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Tag: Importers

  • Importers, traders laud govt for lifting ban on rice

    Importers, traders laud govt for lifting ban on rice

    President Muhammadu Buhari has been praised for approving the recommendation of the Comptroller-General, Nigerian Customs Service (NCS), Col. Hameed Ali (rtd), to lift the ban on  rice importation through land borders.

    According to stakeholders in the maritime sector, the Federal Government loses over N20 billion yearly for putting rice on the import restriction list.

    This is because no fewer than 10,000 bags of rice were smuggled into the country daily from Benin Republic and other neighbouring countries before the ban was lifted.

    Customs Public Relations Officer Mr Wale Adeniyi, last week, in a statement, announced the lfiting of the ban.

    The action of the government was lauded by officials of the Federal Ministry of Finance, the Association of Nigerian Licensed Customs Agents (ANLCA), Customs officers, importers, traders and others.

    A senior official of the Federal Ministry of Finance, who craved anonymity, said the N20 billion yearly loss was not part of the duty owed the government by rice importers who exceded the import quotas given to them. Some importers also enjoyed ‘questionable waivers’ too.

    The  administration of former President Goodluck Jonathan, had through the Ministry of Agriculture, approved import waivers for rice importers.

    In spite this largesse, all entreaties, notifications and notices  given to the importers by the Customs, many of them still defaulted paying Customs duty and other charges on the excess imported rice.

    A few months ago, offcials of the NCS sealed warehouses of major rice importers for failing to pay debts valued at N23,603,479,402.44

    The affected importers are: Olam, Stallion/Popular Foods/Masco Agro, Ebony Agro and Conti-Agro (Milan).

    Allowing the issue to degenerate to the level of closing down their warehouses was one of the reasons the government reviewed the ban.

    “These people were given special allocation by the government and the terms of agreement were spelt out to them. But, at a stage, they brought in rice in excess of the allocations that were given to them. It became difficult for them to pay the duty imposed by the government. I don’t know when Nigeria became Father Christmas where anybody can ship in commodities without paying the necessary duty to the government.

    “Those who put rice under import restriction list failed to understand that some people that are close to the government may abuse the process and that is why we recorded huge losses from the border stations where the government is supposed to collect huge revenue from duty and other charges.

    “Immediately, the item was banned, rice became the most smuggling commodity.

    “Those using local production to sustain the ban could not achieve anything before they left power. “How many tonnes of rice are we producing in the country? What is the method and level of our production? How many genuine rice farmers do we have in the country? How much was allocated for rice production by the last administration and where is the rice in our markets or the money in our purse?

    “Without the necessary policy frame work and massive production of the commodity across the country, the ban on the commodity cannot be sustained.

    “Rice business is a big business. Rice is an international commodity and it will always find its way into our country like fish in the Atlantic Ocean; wherever the water goes, you find fish. Every grain of rice is money,” an official of the NCS said.

    ANLCA President, Prince Olayiwola Shittu, commended President Buhari and the Col. Ali for reversing the obnoxious policy of the last administration.

    He argued that the ban on rice importation through land borders had led to upsurge in  the smuggling of the essential commodity and threw up some emergency millionaires.

    He said over 10,000 bags of rice are smuggled in daily.

    In 2011, Shittu said, 2.9 million tonnes of rice were imported, not 342,000 tonnes, as claimed by some top officials of the last administration.

    He called on the National Assembly to support the Federal Government with a legislation that would promote agric production.

    Shittu urged the Federal Government and the NCS  to put in place an effective sanction for rice smuggler.

    He identified low tariff on rice in neighbouring countries as one of the major factors contributing to smuggling of rice, urging the government to look into the 60 per cent levy imposed by the last administration.

    An importer at Alaba Rago Market,Mallam Audu Bello, howver, said the decision to ban rice importation was not well thought-out.

    “Rice is important in Nigeria. This is because it is a staple food of most homes,” he said.

