The Manufacturers Association of Nigeria (MAN) has lauded the Federal Government’s decision to halt the proposed increase in excise duty on alcoholic, non alcoholic beverages and tobacco.
Director-General, MAN, Mr Segun Ajayi-Kadir, made the commendation in a statement signed by Mrs Omotayo Okewunmi, Public Relations Officer, MAN, to newsmen on Tuesday in Lagos.
Ajayi-Kadir said the gesture was part of government’s commitment to the well-being of the real sector.
BRANDPOWER reports that in 2022, the introduction of an excise duty of N10 per litre on all non-alcoholic, carbonated, and sweetened beverages in the country was part of a new policy introduced in the Finance Act.
Ajayi-Kadir noted that apprehensions about the proposed plan to increase excise duty necessitated a courtesy visit to the Minister of Finance, Budget and National Planning, Hajiya Zainab Ahmed.
He revealed that the delegation led by MAN President, Otunba Francis Meshioye, was with outcomes that allayed the fears of manufacturers.
He said the Minister assured that the guidelines would not include the proposed increase in excise duty on beer, wines and spirits, tobacco and non-alcoholic beverage in 2023.
He said the guidelines would rather allow the excise regime to run its full course from 2022 to 2024 as programmed in the road map by the Federal Government in 2022.
“The association is gladdened by the assurances of the honourable minister that the 2023 fiscal policy guidelines and the reconsideration of the Finance Act 2023 have been concluded and would be released immediately.
“This comes as a huge relief to our members across the Federation and will signpost the administration’s support for the sustenance of manufacturing in Nigeria on this score,” he said.
Ajayi-Kadir said MAN received the understanding of government on the introduction of 0.5 percent import surcharge to fulfill Nigeria’s obligations to the implementation of Africa Continental Free Trade Area (AfCFTA) agreement.
The MAN DG added that the association had noted government’s promised intervention in resolving the logjams in the interpretation of the Tin Plate, HS Code 7210. 12.00.00 with the Nigeria Customs Service.
According to him, from the foregoing, the association viewed the Federal Government’s move as one that will encourage manufacturers currently struggling with unprecedented low sales, foreign exchange squeeze and other challenges.
“These moves will reassure members of the administration’s respect for stakeholder’s engagement and the usefulness of public-private sector dialogue.
“As MAN continues to engage with government meaningfully on matters bordering on the nation’s economic prosperity, we look forward to improved performance of the manufacturing sector and the economy,” he said.
