Maritime stakeholders advocate downward review of vehicle import tariffs

Some stakeholders in the maritime industry are clamoring for the downward review of the tariff on imported vehicles in to Nigeria. Those calling for a fresh thinking in this direction hinged their argument on te negative effect that has visited the current tariff regime to include drop in revenue, smuggling,diversion and near collapse of the economy.

This is after the rumoured moves by the Federal Government to review ‘some aspect’ of the automotive policy. It would be recalled that the technical committee on the review of the policy chaired by AminuJalal Jalal, the director-general of the National Automotive Design and Development COuncil (NADDC) met recently to hold discussions on the issue

But reacting swiftly on the development, Luqman Mamudu, the director of Policy and Planning of NADDC stated that the tariff structure is not being considered for review by the committee. In referring to the committee’s terms of reference, the director of Policy and Planning said: “The reduction in tariff differential between knocked down and fully built is what is attractive to Original Equipment Manufacturers (OEMS) and some of them have invested”.

According to him, “Lowering (the tariff) will indicate policy somersault. If lower, the investors will retreat home and rely on higher home country export incentive to override our tariff and our industry crushed. He maintained that the the tariff will remain as it is in the National Automotive Industrial Development Plan (NAIDP).” He added that the discussion is on how to remove ambiguity likely to encourage abuse.

” The terms of reference is to examine the constraints that impede progress with implementation of the NAIDP. These are listed to include the menace of used vehicles import which limits market access, quick lauch of Automobile asset purchase, clearer customs administration procedure and smuggling.” He noted.