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Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers - Politics - Nairaland

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Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by 9jatriot(m): 6:45pm On Feb 21
This is the man that was shouting "From consumption to Production" during the campaigns, yet all his suggestions here are to allow his fellow importers to get cheap access to forex, some of which will find their way to the black market after getting it at a cheap rate if the government were to accept his proposition.

Even now, one can tell that he does not understand the scale of problems he would have had to face if he were elected. He would have had to make a choice between increased borrowing to subsidize importation, which was the option Buhari chose or remove some plugs so that we really understand the mess we are in.
By that I mean, before now, everyone thought that if the dollar was left to float that it would settle at around 750 naira, now we now know that it is climbing to 3000. At least we now know and not the false life we were living before.

It is also ironic that he had to make his suggestion only after Atiku had made his suggestion of managed floating, which wasn't too different from what Emefiele was doing anyway.

Every sensible person can now see that PO rhetorics of "Consumption to Production" was just a catchphrase that had no substance or plans backing it up.

What Nigeria needs right now is better security so that old and new farmers can go to their farms, those dislodged from their locations can also go back and stop being refugees or IDP camp. Once we can solve the food part then we can seat down as a people and start learning to produce things for ourselves, afterall, we have engineers in this country. Now is the time for them to start producing some simple things. Leave producing cars, TV, phones and complex stuff for now. We should not be importing or assembling things like fans, recheageable lamps, generators and many other simple stuffs.

Cc Nlfpmod
Mynd44
Lalasticlala
Seun
Mynd44

I wish to urgently call on the Federal Government of Nigeria to end the inconsistency in duty charges as it is affecting the general business atmosphere in the country. The federal government should stop the arbitrary and ever-increasing customs duties asit is now negatively impacting businesses and the cost of items, and this portends a huge danger to the economy.

A situation where at the point of initiating importation, Form M and other documents related to importation are based on a particular rate of exchange, for example, N1000 to $1, being the prevailing exchange rate at the time which the importer of goods was used to calculate the entire process, from the import initiation to receipt of goods in his warehouse. Then suddenly when the goods arrive in Nigeria, and duties are calculated at different rates, say N1400 to $1, it becomes a serious business challenge that results in business losses.

Worse still, it directly fuels the inflationary spike which is the basis of increasing cost of goods and living. Such arbitrary charges will obviously lead to further closure of businesses, and attendant job losses. This is because at the time of the initiation of the business, calculations, including duties, have been made based on the prevailing exchange rate, and the prevailing market prices.

If this situation is not corrected, our importers may resort to using ports of nearby countries, a situation that will leave our ports under-productive, and further deepen our economy into a worse situation as a result of loss of revenue.The government should also show consistency in its policies as this will help with economic forecasting and business planning.

Businesses are dying and manufacturers are shutting down because of the poor and inconsistent economic policies of the government. All efforts of the government should be directed at supporting businesses, especially those in the manufacturing sector, to keep their businesses afloat and keep the economy growing, as the small business sector remains the most critical engine of economic growth. We cannot afford to target high customs revenues at the expense of the survival of local businesses, employment and reasonable cost of living - PO

7 Likes 2 Shares

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by alanih: 6:47pm On Feb 21
Obi
Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Nvestor02: 6:57pm On Feb 21
Lmao
Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by BlueRayDick: 7:03pm On Feb 21
Some of u just lack comprehension and u are too proud to ask more knowledgeable people to break it down for u before u start running propaganda with what u don't understand . How did what u quoted as Peter Obi's comment on duty charges correlate with the misleading topic of this thread ?

For educational purposes , let me break it down for u.

When a manufacturer for example wants to import raw materials for production of goods and services ; they open Form M at the prevailing market rate at that time; leats say N1500/1$ . When the raw material gets to the country , the manufacturer will be required to pay customs duties in naira to Nigeria Customs. Now that's where the problem is cos the federal government through customs has increased the rate of customs duties several times arbitrarily in the last few months.

It's more like u already made provision for customs duties to be paid at N900/1$ and by the time ur cargo is in Nigeria ; FG thru customs has already jacked it up to N1050/1$. The manufacturer will have no other choice than to pay the duties at that rate , but he will pass that incremental cost down to me and u who are the final consumer of the product that eventually comes out of the factory .

That is why price of locally made goods keep increasing .

