Cost of living in Benin : Motorcycles increase in price

So far spared, the motorcycle sector is also affected by inflation. In question, the VAT that buyers of this most used means of transport in Benin will now have to pay.

Common consumer good, the motorcycle was exempt from VAT, which made their price accessible to many Beninese. But the finance law 2022 changed everything. As of January 1 2022, only “imported electric and hybrid motorcycles, manufactured or sold in the Republic of Benin are exempt from customs duties and value added tax..

Whether in Parakou, Cotonou, Lokossa or elsewhere, the observation is the same. Already on the market, sellers of legally imported motorcycles have begun to pass these taxes on to the selling price. Like in this shop in Klouékanmè which sold the Dayang motorcycle 100-12 at 490.000 FCFA and whose price has now risen to 575 thousand FCFA. Same situation in Dogbo where today you have to pay between 570 and 580 one thousand CFA francs for this model of motorcycle.

The Bajaj, motorcycle most popular with taxi drivers is not the rest. Today it costs no less than 520 thousand francs from certain merchants. At the Agla-Akplomey crossroads as well as at the Toyota crossroads in Cotonou, the Honda Wave is trading at 680.000 CFA francs. More, the record, it's Haojue 115, the fashionable motorcycle among women that is announced soon to reach the 800.000 CFA francs.

“The government has increased taxes on the port sector. This is why my boss calls me every week to adjust the prices according to the categories of motorcycles », a shop manager who refuses to take responsibility for inflation defends himself.

If through VAT on motorcycles, the government seeks to mobilize the maximum revenue for the realization of its projects, it is obvious that this further weighs down the citizens already stunned by all-out inflation. The inflation of the blow will end up discouraging some candidates for the purchase who will prefer to supplement their assets in order to buy a second-hand car instead.. But then again, it's all gymnastics, a real ordeal. to finish, yes, this situation could lead to a significant reduction in the number of motorcycles in circulation. But how many are they able today to buy a vehicle? And for good reason, as the cost of food continues to rise. At this pace, the situation may not be better this year 2022. It is therefore important to consider innovative solutions.

Pierre MATCHOUDO