The authority in Nigeria has approved a reduction in the import duties of 115 items in different sectors of the economy, as part of a fiscal policy measures.
According to the Minister of Finance, Kemi Adeosun, the move is in line with the provisions of the ECOWAS Common External Tariff agreement.
A breakdown of the import adjustment list of 173 items shows that the government approved the reduction of 26 items from 10 to five per cent.
Similarly, the import duties of 89 items were reviewed downwards to five per cent from a national list of 91 products.
However, the government has reinforced the ban placed on the importation of some items including refined vegetable oil, cocoa butter, fruit juice in retail packs, among others.
The ECOWAS CET, which will cover the 2017 to 2019 fiscal periods, is composed of three categories made up of an Import Adjustment Tax list of 173 tariff lines, a national list consisting of 91 items and an import prohibition list, which is applicable to certain goods originating from non-ECOWAS member states.
An analysis of the import adjustment tax list, which contains 173 items, shows that the Federal Government has given approval for the reduction of 26 of them, while it left the tariffs on 144 items unchanged.
However, the tariffs on three items contained in the import adjustment tax list were reviewed upwards.
For the national list consisting of 91 products, the circular stipulated that a downward review was approved for 89 items in order to encourage development in the real sector of the economy.
The items in the national list whose import duties were reduced from 10 per cent to five per cent are milk and cream; tea; fats of sheep or goat; malt extract; tomatoes prepared or preserved by vinegar; under natured ethyl alcohol for medical, pharmaceutical or scientific purpose; petroleum oils and oils obtained from bitumen minerals other than crude.
Others are hypochlorites; synthetic organic colouring matter; grease for treatment of textile materials; prepared glues and adhesives; activated carbon; picking preparations for metal surfaces; organic composite solvents and thinners; mixes alkylbenzenes; and industrial monocarboxylic fatty acids.