Investors Accuse Nigeria Customs of Strangulating Economic Activities within Tinapa FTZ

From: Diana Okon-Effiong (Calabar)

Abdullahi D.I, Comptroller General, Nigeria Customs Service

A group of investors have alleged that there are deliberate decisions by the Comptroller General of Customs “to shut down genuine economic activities within Tinapa Free Trade Zone”. The group, made up of no fewer than 18 investors operating within Tinapa Business and Leisure Free Trade Zone, made the allegation at a press briefing at Tinapa Resort, Calabar. Members of the group, which included local and foreign investors, also called on the federal government and the National Assembly to come to their aid. They specifically appealed to government to compel the Nigerian Customs to respect the “transit laws” governing the movement of goods out of Tinapa to other countries within the sub-region.

According to the group, which addressed the Press through their spokesperson, Mr Namnso Nyong, the laws establishing Tinapa Business and Free Zone Resort recognises it as the “transit hub” for goods within sub-regional Africa. They also alleged “harassment and sabotage by the Nigerian Customs in Onne port, Rivers State”. According to the group no less than 20,000 jobs are being threatened as one company alone lost more than N50 million to the activities of Nigerian customs.

“Customs has no right to hold any consignment coming to Tinapa. For Customs to come and ask us to pay duty in Onne is a total violation of the law establishing Tinapa. Nigerian Customs is frustrating us. We are indeed shocked and bewildered why customs at Onne command stopped the processing of investors consignments which are on transit to Tinapa Free Trade Zone. This unilateral illegal acts by the Customs at Onne in stopping Tinapa bound consignment is against the spirit and letter of the gazette law that set up Tinapa as a Free Trade Zone. “We view this Nigerian Customs serial impunity with regards to trade transactions in Tinapa as a calculated attempt to truncate business activities within the Free Trade Zone, thus rendering all human, material and financial resources invested in establishing the zone as a total waste. Shops are shutting down, people are losing their jobs, demurage is increasing every hour on these containers at Onne Seaport” whereas others are busy smuggling rice through the Katsina borders while the Customs look elsewhere.

The group said that the consequences of Customs’ actions has led to the “loss of revenue running into millions of naira, loss of confidence from trade partners, and inability to honour letters of credit hinged upon receipt of goods. “Inability to meet financial obligations, loss of supplier’s confidence, closure of shops and loss of employment with its multiplier effect to the host communities and Cross River at large as 20,000 Cross Riverians will become jobless”, they stated.

One of the investors, Mr. Chris Nedum, stated that for over four weeks now the Customs Service has not done anything to clear their goods as the process of transfer has not been done. “My company has lost over N50 million and our foreign partners are now seeing us as fraudsters. This is a deliberate act to frustrate business in South South and South East”, he held. In like manner, an Indian investor in Tinapa, Mr Poadeep Kumav, decried the unlawful activities of the Customs Service and blamed the Nigerian government for allowing the Customs to flout the law. Efforts to get the Nigeria Customs Public Relations Officer, Mr. Wole Adeniyi, on phone to confirm the report failed as calls put across to him were neither answered nor returned.