Clearing agents cripple economic activities at ports as vehicle duties rise 300%

Clearing agents crippled economy activities at the Lagos ports with a protest at the Tin Can Island Port and PTML Terminal over the anomalies in the Vehicle Identification Number (VIN) valuation system policy introduced by the Nigeria Customs Service (NCS) for imported vehicles.

The protests took place after the expiration of the 72 hours strike notice issued by all registered freight forwarding associations operating at the PTML Terminal and Tin Can Island port in Lagos last week to the Comptroller General of Customs, Hameed Ali, over the anomalies surrounding the VIN Valuation system policy, which has been ignored.

It was learnt that over 6000 vehicles are trapped across the Lagos Ports as agents were unable to clear them due to the introduction of the VIN valuation of the Customs.

The clearing agents confirmed that the value being issued to be paid on imported vehicles have risen by almost 300 per cent, which they described as outrageous.

However, there are indications that commercial activities would be crippled for the rest of the day as the agents have sealed off the popular Car Park C at the Tin Can Island Port.

They said the protests were supposed to take place last week Friday but Customs mounted heavy security men around the Ports to prevent them from carrying out the protests.

They said the annoyances of the freight forwarders was that, despite their cries to the Customs boss to address the issue, cars are now stranded at the port due to failure of the new customs valuation system to generate accurate value payable on imported cars with no remedy to the situation on the ground.

They complained that there was no consideration for rebate and depreciation value in the valuation being issued on imported cars.

The Chairman of the Association of Nigerian Licensed Customs Agents (ANLCA) at PTML Terminal, Oluwole Obey, said up till now, the letter written to the Customs CG has not been replied to, neither has he reached out or given assurances to the agents.

He admitted that the Customs Area Comptroller in charge of PTML Command, Festus Okun made an attempt last Thursday to pacify the freight forwarders on the new VIN valuation platform.

He said the freight forwarders are not against the introduction of the VIN valuation, as they view it as a noble concept that would end corruption in the system of vehicle clearance.

He complained that customs failed to carry out due diligence before implementation of the policy, adding that the value being issued to be paid on imported vehicles have risen by almost 300 per cent.

“This would affect the end-users as the prices of vehicles will skyrocket, noting that Toyota Camry, which sells for N1.5 million will be increased to N5million,” he said.

Meanwhile, the Spokesman of ANLCA at PTML Chapter, Ayokunle Sulaiman confirmed that the protest would be followed by withdrawal of service at the ports.

The freight forwarders said if the Customs boss fails to address the anomalies surrounding the VIN valuation, they will ground all port activities, adding that the strike action is going to be total, as all the freight associations are acting on the same page.

However, it was observed that the NPA security department and port authority police are earnestly monitoring the protest to ensure that the port remains peaceful.

(Daily Sun)