The Federal Government has revised Import Adjustment Tax (IAT) for Implementation of ECOW CET (2022-2026), raising tariffs on importation of rice as well as wheat. The 2023 revised document, raised tariff on rice packing of more than 5kg or in bulk and in packing of 5kg or less to 60 per cent from 50 per cent.
Similarly, importation of wheat or meslin flour now attracts 70 percent tariffs as against 50 in 2022-2026 ECOWAS CET. This was stated in a document by the Minister of Finance, Zainab Ahmed.
The document titled ‘Revised Import Adjustment Tax (IAT) for Implementation of ECOW CET (2022-2026), 2023 fiscal policy measures, according to reported by BusinessDay.
The document read “This is to confirm that his excellency Mr President has approved for the implementation of the 2023 fiscal measures made up Supplementary Protection Measures (SPMs) for the implementation of ECOWAS Common External Tariff 2022-2026 and revised excise duty rate on alcoholic beverages, cigarettes and tobacco products as well as introduction of excise duty on Single Use Plastics (SUPs)”, she said.
Last year, the Minister of Finance ha issued a Circular communicating that President Buhari has approved the implementation of the 2022 Fiscal Policy Measures which comprise Supplementary Protection Measures (SPM) for the enforcement of the Economic Community of West Africa States Common External Tariff (ECOWAS CET) 2022 – 2026, and excise duties on goods such as non-alcoholic beverages, alcoholic beverages, cigarettes and tobacco products, and telecommunication services with effect from 1 April 2022.
CET is the application of the same customs duties, import quotas and preferences by a group of countries in a customs union. The said import duties, quotas and preferences are applicable to good entering the region of the customs union irrespective of the country of first entry of the goods. The Common External Tariff is one of the principal instruments for harmonising ECOWAS Member States and strengthening its Common Market.