    According to government statistics, yearly consumption of rice is about 5.5million tonnes. It is also a fact that local production accounts for about 1.8million tonnes. Analysts say the question is how to bridge the gap.

    “The fact is that over two million metric tonnes are smuggled into the country and the country loses huge revenue through it,” he added.

    Also, the President, Shippers’ Association Lagos State, Rev. Jonathan Nicol, lauded the lifting of the ban. He described the action as the ‘most sensible’.

    According to him, rice is the staple food of many Nigerians. “When Nigeria is ripe to produce enough rice, Nigerians will be glad to adjust and consume local produce,” he said.

     

  • SON arrests importers of fake auto parts

    Determined to deliver on its mandate to rid Nigerian markets of fake and sub-standard products, the Standards Organisation of Nigeria (SON) has seized sub-standard auto spare-parts worth N20 million from Mundus Auto Limited at the popular Auto Parts and Mechanics Dealers Association (ASPAMDA) market at the Lagos International Trade Fair Complex along Mile 12-Badagry Expressway. The importer was also arrested.

    Also confiscated were cartons of adulterated locally-made tooth brushes, allegedly imported from China.

    The raid, according to SON, was part of its on-going ‘Operation Flush’ campaign aimed at eliminating sub-standard products from circulating in the country.

    Briefing reporters after the exercise, leader of the Monitoring and Enforcement team, Assistant Director, Inspectorate and Compliance Department of the agency, Mr. Fred Akingbesote, expressed disgust at the rate importers throw caution to the wind in their bid to maximise profit. He disclosed that a similar raid, which took place earlier in the year, involved the same culprit whose shop was amongst those locked up for the same offence.

    “If you recall that this type of exercise was carried out precisely on April 8. The same culprit refused to understand what we are saying. They continued in their nefarious activities by faking the product. This is an engine component spare part in a heavy-duty vehicle originally a product of Poland with a minimum life-span of two years, but this fake one from China can only last for about two months.

    “Everything about the rotor looks exactly like the original. It takes an eagle-eye of a technically competent person to identify, but this person continues to bring it in from China, while the original is made in Poland,” he said.

    Unperturbed by SON’s action in locking the shops, the importer, who had been on the run since the incident, together with members of his cartel obtained a court injunction against the agency and went ahead with normal business, not minding the fact that a day of reckoning always comes.

    The SON top official said: “When these shops were locked in April they went to court and got an injunction which I’m not aware of; that notwithstanding, the pedestal at which SON works now is a different platform entirely because of our amended Act. In time past, we needed to obtain court order, but now Section 30; sub-section 4 gives us the same right, privilege and authority like any law enforcement agency, especially the Police. Now, we can arrest, prosecute and detain as the case may be. So, running around obtaining court injunctions based on the old Act is just a waste of time.”

    The former SON Act empowers the Standards Council to design, establish and approve standards in respect of metrology, materials, commodities, structures, and processes for the certification of products in commerce and industry throughout Nigeria and to carry out any other function imposed on it under the former Act. It also empowers the Director-General to enforce standards, quality control of products, science of measurement, and all matters relating to metrology; investigate quality of products, etc, seize, seal, destroy or prohibit the sale of sub-standard products; power to enter any premises, building etc. where commercial activity is taking place to perform her functions, amongst others.

    Following the unprecedented passing of the SON amended Act by the immediate seventh National Assembly, it has now acquired new powers not only to arrest, prosecute and jail purveyors of fake and sub-standard products across the country, but prevent importers of such products into the country from having the usual mentality of ‘business as usual’. With this upgraded status, the war against fake and sub-standard products would gain new impetus and bite.

    Akingbesote stressed that the high rate of accidents on our roads is caused by the use of counterfeit imported auto spare parts by motorists, while decrying the unpatriotic attitude of some unscrupulous businessmen, who would stop at nothing to amass wealth at the detriment of others.

