Taiwo Hassan 
‘Action breaches ECOWAS Protocols, disrupts Nigeria’s competitive edge’
Nigerian manufacturers transiting goods to neighbouring countries in West Africa through Seme border have been asked to pay N30billion ($60million) by Republic of Benin government in order to gain access into the country and beyond. This is coming barely two years after the Federal Government shut the country’s land borders to halt smuggling of sub-standards goods, banned products, illicit migration, banditry, drug trafficking and proliferation of light weapons. The surcharge is currently affecting 3,700 trucks laden with consumable goods as each truck has been asked to pay CFA 9million ($16,285). Mostly affected are local manufacturers in the food, beverage and tobacco sectors.
The manufacturing goods are expected to pass through Seme border to Benin Republic, Togo, Ghana and Cote d’Ivoire. The Government of Benin Republic also imposed additional charges at Ilakoji – the border between Togo and Benin Republic on the goods. According to the Manufacturers Association of Nigeria’s Export Group (MANEG), the new duty is a breach of the Economic Community of West African States (ECOWAS)’s protocols of free movement of foods and service within the West African region. The protocol of free movement of goods within the region was initiated to enhance economic activities. The MANEG’s Chairman, Mr. Imokhai Ehimigbai, explained to New Telegraph that many trucks were stranded at Seme border with Nigerian consumable goods as Benin insisted on full duty payment by exporters. Also, he feared that the new development would affect competitiveness of Nigerian goods in West African countries.
The chairman explained that the action of Benin Government had made Nigerian companies to breach the trade agreements entered into when the goods were ordered by their foreign clients. Ehimigbai stressed that the delay at the border had led to unsold goods stacked at various warehouses in the country. He said: “Manufacturers’ goods are stacked at Seme Border right. Most of the legitimate exports from ECOWAS routes pass through the border by roads. With this policy from Benin Republic Government, what they are saying is that importers will must pay full import duty on any goods leaving Benin Republic to other countries, especially when the destination of such goods or consignments is not Benin Republic. “Also, if my goods are going to Ghana, I have to pay full import duty to Benin Republic Government. As you know, ECOWAS protocol encourages free movement of goods and service because the protocol does not ask for duty in the first instant. So, this is a slap on Nigeria. Why is it so? Most of the goods from West African countries originated from Nigeria. “We can’t even compete favourably other countries.” Ehimigbai added that “the border policy affected them negatively because I am very much aware from the months of June and July.
“If you went to Benin Republic about 10 years ago looking for a warehouse, you cannot get because the warehouses were taken over by Chinese, Indians and Lebanese for rice brought from Thailand meant for Nigerian market. So, with the total ban, it has affected Benin revenue generation. So, I see this has retaliation.” Also, the Chairman of the Association of Nigeria Licensed Customs Agents (ANCLA), Seme border Chapter, Bisiriyu Fanu, said that majority of the imports and export goods were billed to be sold during last Sallah festival but they could not be moved, leading to heavy losses. He said: “We were told to wait and see what would happen immediately after Sallah. For now, the trucks are still there.
The only thing is that anybody who wants to bring in his or her goods must go through Togo and containerised the goods before bringing it to Abba. “They didn’t give any reason why they stopped the goods because when we asked them, they said they were investigating. What they are investigating, nobody knows. The Benin Republic Controller at Seme border said they didn’t give Ilakoji any circular.” Also, the Vice President of ANLCA, Kayode Farinto said the sea link remains a viable alternative for the transit goods. He added that the prevailing challenges at Apapa ports had discouraged exporters from sending their cargoes, noting that it takes even longer time to clear goods from the port and more expensive going by the various challenges in accessing the ports. He said: “There is something called the law of reciprocity in international relations. That is, whatever you give, you take or whatever you do to your neighbour, expect it in return. “When Federal Government implemented the border closure policy, blocking the border, forgetting Nigeria is a signatory to ECOWAS protocol and convention, we shouted that this thing should not last more than 30 days but the closure went on for almost one year. So, if Benin is now stopping Nigerian trucks, which could worsen Nigeria’s economy, we should not complain.”
