TEN BILLION NAIRA REVENUE EXPECTED FROM DETAINED KANO TEXTILES
The Nigeria Customs Service has commenced assessment of Customs duty and other charges on Textile materials currently in detention in Kano. The exercise being coordinated by a Special Task Force comprising operatives of the Nigeria Customs Service and the Economic and Financial Crime Commission is expected to rake in ₦10B (Ten billion Naira) revenue into Government coffers.
The directive to collect duty on the textile products was given by the Comptroller-General of Customs, Dikko Inde Abdullahi, following consultations with the Federal Government and importers of the items. The imported items are currently discharged in warehouses sealed by the Nigeria Customs Service in various areas of Kano metropolis.
In the first warehouse opened for the exercise, 14 importers turned up for assessment and duty payment for their textile items valued at about ₦1.5 Billion in the first week .The importers were expected to pay a combined import duty of ₦373, 307, 242.16. The assessment also showed that the goods are liable to the following additional charges:
I. ₦26,569,253.73 for 7% surcharge
II. ₦14,243,212.64 for 1% CISS levy
III. ₦6,767,022.49 for 0.5% ETLS levy
IV. ₦59,154,231.65 for Textile levy
V. ₦95,527,905.15 for Value Added Tax
Total revenue payable on the first set of assessment stands at ₦576,161,369.17 (five hundred and seventy-six million, one hundred and sixty -one thousand, three hundred and sixty-nine Naira, Seventeen kobo only. Another set of assessment worth over ₦600 M (Six Hundred Million Naira) is pending on the outstanding textiles in the same warehouse.
The assessed items include 20,878 bales of printed African fabrics, 21,980 bales of high grade brocade materials, 6,127 bales of Lace materials , 554 bales of polyester materials and 30 rolls of curtail materials.
The Comptroller-General of Customs’ decision to allow the importers of the detained goods pay duty is based on recent fiscal policy review removing textile fabrics from import prohibition list . The move is also expected to shore up Government revenue, which has witnessed a downturn in recent times.
Last month, 75 warehouses of assorted textile materials were sealed up in Kano by Customs anti-smuggling operatives , following months of undercover operations and activation of local and international intelligence networks. The warehouses were operated by foreign nationals using a handful of Nigerians as their guarantors.
In view of the organized nature of the smuggling syndicate, the Comptroller-General of Customs, Dikko Inde Abdullahi has called for closer inter Agency collaboration to curb the excesses of foreign economic saboteurs who break our laws with impunity.
Public Relations Officer
Nigeria Customs Service
For: Comptroller-General of Customs