    “These are fake metals, but look like the original. It has to be subjected to fatigue and mechanical tests to further check for the component and the characteristics of the metal. These are just fake; they look shiny, polished, but there’s actually nothing in them. Something that is for duration of two years minimum, you use it for a couple of months and it’s all over.”

    “This is why we have high rate of damage on trucks on the road and accidents. It’s an engine component and anything can happen,” he said.

    He expressed joy at the milestone reached with the ‘operation flush’ campaign and promised that the agency would stop at nothing to ensure that sub-standard products are removed from Nigeria’s markets, while warning dubious importers to desist from proliferating fake products because the long arm of SON would definitely catch up with them.

  • Customs vs. rice importers

    The Buhari government promised change and sweeping changes at that, especially in view of the wide-spread view that Nigeria witnessed some of the most corruption times in the recent past. Many institutions were known to be openly corrupt in the Nigerian landscape. Were a list to be drawn up, the Nigerian Customs Service would not escape the list. It stands to reason therefore that the leadership of Customs should be jittery, fearful of being swept aside to make way for a reformist who would make a more transparent and effective organization of the service.

    The recent physical crackdown by officers of Nigerian Customs on companies alleged owing excess duties levied after customs had cleared their goods for importation is believed to an effort to paint the present customs administration white and escape the cleansing brush of this administration. Or how else does one interpret the sudden crackdown by Customs, in the face court orders restraining them from taking action against the companies until the various court cases instituted in this respect are vacated.

    Early in the week of 27 June, heavily armed men of the Nigerian Customs invaded premises of seven companies alleged owing N23.6billion on account of unpaid levies in respect of rice importation. Customs alleged that the companies had imported rice in excess of quotas granted them by the Federal Government in its Rice Policy circular. They demanded payment of 40% levy on the deemed excess, imported between June and December 2014.

    Elsewhere, one would have asked if customs officers had access to this policy paper ahead of the importation and admittance of the goods through our ports. One would have wanted to know if customs was aware of the conditions of the incentives attached to these policy initiatives and the conditions under which the incentives could be availed.

    Knowing how thorough our customs men are, they would have scrutinized the policy document and referred it to their legal officers for advice before implementation. Based on their interpretation of the Rice policy circular, they accepted documents submitted by importers operating under this incentive programme at point of importation, and allowed their cargo to be cleared by paying the prescribed10% duty and 20% levy. They accepted this rate repeatedly for six months until December 2014, when the Federal Ministry of Agriculture woke from its slumber and remembered that it had failed to convene a meeting of the inter-ministerial committee as directed by the government or issued quotas to bona fide rice value chain operators as required by the directive. The inter-ministerial committee was saddled with the task of determining the supply shortfall in rice to be made up by importation and the allocation of quotas to bona fide investors.

    One would have thought that customs on receiving the circular would have sought clarification on how far it should go since the circular was clear as to the fact that the incentive was valid for the supply gap as determined by the inter-ministerial committee. They did no such thing. They proceeded to implement the policy paper handed them, and assessed incoming rice cargo by the bona fide importers at the incentive rate of 30%.

    It is still to be ascertained whether only these seven culprits brought in rice at the incentive rate. We understand that the quota unilaterally determined in arrears by the Federal Ministry of Agriculture also granted generous quotas to some would-be investors, who at that time had no verifiable investments in the rice value chain. They had shown the Minister of Agriculture their intent to start rice farming and milling by 2017. This carried a lot of weight with the minister and they were rewarded with bounty allocations at the expense of acknowledged importers who had been given key investor status by the federal government agencies responsible for certifying bona fide investors. No wonder then the bona fide investors allegedly imported in excess of their quota. Their quota had been sharply reduced by the allocation to un-preferred, would-be investors, and existing value chain operators were suddenly thrown off balance, with allocation of less than 10% of the established supply gap. Customs must come out in the open with the complete record of all importers that benefitted from the incentive rate to be a credible organization.

