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Rice millers to lose import quota

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Rice millers who hitherto got import quota to import rice into the country may no longer enjoy such privileges, Ripples has learnt.

Giving this hint at the weekend, the Permanent Secretary, Ministry of Agriculture and Rural Development, Mr. Sonny Echono, said that there would be no issuance of quota to any intending importer for now pending the review of the policy.

Echono, who spoke in Abuja, said the suspension became necessary because of abuse of the policy by rice millers, adding that only those who were paying 70 per cent import duty would be allowed to bring in rice for now.

He said that there was no subsisting allocation for 2015 as the allocation for 2014 had expired.

According to him, the volume of rice that would be allowed into the country would be limited to the current supply gap.

He said the country had a supply gap of about 1.5 million tonnes between national rice demand and supply, blaming the situation on insufficient milling capacity.

Echono however said that the ministry was addressing this challenge.

Read also: FG plans review of rice import policy

He also said that the ministry would seek clarifications on measures put in place by the Nigeria Customs Service (NCS) to ensure importers pay appropriate duty for rice imported through land borders.

Mr. Echono said that the clarification became necessary following the removal of ban on importation of the commodity through land border by the Nigeria Customs Service (NCS) last week.

“I will be meeting with the Comptroller-General of Customs in the interest of the principle of consistency in policy. As long as the machinery for the importers to pay the appropriate duty is in place on the land borders, it should not be a problem.

“The import through land border was earlier banned because the machinery for proper duty collection at the land borders is not in place.

“But if they put in place the right policy to ensure that the routes are clearly defined and duties are paid before they bring rice in, then, we need to get the assurance on how the mechanism works. That is why I need to meet him,” he said.

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