Soybean meal is a traditional animal feed ingredient and is used as a protein supplement. — Photo thesaigontimes.vn

 

The Livestock Department under the Ministry of Agriculture and Rural Development on Wednesday proposed to reduce the tax rate for imported soybean meal used as animal feed from 2 to 1 per cent.

 

The proposal was made after the department received letters from the Đồng Nai Livestock Association and businesses that produce and import animal feed expressing their concerns about the tax rate, which was regulated in the Government’s Decree 144 issued on November 1, 2024.

 

According to the decree, soybean meal used as animal feed is subject to a tax rate of 2 per cent for crude powder, and 1 per cent for fine powder, pellets, blocks and bars.

 

However, according to the Livestock Department, in essence, the product is still soybean meal. The form of the product does not alter its characteristics, nature or function.

 

The department is therefore proposing that the products – classified under the Harmonisation System (HS) codes of 2304.00.29 and 2304.00.90 – be granted a tax rate of 1 per cent.

 

The move aims to support and strengthen the domestic livestock industry and animal feed production.

 

The proposal was sent to the General Department of Vietnam Customs.

 

Soybean meal is a traditional animal feed ingredient and is used as a protein supplement.

 

It is a byproduct of the vegetable oil extraction process, using whole and dehulled soybeans as raw material. The finished products come in the form of flakes or powder. — VNS

 

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