    At the outbreak of the on-going impasse, the aggrieved importers sought and secured a court injunction restraining customs from enforcing the retroactive levy pending the determination of the cases in court. Customs complied and resorted to dialogue with the aggrieved importers. One wonders what then has changed.

    Indeed the fear of the ”agents of change” is the beginning of wisdom. However, the change required of Customs must not be these sporadic interventions at the dawn of their performance review. Nigerian Customs cannot be adjudged effective if its modus operandi is to apply jungle justice or forcefully cracking down on its clients, after the event, in the face of restraining court orders. In a systems driven operation, it would have had the opportunity to analyze the policy circular and raise questions as to the gaps and loop-holes that pervaded it. It further had the opportunity, at point of entry, to seek clarification from its superiors what volume of cargo should be admitted at the incentive rate, as the policy circular clearly stated that the incentive import was to cover the supply gap.

    In this crack down, onlookers witnessed the deployment of sophisticated Customs gadgets and resources, including surveillance helicopters, sophisticated fire arms and trained intelligence officers. If these gadgets and resources were to be deployed in the war against smuggling at our land borders, one avers that customs revenue would almost double. We observe the Seme border night after night and watch unregistered vehicles and cargo laden trailers violate the mercantile laws of our land. We have been told many times that the borders are too large to police and that customs are simply helpless in this regard. The recent demonstration of muscle shows that it is lack of will that’s responsible for our porous borders, that the customs has the wherewithal to do an effective job if they diligently discharge their duties, that they do not lack funding or equipment required to carry out their job.

    One sincerely believes that it will take more than this belated show of muscle to convince the new administration that the customs is an effective, clean, and process-driven operation. We believe the body needs holistic change to reform the attitude and orientation of its rank and file to make the institution transparent and proactive. As a key revenue generating agency, its failings deeply affect the fortunes of national development, hence it must demonstrate beyond reasonable doubt that it is appropriately structured, internally motivated, sufficiently disciplined and has enough depth to discharge its duties, while observing best practice and obeying the rule of law.

    Customs needs more than this sporadic show of force to save its hierarchy from the blowing wind of change.

    • Bankale sent this piece from Victoria Island, Lagos.

  • Importers spend N6.3tr on vehicles in five years

    The Federal Government has said importers of vehicles at the country’s gateways spent $31.67 billion (about N6.3trillion) on vehicles’ imports and other motorised equipment between 2009 and 2013.

    This was contained in a data issued by the National Automotive Council (NAC) and presented by the United Nations Conference on Trade and Development (UNCTAD) in Abuja.

    The amount was spent on importation of vehicles, tractors, trailers and semi-trailers, civil engineering and contractors’ plant and equipment.

    A breakdown of the figure shows that the country spent $5.407billion in 2008; $4.012billion in 2009; $5.592billion in 2010; $4.082billion in 2011; $6.364billion in 2012 and $6.212billion in 2013 on the importation of these items.

    A further breakdown shows that  about 100,000 new and 300,000 used vehicles were imported into the country in 2012, excluding tractors, trailers and semi-trailers, civil engineering and contractors plant and equipment.

    Based on this huge spending on vehicles importation, the Federal Government under former President Goodluck Jonathan introduced the National Automotive Policy to encourage local production of vehicles.

    It also imposed 35  per cent duty and 35 per cent levy on imported new and used vehicles to discourage importation. The policy has, however, failed due to a huge gap in market demand and local production, thereby promoting smuggling of vehicles into the country.

    Recently, expectation was high as port users were expecting the take-off of the remaining 35  per cent levy at the gateways but no news was heard on the auto policy.

    Investigation, however, showed that key maritime stakeholders were lobbying President Muhammadu Buhari to jettison the policy due to the rise in vehicles smuggling at the country’s borders. The move may have put a snag on the efforts by the NAC and the Ministry of Industry, Trade and Investment to see that Nigeria becomes a local automobile manufacturing nation in future.

