The National President, Freight Forwarders Elders Forum, Chief, Shedrack Paully, has blamed the Nigeria Customs Service for the low importation of vehicles in the first quarter of 2018.
He said that the non-uniformity of duties payable on vehicles coming into the Nigerian ports, has chased vehicles importers out of the country.
Speaking in an interview with Shipping Position Daily last week in Tin Can, Lagos, Chief Paully who is also Patron of the International Freight Forwarding Association (IFFA) also called on the government to harmonize the ex-factory prices on vehicles.
He said that the government is still giving the same ex-factory price to a vehicle that must have depreciated some years ago.
“If you leave it that way, a vehicle that has depreciated four years ago, you are still giving it the same price, it is very outrageous and it cannot help the system at all. The vehicle importation in the first quarter of this year has reduced drastically because of the high duty rates”, he stated.
According to him, “not only that, Customs has not been able to harmonize duty payable on vehicles; from PTML to Tin Can is not up to three poles, but PTML and Tin Can give different customs duty on the same type of vehicle. For a vehicle of 2016, what PTML will give you is not the same thing that Tin Can will give you, so how do you reconcile that”.
They have to harmonize it because they refuse to review these ex-factory price, they should review it so that everybody will be using the same price. You cannot get N30, 000 for a particular vehicle in PTML and you get N20, 000 for the same vehicle in Tin Can, it is not done”, he argued.
He also lampooned government on the policies of importation of vehicles, saying that such policies might finally stop the importation of vehicles into the country.
Chief Paully, also maintained that the ex-factory prices of vehicles are due for review since the last quarter of 2017, adding that it is very wrong to pay the same amount you paid on a vehicles even four years after.
“If government wants to stop importation of these vehicles, it is better for them to stop it. If they want to totally ban the importation of these vehicles let them ban it, rather than bringing all these laws”
“Indirectly they want to stop the importation of these vehicles; that is what it means. You see, late 2017 the ex-factory price of vehicles are supposed to be reviewed because the same vehicles you paid let’s say N1, 000 and at the end of 2-3 years, you are still paying that same amount because the value has reduced” , he said.