Fg Bans Tokunbo Cars Of 10 Years And Above , Reduces Duties On Raw Materials

FG bans tokunbo cars - Of 10 years and above - Reduces duties on raw materials from 10% to 5%Gbola Subair, Abuja - 26.09.2008

THE Federal Government on Thursday announced the ban on importation of used motor vehicles above 10 years. Buses and trucks, no matter their age, are, however, excluded from the prohibition list.


This was part of the implementation of a new regime of customs and excise tariffs.


Other measures taken include reducing the duties paid on primary raw materials from 10 per cent to 5 per cent.


The new regime of tariffs, which takes immediate effect, also prohibits the importation of textile fabrics and articles thereof, including Hollandis, English Wax, Ankara, lace fabrics, wedding gowns and ceremonial apparel, second-hand clothes, rugs and carpets, as well as recharge cards.


These were made known by the Comptroller General of Customs, Hamman Bello Ahmed, while addressing the press on the 2008-2012 Nigeria Customs and Excise Tariff Book at the headquarters of the Federal Ministry of Finance, Abuja.


Other items on the new import prohibition list include beer and stout, plastics in the form of forks, spoons; toothpicks, retreaded and used tyres, cases, boxes, cartons made from corrugated materials, footwear, suitcases and sports wear.


Others on the prohibition list are furniture items of any type, except baby walker; ball pens, including refills.


Earlier in his speech, the Director General of the Budget Office of the Federation, Dr. Bright Okogu, had disclosed that the 2008-2012 tariff book was a second attempt by Nigeria to harmonise its tariff regime with the ECOWAS Common External Tariff (CET).


He observed that as part of the efforts of the government to harmonise its tariff regime with the ECOWAS CET, the 2005-2006 Nigeria Customs and Excise Tariff book was released on 1st October, 2005.


“The 2005-2006 Tariff Book had 60 per cent of its duty harmonised with the ECOWAS CET. However, realising the weak nature of the ECOWAS CET in providing protection for infant industry, Nigeria proposed a fifth band of 50 per cent duty rate. Thus, unlike the ECOWAS CET which has four tariff bands of 0%, 5%, 10% and 20% duty rates, the Nigeria 2005-2006 Tariff Book has five tariff bands, namely 0%, 5%, 10%, 20% and 50% duty rates,” he further said.


According to the Director General, the features of the 2008-2012 are: “It has five categories of customs duty, namely: category 0 (0%) for necessities such as most educational materials, etc; category 1 (5%) for primary raw materials; category 2 (10%) for intermediate products, e.g CKD refrigerators, CKD television; category 3 (20%) for finished goods that are not produced locally and which require no protection, e.g. television, refrigerators, generators, etc; category 4 (50%) for finished goods that are manufactured locally and which, therefore, require some protection in the interest of promoting local industries.”

Other banned items

Wedding gowns
Recharge cards
Second-hand clothes
Beer and stout
Hollandis
English wax
Ankara
Lace fabrics
Ceremonial apparels
Rugs and carpets
Plastic forks, spoons
Toothpicks
Retreaded and used tyres
Cases, boxes
Footwears
Suitcases
Sport wears
Furniture items

Source: http://www.tribune.com.ng/26092008/news/news1.html

I honestly don't know why these made news

You can not belief that when I checked the customs list 2 yers ago, this was the custom policy on unacceptable goods.

Except maybe customs had this policy and was implemnting it all this while without the consent of Government, but I do also know that OBJ initiated this policy.

So why exactly is this News?

I will rather like for them to post the cost of clearing of vehicles in % of the value of the vehicles, or at least, there should be a place where we can check and know when the customs are trying to be difficult.