‘Cost of clearing used cars higher than market price’, ANLCA chieftain laments
'Cost of clearing used cars higher than market price', ANLCA chieftain laments
Freight forwarders and Customs brokers have said that the cost of clearing used vehicles in the port is much higher than the cost of purchasing same brand of cars from foreign markets.
Hajia Bola Muse, National Financial Secretary of the Association of Nigerian Licensed Customs Agents (ANLCA) told journalists on Wednesday that the introduction of Vehicle Identification Number (VIN) is a good development but that the 15 percent duty should be reduced to make used vehicles affordable in Nigeria.
Muse who is also the CEO of Bomarah Group added that cars that cost about five thousand dollars in America, requires between seven to ten thousand dollars to be cleared in Nigerian Ports.
She therefore pleaded with the management of the Nigeria Customs Service to reduce the duty payable on used cars to five percent instead of the present fifteen percent slammed on importers of used vehicles.
As a result of the high cost of clearing, Muse advised that it is better to buy vehicles from the market than importing cars from abroad.
Her words, “Look at what we are facing with VIN valuation now, the cost of bringing the car is lower than the cost of clearing it at the port
“You can buy a car of $5,000 in America, and you are clearing it with almost 7 to 10 thousand dollars here. If you find yourself in such situation, all you will do is to go to the market and buy the car
“I keep telling people that there is no need bringing cars into Nigeria except those who fancy factory made cars.
“Since the commencement of VIN, all our people as law abiding citizens do not complain, but 2hat we are saying is that the 15 percent is too much
“Thank God for the seminars that we had. You can see now that the mouse has gone down because we don’t have issues. People have become used to the system.
On barging, she expressed shock over intention of the Nigerian Ports Authority to suspend it’s ooeration in the port over causing delays for vessels to berth.
She maintained that barges do not hamper the operations of vessels saying how many barges are always seen on the waterways.
She added that barge operations have reduced because of the reduction in 5he freight rate of trucks on the roads.