FG stops import duty on vessels acquired by Nigerian ship-owners

Nigerian ship owners would no longer pay import duties on imported vessels and ship spare parts, the Federal Government has said.

Bashir Jamoh, director-general of the Nigerian Maritime Administration and Safety Agency (NIMASA), who disclosed this in Lagos on Tuesday at the ongoing Nigeria International Maritime Summit (NIMS), said the move was aimed at encouraging the indigenous acquisition of ships.

“We have received approval for zero import duty for ships from the Federal Ministry of Transportation. We got the letter from the office of the Permanent Secretary some days ago. However, we would not officially announce the new development unless Transport Ministry does,” said Jamoh, who represented the Minister of Transportation, Rotimi Amaechi.

According to him, the maritime industry cannot record desired progress without security, ‘and we are pushing towards that and the major issue is to sustain the tempo’.

Read Also: Doing business obstacles: Ships stuck at sea over clearance process

He said the Federal Government has granted the physical incentive which is zero import duty for ship owners, adding that it is only the remaining monetary incentive to encourage ship owners.

Jamoh argued that no nation could develop without the maritime industry, noting that Nigeria’s aspiration to be a maritime hub was not debatable but necessary.

“As the Minister said during the flag-off ceremony of wreck removal, I want to reiterate that there is a prioritised need for the Nigerian maritime sector to be more united in a bid to advocate for issues of common interest and beneficial to the nation,” he added.

Continuing, he said: “All modes of transportation, be it rail, road and air, have enjoyed incentives – only the shipping sector. We are pushing for two types of incentives, fiscal and monetary, and I am pleased to announce that the fiscal incentive has been granted.”