It's myopic to think every "importer" imports foreign made goods to sell. For ur information, almost all manufacturers import raw materials to use in the manufacture of their product and that's why Peter Obi is advising the government to tone down on the continued increase in dollar rate for customs duties or else prices of goods will keep going up .

17 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by yarimo(m): 7:06pm On Feb 21
I pity anyone that think peter obi knows anything about good governernce, OBI can only fool his illiterate supporters

13 Likes 5 Shares

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by 9jatriot(m): 7:11pm On Feb 21
You guys always think you are wiser than everyone else. You hide under "when manufacturers want to import raw materials" when we all know that it is the core importers you and him are talking about.

Every single think you wrote here has to do with import, if he really knew what he was talking about when he was saying comsumption to production, many of the things you will be saying here will be export. So, if it was export you were talking about, would you also agree that CBN should give you 1500 when by the time your vendor pays you and the exchange rate is now 2000?

The man clearly does not understand the scale of the problem, there is no reserve to sustain subsidizing imortation.

BlueRayDick:
Some of u just lack comprehension and u are too proud to ask for more knowledgeable people to break it down for u. How did what u quoted as Peter Obi's comment on duty charges correlate with the misleading topic of this thread ?

For educational purposes , let me break it down for u.

When a manufacturer for example wants to import raw materials for production of goods and services ; they open Form M at the prevailing market rate at that time; leats say N1500/1$ . When the raw material gets to the country , the manufacturer will be required to pay customs duties in naira to Nigeria Customs. Now that's where the problem is cos the federal government through customs has increased the rate of customs duties several times arbitrarily in the last few months.

It's more like u already made provision for customs duties to be paid at N900/1$ and by the time ur cargo is in Nigeria customs has jacked it up to N1050/1$. The manufacturer will have no Choice but to pay the duties at that rate , but he will pass that incremental cost down to me and u who are the final consumer of the product that eventually comes out of the factory .

That is why price of locally made goods keep increasing .

It's myopic to think every "importer" imports foreign made goods to sell. Almost all manufacturers import raw materials to use in the manufacture of their product and that's why Peter Obi is advising the government to tone down on the continued increase in dollar rate for customs duties or else prices of goods will keep spiking .

6 Likes 3 Shares

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Greatkenny2: 7:13pm On Feb 21
These agbado people are brain dead.. is that what you got from Obi's write-up?

4 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by 9jatriot(m): 7:21pm On Feb 21
Your name calling will not work. For a man that was shouting "Consumption to Production", virutally everything about his suggestion was how to help his fellow importers. Of course, they usually hide under manufacturers when making these kinds of suggestions.
A "Consumption to Production" man should be telling us how we should start exporting so that those manufacturers will also get payments in USD. That is how the China that he is always quoting statistics from get USD.
If you import one million dollars worth of raw materials, you are supposed to now add value to it and export above one million dollars, that way, your balance of trade will allow you to continuously have access to USD.
Greatkenny2:
These agbado people are brain dead.. is that what you got from Obi's write-up?

6 Likes 3 Shares

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by BlueRayDick: 7:24pm On Feb 21
9jatriot:
You guys always think you are wiser than everyone else. You hide under "when manufacturers want to import raw materials" when we all know that it is the core importers you and him are talking about.

Every single think you wrote here has to do with import, if he really knew what he was talking about when he was saying comsumption to production, many of the things you will be saying here will be export. So, if it was export you were talking about, would you also agree that CBN should give you 1500 when by the time your vendor pays you and the exchange rate is now 2000?

The man clearly does not understand the scale of the problem, there is no reserve to sustain subsidizing imortation.


You still don't get it ? 🤦‍♂️

Omo!

For 4ck sake! Nothing concerns CBN in this matter ! He's talking about customs duties ; as in the fee u pay to the government when u import any item into the country .

Customs duties also affects manufacturers cos they need to pay duties on raw materials they bring into the country before they produce anything with it. Don't u get ?

Let me break it down for u once more with example . Let's say animal care that produces animal feed locally needs to import chemicals they need to use in their factory .

When they already benchmark they will pay duties at N1000/1$ and within 3 weeks customs increased the exchange rate for paying duties to N1250/1$. That will lead to an increase in their costs. When they eventually clear it , process the chemicals and make animal feed ; poultry farmers will buy it at a higher than normal price .

The poultry farmer too will sell his eggs and live chicken at a higher price and then u will start wondering why there is increase in the price of egg and chicken we produce here in Naija.

