New tax law’ll affect port operations negatively-Shippers

By Steve Agbota

The Nigerian shippers, especially exporters have called on the federal government to jettison the new tax law, which took effect from Thursday January 1, 2026.  The shippers said that the new tax law would make port operations more expensive while exporters will likely avoid the nation’s seashore for those of neighbouring ports that are more economically friendly.

Speaking with Saturday Sun, the former President of the Shippers Association of Lagos State, Jonathan Nicole, urged the federal government to put the new tax law on hold, saying that it will make things more expensive at the nation’s ports.

“Anything that takes away one kobo from one million will not make that one million to be one million anymore. So, much as the government is introducing the new tax regime, the effect will be very devastating on the masses, and I understand that this matter is already in the court,

“So we cannot delve deeply into it, since the matter is already in the court, and we expect the government to listen to the people, not just the handful of people in government, but to listen to the generality of Nigeria.

“If you want to bring a law and everybody’s saying no, why are you in a hurry to do that? Jettison the law, continue with your public enlightenment campaign, and let the buy-in be more than the stakeholder’s resistance, that is the only way government can move, because if the general public, for instance, if the market woman decides not to sell, again, it will affect everybody. If the port is shut, it will affect everybody. It is when you have enough money that you’re not taxable, and you pay tax on profit, not on your turnover,” he explained.

He said it’s a very blanket tax regime that people still don’t understand how it will work, saying that it will affect everything, including people’s pockets. “It’s a way of making your pocket have holes for Naira to be drinking when you are working.  Everybody’s complaining, and we expect the government to listen to the cries of Nigerians, not necessarily the consultants who introduced that tax law to them. If they are doing it in France or in other countries, Nigeria is a different place, so they should take it easy with Nigerian populists. If they force us, the resultant effect would not be too good.

He said the new tax law is going to make things more expensive across the nation’s seaports because the effect of the tax regime will be devastating.

“Of course, now, I say if you remove one kobo from 10 naira, it’s no longer 10 naira. Everything is taxable, and, of course, well, from my own understanding, it is when you make a profit, you pay tax, and now they want to encroach into your own private affairs by using the name to access your account, which is not too good because there’s no privacy anymore for anybody in this country. One of the things that people advise against is even telling your wife how much you earn. And if the government now begins to take your money without your permission, it becomes, horrible. We are not advanced to that stage yet,” he added.

Meanwhile, an exporter, Adeabayo Oyelere, said exporters are looking at the new tax law because most of the policy angles have not been well understood and are still studying it.

“It’s too early for us to determine whether the way it’s going to affect ports but definitely everybody knows that if it’s coming we are expecting that there will be little changes and the desired effect is what we cannot determine in total for now. But definitely new laws will come which is a kind of a challenge. But I believe that if it is done with a good intention, no problem, I believe people will overcome it. But for now, for me, I’m still understudying it to know the specific angle that is going to affect the business,” he said.

Meanwhile, Lucky Anayo said the effect of the tax law would see some percentage of the Nigerian-bound cargo diverted to the neighbouring countries if the law does not favour both exportation and importation.

“Already, the Nigerian port is regarded as one of the most expensive in the world and the most expensive to do business in West and Central Africa. If the tax law is not business-friendly, it will make things expensive to ship out of the country, as well as coming in. Already, people are saying no to the tax law, and the government is still going ahead to implement it. That means there will be a problem,” he said. He said exporters would definitely resist the tax law if it would create problems for their business, noting that no one will allow their business to go down, especially since the government has not been giving necessary support for businesses to thrive in the nation.

Meanwhile, many exporters declined to speak with Saturday Sun, insisting that they were not happy about the current economic situation in the country.