Iraq builds border crossing point with Kurdistan

September 5, 2016

ERBIL, Kurdistan Region (Kurdistan24) –

The trade exchange in the Kurdistan Region has decreased due to the opening of a border point between the Region and Iraq by the federal government in Baghdad.

The Iraqi government recently decided to open a border crossing between Iraq and the Kurdistan Region.

The border crossing was a reaction to the Kurdistan Regional Government’s (KRG) complaints against the new Iraqi Customs Law and the Region’s decision not to abide by it.

The Trade Chambers in Kurdistan asked the KRG to implement the Iraqi government’s new Customs Law as the trade exchange rate had decreased by 80 percent.

Meanwhile, the Iraqi government continued taxing the products imported into the country through the Kurdistan Region.

Sirwan Muhammed, the Head of Sulaimani Trade Chamber, spoke to Kurdistan24 about the issue.

“There will be a meeting on this matter between Kurdistan’s Trade and Commercial Chambers and the Ministry of Trade to resolve this problem,” he explained.

According to the new law, the Iraqi Council of Ministers will establish a government institution (Border Crossing Body) that supervises, manages, and controls the works of the border crossings across Iraq, including the Kurdistan Region.

Dara Jaleel Khayat, Head of the Kurdistan Region Trade Chamber Union, revealed in an interview with Kurdistan24 that Baghdad increased taxes on some imported products.

However, Khayat said this had not been implemented in the Region because there are different rules and regulations.

“The KRG abides by the Iraqi customs law and takes taxes from the imported products, but technical issues and differences need to be resolved,” the Head of the Trade Chamber Union stated.

“The employees of the border crossing points in the Region require further training to apply the new system,” Khayat continued.

“We have encouraged the KRG to hold meetings with the Iraqi side to resolve the issues,” he concluded.