…As Benin authorities impose N6.5m duty on transit cargo
From Business Transport
Some of trapped trucks
In what appeared a retaliation to Nigeria’s closure of some borders last year, the Government of the Republic of Benin has shut its Seme Border with Nigeria, leaving over 3,500 Nigeria- bound trucks laden with transit goods worth several billions of naira trapped.
Under the closure, which came without prior notice, trucks from Ghana and Togo destined for Nigeria are not allowed to pass through the Republic of Benin, a development experts believe might spark diplomatic row between the two West African neighbours.
Competent sources hinted that as a result of the closure of the border, which began since June 9, 2021, the queues of the trucks laden with Nigeria-bound transit cargo have trailed from Cotonou to Aflayo, a border town between Togo and Ghana.
According to the sources, the Benin authorities had initially claimed that the closure was to enable the government investigate some of the activities of its Customs Service, a claim that has been faulted as it was discovered that the real reason for the closure was to avenge Nigeria’s border closure last year.
It was further gathered that before the closure, the Benin Government had imposed a new import duty payment of 9million CFA, per every transit truck laden with Nigeria-bound goods, an equivalent of about N6.5million, which ECOWAS protocols on transit goods, which are exempted from all forms of duty.
Trade experts, who reacted to the border closure for nearly two weeks now, described it as unjustifiable, insisting it violates all protocols of the Economic Community of West African States ECOWAS on free trade, especially the ECOWAS Trade Liberalisation Scheme ETLS.
“There is no justification for this, if the closure was on the basis of insecurity as a result of inflow of arms and ammunitions as was the case in Nigeria last year one could understand but that it is to help the government investigate Customs’ activities makes it flimsy and unjustifiable”, the expert argued.
National President of Association of Nigerian Licensed Customs Service ANLCA, Hon. Iju Tony Nwabunike, while confirming the development, described it as unfortunate.
“We woke to the sudden discovery that the Cotonu Customs stopped all trucks coming from Ghana or Togo to Nigeria from entering their country. No information was given to us only for us to hear from them that hence forth all Nigeria-bound trucks entering their country will have to pay them duty of 9million CFA not minding whether they are on transit or not they don’t want to know.
“This is the situation we found ourselves. We are however reaching out to relevant agencies and stakeholders with a view to resolving the issues in the interest of some of our members that are affected and the overall interest of Nigeria’s economy”, Nwabunike also said.
Meanwhile, some officials at the ECOWAS, who also confirmed the incident, assured that the issues were being discussed at the highest level of diplomatic relations with a view to averting any trade impasse that might arise.
It was however not possible to get the Manufacturers Association of Nigeria MAN, umbrella body for manufacturing companies in the country, many of whose members are affected by the closure at the time of filing this report.
There are however fears that most of the goods, which have been under both rain and shine might get bad in the process, especially the perishable ones, a development that might bring huge financial losses to the affected companies, who are struggling to get back on their feet after the global economic downturn occasioned by the outbreak of the COVID-19 pandemic.
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