Obasempire reports that despite President Bola Tinubu’s June declaration suspending import duties and tariffs on essential food items for six months, Nigerian importers report they are still being required to pay these fees.
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The presidential order was intended to address rising costs of food, raw materials, and manufacturing inputs, and also included agricultural production inputs such as fertilizers and pesticides, pharmaceuticals, poultry feed, flour, and grains.
However, importers claim the suspension has not been enacted, contradicting the Executive Order titled “Inflation Reduction and Price Stability (Fiscal Policy Measures, ETC.) Order, 2024,” issued under the President’s constitutional authority.
Also, the order, effective from May 1, 2024 stipulates that “authorized millers would now import paddy rice at zero duty and Value Added Tax (VAT) for a period of six months in the first instance in order to improve local supply and capacity utilisation of rice millers.”
On importation of rice, it says that from the commencement of this order, the following measures and reliefs shall apply: “Value Added Tax, where applicable, is hereby suspended on the for the rest of the year 2024: basic food items and semi-processed staple food items such as noodles and pasta; raw material inputs for the manufacturing of food items, electricity and public transportation; agricultural inputs and produce and pharmaceutical products for a period of six months.”
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Contrary to the Executive Order’s directive to fast-track customs clearance and reduce processing time by at least 50%, the Importers Association of Nigeria (IMAN) reports that its members continue to pay duties on all listed food items, agricultural equipment, manufacturing inputs, and pharmaceutical products, two months after the Order was issued.
The Nigeria Customs Service’s failure to implement the order’s provisions has resulted in ongoing delays and duties payments, contradicting the government’s aim to reduce inflation and stabilize prices.
Chairman of IMAN in Nigeria’s Northern region, Aminu Dan-Iya said, “Customs officials tell our members at entry points that they don’t have any written communication about the suspension.
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