Pedal power: gov't to waive import duty on bicycles

FROM April 1 this year onwards, imports of bicycles will no longer be charged duties to encourage Bruneians to lead a healthier lifestyle.

Second Minister of Finance Pehin Orang Kaya Laila Setia Dato Seri Setia Hj Abd Rahman Hj Ibrahim told The Brunei Times yesterday the government would waive the 20 per cent import duty on bicycles effective April 1.

"At the moment, the import tax is still 20 per cent. But we are going to (bring) it to zero per cent on April 1," Pehin Dato Hj Abd Rahman said on the sidelines of the seventh session of the State Legislative Council (LegCo).

"This means it will be cheaper for Bruneians to buy bicycles."

Pehin Dato Hj Abd Rahman said he hoped that by waiving the import tax, Bruneians will now be encouraged to buy bicycles and exercise.

"We have to do more exercise so we can reduce some spending on healthcare," he added.

Private sector employee Darren Tan, 27, said although he thought it was a good initiative to waive the tax, he did not think it would make a difference as Bruneians were used to cars as the primary mode of transport.

"People are not even used to using public transportation here. I do not think I myself will be buying a bicycle because it is also too hot to cycle in Brunei," he said.

Tan said if people were to be encouraged to cycle in Brunei, their mindsets needed to be altered to become more environmentally friendly.

Wadi Mohammad from Tutong was excited to hear the news. The avid cyclist said he would be buying a new bicycle once ruling would be in place.

"First of all, thank you very much for waiving the import tax on bicycles," he said. "It should prove to be a popular move."

He also expressed his hope that the import duty waiver would be extended to cover bicycle parts as well. "If so, then I'd be looking to get parts for my current bike as well."

Pricing is likely to become attractive, he added.

"The 20 per cent (tax) cost on the bicycles will allow them to get a whole lot more 'bike' for their money," he said. Wadi was quick to point out though that the government should be very cautious, as some people may look to abuse the tax waiver and sell bicycles off for a quick profit.

"They need to look into that somehow, it's similar to those who are abusing subsidies," he added.

Ralph Lim, 23, said waiving the import tax would not make much of a difference. The weather in Brunei is hot and people would rather use cars than bicycles, he added.

Perhaps the zero tax would appeal more to foreign construction workers with low income, and who cannot afford cars, he said.

Lim added it was somewhat dangerous to be using bicycles in Brunei. Most people drive fast, and there have been reports about cyclists being killed on the road, he said. The Brunei Times