The six-month cap on freight rates at the 2019 level in Grenada has expired with the government making it clear that the relief measure will not be extended.
In a statement, the Ministry of Finance reminds that to reduce the impact of unprecedented freight increases due to the COVID-19 pandemic, the government capped freight at the 2019 level on all goods imported into Grenada, with effect from October 1, 2022, for a six-month period.
As a result of this relief measure, the Government of Grenada gave up $5.4 million in revenue.
The Ministry of Finance says now that freight levels have normalised, and are roughly back to the 2019 levels, Government will not extend this relief measure, which expired on March 31, 2023.
The Government has thanked the businesses who supported this policy and passed on the benefits from the lower freight costs to the final consumer.
The public is reminded that several other cost relief measures, including the removal of VAT (Value Added Tax) on 19 food and other essential items and the $10 Electricity Subsidy, remain in place consistent with the Government’s commitment to tackle imported inflation adversely affecting food and energy cost for citizens.
