FG reinforces ban on footwear, carpets, used vehicles over 15yrs

…slashes Import Duties On 115 Items

In an approval given by President Buhari, Nigeria’s federal government has reinforced the ban on the importation of carpets and rugs , all types of footwear , bags and suitcases, as well as used motor vehicles above 15 years from year of manufacture.
Refined vegetable oil , cocoa butter , spaghetti /noodles , fruit juice in retail packs , bagged cement, soaps and detergent , mosquito repellent coils , corrugated paper and paper boards , telephone recharge cards and vouchers are also banned from being imported into the country.
The government also banned the importation of live or dead birds , waters , liquid dietary supplements and medicament such as paracetamol tablets and syrup , chloroquine tablets and syrup , among others.
President Buhari however, approved approved a zero import duty for machineries and equipment used in sectors such as agriculture , cement, hospitality , power , iron and steel , solid minerals , textile and aviation , the government, according to the circular.
Before the approval , the import duties for machineries and equipment used in these sector were put at five per cent .
Nigeria’s Minister of Finance , Kemi Adeosun , in a circular confirmed the approval was given by President Muhammadu Buhari as part of the fiscal policy measures of the Federal Government for the country and basically geared towards promotion of local production.
A ministry of finance official said the new policy directive would soon be clarified by the minister.
According to her, the new move is in line with the provisions of the Economic Community of West African States ’ Common External Tariff .
The ECOWAS CET, will cover the 2017 to 2019 fiscal periods and composed of three categories made up of an Import Adjustment Tax list of 173 tariff lines , a national list consisting of 91 items and an import prohibition list , which is applicable to certain goods originating from non -ECOWAS member states .
“ This is to confirm that His Excellency , Mr . President, has approved the 2016 fiscal policy measures made up of the supplementary protection measures for implementation together with the ECOWAS CET 2015 – 2019 with effect from 17 th of October, 2016 .
“Consequently , all transactions prior to the effective date of this circular shall be subjected to the tariff rates applicable before the coming into effect of this 2016 fiscal policy measures . ”
The import adjustment tax list , which contains 173 items , shows that Buhari approved the reduction of 26 of them , while it left the tariffs on 144 items unchanged .

But the tariffs on three items contained in the import adjustment tax list were reviewed upwards.
For the national list consisting of 91 products, the circular stipulated that a downward review was approved for 89 items in order to encourage development in the real sector of the economy
The items in the national list whose import duties were reduced from 10 per cent to five per cent are milk and cream ; tea ; fats of sheep or goat ; malt extract ; tomatoes prepared or preserved by vinegar; under natured ethyl alcohol for medical , pharmaceutical or scientific purpose ; petroleum oils and oils obtained from bitumen minerals other than crude .
Others are hypochlorites ; synthetic organic colouring matter ; grease for treatment of textile materials ; prepared glues and adhesives ; activated carbon ; picking preparations for metal surfaces ; organic composite solvents and thinners ; mixes alkylbenzenes ; and industrial monocarboxylic fatty acids.
The government also approved a reduction from 10 per cent to five per cent for tubes , pipes , hoses , sheets , foil , tape , polyethylene , paper and paper board , yarn , synthetic staple fibres , semi -finished products of iron or non – alloy steel , stranded wire ropes , and completely knocked down or unassembled for the assembly industry .
Buhari also gave an approval for the reduction of their import duties from 20 per cent to 10 per cent for items like  automatic circuit breakers , switches , lamp – holders , electrical apparatus for switching or protecting electrical circuits.

 

Onyinye Nwachukwu, Abuja