The Nigeria Customs Service has announced significant relief measures for manufacturers and critical sectors of the economy, with the exemption of raw materials, spare parts, and certain machinery from the payment of the four per cent Free on Board levy.
The development was contained in a communique jointly signed on Friday by the Comptroller-General of Customs, Adewale Adeniyi, and the President of the Manufacturers Association of Nigeria, Francis Meshioye. The agreement followed a high-level consultation between both parties in Ikeja, Lagos, on the application of the levy.
According to the communique, the approval for the exemption came after consultations with the Minister of Finance and the Coordinating Minister of the Economy. It covers strategic imports vital to industrial production, aviation, and healthcare.
Importers of commercial airline spare parts are among those exempted from the levy. Also exempted are importers of raw materials, machines, and spare parts listed under Chapters 98 and 99 of the Customs Tariff. Manufacturers already captured under these chapters are advised to apply for pre-release of consignments to avoid demurrage charges.
To this effect, MAN, NCS, and the Federal Ministry of Finance have agreed to work closely together to ensure the speedy inclusion of such manufacturers. A tripartite consultation is expected to commence immediately to design the modalities for this onboarding process.
The communique also offered relief for manufacturers who have already paid the 4 per cent FOB levy but are not yet onboarded under Chapters 98 and 99. Such payments will now be credited to their accounts and applied to future customs-related transactions once their onboarding is completed.
It further highlighted that the exemptions extend to government projects with Import Duty Exemption Certificates, goods imported for humanitarian or life-saving purposes, and beneficiaries of the Presidential Initiative aimed at unlocking Nigeria’s healthcare value chains.
-Advertisement-
Grab our latest Magazine, "Chief Wole Olanipekun, CFR, SAN, A man of wide horizons and deep intentions". Get your order fast and stress free.
For more details about Newswire Law&Events Magazine, kindly reach out to us on 08039218044, 09070309355. Email: newswiremagazine@yahoo.co.uk. You will be glad you did
