₦airaland Forum

Want to learn!

Please can anyone tell me it's a lie Nigerian Custom charges to clear Cargo in another countries currency??

I've never tried to clear anything before so I wouldn't know...just recently a car dealer friend was discussing this and I got to know...

Please! Please and please!

Is the government aware of this or it's just the usual Nigerian corrupt practices.. I really want to believe the former...

Because if this is a government policy... It is madness of some astronomical level... So why are we surprised Naira is getting molested everyday by the dollar?




This should be a lie please!

Fortune109:
Want to learn!

Please can anyone tell me it's a lie Nigerian Custom charges to clear Cargo in another countries currency??

I've never tried to clear anything before so I wouldn't know...just recently a car dealer friend was discussing this and I got to know...

Please! Please and please!

Is the government aware of this or it's just the usual Nigerian corrupt practices.. I really want to believe the former...

Because if this is a government policy... It is madness of some astronomical level... So why are we surprised Naira is getting molested everyday by the dollar?




This should be a lie please!

It is as true as knowing the sun will shine tomorrow.

VillageOracle00:
It is as true as knowing the sun will shine tomorrow.

Really pathetic!

C h a i..










Are you shocked by this news??

You must be living in another country, not Nigeria,,

No they do not. They only use the dollar value of your import (since most import invoices are in dollars) to compute your applicable duty and other taxes. You then pay the naira value. The exchange rate used by the customs is determined by the CBN/Ministry of Finance.

chicfarmer:
No they do not. They only use the dollar value of your import (since most import invoices are in dollars) to compute your applicable duty and other taxes. You then pay the naira value. The exchange rate used by the customs is determined by the CBN/Ministry of Finance.

Hmm!

Still doesn't make any sense... Why calculating in dollars in Nigerian Port...All these self sabotaging Policies contribute to the fallen Naira over the years...

Can't you just state the Amount of Naira it will cost to clear goods according to size or year of production or other indices...computing in dollars create unnecessary importance on Dollars against the naira in the Nigerian economy...



May be our leaders are just crazy or something!

Fortune109:
Hmm!

Still doesn't make any sense... Why calculating in dollars in Nigerian Port...All these self sabotaging Policies contribute to the fallen Naira over the years...

Can't you just state the Amount of Naira it will cost to clear goods according to size or year of production or other indices...computing in dollars create unnecessary importance on Dollars against the naira in the Nigerian economy...



May be our leaders are just crazy or something!

You make a point but it's not practicable. Duties are calculated as a percentage of the VALUE of goods, hence the need to first convert from the currency of purchase to the local currency before the owner can make payments and clear their goods.

The Tinubu government declared war on Igbo importers from Day one, that's just the uncomfortable truth that no one wants to talk about. He seem to have gotten tired of their shenanigans in and around Lagos and feels that even if what it will take to cut them to size entails liquidating the whole Nigeria, he will do so. Import tariffs have been skyrocketing since he came into office with dangerous effects on the final prices of consumer goods, but he doesn't care.

It takes over 20 million to clear a 40 ft container of essential goods with no local duplicate! Think about that. To put things into some sort of perspective, you could use 2 to 4 million to do so during the Jonathan days. This includes chemicals and basic raw material imports for factory productions. And he keeps increasing the tariffs, almost on monthly basis. They call it free market economics.

Fortune109:
Hmm!

Still doesn't make any sense... Why calculating in dollars in Nigerian Port...All these self sabotaging Policies contribute to the fallen Naira over the years...

Can't you just state the Amount of Naira it will cost to clear goods according to size or year of production or other indices...computing in dollars create unnecessary importance on Dollars against the naira in the Nigerian economy...



May be our leaders are just crazy or something!

The Nigeria customs operate under the auspices of the World customs organisation (WCO) which is the umbrella body for customs in every country of the world.
The duty of the WCO is to ensure that customs duty is fair,consistent and constant in all countries of the world. This is why import invoices or receipts are almost always calculated in dollars.
Once the cost of the goods+ insurance of goods +Freight of goods= also called CIF( cost+insurance +freight) is calculated in dollars the sum total is converted to the local currency(Naira).
Taxes are now calculated in the following sequence of 5%,10%,20%,50% and 100% depending on the item being imported.

Bear in mind that after the import duty tax. Importers will also pay 7% surcharge as well as VAT.

I hope this gives you a bit of clarity.

MadPolitician:
The Tinubu government declared war on Igbo importers from Day one, that's just the uncomfortable truth that no one wants to talk about. He seem to have gotten tired of their shenanigans in and around Lagos and feels that even if what it will take to cut them to size entails liquidating the whole Nigeria, he will do so. Import tariffs have been skyrocketing since he came into office with dangerous effects on the final prices of consumer goods, but he doesn't care.

It takes over 20 million to clear a 40 ft container of essential goods with no local duplicate! Think about that. To put things into some sort of perspective, you could use 2 to 4 million to do so during the Jonathan days. This includes chemicals and basic raw material imports for factory productions. And he keeps increasing the tariffs, almost on monthly basis. They call it free market economics.

😐

I think customs tariff should be localized and simply charged in Naira to save our currency...




Don't buy the Igbo sentiment claim!

confusedlady:
The Nigeria customs operate under the auspices of the World customs organisation (WCO) which is the umbrella body for customs in every country of the world.
The duty of the WCO is to ensure that customs duty is fair,consistent and constant in all countries of the world. This is why import invoices or receipts are almost always calculated in dollars.
Once the cost of the goods+ insurance of goods +Freight of goods= also called CIF( cost+insurance +freight) is calculated in dollars the sum total is converted to the local currency(Naira).
Taxes are now calculated in the following sequence of 5%,10%,20%,50% and 100% depending on the item being imported.

