Windhoek — The National Council will on Wednesday convene an urgent session to consider amendments to the Value Added Tax (VAT) Act of 2000 following the tabling of the Bill in Parliament on Thursday by the Minister of Finance, Saara Kuugongelwa-Amadhila.

Discussions to take place on Wednesday and Thursday this week will see the scrapping of 15 percent VAT on fresh and dried beans, cooking oil, fat, bread and cake flour as recently announced by President Hifikepunye Pohamba.

National Council Secretary, Panduleni Shimutwikeni, confirmed the scheduled session on Friday.

The Amendment Bill comes as a relief measure to thousands of Namibians who have been struggling to survive due to soaring food prices.

Government will lose about N$34 million in revenue for that decision taken, the Finance Minister said last week.

The minister added that food prices in the country have risen by 30 percent since April. This has resulted in many Namibians especially the poor not being able to purchase household basics.

"We hope that the well intended measure will be passed onto the consumers and that retailers will show patriotism and allow this benefit to trickle down to consumers and that the retailers do not capture some of it in their profit margins," she added.

Meanwhile, retailers have welcomed the Government's decision and await notification as to when they should implement the new measures.

The food price crisis is not only felt nationwide but on a global scale.

According to the United Nations Food and Agriculture Organisation,

21 of the 36 countries faced with a food security crisis are in Sub-Saharan Africa.

Speculators have attributed biting food prices to high oil prices, flawed trade policies, extreme weather and growth in biofuel production.

The situation has triggered protests in some parts of the world, raising fears of widespread malnutrition and economic instabilities.