    Meanwhile, market indices have shown that the market for fairly used vehicles, also known as Tokunbo, is gradually diminishing with the gradual implementation of the National Automobile Policy. The Federal Government auto policy had few years ago increased tariff on the imported motor products by 100 per cent.

    Although, fairly used cars are still on display at various auto shops across the country, there are indications that that importation of the auto products has drastically reduced, especially since the beginning of the year.

    Records from the Seaport Terminal Operators Association of Nigeria show that vehicles importation through the Lagos ports reduced by more than 150 per cent in January this year, compared to the same period of last year.

    For instance, only about 8,000 vehicle (cars) were discharged at the Lagos Ports last January, against 27,000 units that were discharged at the same ports last year.

    The volume of trucks that were imported through the gateways within the same period under review also indicated a sharp reduction as only 1,700 units came into the country through the ports in January this year, a drop of 1,000 units of the 2,700 units that came through the Lagos ports in January, last year.

  • Importers abandon over N10b goods at Lagos terminal

    Importers abandon over N10b goods at Lagos terminal

    IMPORTERS have abandoned goods worth over N10 billion at the Ikorodu Lighter Terminal (ILT) in Lagos, The Nation has learnt.

    The goods, it was gathered, were moved to the terminal to decongest the Lagos Ports.

    Most of the goods, sources at the Federal Ministry of Finance said, were declared by the officials of Nigerian Ports Authority (NPA) and the Nigeria Customs Service (NCS) as overtime cargoes.

    No fewer than 7,000 over time cargo (containers), the official alleged, were transferred and abandoned by the NPA and Customs at the ILT in the last three years.

    To move the goods to Ikorodu, the ministry official claimed, NPA spent over N300 million.

    The bulk of the containers were evacuated from the Lagos port complex, Tin Can Island Container Terminal (TICT) and others.

    A senior Customs official, who craved anonymity, said in 2013, over 2,500 containers were declared unclaimed at TICT. Over 4,500 unclaimed containers were moved to Ikorodu in 2012.

    The movement, the official said, was caused by a response to complaints by terminal operators about the choking facilities at their terminals based on the refusal of importers to clear their cargoes months after their arrival in the country.

    The Customs official also alleged that the worth of goods at the ILT may be well over N10 billion, adding that there was nothing wrong if the Buhari administration decided to take an inventory of goods.

    “From all intent and purposes, this government is new and it is an administration that based its campaign on change. So, part of the benefits of the change is for the new government to take stock of all abandoned cargoes in our ports and terminals to prevent unnecessary leakages,” the official said.

    The National President, Association, Nigeria Licensed Customs Agents (ANLCA), Alhaji Olayiwola Shittu, said importers abandon their goods for two main reasons: the ports are the most expensive in West Africa; and the unstable exchange rate.

    Banks, Shittu said, have stopped lending to importers because of the instability of the naira in the last few years and the increase in the prices of goods at local and international markets.

    The National Public Relations Officer of Customs, Mr Wale Adeniyi, did not reply to a text message sent to him before going to press.

     

  • Trade facilitation excites importers, clearing agents

    Trade facilitation excites importers, clearing agents

    As the Yuletide approaches, the Nigeria Customs Service (NCS), Apapa command, has embarked on programmes to facilitate trade at the country’s biggest port, and the importers and clearing agents are happy for it, The Nation has learnt.

    Its Area Controller, Mr Charles Edike, it was gathered, had adopted the trade facilitation programme of the Federal Government by fast-tracking cargo clearance procedures and implementing  Customs policies on quick cargo clearance to the fullest to generate more revenue and boost the  economy.

    The effective manner the Comptroller-General of Customs Alhaji Dikko Abdullahi has directed his officers to implement his six-point agenda, it was learnt, was responsible for the success the service had recorded in Apapa and other notable commands in terms of the modernisation and transformation of Customs’ operations, a development, which importers and other operators said, had contributed to the quick clearance of cargoes from the Apapa port.

