Freight forwarders urge review of import restriction

Car dealers and freight forwarding stakeholders at the Seme border have blamed the Federal Government’s continued ban on vehicle importation through the border for what they described as the deaths of more than 150 freight forwarding agents and the collapse of businesses in the sector. The stakeholders, under the leadership of Celestine Esezobor, said the policy, which took effect on December 31, 2016, had inflicted severe economic hardship on operators and border communities. In a statement obtained by The PUNCH on Wednesday, the group described the ban as a case of “throwing the baby and bath water away,” arguing that it had failed to achieve its intended objectives while causing widespread losses. The stakeholders said, “On the 31st of December 2016, the Federal Government announced the ban on imported vehicles through land borders to date. To this end, the shocking death of many freight forwarding agents, about one hundred and fifty plus (150+), the unquantifiable losses in rents, theft, depreciation, and complete closure or destruction of offices, government revenue losses, all these present a compelling urgent need for deep sober reflection and retrospection.” They added that the government should urgently review the policy to prevent further economic damage and revive legitimate trade activities at the border. According to the stakeholders, reopening vehicle importation through the Seme border under a bonded terminal arrangement would enhance revenue generation and improve customs monitoring. The group stated that the “Only God Is Wise” bonded terminal at the border had the capacity to accommodate approximately 130 vehicles at a time and would enable customs authorities to monitor imports and collect duties more efficiently. They said, “The Nigeria Customs Service will be able to generate revenue that will surpass the present and even 2015/16 levels before the closure of the vehicle seat. As at 2015/16, the vehicle seat generated 51.12 per cent of the total revenue at Seme border.” The stakeholders argued that the availability of a bonded terminal would reduce smuggling and ensure better compliance with customs regulations. They maintained that one of the major justifications for the ban, which is vehicle smuggling, had significantly reduced over the years. Related News Rand Merchant Bank acts as Lead Issuing House and Bookrunner on Paras Energy Funding SPV Plc’s Landmark ₦15.00 Billion 5-Year Bond Issuance under the ₦25.00 Billion Bond Issuance Programme IFC, Standard Chartered launch $300m finance facility The roads, rail and economic corridors