Nigeria Imports at All Time Low

Nigeria

The high foreign exchange rate is hitting hard on the Nigerian economy and forced over 12,000 importers to seek alternative means of livelihood pending rebound.

The importation of foreign products, especially used vehicles, popularly called Tokunbo has dropped because of low patronage.

Importers across the country are saying these are not the best of times for dealers in second-hand vehicles due to continuous falling of the naira against the world’s major currencies.

A survey of the Berger Automobile Market in Lagos, shows activities are currently at their lowest, one of the dealers, Nnadiekwe said “Importation of vehicles is no longer profitable. It does not matter whether you are importing from Europe or through the Seme border. The current exchange rate has caused the naira to crash against every major currency”.

“You spend so much money importing a vehicle into the country only to pay an additional 35 per cent duty. Who is going to buy the vehicle? As it is, we are unable to increase the prices of our vehicles. Things are so bad that when clients come to buy, they price the cars below the cost price and we are forced to sell at a loss.”

He further stated that no car dealer is currently importing vehicles as they are yet to sell old stocks due to poor patronage.

“We implore the Federal Government to do something about the situation. Go round the market, there are empty lots all over. Already, some of us are divesting our stock in order to raise capital for other businesses. If things continue like this till June, we will have a crisis,” he said.

The Public Relations Officer of the  PTML Area Command of the Nigeria Customs Service, Steve Okonmah, said the command now examine one container daily compared with 98 containers  daily in the previous year.

“Only 66,000 vehicles were imported through the PTML in 2015, while 224,000 was imported in 2014,” Steve added.

About the Author

Samed Olukoya
Samed Olukoya is the CEO/Founder of investorsking.com, a digital business media, with over 10 years' experience as a foreign exchange research analyst and trader. A graduate of University of East London, U.K. and a vivid financial markets analyst.

3 Comments on "Nigeria Imports at All Time Low"

  1. The federal government should stick with her policy not to allow import goods comes into the country any longer .Nigerians must use made in Nigeria goods. Must ride made in Nigeria vehicle, and challenge the Government at difference level and private enterprise to use made in Nigeria vehicle.All Nigerians foreign diplomat should use made in Nigeria vehicle. Buhari administration should lead by good example Profoce can armoured any local vehicle for official use if necessary .Nigeria should start to look inwards than outwards. Lastly Nigeria should support and rally with the Buhari administration in the fight against corruption and insecurity in the country. Some bad egg senators,and house of rep,judges, and lawyers poised to frustrates the new administration anti corruption crusade already yielding some positive result.Example of such was the unending delayed of 2016 budget. Nigeria lawmaker salary ,benefits earnings more than any developed countries in the world in a country civil servant salary less than 100 usd a month.Nigerians wake up

  2. Nigerians pressures groups organisation should press on until MP releases their true salary and allowances. Each Senator and house of rep monthly salary and allowances should not exceed 2 million naira and 1.5 million naira monthly respectively.In a country where a civil servant monthly salary earning less than 20,000 naira monthly Lastly, Nigeria government can no longer function well because of law maker greed and selfishness. Some weeks ago there was one Senator interviewed by channel Tv when the purported senator ask their annual salary to be 29 Million Naira monthly and the senator could not answered and became unruly and any one happened to watch the greedy Senator would conclude he has something to hide. Shame to all Nigerian law maker for abusing the trust of Nigerians who voted you in to office. Nigerians senator salary and allowances earning triple any developed nations Senator and prime minister, president.To this end Nigerians have every right to know lawmaker salary,and allowances ,and the pressure must continue on to recall Olushola Saraki and cohort who put their personal selfish interest ahead all Nigerian.

  3. @Joe Rightly said, lawmakers are accountable to the people. In a nation where average citizen lives on less than $2 a day, no lawmaker should be earning N29 million.

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