Business
Customs Implements Duty-Free Importation on Essential Food Items
The Nigeria Customs Service (NCS) has begun implementing a duty and tax-free policy for the importation of essential food items such as rice, flour, and wheat in an effort to reduce the high cost of food amid the severe hunger crisis in Nigeria.
The Comptroller-General of the NCS, Mr. Adewale Adeniyi, announced this initiative during a press briefing on the service’s half-year performance.
Adeniyi emphasized the government’s commitment to addressing the rising costs of basic foodstuffs to alleviate hunger across the country.
“The Nigeria Customs Service (NCS) is suspending import duties and taxes on essential food items to make them more affordable. We are committed to implementing this measure seamlessly to address the problem of hunger in our nation,” he stated.
In addition to the importation policy, Adeniyi highlighted the NCS’s efforts to streamline export processes to ensure Nigerian goods reach international markets efficiently.
Tools such as the Advanced Ruling System, Authorized Economic Operator, and Time Release Study have been introduced to enhance trade, stimulate the economy, and create opportunities for farmers, artisans, and entrepreneurs.
Earlier in July, the federal government, through the Ministry of Agriculture and Food Security, announced a 150-day duty-free importation period for essential food items like rice, maize, wheat, and cowpea.
This policy is part of the Presidential Accelerated and Stabilisation Advancement Plan (ASAP), which also includes the importation of 250,000 metric tonnes of wheat and maize to replenish the country’s strategic reserves.
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However, the decision to import essential food items has drawn criticism from stakeholders in the agricultural sector.
Former Minister of Agriculture and current President of the African Development Bank (AfDB), Dr. Akinwunmi Adesina, argued that food imports could undermine Nigeria’s agricultural policies.
Similarly, the President of the All-Farmers Association of Nigeria (AFAN), Arch. Kabir Ibrahim, expressed concerns that the policy could erode the progress made in local production of rice, maize, and wheat.
Nigeria is currently facing one of its worst food crises in decades, with food inflation surpassing 40% in May 2024.
According to data from the National Bureau of Statistics (NBS), the prices of staple foods such as rice, maize, wheat, bread, and beans have more than doubled on average over the past year.
International development organizations, including the World Bank, FAO, and World Food Program (WFP), project that around 32 million Nigerians will experience severe hunger in 2024 due to the ongoing food crisis.
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