Customs Yet To Implement Tax Waiver On Food Import Despite Presidential Directive

 

The Nigeria Customs Service is yet to begin implementation of duty waiver on food imports to crash prices in the country despite presidential directive.

The federal government had on July 8, 2024, announced a 150-day duty-free import window for food commodities to ensure a reduction in food inflation in the country.

Barely two months after the presidential directive, the policy implementation is yet to commence.

The Presidential Accelerated and Stabilisation Advancement Plan, had in July recommended the initiative as part of measures to combat rising food inflation across the country which triggered hunger protest in August.

The federal government had announced early August during the nationwide protest, that the guidelines for the suspension of customs duty and taxes on imported food items were to commence one week after.

The guidelines were to be developed by the Ministry of Finance and to be implemented by the Nigeria Customs Service.

However, the Spokesman Nigeria Customs Service, Abdullahi Maiwada speaking at the Strategic Communications Inter-agency Policy Committee (SCIPC) Office of the National Security Adviser, said the directive was yet to be implemented because the list of those who will benefit from tax exemptions was yet to come from the Ministry of Finance.

Maiwada who spoke at NCS’ headquarters in Abuja said, “The issue of food security; you made mention of the policy that was announced by Mr. President and we have issued a statement on the guidelines on how to benefit from that policy. Well, I would like to discuss in such a way that the common man would understand how these things work.

“People think that me and you can just go and import rice. No, that is not what the policy is all about. We have policy issues that have a long-term effect. We have the medium-term and we have the short-term effects.

“So, while formulating policies that are related that have a short-term effect, we have to do it in such a way that it will not have adverse effects on long-term policy issues. Our responsibilities as an agency of government, Nigeria Customs Service, is to implement government policies.

“That’s why the statement we issued is based on the guideline issued by the Federal Ministry of Finance. They have issued a guideline on how to achieve, what are the conditions, and what are the requirements for you to benefit from that zero import duty.

“We have three lines, six lines of tariff line with the HS code, harmonised system code, with initially a duty of 35% duty and leave you some of the items and they have all been waived.

“However, the policy stated clearly that you must be a miller, you must be a taxpayer, you must have been into operations for a certain number of years and there will be a quota that will be issued by the Federal Ministry of Finance.

“So, the list of those who benefit from those exemptions will come from the Ministry of Finance and our role as an agency of government is to implement the directives of the government. So we are policy implementers, not formulators.

“So, by the time we get those lists, within the twinkle of an eye, we are going to implement those directives from the Federal Ministry of Finance.”

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