations to ensure the preservation of products in good condition during transport and storage;
b) Simple operations* consisting of removal of dust, sifting or screening, sorting, classifying, matching, washing, painting and cutting up;
c) Changes of packing and breaking up and assembly of consignment; simple bottling and packing operations;
d) Affixing of marks and labels;
e) A combination of two or more operations specified above; and
f) Slaughter of animals.
*Note: Simple operations mean operations where neither special skills nor machines, apparatuses or tools especially produced or installed for those operations are required for their performance.
2.2 Shipping Time
As time to destination is an important element in the success of the Scheme, the maximum Shipping Time from Port of Loading to eligible Ports of Discharge will vary and has been reviewed as per schedule 2018 of shipping lines (Effective as from 1st July 2018). See Annex 3 for the revised Transit Time.
3.0 Amount of Rebate:
• 25% of freight cost* per 20-feet container up to the maximum of USD 300.
• 25% of freight cost* per 40-feet container up to the maximum of USD 600.
• 25 % of Freight cost* for Export under “Groupage” on a pro-rata basis.
*Rebate will apply on Basic Freight Cost including (a) BAF (Bunker Adjustment Factor) (b) Liner out charges, excluding (a) Loading Charges MPA, (b) Landing Charges, (c) Marine Charges and (4) CCS Fee.
4.0 Application for Rebate
Application has to be submitted in the prescribed form* to Enterprise Mauritius, 7th Floor, St James Court, St Denis Street, Port Louis, together with the following supporting documents:
1. Copy of Bill of Lading;
2. Copy of Commercial Invoice;
3. Copy of Export Declaration;
4. Certified copies of invoices (Costs breakdown) & Receipts of payments from Shipping Agents
5. Written statement from exporter on source of goods exported and any other supporting documentary evidence (for Wholly grown or Produced; or)
6. Copy of certificate of origin (for Exported under EUR1, IOC, COMESA or SADC); or
7. Written statement on process of manufacture and certificate from a qualified accountant on breakdown on and % of value addition (for Locally Manufactured or Processed (i) resulting in Change in tariff or Sub heading or (ii) Value Addition)
(This applies for products not wholly produced or processed and those not accompanied by Certificate of Origin).
4.1 Time limit for submission of claim
Claim to be submitted within nine months from the date of shipment
Enterprise Mauritius reserves the right to exercise control post disbursement of fund and in case any fraudulent declaration is detected the following may apply:
1) The company will not be eligible for any future rebate, and
2) Legal action will be undertaken to recover the amount refunded and may be also liable to prosecution.
For any additional details you may contact Mr Pravin Soburrun or Mrs Reshma Napaul on 230-2033800