    The Area Controller, Apapa command, stakeholders said, had no option than to embark on trade facilitation because he had received the needed support of his Comptroller-General to organise and manage the highest revenue yielding command in the country, cum the West and Central Africa sub-region.

    His zeal and patriotism for the development of  the economy, findings revealed, was responsible for why he was moved to Apapa command to carry out the onerous task which, stakeholders said, he had  done diligently.

    The President, Association of Nigerian Licensed Customs Agents (ANLCA), Prince Olayiwola Shittu, said Edike does not joke with trade facilitation of the Federal Government.

    “No paper stays on Edike’s table for more than 15 minutes before he releases them for quick cargo clearance.This is also because he has made the principle his watch word since his assumption of office as the Controller in Apapa Area Command and in all the commands he has been posted.

    “He believes that when any document experiences delay, the implications can be more. Thus, as far as he is concerned, prompt treatment of documents is a must in his command. According to him, the documents represent money and the government needs the money to develop the country and provide jobs for the youths,“ he said.

    Shittu also described Edike as a humble and listening Senior Customs officer who attend to every issue brought to his attention to attract business to the port.

    “With the support of Alhaji Dikko, Edike was been able to reactivate the erstwhile dormant Container Terminal in Ijora, through constant and consistent stemming of containers to the terminal, a development that has not only kept the inland terminal alive up  till today, but has also assisted in giving a lease of livelihood to importers and those of us in the cargo clearance business.

    Also, a senior officer of the command, who does not want his name in print, said the Area Controller had inculcated his trade facilitation message in his officers and tutored them on why they must delay documents to avoid sanctions.

    “Edike has tutored us that when you delay import documents, you increase the cost of clearing such goods, because you make the importers to accumulate demurrage and you delay the purpose for which such goods would have been put to used for the proper development of  the economy.

    “It is through his rare determination to block revenue loopholes and ability to combat corruption following the instruction given by the CGC that has made it possible for our command to collect an unprecedented N30,499,921,212  in September and N31,567,536,965 in October, this year. The figure is far more than the amount the command generated in the same period last year,” the officer said.

    Also, the Chairman of the Lillypond Container Terminal chapter of ANLCA, Prince Chuks Njemanze, said he was impressed with the performance of Edike on  trade facilitation and stemming of containers to Lillypond terminal.

    As part of efforts to solve the problem of server and network failure frequently encountered by importers and clearing agents at the ports, the Customs, he said, had inaugurated a newly built 160-meter communication tower for trade facilitation and launched a world-class Information Communication Training (ICT) centre at the Apapa command to boost the efficiency of its officers and men.

    Addressing reporters on behalf of other stakeholders in Lagos, the Chairman, Apapa Chapter of ANLCA, Mr Olumide Fakanlu,  said they were happy with the way the Area Controller was handling the Fast-Track Scheme (FTS) introduced by Customs to boost cargo clearance procedure at the ports.

    If not for the way the scheme was being handled, Fakanlu said, “the situation at Apapa port would have worsened because the terminal operator cannot handle more than 200 containers per day. “

    Fakanlu also berated the unnecessary additional storage charges the importers and their clearing pay terminal operators.

  • Court restrains Customs, police from arresting importers

    A Lagos High Court in Igbosere has restrained the Nigerian Customs Service (NCS) and the Inspector-General of Police, Mohammed Abubakar from arresting two importers, Jude Obiora Iloka and Mrs Nneka Egbe.

    Justice Kazeem Alogba also restrained Customs from selling the goods contained in eight 40-ft containers belonging to the applicants.

    The applicants had filed the suit following alleged threat of arrest and illegal sale of the goods.

    The Comptroller-General of Customs, Adbullahi Diko and Area Comptroller of Customs, Tin Can Port, Musa Audu Tahir are joined in the suit.

    The applicants’ lawyer, Paschal Ukpaka, arguing the ex-parte motion, said after his clients paid necessary customs duties, shipping charges and terminal/warehousing charges in respect of the containers, the respondents were still making moves to arrest the applicants and confiscate the goods.

