Border reopening: Importers, manufacturers groan as Benin imposes N9m levy on transit goods

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By Steve Agbota

Despite the recent decision of the Federal Government to reopen additional four land borders, Nigerian importers and manufacturers are still forced to pay over N9 million levy on transit goods by the Benin Republic. 

This development has made it difficult for manufacturing firms that engage in cross-border trade to freight their products to the neighbouring countries, especially to Ghana through the Seme border corridors.

However, a source at the Manufacturers Association of Nigeria (MAN) disclosed that Nigerian manufacturers are made to pay the N9 million mandatory transit levy per truck, hence, any truck that refuses to pay would not be allowed to go through the Benin border despite Nigeria being a signatory to the ECOWAS Trade Liberalisation Scheme (ETLS).

Daily Sun learnt that the imposition of the N9 million levy was a retaliatory policy by the Benin authorities to express their anger over Nigeria’s decision to shut its land borders against the West African neighbour.

The Chairman of the Association of Nigeria Licensed Customs Agents (ANCLA), Seme Border chapter, Bisiriyu Fanu, who confirmed the development to Daily Sun on Sunday, said that some big companies in Nigeria paid transit duty not up to N9 million, but Benin authorities still charge them about N1.8 million (2 million cefas) to cross over.

“But not all of them, individual companies pay higher. Big companies like Dangote, Unilever, Nestle, Coca Cola, and others between N2 million to move their goods across. But every other person pays as high as they can negotiate,” he said.

However, he said Benin Republic has its sovereignty; “they have their sovereignty because they took that decision when Nigeria closed its borders.”

According to him, since Nigeria closed its borders, they decided to be independent, adding that they never depend on Nigeria again for anything.

“So they want to do their thing, they don’t believe in administrative charges alone. They want their money to be paid. If it suits you, you come, if it doesn’t suit you, we are on our own.

“And Benin, they are progressing. I went there for a meeting a few days ago, it is obvious they don’t care about what Nigeria is doing. They just stand their ground that what we want is what we want. If you like come, if you don’t like, don’t come. But many Nigerians still go there and mingle their way in.

So you can’t force them to bring down the transit levy. It is our government that should have persuaded the Benin government to go back to the observation of the transit protocol. Even ECOWAS countries talk to Benin authorities, and they refused.

“It is our leaders that caused it. They are sick, selfish, and greedy.’

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