Bear in mind that after the import duty tax. Importers will also pay 7% surcharge as well as VAT.

I hope this gives you a bit of clarity.

It helps... Thanks!

However I think this really is a major part of what's making essential commodities very expensive in Nigeria... Whatever Global Organization you are part of as a government... The number one goal is NATIONAL INTEREST... if computing in dollars is killing your local currency and making things unreasonably expensive for your people then where is the NATIONAL INTEREST ??

OR IS Nigeria been a member of World Custom Organization essentially to kill her own Citizens??

The USA or Europe would have stopped being a member of any organization the next day they realize it's against their National interest...




Thanks for the clearance again!

confusedlady:
The Nigeria customs operate under the auspices of the World customs organisation (WCO) which is the umbrella body for customs in every country of the world.
The duty of the WCO is to ensure that customs duty is fair,consistent and constant in all countries of the world. This is why import invoices or receipts are almost always calculated in dollars.
Once the cost of the goods+ insurance of goods +Freight of goods= also called CIF( cost+insurance +freight) is calculated in dollars the sum total is converted to the local currency(Naira).
Taxes are now calculated in the following sequence of 5%,10%,20%,50% and 100% depending on the item being imported.

Bear in mind that after the import duty tax. Importers will also pay 7% surcharge as well as VAT.

I hope this gives you a bit of clarity.

Ooh please shut it

One of the things that controlled inflation under Buhari was the fixed dollar rate customs charged duty

Like Peter Obi said it kills business when you import something and till it gets to the port you have zero idea what the exchange rate would be

Custom can decide to use exchange rate of ₦500 to a dollar and boom that would drop inflation, grew businesses and increase revenue massively

chicfarmer:
You make a point but it's not practicable. Duties are calculated as a percentage of the VALUE of goods, hence the need to first convert from the currency of purchase to the local currency before the owner can make payments and clear their goods.

I understand!

But trying to revive a dieing economy... one has to think differently especially when the dollar is very high against your currency...You simply want to kill your people if you keep computing in dollars then adding the equivalent to the already expensive cargo because of dollar rate...

You have to make not computing in any foreign currency when your own currency is very weak practicable...

Or you are just unnecessary wicked against your own Citizens as a government...




It is well!

Yes

In your currency of transact and invoicing except you bought in Naira

MEEVEET:
Ooh please shut it

One of the things that controlled inflation under Buhari was the fixed dollar rate customs charged duty

Like Peter Obi said it kills business when you import something and till it gets to the port you have zero idea what the exchange rate would be

Custom can decide to use exchange rate of ₦500 to a dollar and boom that would drop inflation, grew businesses and increase revenue massively

@Bolded,
I hope you are not suffering from insanity? Go back home and tell your dumb mother to shut it. Beast!

What concerns me with your dumb politicians and dumb politics?
If you are a brainless follower of Peter Obi or Buhari what has that got to do with my analysis of how Customs duty is computed world wide?

I don't discuss with idi0ts.
Customs duty world wide is charged based on the invoice which is usually in Dollars which is the universal currency.
So if your Naira has been devalued and Customs charge duty based on the exchange rate given to them by the Minister of Finance how can Customs impute duty on a lesser value?
Please my analysis was for sane people and not for political lap dogs.
This is why some of us refuse to give opinions on this forum because of the number of uncouth and untrained kids running around with cheap Chinese phones!

confusedlady:
The Nigeria customs operate under the auspices of the World customs organisation (WCO) which is the umbrella body for customs in every country of the world.
The duty of the WCO is to ensure that customs duty is fair,consistent and constant in all countries of the world. This is why import invoices or receipts are almost always calculated in dollars.
Once the cost of the goods+ insurance of goods +Freight of goods= also called CIF( cost+insurance +freight) is calculated in dollars the sum total is converted to the local currency(Naira).
Taxes are now calculated in the following sequence of 5%,10%,20%,50% and 100% depending on the item being imported.

Bear in mind that after the import duty tax. Importers will also pay 7% surcharge as well as VAT.

I hope this gives you a bit of clarity.

You are very correct. Many Nigerians are extremely ignorant of how duties and taxes are calculated. Some even ignorantly think that customs arbitrarily manufacture duty.

1. Duty is calculated based on a harmonised tariff book used in the whole of West Africa in order to have uniform tariffs for all goods.
2. Import duty is calculated based on the atrested invoice provided by the importer which is most times calculated in dollars.
3. Customs convert the amount of money on the invoice into Naira and work out a percentage of duty based on the tariff book.
4. Importers have been known to provide forged and manipulated invoices. This is why customs have a valuation unit with a data Base of prices of goods all over the world for each year.
5. If an importer provides a contested invoice value of his goods then the importer,his clearing agent and the goods are refered to the Valuation unit for final arbitration. Valuation unit ruling on value of goods is usually final.

TheMadame:
You are very correct. Many Nigerians are extremely ignorant of how duties and taxes are calculated. Some even ignorantly think that customs arbitrarily manufacture duty.

1. Duty is calculated based on a harmonised tariff book used in the whole of West Africa in order to have uniform tariffs for all goods.
2. Import duty is calculated based on the atrested invoice provided by the importer which is most times calculated in dollars.
3. Customs convert the amount of money on the invoice into Naira and work out a percentage of duty based on the tariff book.
4. Importers have been known to provide forged and manipulated invoices. This is why customs have a valuation unit with a data Base of prices of goods all over the world for each year.
5. If an importer provides a contested invoice value of his goods then the importer,his clearing agent and the goods are refered to the Valuation unit for final arbitration. Valuation unit ruling on value of goods is usually final.

Good afternoon ma'am, sorry for disturbing u but pls can u assist me with any amount to buy food please I'm very hungry