The Nigeria Employers’ Consultative Association (NECA) has demanded a reversal of the four per cent charge on the Free on Board (FOB) value of imports by the Nigeria Customs Service (NCS).
The call was made by NECA’s Director-General, Mr Adewale-Smatt Oyerinde, in a statement on Sunday, saying the move was coming at a very critical period in the nation’s economy.
Recall that the customs via its spokesman, Mr Abdullahi Maiwada, announced on February 5 that the service had begun implementing the four per cent charge.
Mr Maiwada explained that the directive aligned with the provisions of the Nigeria Customs Service Act (NCSA) 2023.
In response, Mr Oyerinde described the levy as ill-timed and harmful to businesses and Nigerians, especially amid prevailing economic challenges.
Nigeria currently grapples a 30-year high inflation rate which currently stands at 34.8 per cent coupled with surge in food and energy costs as well as businesses having large unsold inventories.
“The Nigerian business environment already struggles with multiple taxes, unpredictable policies, and economic challenges.
“With rising unsold inventories and growing unemployment, policies should support businesses, not further suffocate them.
“This additional financial burden on import-dependent businesses will escalate production costs, fuel inflation, and threaten jobs.
“Ultimately, consumers will face higher prices, worsening an already difficult economic climate,” he said.
Mr Oyerinde urged the government to consult stakeholders and develop a more sustainable, business-friendly approach to revenue generation.
“The government must urgently ease the financial burden on businesses and citizens, rather than implementing policies that deepen economic hardship and stifle growth,” he said.