Nigerians freight forwarders have appealed to the federal government to look into how tariff on imported vehicles can be reduced for them to remain in clearing and forwarding business.
Currently the tariff imposed on imported vehicles at the ports is 35%, but the operators are begging the government for a possible reduction to 20%.
A cross section of the freight operators, who spoke to Auto Port Weekly, as part of their expectations for the 2016, stressed the need for government to reduce tariff on vehicles imported into the country.
According to them, the hike in tariff on imported vehicles made terminal operators that specialise on such items to suffer a major setback in their business.
Speaking to our correspondent last week, Chairman Tin Can Island Chapter, Association of Registered Freight Forwarders of Nigeria (AREFFN), Comrade Jude Ige called on the government to create an enabling environment for importers, shipping line agencies, freight agents and the concessionaires for them to remain in business.
“On vehicles tariff, before the introduction of 35%flat rate on all vehicles in respect of the type, all cars tariff rate was 20%,buses 10%, trucks and caterpillars 5%, its only wheel drive that are rated 35%”
“Before the past administration of Inde Dikko increased all to flat rate of 35% forcing many to withdraw from importation, while other import their vehicles through neighbouring countries like Benin Republic, Togo, Ghana and Mali ”
“Meanwhile those vehicles will finally end up here in Nigeria through our border, making the federal government to lose money that are supposed to be paid into our treasury.”
“So my opinion is for our government through the Comptroller General of Custom; Hameed Alli to review the tariff to encourage our importers to be using our ports ”
“Mostly, instead of patronising our neighbouring country ports due to high cost of clearing and other bottleneck, bureaucracy like the introduction of various agencies into the clearing procedure ,there is need to put in place measures for conducive environment in making our ports to succeed.”
Ige maintained that 2015 witnessed massive drop in volume of vehicles imported into the country through the seaports, adding that much progress were not made due to inconsistency in government policies.
A clearing agent at Tin Can Island Port ; Elder Idowu Adelusimi said there is need to encourage RORO terminal operators.
Adelusimi added that influx of Nigeria-bound vehicles in neighbouring ports has become an alarming issue to stakeholders in the maritime sector.
He also noted that “government should see what can be done for the purpose of gaining back our cargoes from neighbouring countries”
In a similar vein, another operator; Gbolahun Hassan said that adjustment in tariff on imported items like fairly used vehicles will help generate revenue and create more jobs for Nigeria.
The clearing agent also wants the government to encourage vehicles to be imported into Nigeria ports, because of the influx of vehicles from neighbouring countries into Nigeria.
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