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[ Nigeria, Benin Reach Agreement on Trade ] [ Secondhand Car Import Tax ] [ Bills of Lading ]

Nigeria, Benin Reach Agreement On Trade, Commerce - 16/12/04

The Federal Government on 26 November re-opened three closed border routes and lifted the ban it placed on certain goods produced in Benin Republic. Minister of State for Finance, Mrs. Esther Nenadi Usman, announced the Government's position at the end of the Benin-Nigeria Joint Committee meeting on Commerce in Abuja.

The reopened border routes are Idiroko/Igolo; Nikki/Chikanda and Seme/Krake and while the goods allowed into Nigerian markets are textile and fabrics; cottonseeds; palm oil; palm kernel and vegetable oil.

Mrs Usman announced that personnel of the Nigerian Customs Service (NCS) are to escort the goods into the country, while staff of the Standards Organisation of Nigeria (SON) and those of National Agency for Food, Drug Administration and Control (NAFDAC) are to be posted to the factories in Benin Republic to ensure strict adherence to quality control as well as ensure that only goods manufactured in Benin are shipped into Nigeria.

She explained that steps had been taken to forestall the practice in the past where other countries used Benin Republic ports as transit routes for their goods into Nigeria and in the process deny her the duties on them.

The minister added that the government's gesture was in the spirit of the Economic Community of West African States (ECOWAS) Trade Liberalisation policy aimed at fostering trade and relations within the sub-region.

The Beninois Minister of Industries, Commerce and Employment Promotion, Mr. Fation Akplogan expressed appreciation to the Nigerian government and pledged his country's compliance with the laid down regulations.

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New Tax Imposed on Secondhand Car Imports - 27/3/00

As of 1/01/00 all second-hand cars shipped to Cotonou will be liable for a new tax of FF500 (CFA 50,000).

It is vital that importers of new cars enter clearly "new car" on all documentation ie manifests, bills of lading ...etc in order to avoid being taxed.

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Bills of Lading for Benin - 23/3/00

Please be advised that from 3rd April 2000, shippers to Cotonou, Benin, must complete and attach to their B/Ls a new Benin shippers' council (CNCB) form - a bordereau - requiring details of:

This form must be approved by one of CNCB's representatives in Europe as from 3rd April loadings (with a further 5 working days delay allowed after shipment). CNCB representative offices are detailed in the attached 'Word' document.

The practicalities of this programme are still relatively unclear. It would be helpful if loading agents could keep OTAL's Traffic department and Antrak Benin / Transco appraised of their contact with CNCB representatives.

The said form to be completed and approved is like a B/L with the additional demands for details of the freight paid. As per a government decree, the CNCB representative will be able to refuse signing/approval if they consider the freight unrealistic or the form is not entirely complete.

CNCB will not be able to change vessels or forbid shipments, but the form will have to be submitted within 5 days of loading. The question is, what kind of freight levels will be considered realistic and what impact will this have on custom duties paid by receivers? The latter ie. the forwarding of the bordereau to Benin's authorities is important because it is said locally that the Finance minister is behind the move in order to compensate for the country's decline in custom duties (duties on transit goods to Nigeria have decreased).

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