FG to sacrifice N187bn from suspension of food import duties

The Nigerian Customs Service has revealed that the federal government is set to forfeit a total of N187 billion as a result of the recent federal government’s directive to suspend import duties on staple food items for the next six months.

Comptroller General of Customs, Bashir Adewale Adeniyi made the revelation in Abuja Tuesday at the 2nd Economic confidential lecture and book presentation in his honour titled “Impactful Public Relations in Customs Management.”

He said “The suspension of Customs duties and levies on food staples such as beans, maize, rice and wheat is one of the policies of government to drive down the process of food items, however the implication it will have is revenue forfeitures for the federal government.

“For instance, from 2020-2023, the revenue generation from these staple food items was a staggering N3.81 trillion. These imports generated about N189bn billion in terms of customs duties and over N500bn in several levies by the government.

“Wheat alone generated N3 trillion while maize generated 340bn, rice generated 195bn and beans N146bn. Therefore, the revenue forfeiture estimated from the suspension of import duties for these stable food items for six months is estimated to be about 187bn,”

He added that the Customs Service will await the guidelines from the ministry of finance and we will ensure adequate implementation by enlisting special corridors to clear imports of food items.

Also speaking, the Vice President, Kashim Shettima who was represented by the Special adviser to the President on economic matters, Dr. Tope Fasua said the food reforms introduced by the government is poised to have a positive impact on the economy in the shortest possible time.

Meanwhile, the Customs CG Adewale Adeniyi has handed over his vice chairmanship position of the World Customs Organisation, North and Central African region to his Malian counterpart Ahmadou Kounate.

Speaking at the official handing over in Abuja, Adeniyi said the organisation charged to fast-track trade facilitation of member countries have overtime explored best practices that suit different countries and improved capacity development to enhance growth and development.

He added that conscious efforts must be deployed to deploy technology in advancing Customs practice.

The incoming vice chair, Ahmadou Kounate pledged to “Improve transparency and implement the 2003 and 2007 strategic action plan and also improve manpower development to boost trade facilitation,”

Daily Trust