October 28, 2021

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Nigerians to pay more for imported vehicles as terminal operators announce 50% increase in terminal charges

– Starting from Tuesday, June 1, Nigerians may have to start paying for imported vehicles

– This is as terminal operators announced a 50% increase in terminal handling charges

– However, the Nigerian Shippers’ Council has promised to step in to avoid the price increase

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Major terminal operators in Nigeria have reportedly announced a 50 per cent increase in terminal handling charges, a development that will lead to an increase in the price of imported vehicles.

The Guardian reported that the increase in terminal charges is scheduled to be effective starting from Tuesday, June 1.

Nigerians to Pay More for Imported Vehicles as Terminal Operators Announce 50% Increase in Terminal Charges
Terminal operators announce a 50% increase in terminal handling charges for imported vehicles.
Photo credit: @BHANDDY2
Source: Twitter

According to the newspaper, three major terminal operators in the country namely Two Roll On Roll Off (RORO) terminals, Terminal Multipurpose Limited (PTML) and Five Star Logistics Terminal have all announced the planned increment.

If implemented, Legit.ng learns Nigerians with a low budget will be unable to purchase cars while those with a high budget will pay double.

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Why increment?

The terminals reportedly blamed the increment on inflation and huge operational cost due to the nature of Nigerian ports, among others.

They claimed that it has become impossible for them to provide the same level of service as current prices.

While the terminals may have valid justifications for the increment, the move may be ill-timed as the nation is still trying to emerge stronger from the impacts of the coronavirus pandemic.

Importers, car dealers react

Meanwhile, importers, car dealers and freight forwarders have kicked against the planned 50 per cent increase in the terminal handling charges.

According to the concerned stakeholders, the move would heighten inflation and further worsen the economy.

They also noted that the development will force importers and investors to patronise neighbouring countries to the detriment of Nigeria’s economy.

Nigerian Shippers’ Council react

Reacting to the development, the Nigerian Shippers’ Council has promised to resist any form of increment that would affect businesses.

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The council’s executive secretary, Hassan Bello, said terminal operators have not increased their charges in a long time due to the agency’s interventions.

Bello promised that the council would not allow any increase at this time, adding that stakeholders and the terminal operators will soon be engaged on the issue.

Nigerians react

Olusegun Adewale said on Facebook:

“It’s quite unfortunate that we find ourselves in this situation. Despite the increase in price of virtually everything, the government keeps borrowing without concrete repayment plan and the effect on future generations.

“May God continues to protect us. Ameen.”

Henry Johnson Ogoke said:

“Its unfortunate we have to put up with this clueless set of people for the next 2 years! It’s really really sad. Wrong economic projections, policies, taxation, just name it!”

Yakubu Duhu Auta Sa’ad said:

“What have we done wrong to our leaders in this country? Despite the humongous looting of the nation’s wealth they don’t even want to give us the basic amenities to make life easier for us. What a damnation…”

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Wilson Ejiofor Ubazi said:

“Failed government that’s fleecing the people with high cost of revenue. Next is ⛽ pump price increase. Then pay low wages.”

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In other news, the Central Bank of Nigeria (CBN) has been asked to increase its list of forex banned items for imported goods that can be produced within the country.

The suggestion to increase the list was given by the Monetary Policy Committee of the central bank which said Nigeria’s economy is still fragile despite exiting the recession in the fourth quarter of 2020.

The MPC made its position known in a communique published on the CBN website.

Source: Legit