Nigerian manufacturers want hike in excise duties reversed
The Manufacturers Association of Nigeria is calling for the reversal of hike in excise duties on beverages and tobacco as captured in the provisions of the 2023 Fiscal Policy Measures. In an interview with CNBC Africa’s Akin Obakeye, the Director General of the Association, Segun Ajayi-Kadir says the hike will stifle the businesses in the segment and adversely affect Manufacturing GDP contributions in the coming quarters if government doesn’t rescind the move.
Fri, 19 May 2023 13:28:08 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- The Manufacturers Association of Nigeria is calling for the reversal of the excise duties hike on beverages and tobacco, citing its potential to stifle businesses and reduce manufacturing GDP contributions.
- The abrupt escalation of excise duties has disrupted financial projections, manufacturing plans, raw material sourcing, and logistics for industry players, leading to uncertainty and anxiety within the sector.
- The timing of the hike amid existing economic challenges like currency fluctuations, rising power costs, and global crises threatens to further destabilize the manufacturing sector and hinder its recovery.
The Manufacturers Association of Nigeria is vehemently advocating for the reversal of the recent hike in excise duties on beverages and tobacco, as outlined in the 2023 fiscal policy measures. In an exclusive interview with CNBC Africa, the Director-General of the Association, Segun Ajayi-Kadir, expressed grave concerns about the detrimental impact this hike would have on businesses in this sector, potentially leading to a decline in manufacturing GDP contributions. Ajayi-Kadir highlighted the significant disruption caused by the sudden escalation of excise duties, stressing that it would throw off financial projections, manufacturing plans, raw material sourcing, and logistical arrangements. The abrupt shift in policy direction by the government has created uncertainty and anxiety within the industry, with businesses struggling to adjust to the new regulations. Ajayi-Kadir pointed out that the timing of this decision, coming on the heels of economic challenges like currency fluctuations, rising power costs, and global crises, further exacerbates the difficulties faced by manufacturers.
Get this delivered to your inbox, and more info about about our products and services. By signing up for newsletters, you are agreeing to our Terms of Use and Privacy Policy.