    The lawyer recalled that the container exit attestation notes, which were under auction, were duly signed by the Customs Resident official, government agencies and Tahir, who was also Chairman of Joint Allocation Committee.

    Ukpaka added that despite the clearance, some officers of the defendants were making another move to arrest the containers and dispose the goods therein.

    Ukpaka said one of the applicants’ associates was arrested about three weeks.

    Justice Alogba ordered that hearing notice should be served on the defendants, and directed the applications to file an undertaking to pay damages to the defendants if it turns out that the order ought not to have been mane.

    He also fixed April 16 for hearing.

     

  • Customs, importers trade words over seized goods

    Customs, importers trade words over seized goods

    • ‘Cargoes were wrongly released at ports’
    • It’s a case of extortion, agents allege

    Importers and truck drivers have accused some Customs men of harassing them on the streets after the clearance of their goods at the ports.

    They alleged that men of the Federal Operations Unit (FOU) Zone ‘A’ always intercepted their goods on Lagos roads after being released under the Pre-Arrival Assessment Report (PAAR), at the ports.

    Some of the officers, the importers claimed, demand between N200,000 and N500,000 and sometimes more, as bribes to get the goods released.

    But, FOU’s Public Relations Officer (PRO) Mr Uche Ejesieme described the allegations as baseless and fabricated.

    The action of the FOU officers, the importers said, could be likened to “second clearing” after they had been cleared by other senior Customs officers.

    They appealed to the Federal Government, particularly the Ministry of Finance and the Customs leadership, to call the FOU officers to order.

    Around 3.00pm last Friday, some of the officers were seen a few metres from the Apapa Port, stopping truck drivers over the goods they are conveying.

    The exercise led to heavy traffic, which left motorists complaining.

    They urged the Comptroller-General of Customs, Alhaji Dikko Abdullahi, to restrain his men.

    The Nation learnt that in 2011, Dikko ordered out of the road operatives of the anti-smuggling arm who men roadblocks impound containers already cleared.

    The directive followed complaints and petitions over the operatives excesses.

    A commuter, Mr James Okwudili, said the FOU officers have no right to seize containers that are less than five kilometres away from the ports.

    “These are officers the nation expects to go into the bush and creek to combat smuggling harassing innocent and law-abiding importers on the road. If there is a problem with what the truck driver took from the port to the main road, who do we blame? Who is responsible for the release of cargo from the port? Is it not Customs? Is it because of their own inefficiency that the rest of us would not be allowed to carry on with our businesses? he queried.

    “Customs said the Pre-Arrival Assessment Report (PAAR) was introduced to make cargo clearance easy from the port, but what we are seeing on this road daily is not what we expected from the scheme. We had hoped that since Customs has taken over all aspects of cargo clearance, the issues of falsified documents, under declaration, over invoicing and other import related problems, would be resolved when the goods are still inside the ports,” Okwudili added.

    A security officer, who was on the scene, said they had in the past advised the Customs officers to map out strategies to ensure that only certified goods are allowed to leave the ports, wondering why a Customs officer would release a cargo from the port for another to intercept it on the main road.

    “Who released the goods? Why must a Customs officer release the cargo from the port in broad day light and another officer would be saying the owner of the goods, or the truck driver has questions to answer? Why? It shows that the level of trust among the Customs officers has degenerated and there is nobody in control,” the security officer said.

    A car dealer, Mr Sunday Adegoroye, said the officers were violating the Comptroller-General’s ban on hinterland patrol because of what they intend to gain from truck drivers.

    He said if the importer disobeys any import law, he should have been prevented by the mechanism put in place by the Customs from taking the goods out of the port.

    He said any officer who releases questionable goods should be disciplined to serve as deterrent to others.

    “Those responsible for the intercepted goods must also be punished because it shows that some people somewhere are not doing what they are supposed to do, and that is why we have this problem on the road.

    Ejesieme said the unit’s operation was more of intelligence, adding that its operatives impound suspicious containers that were wrongly released from the ports.

