Despite Nigerian government’s ban on importation of vehicles through land border, the volume of cars smuggled into the country from Cotonou through Seme, Idiroko and other land borders has risen astronomically in the past four months. This is even as the government of Benin Republic last month approved the reduction of charges on transit vehicles by 27 percent.

According to data exclusively obtained , the volume of cars imported through the Autonomous Port of Cotonou in transit to Nigeria has also recorded significant growth since March 2017.

While the importation of cars in Cotonou reached an all-time low of just 3,500 units in January 2017, the volume of cars discharged there last month was well over 10,000 units, according to data obtained from the Autonomous Port of Cotonou.

“From all indications, this figure is going to grow in the next month, as the naira has revalued against the CFA and more and more traders are patronizing the port of Cotonou,” Elisee Dieudonne, a senior staff of a shipping line calling at the tiny West African country’s port .

“The trend we’re seeing is that the old and crashed vehicles, which are paying comparatively low level of duties, are discharged in Lagos while the newer and more expensive second hand cars are discharged in Cotonou,” she added.

Findings also revealed that as a way to attract more Nigerian business to the country, the Benin Republic Ministry of Transport has approved the reduction of the amount charged for the vehicles in transit. As a result of this reduction, the price to clear a car discharged in Cotonou in transit to Nigeria was slashed from CFA399,920 (N257,000) to CFA290,000 (N186,000) with effect from July 1, 2017.

“We expect this reduction in prices in Cotonou will divert even more vehicles to Benin Republic, while the volumes in Lagos will remain stagnant".

Unfortunately, Nigeria’s tariff on imported vehicles remains astronomically high at 35 percent import duty and another 35 percent surcharge amounting to a total of 70 percent which is the highest in the world, thereby discouraging use of Nigerian ports.

Importers of Nigerian-bound vehicles and other cargoes prefer landing them at Cotonou and other neighbouring ports and smuggle them into Nigeria to avoid prohibitive tariffs charged by the Nigeria Customs Service.

Ok

The government will not open border to make revenue, they will close it and bad eggs will cash on it.

When it is too late to do anything, they willl now bring a useless policy to try and combat the effective, more like injecting the brain because of common headache.

nurey:
The government will not open border to make revenue, they will close it and bad eggs will cash on it.

When it is too late to do anything, they willl now bring a useless policy to try and combat the effective, more like injecting the brain because of common headache.

What do you expect from a British housewife & a vegetable?

I just wish that Hammed Alli and federal government will see the foolishness in their action. As at December 2016, seme border alone was generating N1.2B per month, yet they decided to stop transborder importation.

Nigeria has always been a dumping ground for all these cars that come in through Benin ......Benins economy is hinged on ours like a parasite.

bsideboii:
Nigeria has always been a dumping ground for all these cars that come in through Benin ......Benins economy is hinged on ours like a parasite.

So,has the ban stopped smuggling. What about the salvage vehicles that also come in through the border?