Dr Boniface Aniebonam is the founder of National Association of Government Approved Freight Forwarder, he is also (when it is appropriate) a maritime consultant. In this interview (which was at his instance) he talks about the controversial Customs duty benchmark and associated issues.
Do We Really Need The Customs Benchmark?
Dr Boniface Aniebonam is the founder of National Association of Government Approved Freight Forwarder, he is also (when it is appropriate) a maritime consultant. In this interview (which was at his instance) he talks about the controversial Customs duty benchmark and associated issues.
Do We Really Need The Customs Benchmark?
Yes, because when you look at the level of corruption in terms of non-compliance of imports, the Nigeria Customs and other critical stakeholders that is the importers and their agents cannot be separated from instances of the level of corruption in Nigeria, so the issue now is what do we do to get the best out of the situation. There is need for Benchmark because of the level of non- compliance, it is a general issue which we all know and that is why government is making all the efforts with the emergency of EFFC and ICPC and we all know that corruption is a big problem in Nigeria.
I Asked The Question Of Benchmark, because When The Customs Collected more than N700 Billion Last Year, It Didn’t Talk of benchmark, But Now That It Has A Target of More Than N1Trillion, its talking of benchmark
by customs, in others words they are to see the possibilities of ensuring an equitable collection of import duty or equitable competition. I mean let there be fair competition among importers and if you wish to know, you may be surprised that in all this process the Manufacturers Association of Nigeria has never made any statement; that means their import is compliant to import regulation .So what we are talking about in general is importers conniving with some of our colleagues to continuously evade customs procedures.
I Was At The Town Hall Meeting And After All What The C.G. Of Customs Said, The Importers Still Insisted That They Needed More Time?
I was even the one who made that suggestion; we suggested to the Customs that in a democracy, there is need to enlighten our people, just like the Comptroller General has taken the bull by the horn by appearing at the heartbeat of the traders and importers at the Trade Fair Complex. However I advised that they should at least give them like three months for them to tidy up, especially when we know that cargoes coming from Far East and America take about 90 days.
It Does Appear Like The Customs Was Ambushed Into Withdrawing Benchmark?
Customs can never be ambushed by anybody because some people can go to town to carry out propaganda. The great Zik said you don’t have to fight a man with the gun or you can’t stand before a moving train. However, many are not aware that after God, the next is government and how can you use the word that you are ambushing the government rather you can provoke the government because it does not take sense from anybody. Let me give an insight to the much- talked- about benchmark for customs assessment, I don’t think people really understood what the customs was actually talking about because the customs was being magnanimous in trying to look at the level of poverty in the country and deciding not to go to the extent of confiscation of goods and prosecution of individuals. What I am trying to say is that the benchmark was put in place to service as a deterrent and punishment to those we are not compliant. Now using this word non- compliant to import regulation is like a smuggler who tries to bring in goods through an unapproved route and those are the people we know as smugglers, but really the greater number of smugglers are found within the approved route because instances of concealment, false declarations, under valuation, wrong description of import are all attempts geared towards subversion of customs procedures and that is smuggling. The section 46 and 47 of the CEMA that customs is trying to invoke will lead to seizure and confiscation of such imports, including prosecution of offenders and if found guilty, it is five years in prison with an option of fine and I think that is what the customs are doing now. so when you are using that word ‘ambush’, I will appeal to you not to use such word because it will be causing more problems for the public.
Did Customs Have Any Reason To Introduce The Benchmark At All?
The reason customs has for introducing the benchmark is a cogent one, it’s in order to see how they can assist, which I just told you that it’s a sanction if you are importing into Nigeria with the genuine declaration, the issue of the sanction does not apply to you.
But There Was A Petition Written By Some Persons?
Who wrote the petition? There was nothing like petition, I have gone through what somebody manufactured as petition written by one Lucky Amiwero of one of the small group associations and to me I do not think that is a petition. He was simply highlighting CEMA Amendment Act 20 of 2003, so that is not a petition.
What is The Position Of NAGAFF in The Whole Issue Relating To Benchmark Removal Because, Some People Might See You As Canvassing For The Customs?
I have not said anything that means I am canvassing for customs, but rather, we are giving an insight about the knowledge available .You might be looking at people that are uninformed, they don’t have the knowledge and it is our duty to educate them because some of these people might be joggling from office to the other and from port to port that he has done this and done that which is just like seeing a bird flying why others will be clapping their hands and to me it is sad. However it doesn’t make any sense because nothing really has happened, but rather more serious problems have been created but I think that what we are saying is that I have tried as much as I can from my strategic position to talk to the customs not to be provoked unduly because some of them who are making this noise don’t even move cargoes out of the port. So they are irrelevant as to issues that are under discourse.
Under This Emerging Dispensation, What Does An Average Importer Stand To Lose?
No, they don’t have anything to lose; it is just for them to make genuine declarations to the Nigeria Customs Service. There will be uniformity, I am talking about making sure that what is happening in Apapa port, Tin Can, the border stations; Idi Iroko, Katsina border ,Maiduguri and others are the same, because it is one customs and that is what I mean by rules of engagement.
But As At Now Benchmark Is Still In Operation?
There is nothing like that, but what is operational for now is that if you are not compliant, your cargo will be seized, which is, the situation on ground now. Let us also not be threatened by the issue of congestion at the port unless we what to run a jungle country and we should not shy away or move away from this concept that people are doing something wrong and nobody is coming forward to address such issues .
Is It Also True That When Benchmark Was Operational, People Had Started Going To
Neighboring Ports Of West Africa?
I am study shipping, I disagree when people use some certain languages of cargo diversion; however you can’t divert cargo because cargo has a destination.
But You Can Divert From Point of Origin?
To where? If that cargo is coming to Nigeria, it must get here. If you move cargo from Hamburg in Germany to Apapa in Lagos, then Cotonou isn’t the destination. Then if you say it is Nigeria via Cotonou then it is on transit and it must pass through approved routes with a clear indication that all the formalities must be met in order generate revenue for the government. If you go for outright smuggling, the consequences are there, so let us not be deceived because I have heard a lot of people say that Nigeria cargoes are being diverted. So people go by way of blackmailing the government and to make the government to panic one way or the other even as at that government itself knows that cargoes cannot be diverted. Any cargo meant for Nigeria comes straight to Nigeria and there is no need to argue whether there is smuggling or not.
Were You In Support of The Benchmark In The First Instance?
In the beginning of the interview, I told you that because of the non- compliant level and looking at the instances of genuine declaration which also involved general corruption in Nigeria, for us to get an equitable procedure, the benchmark comes into play. The customs is not into benchmark and what they are doing is salvaging the situation by way of not going to use sledge hammer to kill everybody, because of the level of poverty that we have in our country. What we are saying right now is not a joking matter because it is five years imprisonment or an option of fine, and until you change the law and that is why the law is pending at the National Assembly.
What about the Problem Of Amending CEMA?
Fine, well and good because that is why there is public hearing
What Will Be The Position Of NAGAFF On The Various Amendments?
Well, we have made our input as to the ongoing review of CEMA
Will The New Law Of CEMA Solve The Problem of Customs?
No law is 100 per cent perfect, but it will help to address some of these problem.
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