I know u and APC minions think Peter Obi is speaking as an importer of foreign goods; but whether u like it or not the constant arbitrary increase in customs duty is definitely not favoring u and ur family

8 Likes 2 Shares

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Mindlog: 7:29pm On Feb 21
As FG keep changing the duties so often.....the importer will pay whatever it is and pass it down to the final consumer, importer go still make im profit , while end users pay more.

I export to Kenya, Kenyan customs don't increase duties on a weekly basis and I am certain to a reasonable extent of how much it would cost my stock arriving my store in Nairobi.

7 Likes 1 Share

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by laiperi: 7:31pm On Feb 21
So almost all manufacturers import raw materials to the Continent where every rich and developed country source their raw materials.

Only Amadioha, your god, knows who gave you guys warped mentality.

BlueRayDick:


For educational purposes , let me break it dow8n for u.

For ur information, almost all manufacturers import raw materials to use in the manufacture of their product and that's why Peter Obi is advising the government to tone down on the continued increase in dollar rate for customs duties or else prices of goods will keep going up .

Including importers of junk from the high seas, importer of used electronics, used clothes, chalk, toothpicks etc. which most of you are involved in.

Do o, you hia.

4 Likes 1 Share

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Deogratiasfx: 7:37pm On Feb 21
You started very badly but ended well. Well done. How I wish Nigerians can hear your conclusion loud and clear.

1 Like

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by BrodaBenad: 7:40pm On Feb 21
You salary earners makes the most noise those who knows what is happening in Nigeria knows that import duty has to be stabilised

Increase in import duty doesn't affect importers especially those that sell it because they'll pass it down to the buyers


Increase in import duty affect those buying raw material from overseas for production thereby decreasing the amount of investments and again the buyers of such goods will bear the brunt



Most of you agbado people lack basic economics skills


No wonder you people have ran naira down the drain


Zuzulicious people

5 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by BrodaBenad: 7:42pm On Feb 21
Greatkenny2:
These agbado people are brain dead.. is that what you got from Obi's write-up?
you're suprised?


People that voted Buhari twice and defended every policy he made here in nairaland


They've voted a failure sophisticated intellectuals gbajue people


You don't know how low life they're


More protests loading

6 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by rejoice4eva(m): 7:46pm On Feb 21
You are not sincere. Just admit the government has failed. Obi is not in government.
If you have any contary opinion kindly offer it to this failing government and stop disgracing yourself with bad politics
Deogratiasfx:
You started very badly but ended well. Well done. How I wish Nigerians can hear your conclusion loud and clear.

5 Likes 1 Share

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Solofresh2: 7:46pm On Feb 21
By the time Tinubu is done with you, your ebin pawa will become "atiku ooo" grin

1 Like

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by ambale(m): 7:48pm On Feb 21
yarimo:
I pity anyone that think peter obi knows anything about good governernce, OBI can only fool his illiterate supporters

So na your demigod knows

How has the present government helped local businesses

Given the challenges the government is facing currently, what do you think should be done in the immediate to even stabilize the economy?

5 Likes 1 Share

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by BigIyanga: 7:49pm On Feb 21
BlueRayDick:
Some of u just lack comprehension and u are too proud to ask more knowledgeable people to break it down for u before u start running propaganda with what u don't understand . How did what u quoted as Peter Obi's comment on duty charges correlate with the misleading topic of this thread ?

For educational purposes , let me break it down for u.

When a manufacturer for example wants to import raw materials for production of goods and services ; they open Form M at the prevailing market rate at that time; leats say N1500/1$ . When the raw material gets to the country , the manufacturer will be required to pay customs duties in naira to Nigeria Customs. Now that's where the problem is cos the federal government through customs has increased the rate of customs duties several times arbitrarily in the last few months.

It's more like u already made provision for customs duties to be paid at N900/1$ and by the time ur cargo is in Nigeria ; FG thru customs has already jacked it up to N1050/1$. The manufacturer will have no other choice than to pay the duties at that rate , but he will pass that incremental cost down to me and u who are the final consumer of the product that eventually comes out of the factory .

That is why price of locally made goods keep increasing .

It's myopic to think every "importer" imports foreign made goods to sell. For ur information, almost all manufacturers import raw materials to use in the manufacture of their product and that's why Peter Obi is advising the government to tone down on the continued increase in dollar rate for customs duties or else prices of goods will keep going up .
Tankio. U dey mind them. This blind followership has really exposed how thick-skulled millions of Naiia folks are. Fuel import gulps 70% of our FX.. so these custom incessant channges will catch them.
Naija Banks and Financial services use a lot software/banking tools all billed in $£€… they are going to be affected.

