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BREAKING NEWS: UK adjusts trading rules for Nigeria, 65 others
“The overarching aim of the new scheme is to grow trade with developing countries, boosting the economy and supporting jobs in those countries, as well as in ours.” Vanguard gathered that a number of key products have been identified which Nigeria already exports to the world but not to the UK.”
The United Kingdom, UK, government has significantly simplified trading rules for Nigeria, and 65 other African countries.
Under the new rules the UK will remove duties on cocoa, tomatoes and other products.
The move under its new post-Brexit Developing Countries Trading Scheme (DCTS) scheme, which commenced yesterday, will help the countries’ businesses and consumers save millions of British Pounds annually.
The development means that Nigeria will receive enhanced preferential access for almost 3,000 products, with the removal of 4.5 percent duties on cocoa paste, 26.5 percent on fruit juices, 14 percent on prepared tomatoes, amongst others.
Speaking during the scheme launch, UK’s Minister for International Trade, Nigel Huddleston, stated that the new scheme will be more generous than the EU scheme.
He said: “The scheme will benefit developing countries looking to diversify and increase exports, driving their prosperity and creating jobs.
“This DCTS scheme is a brilliant example of the UK taking advantage of its status as an independent trading nation and I am excited to see it implemented today.
“It will create opportunities for businesses around the world, supporting livelihoods, creating jobs and diversifying local and international supply chains. It will also benefit UK businesses and consumers by lowering import costs on a whole range of products.”
On his part, UK’s Deputy British High Commissioner in Lagos, Ben Llewellyn-Jones, said: “Nigeria is one of the UK’s most important partners in Africa and the UK Government is committed to working with Nigerian businesses and exporters to boost trade between our two great nations.
“The UK’s developing countries trading scheme, harnesses the power of trade to help Nigeria and other emerging economies grow and prosper.
“One major benefit of this new UK trading scheme is that it abolishes tariffs on over 3000 everyday products that Nigeria currently exports including cocoa, cotton, plantain, flowers, fertilizers, tomatoes, frozen shrimps and sesame.
“The overarching aim of the new scheme is to grow trade with developing countries, boosting the economy and supporting jobs in those countries, as well as in ours.” Vanguard gathered that a number of key products have been identified which Nigeria already exports to the world but not to the UK.
These include, Cocoa which tariffs removed for cocoa butter (2.5%) and paste (4.5%). Cocoa remains duty free. Nigerian global exports of around £40million (butter) and £10m (paste) a year. UK imports of around £250m of cocoa butter annually of which Nigeria currently accounts for less than 2%. UK imports of cocoa paste around £40m annually with none from Nigeria. This is as identified by Nigerian Export Promotion
