Senate on Tuesday asked the Nigerian government to pull out of Economic Community of West Africa States [ECOWAS] due to insincerity of purpose, exploitation, economic sabotage and breach of protocol by ECOWAS member states against Nigeria.
The Senate also urged the Federal Government to suspend forth with the ECOWAS Trade Liberalization Scheme and ECOWAS Common External Tariffs.
The decision came as the Senate moved to the motions of the day during Plenary.
Senator Hope Uzodinma noted with serious concern the abuse of customs tariff.
Senator Uzodinma made the observation in the motion titled “The Abuse of Customs Tariff & Indiscriminate Issuance of Fiscal Policies & Negative Impact on the National Economy: Urgent Need for Reversal.”
The Motion is sponsored by Senator Uzodinma.
He notes that the ECOWAS Common External Tariff CET and Trade Liberalizaion Scheme has adversely affected Nigeria’s economic growth.
Senator Uzodinma also notes that the “Rule of Origin” concept has led to the collapse of the manufacturing sectors in ECOWAS Countries.
He further expressed worries that the insincerity of purpose, exploitation, economic sabotage and breach of protocol are also evident.
Senator Uzodinma points out that with these ECOWAS policies, firms manufacture in neighbouring countries but ship products back to Nigeria.
Uzodinma complained some neighbouring states like Benin Republic has become a smuggling haven for rice and vehicle destined for the Nigeria market.
He lamented that most of the companies that closed down in Nigeria like Dunlop, Michelin, Lever Brothers reopened in other neighbouring African countries.
Worse yet, they ship back the product to Nigeria market at Zero duty and in the process complicating unemployment in Nigeria.
He accused the neighbouring states of capitalizing on the “Rule of Origin” concept existing among the ECOWAS to repackage products from Asia into Nigeria at zero percent duty rate.
Meanwhile Nigeria vegetable industries are in comatose as result of huge tank farm built in Cote d’Ivoire where ships from Malaysia and other Asian nation dump their vegetable before repackaging it.
He added that while Cote d’Ivoire government collected duty on imported product from Asian, while Nigeria government collect nothing.
After exhaustive debate, the Senate agreed with all prayers in the motion.
The Senate accordingly resolves to urge the Federal Government to review the process of enacting the tariff handbook; to identify all abuses and revenue leakages.
The Senate, therefore, urged the Federal Government to suspend forth with the ECOWAS Trade Liberalization Scheme and ECOWAS Common External Tariffs.
© Copyright 2016 www.elombah.com; Send eyewitness accounts/reports/articles to publisher@elombah.com; follow us on twitter handle @Elombah; like our Facebook page: “Elombah.com”