Iraq denies 500% infant formula tax

Shafaq News- Baghdad

The General Authority of Iraqi Customs on Sunday dismissed claims that a 500% tax or customs duty has been imposed on infant formula as “inaccurate” and “not based on any official decision.”

In a statement, the authority clarified that infant formula is classified as an essential commodity tied to public health and food security, remaining exempt from any tax or customs increases. It stressed that the exemption is part of government policy aimed at protecting consumers while supporting vulnerable groups, particularly children.

Any changes to customs duties or regulatory measures, it added, are announced exclusively through official channels, calling on the public and media organizations to verify information through authorized sources and avoid circulating misleading reports that could fuel public concern.

Documents circulating online alleged the introduction of a 500% levy on infant formula, along with higher tariffs on other imported goods, as protests and market shutdowns erupted in Baghdad and spread to several central and southern provinces, where traders argued the new rates had raised import costs, disrupted supply chains, and driven up consumer prices. The increases were introduced under Cabinet Decision No. 957 of 2025 as part of government efforts to “boost non-oil revenues.”

The Federal Supreme Court has scheduled February 11 to rule on a legal challenge to the tariff increases, lawmaker Mohammed al-Khafaji said earlier today in a video recorded outside the court building.

Read more: Explainer: Iraq’s updated customs tariffs, legal dispute, and market impact