Nigeria’s tax reduction offers opportunities for Vietnamese goods

Nigeria’s tax reduction offers opportunities for Vietnamese goods - Photo for illustration (Source: VOV)

This policy will be implemented from July 15 to December 31 and will open up a wealth of opportunities for Vietnamese goods in this market.

The Vietnamese Trade Office in Nigeria said that the list of items subject to a 0% import tax rate includes brown rice with the HS code 1006.20.00.00, sorghum with the HS code 1007.90.00.00, milleta with the HS code 1008.29.00.00, corn with the HS code 1005.90.00.00, wheat with the HS code 1001.19.00.00, and beans with the HS code 0731.31.90.00.

The Nigerian Ministry of Finance will periodically provide the Nigerian Customs Service with a list of licensed importers and import quotas in a bid to facilitate import activities under the new policy.

According to the latest regulations, to be eligible to gain entry into Nigeria under the new policy, a company must be registered in the West African country and have been in business for at least five years. They are also required to submit a list of annual revenue reports and financial reports, as well as paying all types of taxes over the last five years.

Nigeria last year produced 5.56 million tonnes of rice, but the market of more than 200 million consumers imported an additional 2.3 million tonnes to feed its population. The government said that the new policy aims to solve immediate difficulties without affecting the long-term strategy to protect domestic production.

The Ministry of Industry and Trade of Vietnam reported that Nigeria is Vietnam’s largest trading partner in Africa, with their two-way trade turnover hitting US$500 million in 2022. However, bilateral trade has yet to maintain annual growth./.