Thursday, June 2, 2016

MEDIA WAR ON TRADE ACROSS THE BORDERS.





By Iroegbu Okey
There has been a well orchestrated plan to frustrate the well packaged trade facilitation planned by ECOWAS founding fathers along the West coast corridors. This came to limelight recently when the Managing Director of Nigerian Ports Authority (NPA), Mallam Habib Abdullahi while parleying with some Business Reporters said that “those who are importing through Cotonou are simply smuggling. It is ridiculous. People are complaining that this port is congested which means there is a lot of business. And at the same time, there are other factors that work against bringing in goods through the country.
“The economy itself encourages smuggling. People smuggle because of some of the economic policies. Some people say that the port is expensive but compare it with other places in the world. People do not even know how much it costs to import. But people are just peddling rumours that it is cheaper to import through Cotonou ports.
“But it is actually because it is cheaper to smuggle goods through the Cotonou ports as they dodge the fee they are supposed to pay. So the issue is not necessarily what people think. Our port is relatively competitive and if you ask the terminal operators, a lot of people are making money; otherwise there would not be so many applications for people wanting to set up the seaports in Nigeria. So it is not because the other ports are cheaper, but smuggling is going on but I think with the seriousness of Customs now, all that will change very soon.”
          Apart from this parley which came immediately after the meeting of the Managing Director with the Customs Area Controller of Seme Border Area Command, Comptr. Dimka, there are many other derogatory headlines against the area in print and on-line media. Readers cannot deny coming across such headlines like; “Abdullahi: Nigerian ports are very competitive, only smugglers import through Cotonou”, “NPA Boss: smugglers  import mostly from Cotonou”, “Rice smugglers invade Cotonou port”, “Rice smuggling boom as Nigerian importers troop to Cotonou port”, “How organized smuggling thrives at Seme Border”, “How government loses billions to car smuggling”. The general public reads these write-ups and accepts them hook, line and sinkers.
          Who among these writers have taken a serious critical study on the area to confirm most of these allegations? In a commuter bus recently at a Customs checkpoint, some angry passengers who were being delayed by Customs Officers for carrying less than a bag of rice voiced out angrily to the officers that they overlook the lorry loads of contraband goods that ply the road only to point their guns on a commuter bus carrying a mere half bag of rice. It was a clear indication that apart from the insiders and stakeholders, no other person knows the business of trade facilitation along this ECOWAS corridor.
OPERATIONS OF CAR IMPORT THROUGH YHE BORDER
Using that same platform the internet, the operations of car importation into Nigeria through the land borders are not fraud. Cotonou like Antwerp in Belgium is a free port and destination for a lot of vehicles imported for sales to many West African countries. Importation of vehicles to Nigeria through Cotonou is not all about smuggling. Going through a write-up by David Ovie on Nairaland forum, the long misconception about smuggling through the border is well cleared. He gave a detailed account on ‘the hidden secret’ on why cars and vehicles are cheaper at Cotonou, Benin Republic. On this same issue stakeholders view the advantages of car importation through Cotonou far ahead of Nigeria. According to a source “the survival of the Benin Republic car business depends on the continuing inefficiency of the Nigerian seaports. While car import is expected to expand in the future, there are concerns that the delays at the ports are enough reasons for people to consider bringing more cars through the land routes. Dealers said more cars are imported legally and illegally through the land borders than through the seaports. Most Nigerians patronise the Cotonou ports because of its efficiency, lower charges and its allowance for all ages of cars”.
          For anybody who wants to castigate a legitimate operation at the borders should look into the laws establishing such operations. Before 1992, skeletal maritime and customs operations were taking place at Seme Border as a means of checkmating the growing trend in smuggling at the area and a means of decongesting the Nigerian seaports. This worked like a magic when the area was upgraded to a customs revenue collection centre in February 1992. Since then the area has produced huge revenue to the federal government coffers and also produced the best officers among the security operatives. The unanswered question about the existence of Seme border still remains, is revenue generation at the border illegal?
It was on this same misconception that the issue of importation of rice through the land borders was ban after a successful operation at the close of 2015. As an insider, the lawful importation of rice through Seme and other land borders reduced the seasonal rush to large scale smuggling of the same product during previous periods. It should be realized that high tariff on rice and the demand associated with the end of the year have prompted a boom in smuggling of the essential commodity. Unfortunately the National Assembly was coerced into outlawing this operation for flimsy reasons. The National Assembly should endeavour to carry out an investigation to confirm the numerous allegation on rice through the land borders.

One last question that should be pre-eminent in the mind of every Nigerian is why is importation through the neighbouring Benin Republic cheaper than in Nigeria? When are we going to start reaping the surplus from the over preached agricultural emancipation? As long as the nation remains deceitful on economic policies, these policies will remain elusive.      

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