Nigeria - New Customs and Excise Tariff

January 2001

The Federal Government has approved various fiscal measures and tariffs for the year 2001. These are basically aimed at discouraging importation of some finished products.

Some of the salient features of the tariff reviews are as follows:

1. Increased customs duties on some imported finished products. These include:

Rice

50% to 75%

Soya beans

25% to 45%

Palm oil

35% to 60%

Sunflower seed/cotton seed oil

35% to 60%

Apples

40% to 75%

Eggs

50% to 80%

Fruit juice

55% to 65%

Corn flakes

35% to 50%

Woven fabrics

35% to 45%

Tooth brushes & other brushes

35% to 40%

2. Reduced customs duties on major raw material input for manufacturing, agricultural and animal husbandry, soap and detergents, paper and printing products, iron and steel, textiles, engineering paints and chemicals. These include:

Chassis with engine

30% to 5%

Luxurious Bus

25% to 15%

Pedestrian controlled Tractors

10% to 5%

Road Tractors

10% to 5%

Seasoning

15% to 10%

Wheat

60% to 30%

Fish Products

25% to 5%

Day old chick

25% to 10%

Newsprint

15% to 5%

Pictures, designs and photographs

45% to 15%

Mosquito net

50% to 5%

Jute and Textile fibres

15% to 5%

3. Maintenance of zero duty on books and teaching aids, as well as essential machinery and spare
parts for the productive sector of the economy.

4. Removal of gypsum from the import prohibition list in line with the principles of the World Trade
Organisation regarding trade liberalization and the removal of trade barriers. Its importation will
however attract a duty rate of 65%.

5. Maintenance of the excise duty regime for the year 2000.

6. Only bulk importation of cement in quantities not less than 100,000 metric tonnes or the full capacity
of the carrying vessel is permissible. On arrival of the carrying vessel at Nigerian ports, such cement amount is required to be discharged into silos at the quay side or into a ship permanently moored to the shoreline or into trucks.

7. Prohibition of bulk importation of vegetable oil for health reasons. All imports of vegetable oil are required to be branded, in cans and will attract an import duty rate of 60%.

8. All containers and cars destined for the Nigerian market must come in through the ports, while efforts will be intensified to make the ports user- friendly so as to encourage patronage of importers.

9. Clearance of imported electricity generating sets is now required to be done through the National Electric Power Authority (NEPA). In this regard, the government has pledged to ensure that NEPA produces at its expected capacity which is 4000 mega watts and consequently make the importation and use of generating sets unnecessary.

With thanks to Adepetun, Caxton-Martins & Agbor for supplying this information.

Click here for information on vessel detention for non-payment of increased tariff.