As Nigerians wait for the government to fully implement a temporary duty waiver on essential food items for 150 days, tensions are rising between two groups: licensed customs agents and the Rice Processors Association of Nigeria (RPAN). This duty waiver was introduced in hopes of making staple foods like rice, maize, wheat, beans, and millet more affordable for everyone. However, there are serious concerns about the way the policy is being carried out.
The customs agents blame the delays on the government’s choice to limit the benefits of the duty waiver to rice millers—those who process rice—rather than allowing all types of importers. They believe that if non-millers were allowed to import these goods as well, it could have led to better results, such as stabilizing food prices and creating more jobs. They expressed their frustration in an interview, saying that since the announcement of the waiver in July, food prices have actually continued to rise, which goes against the policy’s goal of making food more affordable for everyone.
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The duty waiver was officially introduced by the federal government on July 15, 2024, as a way to tackle the growing food security problems in Nigeria. However, with the deadline for the program approaching on December 31, 2024, it seems that no companies or importers have benefited from it yet.
In particular, a licensed customs agent named Mr. Abayomi Duyile criticized the government’s approach, especially noting that the prices for wheat have not dropped, which means that the cost of bread and other products made from wheat remains high. He pointed out that by only allowing rice millers to benefit from the duty waiver, the government is inadvertently excluding traders who could help lower prices, thus failing to achieve the intended outcomes of the policy. Instead of food prices going down, Duyile said they are increasing every day.
Similarly, Amuni Rilwane, a National Protocol Officer for the Association of Nigerian Licensed Customs Agents, described the situation as another broken promise from the government. He highlighted the negative impact on the economy, suggesting that if the government is content making money from imports but neglects to deliver on its promises, it will hurt the country in the long run.
Stanley Ezenga, a Secretary for the Western Zone of the National Association of Government Approved Freight Forwarders, echoed these sentiments, stating that there have been no shipments of brown rice cleared since the announcement of the waiver, further demonstrating a failure in the system.
On the flip side, Andy Ekwelem, the Director-General of RPAN, argued that allowing the importation of brown rice would not only create jobs but also support the significant investments that have been made in Nigeria’s rice production and processing sectors. He contended that some customs agents seem more focused on their own profits than on helping to build the local economy and create jobs. Ekwelem believes importing brown rice would help stabilize prices and improve availability for consumers.
Despite the challenges and delays facing the duty waiver, Ekwelem remains optimistic that the government will eventually make a decision that will benefit the Nigerian people. He expressed hope that the right solutions would be found.
