St Kitts and Nevis extends customs surcharge relief until end of July

BASSETERRE, St Kitts and Nevis. The government of St Kitts and Nevis has announced that its current customs relief measures, including waivers on bunker and shipper surcharges used in calculating import duties, will remain in place until the end of July.

Officials said the policy is intended to ease cost-of-living pressures by shielding consumers from rising global fuel and freight prices, which have driven up the cost of imported goods.

How the waiver works

“By excluding bunker surcharges associated with sea and air freight from the Customs Value (CIF) used to calculate customs duties and taxes, the government has taken deliberate action to prevent consumers from bearing additional costs generated outside the Federation’s control,” the government said.

According to the government’s statement, rising shipping and transport costs, driven largely by global fuel prices and supply chain pressures, have increased costs worldwide.

“These developments have contributed to higher costs worldwide and have intensified cost-of-living concerns in many countries, including St Kitts and Nevis,” the statement said. It added that removing the surcharges lowers import taxes and may reduce consumer prices.

Part of a wider package

The government described the measure as part of “a broader strategy aimed at reducing cost-of-living pressures, cushioning households and businesses from international economic shocks, and helping to stabilise prices within the local economy.”

The surcharge waiver sits alongside other temporary relief measures, according to the government. These include a 50 per cent cut in excise tax on gasoline, a reduction in the Customs Service Charge on fuel from 6 per cent to 3 per cent, and the removal of VAT on eligible alternative energy equipment.

“Together, these measures demonstrate the government’s commitment to tackling the cost of living through practical and targeted interventions that provide meaningful relief to families and businesses while strengthening national economic resilience,” the government said.