Heavy and Industriwl goods like Construction equipment, trains, trucks/lorry, transformer, MRI/CT scan machines will be affected.

Pharmaceuticals/drugs/chemicals for manufacturing will be affected. Everything is politics to these minioms🤷🏿‍♂️🤷🏿‍♂️🤦🏿‍♂️

2 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by magoo10(m): 7:50pm On Feb 21
The thing is most APC sycophants dont have and have never run a business of their own but depends on crumbs from one WhatsApp group or the other.
How will they understand what Peter Obi is talking about

6 Likes 2 Shares

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Deogratiasfx: 7:50pm On Feb 21
rejoice4eva:
You are not sincere. Just admit the government has failed. Obi is not in government.
If you have any contary opinion kindly offer it to this failing government and stop disgracing yourself with bad politics

I am 💯 anti Tinubu and I see their failures. Infact I am not disappointed in them because I never expected them to do well in the first place.

2 Likes 1 Share

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by ambale(m): 7:50pm On Feb 21
First, there is no way any government will stop importation of goods

There are stuffs that we can't produce here vice versa,

But with the current realities, let's have a stable policy at least for 6months, things are crumbling too fast

Abi ina no just wan get sense ni

2 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by BlueRayDick: 7:54pm On Feb 21
laiperi:
So almost all manufacturers import raw materials to the Continent where every rich and developed country source their raw materials.

Only Amadioha, your god, knows who gave you guys warped mentality.



Including importers of junk from the high seas, importer of used electronics, used clothes, chalk, toothpicks etc. which most of you are involved in.

Do o, you hia.

Mention one major industry u know that don't import raw materials in this country .

Is it the plastic industry ? Is it the factories making fruit juice ? Is it the pharmaceuticals ? Is it the agro tech ? Is it those making paper ?

Like I told ur fellow compatriot up there , some of u are ignorant and u are proud of it.

Some of us have seen enough Form M's in this life time to know that the Nigerian manufacturing industry is heavily import dependant.

4 Likes 1 Share

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by olisaEze(m): 7:56pm On Feb 21
Instead of focusing on the Bat mobile plunging the nation straight into poverty & chaos, you're looking at the supposed u-turn made by a private citizen in his own capacity. The leader of the nation is Tinubu, it's his policies and statements that ought to concern you and not a man you and your kind rejected. Abi has hunger made your vomit attractive to you?? cheesy
Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Depriest2020: 7:57pm On Feb 21
BlueRayDick:
Some of u just lack comprehension and u are too proud to ask more knowledgeable people to break it down for u before u start running propaganda with what u don't understand . How did what u quoted as Peter Obi's comment on duty charges correlate with the misleading topic of this thread ?

For educational purposes , let me break it down for u.

When a manufacturer for example wants to import raw materials for production of goods and services ; they open Form M at the prevailing market rate at that time; leats say N1500/1$ . When the raw material gets to the country , the manufacturer will be required to pay customs duties in naira to Nigeria Customs. Now that's where the problem is cos the federal government through customs has increased the rate of customs duties several times arbitrarily in the last few months.

It's more like u already made provision for customs duties to be paid at N900/1$ and by the time ur cargo is in Nigeria ; FG thru customs has already jacked it up to N1050/1$. The manufacturer will have no other choice than to pay the duties at that rate , but he will pass that incremental cost down to me and u who are the final consumer of the product that eventually comes out of the factory .

That is why price of locally made goods keep increasing .

It's myopic to think every "importer" imports foreign made goods to sell. For ur information, almost all manufacturers import raw materials to use in the manufacture of their product and that's why Peter Obi is advising the government to tone down on the continued increase in dollar rate for customs duties or else prices of goods will keep going up .
God bless you. Don't mind the OP

1 Like

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by BlueRayDick: 7:57pm On Feb 21
BigIyanga:

Tankio. U dey mind them. This blind followership has really exposed how thick-skulled millions of Naiia folks are. Fuel import gulps 70% of our FX.. so these custom incessant channges will catch them.
Naija Banks and Financial services use a lot software/banking tools all billed in $£€… they are going to be affected.

Heavy and Industriwl goods like Construction equipment, trains, trucks/lorry, transformer, MRI/CT scan machines will be affected.

