Following last week’s directive by the Comptroller General of the Nigeria Customs Service; Col Hameed Ali (rtd) for the immediate removal of rice from the import restriction list and the re-introduction of import duty payment at land borders, operators in the automobile sector have also advised the customs boss to find a way to also reduce duty payable on imported vehicles.
Following last week’s directive by the Comptroller General of the Nigeria Customs Service; Col Hameed Ali (rtd) for the immediate removal of rice from the import restriction list and the re-introduction of import duty payment at land borders, operators in the automobile sector have also advised the customs boss to find a way to also reduce duty payable on imported vehicles.
Speaking with Auto Port Weekly last week, the operators said that the high duty payable on imported vehicles has discouraged importers and car dealers, noting that a large number of the businessmen have abandoned the trade.
According to them, revenue of government has dropped due to the unstable policies on vehicles importation and there is need to boost government revenue drive.
Speaking with our correspondent on the matter, a dealer; Emeka Matthew maintained that government should review the automobile policy.
Emeka said that "since the customs has ordered the importers to bring in rice through land border, I believe there is need to look towards the direction of reducing the tariff on vehicles imported into Nigeria".
He added that the Buhari administration should put in place measures to encourage vehicles importation, arguing that Nigeria is not ripe for assembly of cars.
He added that when the country has experienced stable power supply and other infrastructural growth, "then it can start thinking of how to manufacture vehicles locally".
Currently, duty payable on vehicles is 35% while the levy had been suspended at the moment, but the operators are calling on government to reduce the duty.
Also appealing to the Customs on duty reduction, an importer; Phil Oche argued that government has to change the policy so as to create wealth for the masses.
Oche said that the last administration of Dr. Goodluck Jonathan was unfavourable to importers and dealers, noting that the new government should revisit the policy.
He called on the customs to reduce the tariff to about 15% on vehicles, adding that the government needs more revenue to run the country effectively.
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