President Bola Tinubu-led federal government has again been knocked over the introduction of the new four per cent charge on the free-on-board value of importsBukola Saraki, a former Senate president and two-term governor of Kwara state, called for the immediate suspension of the new charge introduced through the Nigeria Customs ServiceSaraki explained how the policy would hurt business owners and industries and in the long run transfer to the consumers who are already battling the high cost of living
Bukola Saraki, the former president of the Nigerian Senate, has expressed his displeasure about the newly introduced four per cent charge on the free-on-board value of imports by the Nigeria Customs Service.
Recall that the spokesperson of the Nigeria Customs Service Abdullahi Maiwada announced the new charge on Wednesday, February 5. He added that the charges are expected to generate another N2.84 trillion annually, citing the estimated N71 trillion annual imports of the country.
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Saraki has called for the suspension of the new 4% charge on the Free-On-Board (FOB) value of imports by Customs
Photo Credit: @officialABAT, @bukolasaraki
Source: Twitter
Maiwada noted:
“The FOB charge, which is calculated based on the value of imported goods, including the cost of goods and transportation expenses incurred up to the port of loading, is essential to driving the effective operation of the service.”
Saraki reacted to a new customs charge
However, Saraki, in his reaction to the development in a tweet, wondered why there was a need for the new charge, stating that the Nigeria Customs Service already has a budget and also received a percentage on all the customs duties that were collected.
Saraki, a two-term governor of Kwara State, stated that the additional revenue would be used to cover the running costs, which were estimated at over $1.5 billion. The former lawmaker said this was too expensive, considering the country’s poverty index and the challenges many businesses face.
The former Senate President also criticized the new charge, which is not limited to luxury goods but applies to all imports, including raw materials used by industries. He pointed out that this would result in an additional 80% charge on the duty amount as administrative fees, which would be passed on to consumers, further straining their budgets.
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Saraki asked Tinubu to suspend value charge
Saraki then called on President Tinubu-led federal government to reconsider the policy and put it on immediate suspension.
The tweet reads in part:
“How can this make sense or support the government’s policy of promoting the ease of doing business?
“The government must urgently reconsider this policy and put it on hold immediately. Especially not now with what Nigerians are going through.”
See the tweet here:
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Source: Henzodaily.ng