The President, National Council of Managing Directors of License Customs Agents (NCMDLCA), Mr. Lucky Amiwero has faulted the Hon. Minister of Finance, Mrs. Kemi Adeosun for approving that the duty payable for goods imported into the country be calculated at the rate of N282 per Dollar saying that the directive contravened the Central Bank of Nigeria (CBN)’s Monetary, Credit, Foreign Trade and Exchange policy guidelines.
Amiwero who made this position known in a letter he addressed to the Finance Minister and copied to President Muhammadu Buhari and the Comptroller-General of Customs, Col. Hameed Ali (Rtd) which was sighted by Primetime Reporters stated that the CBN’s guideline stipulated in paragraph 4.2.4 on import duty payment procedures that import duty payable on items registered under Form, “M” transactions whether or not Valid for foreign exchange, shall be calculated on the basis of CBN prevailing exchange rate on the day the Form “M” was approved.
He further recalled that the Federal Ministry of Finance Import Guideline in page 8 paragraph (H)-(2) clearly stated that all import shall continue to be assessed for duty at the Cost, Insurance and Freight (CIF) Value of the goods using the rate of exchange on the approved e-Form “M”.
According to him,” We hereby bring to the attention of the Federal Government of the immediate implementation of the Exchange rate, which contravenes the Central Bank of Nigeria Monetary, Credit, Foreign Trade and Exchange Policy Guidelines.
“The guideline stipulates in paragraph 4.2.4 on import duty payment procedures that Import duty payable on items registered under Form, “M” transactions whether or not Valid for foreign exchange, shall be calculated on the basis of CBN prevailing exchange rate on the day the Form “M” was approved.
“The Federal Ministry of Finance Import guideline in page 8 paragraph (H)-(2) Clearly states, All import shall continue to be assessed for duty at the C.I.F. Value of the goods using the rate of exchange on the approved e-Form “M”.
“The Exchange Rate policy is determined under section 16 of the Central Bank of Nigeria Act No.7 of 2007 that regulates and issues guideline in respect to the application of rate of Exchange.
“The provision under the Customs and Excise Management Act section 78 addresses the issue of Fiscal Policy on Importation, which excludes Exchange rate that is the Legal responsibility of Central Bank to intervene, regulate and publish Guideline in line with their legal mandate”.
While faulting the Minister’s directive, he requested that the guideline for the Central Bank, the Federal Ministry of Finance Import guideline and the grace period should apply in the present circumstance in line with the provision of the law and principle of international best practice adding that it would create consistency and transparency in our import trade.
“Grace periods are associated with the implementation of changes on import trade both Fiscal and Monetary in line with federal government practice based on international best practice on International trade.The Ministry of Finance in most of the Fiscal policy based on international best practice extents grace period for 90 (ninety) days to accommodate transactions that has been concluded.
“We hereby request that the guideline for the Central Bank, the Federal Ministry of Finance Import guideline and the grace period should apply in the present importation in line with the provision of the law and principle of international best practice, it will create consistency and transparency in our import trade”, he said.
It will be recalled that the Federal Government recently pegged the rate of duty payable on importation at N282 per Dollar, an action which has since sparked off mixed reaction among the maritime practitioners at nation’s maritime industry.
Send your news, press releases/articles to info@primetimereporters.com. Also, follow us on Twitter @reportersinfo and on Facebook at facebook.com/primetimereporters or call the editor on 07030661526, 08053908817.
