The Nigeria Customs Service has announced recommendations for implementing zero-duty rates on certain basic food items. According to News Diary Online, this is a move to fulfill President Tinubu’s promise made during his broadcast amid Nigerians’ current hunger protests.

In a statement issued Wednesday by Chief Superintendent of Customs Abdullahi Maiwada, National Public Relations Officer, titled: GUIDELINES FOR IMPLEMENTATION OF ZERO DUTY RATE ON SOME BASIC FOOD ITEMS, the service said, “Drawing from the Presidential directives aimed at alleviating the hardship faced by Nigerians due to high prices of essential food items, the Nigeria Customs Service (NCS) is pleased to announce that His Excellency, the President of the Federal Republic of This policy is applicable from July 15, 2024.and will remain in force until 31st December 2024.

This approach intends to reduce the high cost of food goods on the Nigerian market by making critical commodities more affordable to citizens. The initiative is part of the government’s larger attempts to solve food security issues and make basic consumables available to all Nigerians. However, it is critical to note that, while this temporary solution is intended to address immediate challenges, it does not compromise the long-term measures in place to support local farmers and manufacturers.

Furthermore, the statement stated, “It is important to note that the implementation of this policy will prioritize addressing the national supply gap.” To participate in the zero-duty importation of basic food goods, a company must be incorporated in Nigeria and have been in business for at least five years. It must have filed yearly returns, financial statements, and paid taxes and statutory payroll requirements for the previous five years. Companies importing husked brown rice, grain sorghum, or millet must own a milling plant capable of producing at least 100 tons per day, have been in operation for at least four years, and have sufficient farmland for cultivation. Importers of maize, wheat, or beans must be agricultural firms with adequate farmland or feed mills/agro-processing companies With an out-grower network for cultivation.

The fundamental food items qualifying for the 0 percent duty rate are listed below: S/N Item Description: ECOWAS CET H.S. Code: Previous Duty Rate + Levy New Duty Rate I. Husked Brown Rice: 1006.20.00.00 30% 0% II. Grain Sorghum – Other 1007.90.000.00 5% 0% III. Millet – Other 1008.29.000.00 5% 0% IV. Maize—Other 1005.90.00.00 5% 0% V. Wheat – Other: 1001.19.00.00 20% 0% VI. Beans: 0713.31.90.00 20% 0%

The Federal Ministry of Finance shall supply the NCS with a list of importers and approved quotas on a regular basis to ease the importation of these basic food goods in accordance with this policy. The regulation mandates that at least 75% of imported goods be sold on recognized commodity markets, with all transactions and storage documented. Companies must maintain detailed records of all connected operations, which the government may request for compliance verification. If a corporation fails to complete its responsibilities under the import authorization, it forfeits any exemptions and must pay the necessary VAT, levies, and import duties. This penalty is also applicable if the corporation exports the imported commodities in their original or processed form beyond Nigeria.

The Service, led by Comptroller General of Customs Bashir Adewale Adeniyi MFR, remains committed to supporting government programs that improve food security and promote economic stability. The statement concludes, “The Service urges all stakeholders to fully cooperate in implementing this initiative for the benefit of all Nigerians.”