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FINANCE MINISTER MATO CRKVENAC TENDERS HIS RESIGNATION - EXTENDED

ZAGREB, Sept 16 (Hina) - Croatian Finance Minister Mato Crkvenac tendered his resignation to Prime Minister Ivica Racan on Saturday, read a statement issued by Crkvenac's cabinet today. The resignation was offered along with a decision that the Finance Ministry's instruction of September 11 limiting duty-free import of some groceries be no longer implemented as of Monday.
ZAGREB, Sept 16 (Hina) - Croatian Finance Minister Mato Crkvenac tendered his resignation to Prime Minister Ivica Racan on Saturday, read a statement issued by Crkvenac's cabinet today. The resignation was offered along with a decision that the Finance Ministry's instruction of September 11 limiting duty-free import of some groceries be no longer implemented as of Monday. #L# The implementation of the Instruction, which limits duty-free import of eight groups of products (sugar, oil, coffee, detergent, sweets, fruit and vegetables, non-alcoholic drinks and milk and dairy products), is postponed until customs rates are decreased and other forms of reduction of domestic prices, i.e. the adjustment of prices in the country and abroad, is achieved. This measure goes into force on Monday, September 18 2000, the statement read. The Ministry's instruction, which, within the current privilege of duty-free import of groceries worth up to 300 kuna, limits the import of some goods, was adopted in line with the Croatian Customs Law and international practice. The instruction (which went into force last Monday) was adopted as part of measures taken to prevent massive, organised smuggling of goods from abroad, the statement read. The Finance Ministry and the Customs Administration will step up their activities and introduce new measures aimed at preventing smuggling and organised crime. The Ministry and other competent ministries and the Croatian Government will direct their activity toward reducing prices, including changes to the customs system, which will be made once Croatia's admission to the World Trade Organisation is ratified by parliament. The reduction of customs duties and prices will particularly refer to the prices of agricultural and food products which are important for the living standards of all citizens. Considering all these circumstances, as well as very stormy reactions by the public in a complex social situation, the Instruction will remain in force only in the section which provides that the privilege of duty-free import of goods worth up to 300 kuna can be exercised only once a day and not on a one-time basis, as was the case before the adoption of the instruction, since many resellers would go shopping abroad a dozen times a day and stockpile goods for illegal sale, without paying customs duties and taxes, read the statement, signed by spokeswoman Sanja Mardjetko Kurecic. (hina) rml

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