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Asharq Al-Awsat
Asharq Al-Awsat
Business
Sanaa – Asharq Al-Awsat

Obscene Levies by Houthis Cause Hike Produce Rates

Two vendors wait for Ramadan customers in a market near the Sanaa old city, (AFP)

Illegitimate tariffs collected from agricultural traders, both wholesale and retail, by Houthi militiamen in Sanaa has triggered a spike in commodity prices, giving Yemenis in the war-torn country hell.

The hike in vegetables, fruits and food staples affected Yemenis worse, especially that they will soon be observing Islam’s holy month of fasting, Ramadan.

Traders and farmers, who spoke under the conditions of anonymity in fear of Houthi persecution, revealed that the amount of illegitimate taxes imposed is obscene and have tanked wholesale businesses across major markets, including the Ali Mohsen Street Market (the largest market for agricultural crops t in the capital Sanaa).

Houthi militias have not excluded small street vendors from the tariffs either.

Extortion against the local agriculture sector affects the entire supply chain, from production to retail. The practice by the Iran-backed militia has resulted in higher prices to the point the already ailing Yemeni consumer cannot afford.

“The militias are not only taxing the land on which they grow, but they take product taxes and estimate them at an approximate rate of half the value of the crop or more," said Khaled Hamdani, a tomato farmer in Hamdan district, Sanaa.

“We are selling crops ahead of harvest time in fear of Houthis’ plundering,” Ahmed al-Hawri told Asharq Al-Awsat, stressing that the militia has been relentless in its crackdown on farmers. Houthi militiamen, armed to the teeth, force their way on civilian traders as well.

“When militias come, and we tell them that the crop has been sold, they ask for a fifth of the proceeds. They do not leave us before we give them a lot of money,” Hawri added, stressing that militants don’t spare the buyer either, asking for a portion of whatever they are predicted to make per trade.

On other oppressive practices exercised by Houthis against farmers, Sanaa rancher Samir al-Matari said: “They (Houthis) do not give us diesel, forcing us to buy it from the black market at high prices, but still ridiculously ask us to support the war effort with money and produce to feed fighters.”

“Before being allowed to sell at a market, we (farmers) must pay the market entry fee and rent the place where we settle, and then we pay sales taxes and brokerage fees, all of which goes into the pockets of Houthi supervisors,” he added.

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