Tinubu suspends import duties on rice, frozen food and other products –

As part of its efforts to further curb inflation and hunger among the population, the Nigerian government is considering suspending import duties and value added tax on staple foods such as rice, medicines, agricultural and industrial inputs and other essential goods.

According to an implementing document seen by our correspondent, the import duty and VAT exemption will apply for six months, starting in May and ending in December 2024.

Although President Bola Tinubu has yet to sign the document, the suspension of taxes on essential goods is a measure to curb the current inflation in the West African giant state.

The document also includes plans to abolish taxes on fertilizers, poultry feed, flour and grain.

The Inflation Control and Price Stability Regulation outlined in the document will mandate the Ministry of Finance and the Central Bank of Nigeria to develop a plan for the provision of soft loans to the agricultural, pharmaceutical and manufacturing sectors.

“This productive use will ultimately increase yields and reduce inflation,” the document said.

The President is also expected to suspend VAT on diesel, some staple and semi-processed foods such as noodles and pasta, raw materials for food production, electricity and public transport, as well as agricultural inputs and products and pharmaceutical products for the rest of the year.

The document also included a measure to import paddy rice into the country to make the price of rice more affordable for citizens.

The report recommended an executive order for the import of paddy rice to millers to curb growing food inflation across the country.

The document also recommends the following:

Suspension of import duties and VAT on certain items
Import of paddy rice by millers
Exchange rate peg for import duties.