FG increases import duties on rice, salt and other food items

The Federal Government has raised duties on some food items being imported into the country. Some of these food items include rice, salt and sugarcane and are known have alternatives that can be sourced locally.

 

The new rate which is contained in a circular by the Minister of Finance, Mrs Kemi Adeosun to Nigeria Customs Service (NCS) is an increase from the 20 per cent which the owners currently enjoy. 

 

According to the Finance Minister, President Buhari has already approved the new tariff structure.

“This is to confirm that Mr. President has approved the 2016 fiscal policy measures made up of the 

 

Supplementary Protection Measures (SPM) for implementation together with the ECOWAS CET 2015 – 2019 with effect from 17th October, 2016”, she said.

 

“Consequently, all transactions prior to the effective date of this circular shall be subjected to the tariff rates applicable before the coming into effect of this 2016 fiscal policy measures”, she added.

 

Due to the increase,  sugar cane and salt prices have now increased by 60 per cent; alcoholic spirit, beverages and tobacco from 20 per cent to 60 per cent; and rice from 10 per cent to 60 per cent.

 

Medicaments such as anti-malarials and antibiotics; crude palm oil; wheat flour; tomatoes paste; and cassava products are also affected in the upward review of duties.

 

It will be recalled that the plan to raise the duties was first contemplated by former Coordinating Minister for the Economy and Minister of Finance, Dr. Ngozi Okonjo- Iweala under the immediate past administration of Dr. Goodluck Jonathan.