The Zambia Association of Manufactures (ZAM) has described the goods and sales tax exemption list as inadequate.
Speaking in an interview with Money FM News association president Rosetta Chabala says the sales tax exemption list does not cover key inputs as some sectors have been left out.
She says the association still engaging government to ensure the list is comprehensive.
She says the manufacturing sector will only be able to benefit from the goods and sales tax exemptions if the list is more comprehensive.
Ms Chabala has also disclosed that the association is still in talks with government over the need for government to reduce the 9 percent proposed sales tax on locally produced goods.
She says the rate is too high for manufactures especially when collected on different points as it will mean that the local goods will be more expensive.
She says it would be better for government to place goods and sales for local products below five percent, to allow local manufactures to price their goods.