    FOU officers, he said, have the power to intercept any container that is against the Federal Government’s fiscal policy.

    “If they were given information that there was a manipulation in the document presented for the release of the cargo from the port, our officers would go there and intercept the item and the release officer would be asked to report to FOU and subsequently to the Customs Headquarters in Abuja.

    “FOU is an enforcement unit of the Nigeria Customs Service and our job it to complement the efforts of every Customs command in the zone.”

    The motive, he said, was to ensure that no importer or clearing agent succeeded in shortchanging the government.

    He appealed to Nigerians to give the unit information that could lead to the arrest of fraudulent importers.

  • Auto policy: Govt, importers

    Auto policy: Govt, importers

    The Federal Government and major automobile importers in the country have agreed to fashion out a collective action plan for the successful implementation of the new automotive policy.

    This was the highpoint of a meeting between the Minister of Industry, Trade and Investment, Olusegun Aganga, automobile importers, and representatives of Original Equipment Manufacturers (OEMs) in Abuja.

    Those who attended the meeting included: Chief Ade Ojo (Toyota Nigeria Limited); Cosmas Maduka (Coscharis Motors Limited); Adekunle Jaiyesimi (CFAO Automotive); Jacky Hathiramani (Dana Group) , Adeoye Ojuoko (SMT Nigeria(Volvo); Mohad Wasnani (Globe Motors); C.K. Thampy (Toyoto Nigeria); Francis Ogboro (KIA Motors) ; Seyi Onojide (R.T. Brisoe Nigeria Plc); Benson Uwatse (Westar Associates Limited – Mercedez Benz) and Olutoyin Okeowo (Metropolitan Motors Limited).

    In a speech after the meeting, Aganga said all parties have agreed on mutually beneficial strategies to ensure the successful implementation of the policy in line with President Goodluck Jonathan’s Transformation Agenda.

    “The meeting with major automobile importers in the country was very fruitful as it provided the opportunity to iron out lingering issues. It also afforded us the opportunity to understand what their concerns are. They have all endorsed the policy, but what they are asking for is a level playing ground for every player in the auto sector, and also to have more input in the implementation of the policy,” he said.

    “This is not a problem at all because the next step we usually take with all the policies that we have is to have an industry group to monitor and work with us in the implementation stage. So, we have set up a committee to work with us in the implementation of the policy.”

  • Importers of sub-standard products risk N1m fine

    Importers of sub-standard products risk N1m fine

    Importers of substand ard products would ne liable for either life imprisonment or a N1million fine, the Director-General, Standard Organization of Nigeria (SON), Joseph Odumodu, has said.

    Odumodu, who disclosed this during a visit by the House Committee members on Industry Trade and Investment, in Abuja, said a bill to improve punishment on violators of substandard products is in the offing.

    He said: “Presently I do not have the power to prosecute, with this bill, violators of importation of substandard products will either be jailed or pay a fine of N1million. The agency is working round the clock to rid the market of substandard products, Abuja as the capital city should be the first to be rid of substandard products.

    He said the body is working towards having an electronic production registration system, adding that presently, only 5 per cent of the products in the market have been registered. This is the only way most of the substandard products in the market can be check mated.

    “I would like to use this opportunity to appeal to the National Assembly to ensure traceability in checkmating these products. All products that are of standard have two codes, visible and invisible, importers are not in support of the invisible because they can always copy it. So they have been agitating for the scrapping of the invisible.”

    He added that he had threatened to close down some markets, while other traders said if he ever closes any market they will shut down the whole market in Nigeria, stating that the nation cannot continue like this as this will soon mean paying foreigners for a job that should be done by indigenes.

    The Chairman Committee on Industry Trade and Investment, Mohommed Ogoshi Onawo assured the agency that it will look into the situation, as the bill for punishment of importers of substandard products would be out soon. He urged SON to check the inflow of adulterated fuel, kerosene, generator set etc.