Port operators under the aegis of Association of Nigerian Licensed Customs Agents (ANLCA), National Association of Government Approved Freight Forwarders (NAGAFF), Maritime Workers Union of Nigeria (MWUN), and the Association of Maritime Truck Owners (AMATO) have threatened to withdraw their services at the ports if the Federal Government does not rescind its decision to increase the tariffs associated with car imports.
Meanwhile the Federal Government has said that the increase in tariff will not lead to price increase in vehicles.
Addressing journalists after the Federal Executive Council meeting in Abuja yesterday, Minister of Trade and Investment, Segun Aganga said,
“I briefed council today on a misleading article in one of the newspapers on Tuesday on the auto policy and we thought it necessary to communicate and correct it. The article has claimed that the duty on used cars is now 70 per cent from yesterday, (Tuesday). That is incorrect. It is 35 per cent. It has also claimed that all used cars coming into the country will attract a duty of 70 per cent. That again is incorrect.
“Those in the car assembly programme will be able to import cars to meet the gap, when you look at production and the demand in the country. They will be able to import those cars at 35 per cent, not 70 per cent. It is only for those who are putting a strain on our foreign reserves, who have no intention of creating jobs in the country, who want to continue to remain traders, that the 70 per cent duty applies to. This is to discourage trading, to encourage local assembly, job creation and unnecessary pressure on our foreign reserves. So, it’s an economic issue and deliberately so.”
Meanwhile National President of ANLCA, Prince Olayiwola Shittu said, “Anytime customs implements the 35% levy, we will start a series of protests and placard-carrying that will eventually lead to the withdrawal of service. Many vehicles are now going through the un-approved routes and this is affecting the economy of our members. We have a right to protect the interest of Nigerian shippers more than the interest of government because, government does not care about us. We have been asking them for one per cent based on revenue generated, but they have asked us to collect our money from importers.
“The government has deliberately ignored the roads leading to Apapa, Tin Can and Onne ports. The ports are already closing themselves; now if you want to go to Apapa port you might not get there today. Yet the terminal operators and shipping companies are benefiting from this. At the end of the day people turn around to say agents are delaying cargo clearance. All roads to the ports where government is making billions per day are bad; they don’t care about them, not even to put palliative measures.”
The ANLCA president said his association had the support of all unionized port operators.