Three hundred and eighty out of 400 chief executive officers (CEOs) of manufacturing companies in Nigeria say multiple taxation and over-regulation are hurting the productivity of their enterprises.

In the Manufacturers Confidence Index (MCCI) for the second quarter of 2021 compiled by the Manufacturers Association of Nigeria (MAN) and forwarded to The ICIR late Wednesday, the CEOs said there was an urgent need to streamline taxes to reduce negative impacts of multiple taxation on companies’ margins.

The CEOs said that apart from the approved list of taxes and levies charged to companies by the Joint Tax Board (JTB), there were a large number of outside taxes, levies and fees imposed on manufacturers by revenue-generating agencies of the government.

Multiple taxation has become a major problem facing businesses in Nigeria. Manufacturers complain that they pay frivolous taxes such as radio and television taxes imposed by local governments.

Logistics firms told this reporter in 2020 that Lagos touts demanded up to 35 documents from their dispatch riders plying various local governments.

“If a rider makes N10, 500 in a day, he would have to settle the area boys with N5, 000,” logistics player and member of Association of Lagos State Carrier Operators Benedict Philips said.

“Two months ago, they came up with Mid-year Paper. We went ahead to pay N3, 000 for it. One month down the line, they told us that Mid-year Paper is now a scam because the government has not approved it. Over 500 companies with a minimum of two bikes have already registered for it. Then you go to another local government and they ask you about Media Paper. So, to be on a safe side, the riders are forced to just meet all their demands,” she said.

Micro businesses also told The ICIR that area boys collected illegal taxes and levies from them in Nigeria’s richest state.

On their part, manufacturers said it was important for the government to publish the list of taxes and levies compiled by the tax board and ensure that all charges to the manufacturing sector were legal.

Similarly, 380 out of the 400 CEOs of manufacturing firms said that overregulation by government agencies had depressing effect on manufacturing productivity.

They said manufacturing companies suffered multiple regulation on a single manufacturing process due to several levies imposed on them by agencies of the federal, state and local governments.

“The Federal Government has in its possession the Steve Orasanye Commission report on Harmonization and Rationalization of Government Agencies. It is important to commence full implementation of the content of the report backed with proper monitoring and evaluation,” MAN said in the report.

Eighty-one per cent, amounting to 324 CEOs enumerated, agreed that inefficiency at the national ports negatively affected productivity in the manufacturing sector.

Gridlocks at Apapa and Tin Can ports have continued to delay in and out movement of raw materials and finished goods

Currently, 5,000 trucks seek access to Apapa and Tin Can ports in Lagos every day, despite that the two ports could only accommodate 1,500 trucks, the Lagos Chamber of Commerce and Industry (LCCI) said in a recent report sent to the reporter.

Chief executive of Jon Tudy Interbix, exporter of packaged foods to the United States via Apapa, Jon Tudy Kachikwu, told The ICIR that he often lost most of his products on Apapa bridge.

“I used to spend N350, 000 to move my food products from Iddo in Lagos to the port city but the cost of doing this has more than doubled in one year due to the state of our ports.”

Manufacturers said in the survey that the challenges at the national ports were hydra-headed: From the gridlock on the access road and delay in clearance of cargoes to high and undue demurrage and poor port equipment.

” To address this unfriendly situation, Government needs to review the current status of the ports and address all port-related challenges. More so, it is important to consider developing other ports outside Lagos State so as to decongest the Apapa and Tincan ports,” the CEOs suggested.

SOURCE:https://brandspurng.com/2021/09/11/multiple-taxation-port-gridlocks-over-regulation-hurting-manufacturing-companies-ceos/

Wow

Surviving in Nigeria should be a course made compulsory in our education system.

Anybody that says Nigeria got better under the administration of Bullhari, should be cast in the dungeon and termites should be his/her companion.

No joy to all zombies.

Meanwhile,

Ok

The gorvenment is suppose to make life easier for manufacturers, it's the only way the country can move forward.

Nothing works in this prrsebt govt /administration


D masses are tired of this evil govt.

Even with d tax..

No amenities and infrastructure to show for the tax collection

Corruption everywhere

But the learned and illiterate

That's true, port road should be one of the best road in the state but Unfortunately it's one of the worst in Lagos, trucks and other motorist including bikes all taking one single lane... Smh

These are the basic challenges that throw the commercial life of the country into extinction already .

It's as a result of our mindset as a Nation. When those who have oppressive tendencies are in the corridors of power, they come up with senseless policies. National orientation agencies needs to work on the younger ones in Nigeria to change this oppression mindset.

Gbam

How exactly are we not worried that a car that cost like N1,400,000 around 5 years ago now costs like N4,000,000+ .....when it should cost around 800k - 900k after 5 years?

The car must be depreciating abroad but appreciating in Nigeria

Stupid Nigerians and foolish
economy policies has turned liabilities into assets. NIGERIANS ARE COLOSSAL FOOLS

This con3 na WA o

Policies bitting hard on every sector in the economy.

A consuming economy that should give the manufacturing sector a soft landing for operation still making it hard for them.

The effects will come to the consumers and end users.

It is only very crooked minds that do genuine business in Nigeria and prosper.

Pure innocent souls with good intentions and education will not flourish well in the Nigerian landscape.

Devils Nepotism, who are you? whom do you know? What can you give? What do you have? These are the names of the devils sent to Nigeria from the pits of hell fire. Otherwise, how can the country landscape be ravaged this way?

theForth:
The gorvenment is suppose to make life easier for manufacturers, it's the only way the country can move forward.

This yeye Govt and others b4 it, don't give a daam about the challenges faced by SMEs/MSMEs that r actually answering the unemployment problems in Nigeria.

All they care about is the national cake n treasury

Just feldup sometimes,but won't giveup

Just pure wickedness in these government, ordinary people can't even eat 3 square meals a day and then we suffered for this.

Please what is our offense exactly

Okay

Eighty-one per cent, amounting to 324 CEOs enumerated, agreed that inefficiency at the national ports negatively affected productivity in the manufacturing sector.

Gridlocks at Apapa and Tin Can ports have continued to delay in and out movement of raw materials and finished goods

Currently, 5,000 trucks seek access to Apapa and Tin Can ports in Lagos every day, despite that the two ports could only accommodate 1,500 trucks, the Lagos Chamber of Commerce and Industry (LCCI) said in a recent report sent to the reporter.


The Federal Government of LIEGERIA knows that the gridlock at the ports in Lagos is stifling commerce thus affecting the overall economy of the country but it does NOT give a damn. This is because its main purpose is to destroy the economic activities in the East. But the irony is that LIEGERIA is destroying its own economy in the process. There's an Igbo adage that states, "He who is holding someone on the ground is also holding himself to the ground as well." As long as the FULANI TERRORIST government is doing its best to stifle and destroy the economic activities in the EAST, the economy of the country would FOREVER be in shambles.

Harmonize Taxation and levies

Make other sea ports operational

How hard can it be?

Hmmm

BrandSpurNG:

SOURCE:https://brandspurng.com/2021/09/11/multiple-taxation-port-gridlocks-over-regulation-hurting-manufacturing-companies-ceos/

Okkkk