Introduction
The Nigerian government’s customs duty policy on imported goods has significant implications for various sectors, including the educational field. While toys are often perceived merely as luxury items, their role as essential educational tools cannot be overstated. Toys are pivotal in the cognitive, emotional, imaginative, problem-solving, and psychomotor development of children, contributing to their overall learning experience. Playing with toys is essential to the nurturing of intelligent children.
In past times, Nigeria has recognised the importance of educational materials, leading to reduced or eliminated customs duties on items such as books. This precedent underscores the value placed on accessible educational resources to foster learning and development. However, despite their educational benefits, toys still face heavy customs duty charges, potentially making them less accessible to Nigerian children who would benefit most from them.
Customs duty in Nigeria
Customs duties are a form of levy imposed on goods imported into a country, serving as a significant source of revenue for governments. The rate at which customs duties are charged depends largely on the government’s perception of the goods.
For instance, in Nigeria, the customs duty on chewing gum, biscuits, and waffles is set at 35 percent, while the duty on essential goods like pharmaceuticals is minimal or zero to ensure accessibility. Here’s a brief look at the customs duty rates for various goods in Nigeria:
Vehicles: 10%
Luxury vehicles such as golf cars: 20%
Pharmaceuticals:0%
Electrical Appliances: 5%
Clothing and Apparel: 5%–20%
Chewing gum, biscuits, and waffles: 35%
Wrist Watches: 20%
These examples show how the perceived necessity and luxury status of goods affect their customs duty rates. Unfortunately, toys, despite their significant educational value, are categorised alongside luxury items and are subjected to a 20 percent import duty. This high duty rate indicates a misperception of toys as merely luxury items rather than essential educational tools.
The Nigerian government uses a Harmonised System (HS) to determine the applicable tariff rates and duties on imported and exported goods. Each code corresponds to a specific product category, which customs authorities use to apply the correct tariff.
For toys, the relevant Harmonised System (HS) codes include:
9503: Tricycles, scooters, pedal cars, and similar wheeled toys; dolls’ carriages; dolls; other toys; reduced-size (“scale”) models and similar recreational models, working or not; puzzles of all kinds.
The Harmonised System (HS) codes for toys, such as 9503.00.00.00, categorise these items as potential candidates for reduced import duties due to their educational value. Implementing such a change could position Nigeria as a forward-thinking nation that prioritises the education and development of its children.
This tax on imported goods doesn’t have a fixed amount; it varies according to the government’s perception and the category of the goods imported. In Nigeria, the customs duty rate is usually charged on the cost of goods, insurance, freight charges, and the importing destination. Another charge that comes with customs duty is value-added tax (VAT).
Given the significant role that toys play in child development, there is a compelling case for re-evaluating the customs duties imposed on them. Reducing or eliminating these duties could enhance the availability and affordability of educational toys, thereby supporting better learning outcomes for children across Nigeria, and access to better learning outcomes will positively impact Nigeria’s development.
This strategic adjustment would not only prioritise education but also contribute to the country’s overall development by nurturing a well-educated and skilled future generation. By making educational toys more accessible through favourable customs duty policies, Nigeria can reinforce its commitment to education and ensure that children receive the resources they need for holistic development.
Import taxes on educational products should be lowered to promote appropriate education and stimulate the national development of the country. Toys are more than just entertainment; they are essential learning resources that may greatly advance children’s cognitive, emotional, and psychomotor development.
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Historically, Nigeria has made progressive decisions regarding educational materials. For example, recognising the importance of books for educational development, the government reduced import duties on books to zero. This move made books more affordable and accessible, significantly enhancing the educational landscape. A similar approach should be considered for toys.
The current 20 percent import duty on toys makes them less affordable for many Nigerian families. By removing this duty, the government would enable more children to access these valuable learning resources. This accessibility is not just about play; it is about providing children with the tools they need for a well-rounded education that fosters creativity, problem-solving skills, and emotional intelligence.
Toys play a crucial role in the cognitive, emotional, and psychomotor development of children. They are vital tools for learning, fostering creativity, problem-solving skills, and emotional intelligence. The current import duty rate on toys makes them less affordable for many Nigerian families, limiting children’s access to these essential learning resources.
By reducing or eliminating customs duties on toys, the government would support a more educated and well-rounded populace. An educated population is crucial for national development, as it leads to a more innovative and productive workforce, driving economic growth. The skills acquired through play are essential for developing future leaders and innovators.
Moreover, the long-term benefits of such a policy could outweigh the immediate revenue loss from customs duties. An educated and well-rounded populace contributes to a more innovative and productive workforce, driving economic growth. The skills acquired through play are essential for the development of future leaders and innovators.
According to Moraes and Araújo (2019), in their study “The Importance of Toys and Games in Early Child Education,” toys are fundamental to the educational and character development of children. They not only transmit educational values but also mould the creativity and personalities of children, especially with guidance from teachers and guardians. A child playing with the right toys from an early age learns more than one who only participates in classroom lessons or rote learning.
In line with international standards and agreements such as the Florence Agreement and Nairobi Protocol, books in Nigeria are exempt from customs duties because they promote literacy and enable easy access to education. This exemption also covers value-added tax (VAT), further encouraging the spread of knowledge among Nigerians. This is a thoughtful initiative that should be replicated with children’s toys, which serve similar educational functions as books.
National retailers of toys are advocating for a duty-free importation rate for toys, arguing that toys provide numerous educational benefits and should be considered on par with books.
Following the numerous benefits children’s toys have on the well-being of children, they should be considered zero-rated upon importation based on the following reasons:
Educational and cognitive development
Toys are designed to develop children’s brains through playful activities that transmit knowledge deeper than repetitive classroom lessons. They build fundamental cognitive and analytical skills, such as problem-solving, understanding shapes, colours, and numbers, and enhancing overall academic performance.
Emotional development
Modern toys are designed to train the emotional base of children, helping them express different emotions appropriately. For example, electronic toys that converse can teach children to apologise, show sympathy, and understand different moods during conversations, often more effectively.
Language development
Toys that tell stories, read, and sing enhance children’s language skills, improving vocabulary, listening skills, and speech production. Psycholinguists recommend toys for children with speech and processing defects, as they are highly interactive and beneficial for language development.
Creativity
Toys broaden the creative and imaginative scopes of children, allowing them to invent stories and role-play. They are essential tools for teaching art and fostering children’s creativity and expression. This skill is strongly required for children to be able to think outside the box as they grow to become the adults who build our nation.
Stress relief and entertainment
Play is crucial for children, providing relaxation and entertainment and relieving stress from other activities like writing and reading. Toys play a significant role in this.
Conclusion
In conclusion, while customs duties are important for national revenue, the strategic removal of these duties on toys can lead to greater national benefits. By making toys more affordable through the removal of customs duties, the government can support children’s education and contribute to long-term economic growth, ultimately fostering a more prosperous and educated society.
Mrs Omotola Lawson is a Toy Distribution Entrepreneur and Government-certified Instructor in Nigeria.
