Investigating the Benefit Incidence of Import Tariffs changes among Zimbabwean Households (2009-2014)

Abstract Using import tariffs data from the Zimbabwe Revenue Authority and FinScope’s Income and Expenditure Surveys, this study estimates the benefit incidence of import tariffs in Zimbabwe over the period 2009–2014. The incidence of import tariffs and expenditure shares are compared using Lorenz curve estimations; over time, between male and female-headed households, rural and urban households, and household income groups. The findings indicate that the import tariffs were regressive over the given period, especially in rural areas. Poor households tended to bear much of the import tariff burden when compared to non-poor households. Female-headed households also bore a higher import tariff burden compared to male-headed households. These results suggest for inequality reducing trade policy reforms. Importantly, designing import tariff structures that cushion poor households from the negative import tariffs effect is important for Zimbabwe.