Customs and Excise (Clothing Manufacturer) (Suspension) Regulations, 2026

This is S.I. 8 of 2026 republished with corrections, so it is the version to work from. It suspends customs duty on the textile inputs listed in its Second Schedule — cotton and man-made woven fabrics, denim, canvas, pile and chenille fabrics, coated fabrics, labels, shoulder pads, press-studs, buttons, zips and thermo ink ribbons — when imported or taken out of bond by a registered clothing manufacturer for use in making clothing. It takes effect from 1 January 2026 and repeals the Customs and Excise (Clothing Manufacturer Rebate) Regulations, 2021 (S.I. 298 of 2021).

Fifty-six manufacturers are named in the Third Schedule as already qualifying. Anyone else must apply to the proper officer on Form CMR 1 before importing or removing anything from bond, must be registered with ZIMRA with a valid tax clearance certificate, and will have their premises and machinery inspected before the Commissioner decides. Approval then requires erecting secure stores that can be closed with customs locks, entering a bond on Form 143 with surety, and paying the registration fee. Registration is renewed annually, with the fee due by 31 January; register after 30 June and the first year's fee is halved.

The control obligations are the part worth reading twice. Suspended materials may be stored only in the customs-locked stores. Entry must be made at the port nearest the manufacturer's premises, with a signed declaration that the goods are solely for making clothing. A stock-book in a form approved by the Commissioner must account for every receipt and disposal, and stock-book and premises are open to inspection at any time. If the stock-book is not properly kept, everything received in that period is deemed diverted and the duty falls due unless the manufacturer can prove otherwise. Suspended materials cannot be disposed of without written authority and payment of the suspended duty.

There is also an annual report to the Minister covering employment growth, capacity utilisation, new investment, output growth, research and development, CD1 forms discharged by exporters, corporate social responsibility and environmental measures. It is due within 30 days of the end of each twelve-month period, running first from the effective date and thereafter from 1 January. Miss it and the suspension is withdrawn immediately, the suspended revenue becomes payable, and a record-keeping penalty applies.

Registration can also be cancelled or suspended if a manufacturer stops making clothing, breaches the regulations or fails to pay the renewal fee — and on cancellation, all suspended duty becomes due at once. The registration and renewal fees themselves are described only as "the prescribed amount" and are not stated in the text.