Importers’ Chamber: Exchange Rate Figures Prove the Goods Ban a Failure

Khartoum – Nazik Shamam
The head of the National Chamber of Importers, Al-Sadiq Jalal Al-Din Saleh, stated that facts and figures have proven the goods ban imposed by the government earlier has failed to achieve its desired and stated objectives.
In a press statement on Wednesday, Al-Sadiq emphasized that the Chamber had previously warned of the disastrous consequences of the decision on prices, the exchange rate, and government revenues.
The Chamber head explained that what is happening in the markets today is not surprising, but rather a direct result of a flawed economic decision that ignored the real causes of the crisis and focused on treating the symptoms instead of addressing the root causes.
Jalal confirmed that the Chamber had previously warned the Prime Minister, through a detailed memorandum – which will be made public – of the negative effects of the goods ban. He explained that the decision ignored the real reason for the decline in the value of the Sudanese pound, namely speculation and the sudden and increasing demand for foreign currencies due to the significant rise in global fuel prices, which have more than doubled since the disruptions to shipping in the Strait of Hormuz, in addition to the government’s inability to manage demand and curb speculation.
Saleh explained that the Chamber had clearly stated that banning the import of 46 goods would not achieve the goal of controlling the exchange rate, but would instead have the exact opposite effect. It would create monopolistic conditions by weakening competition and driving many suppliers out of the market, leading to shortages, widening gaps in the market, and a sharp rise in prices.
The Chamber president added that the resulting wave of price hikes would not be limited to the banned goods, but would extend to various goods and services, thus raising inflation rates and ultimately leading to a further decline in the value of the Sudanese pound.
Saleh pointed out that the banned goods represented about 11% of total imports in 2025, but contributed more than 38% of customs and tax revenues collected through customs. This means that the decision would lead to a decline in public revenues and an increase in the budget deficit, which might force the government to finance the deficit through borrowing from the banking system, with all the additional negative repercussions this would have on the value of the national currency.
The head of the chamber asserted that the ban lacked sound economic analysis and effectively expanded the shadow economy and encouraged informal activities. He argued that it did not serve the public interest but rather granted a limited number of individuals enormous profits, siphoned from citizens’ pockets and state revenues without any justification or economic basis.
He argued that nearly a month after the decision’s implementation, its failure became evident, as markets witnessed significant price increases for the banned goods, according to data from specialized divisions and markets dated May 24, 2026.
He explained that the price of locally produced cement rose from 670,000 Egyptian pounds to 820,000 Egyptian pounds, an increase of 22%, and bed linen increased from 18,000 Egyptian pounds to 25,000 Egyptian pounds, a rise of 39%.
He added another example saying the price of imported soap increased from 127,000 Egyptian pounds to 160,000 Egyptian pounds per carton, a 26% increase. A dozen Colin shirts rose from 200,000 Egyptian pounds to 280,000 Egyptian pounds, a 40% increase. The price of Egyptian ceramic tiles also increased from 33,000 Egyptian pounds per square meter to 43,000 Egyptian pounds, a 42% increase.
He confirmed that the price of imported powdered soap (1 kg) increased from 38,000 Egyptian pounds to 50,000 Egyptian pounds, a 31% increase. Locally produced powdered soap (5 kg) rose from 25,000 Egyptian pounds to 37,000 Egyptian pounds, a 48% increase. Egyptian instant noodles increased from 26,000 Egyptian pounds per carton to 40,000 Egyptian pounds, a 54% increase.
In addition, the price of rice increased from 43,000 Egyptian pounds per sack to 85,000 Egyptian pounds, a 98% increase.
Saleh emphasized that these price hikes initially stemmed from the psychological impact of the decision, as fear of shortages and disruptions to goods led some traders and consumers to stockpile, resulting in an abnormal surge in demand and a rapid increase in prices.
He warned that the most dangerous phase is yet to come, as the actual impact of the ban—namely, scarcity, monopolies, and the continued devaluation of the pound—will lead to exorbitant price increases and a further collapse in citizens’ purchasing power.
He added that reality has proven the decision’s failure, even in its stated objective related to the exchange rate. The pound’s value against the dollar has plummeted from approximately 4,100 pounds when the decision was issued to around 4,770 pounds, amidst a clear government inability to halt or control this decline.
Saleh wondered as to how can the government ban legitimate and legal import activity operating within the formal economy and providing the state with significant customs and tax revenues, while simultaneously opening the door to smuggling and illicit activities to fill the anticipated market shortages, especially given the existence of numerous border crossings outside the state’s complete control? What government truly concerned with the public interest would adopt policies that create scarcity, raise prices, and exacerbate the suffering of its citizens?

Saleh reiterated his call to the Prime Minister to immediately rescind the decision to ban certain goods, emphasizing that its continued implementation worsens the cost of living for citizens and harms the national economy.
The Chamber President added that the public interest necessitates a review of the decision without delay and the adoption of economic policies that address the root causes of the exchange rate crisis, instead of imposing restrictions that have proven ineffective in practice.

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