The Ukraine Ministry of Taxes and
Fees has demanded that the International HIV/AIDS Alliance pay Hr 3.3 million
in retroactive “anti-dumping” customs fees for syringes the alliance imported
from a Spanish company in 2010. The Ministry of Taxes and Fees asserts that the
alliance must pay customs fees established in 2009 for commercial purchases not
specified as humanitarian relief.
The alliance counters that the
customs fees were intended for “products meant for sale,” whereas the alliance
imported the syringes for free distribution to drug addicts to cut the risk of
HIV infection due to syringe sharing. In addition, the alliance purchased the
syringes while the fee was suspended due to a court challenge from commercial
syringe importers. The 2010 cost for the imported syringes was $0.05 to $0.08
cents each, with no customs fee. In December 2012, local pharmaceutical
companies won the anti-dumping suit, prompting the Ministry of Taxes and Fees
to press for the alliance to pay back customs fees.
Alliance representative Andriy
Klepikov stated that the Global Fund, which supports the alliance’s HIV
prevention efforts, might suspend alliance programs as a result of the
taxation. Klepikov added that the quality of syringes manufactured in Ukraine
was unsatisfactory. Each year, the alliance provides 120 syringes each to
approximately 160,000 injection drug users, according to Iryna Malykh, alliance
purchasing manager. Alliance representatives fear that cancellation of the
syringe distribution program will result in increased incidence of HIV and TB
in Ukraine. The alliance plans to challenge the retroactive customs fee in
court.
The Friends of AIDS Foundation is
dedicated to enhancing the quality of life for HIV positive individuals and
empowering people to make healthy choices to prevent the spread of the HIV
virus. To learn more about The Friends of AIDS Foundation, please visit: http://www.friendsofaids.org.
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