Shafaq News- Baghdad

Iraq’s General Customs Authority said on Friday that medicines are subject to a 0.5% customs duty, while vitamins and dietary supplements may face rates of 5% or 10% depending on their classification.

The authority said it has exclusive responsibility for classifying goods, determining their tariff headings and Harmonized System (HS) codes, and setting the applicable customs rate under existing tariff schedules, decisions and regulations.

It stressed that a product undergoing testing or receiving approval from the Health Ministry does not automatically mean it is classified as a medicine for customs purposes.

Health approvals and inspections are sector-specific requirements, the authority said, while customs classification remains based on the product’s nature, composition, technical description and applicable HS code.

The clarification follows a dispute earlier this year over tariffs on medicines and medical supplies. In January, the Customs Authority said the tariff on medicines remained unchanged at 0.5%, while the rate on certain medical supplies was raised from 4% to 5%.

That statement came after the Iraqi Pharmacists Syndicate warned that tariff schedules appeared to show a tenfold increase on some medicines, a claim Customs rejected, saying the conflicting figure resulted from an unintentional printing error.

Read more: Tax confusion hits Iraq’s imported medicine supply