Pharmaceuticals/drugs/chemicals for manufacturing will be affected. Everything is politics to these minioms🤷🏿‍♂️🤷🏿‍♂️🤦🏿‍♂️

My brother , it's topic like this that exposes some of these empty headed propagandist as dull and willing political tools in the hands of their pay masters .

They don't even understand the workings of the economy of their own nation beyond whatever nonsense they pass down to them in their WhatsApp groups for them to regurgitate .

3 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Okoroawusa: 7:59pm On Feb 21
You even try dey read wetin Peter Obi talk.
Me and olodo no get any connection.

1 Like

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Stone03: 8:08pm On Feb 21
You are such a cheap idi0t! See your smelly mouth.
What has your corn-fused president said in this situation ever since? He is bereaved of ideas and also right words, all you came to Nairaland to do is to air your brainlessness, mocking someone that is full of sympathy and empathy by bringing suggestions to help your poor situation.
You don't deserve to live in the midst of humans, Baga!

3 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by SpecialAdviser(m): 8:13pm On Feb 21
BlueRayDick:
Some of u just lack comprehension and u are too proud to ask more knowledgeable people to break it down for u before u start running propaganda with what u don't understand . How did what u quoted as Peter Obi's comment on duty charges correlate with the misleading topic of this thread ?

For educational purposes , let me break it down for u.

When a manufacturer for example wants to import raw materials for production of goods and services ; they open Form M at the prevailing market rate at that time; leats say N1500/1$ . When the raw material gets to the country , the manufacturer will be required to pay customs duties in naira to Nigeria Customs. Now that's where the problem is cos the federal government through customs has increased the rate of customs duties several times arbitrarily in the last few months.

It's more like u already made provision for customs duties to be paid at N900/1$ and by the time ur cargo is in Nigeria ; FG thru customs has already jacked it up to N1050/1$. The manufacturer will have no other choice than to pay the duties at that rate , but he will pass that incremental cost down to me and u who are the final consumer of the product that eventually comes out of the factory .

That is why price of locally made goods keep increasing .

It's myopic to think every "importer" imports foreign made goods to sell. For ur information, almost all manufacturers import raw materials to use in the manufacture of their product and that's why Peter Obi is advising the government to tone down on the continued increase in dollar rate for customs duties or else prices of goods will keep going up .
Why do you have to reply m.u.m.u people?

2 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by BlueRayDick: 8:23pm On Feb 21
SpecialAdviser:

Why do you have to reply m.u.m.u people?

Sometimes one needs to correct some of these misinformations ; so that in 10 years time some youngings will not be quoting a fooolish unchallenged op as defence for their argument

3 Likes

Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by ikennaoma(m): 8:36pm On Feb 21
I'm enjoying this conversation..
Re: Peter Obi Makes U Turn on Production, Advocates Subsidy For Importers by Otolomo1(m): 8:37pm On Feb 21
He just think it easy to govern a country like Nigeria
Complex in problem, you solve this and another one show face. Those who are off field won't know how easy or hard it is to play football.
9jatriot:
This is the man that was shouting "From consumption to Production" during the campaigns, yet all his suggestions here are to allow his fellow importers to get cheap access to forex, some of which will find their way to the black market after getting it at a cheap rate if the government were to accept his proposition.

Even now, one can tell that he does not understand the scale of problems he would have had to face if he were elected. He would have had to make a choice between increased borrowing to subsidize importation, which was the option Buhari chose or remove some plugs so that we really understand the mess we are in.
By that I mean, before now, everyone thought that if the dollar was left to float that it would settle at around 750 naira, now we now know that it is climbing to 3000. At least we now know and not the false life we were living before.

It is also ironic that he had to make his suggestion only after Atiku had made his suggestion of managed floating, which wasn't too different from what Emefiele was doing anyway.

Every sensible person can now see that PO rhetorics of "Consumption to Production" was just a catchphrase that had no substance or plans backing it up.

What Nigeria needs right now is better security so that old and new farmers can go to their farms, those dislodged from their locations can also go back and stop being refugees or IDP camp. Once we can solve the food part then we can seat down as a people and start learning to produce things for ourselves, afterall, we have engineers in this country. Now is the time for them to start producing some simple things. Leave producing cars, TV, phones and complex stuff for now. We should not be importing or assembling things like fans, recheageable lamps, generators and many other simple stuffs.

Cc Nlfpmod
Mynd44
Lalasticlala
Seun
Mynd44

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