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Buhari approves new excise duty rates for alcohol, beverages, tobacco

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President Muhammadu Buhari has approved an amendment to the excise duty rates for alcoholic beverages and tobacco with effect from Monday, 4th June, 2018.

The President has also granted a grace period of 90 days (three months) to all manufacturers before the commencement of the new excise duty regime.

There is, however, no increase in excise duty of other locally excisable products.

Minister of Finance, Mrs. Kemi Adeosun, who made this known on Sunday in Abuja, stated that the new excise duty rates were spread over a three-year period from 2018 to 2020 in order to moderate the impact on prices of the products.

The Minister disclosed that the new excise duty regimes followed all-inclusive stakeholder engagements by the Tariff Technical Committee of the Federal Ministry of Finance with key industry stakeholders.

According to her, the upward review of the excise duty rates for alcoholic beverages and tobacco was to achieve a dual benefit of raising the Government’s fiscal revenues and reducing the health hazards associated with tobacco-related diseases and alcohol abuse.

She said, “The Tariff Technical Committee (TCC) recommended the slight adjustment in the excise duty charges after cautious considerations of the Government’s Fiscal Policy Measures for 2018 and the reports of the World Bank and the International Monetary Fund Technical Assistance Mission on Nigeria’s Fiscal Policy.

“The effect of the excise duty rates adjustment on trade and investment was also assessed by the Federal Ministry of Trade and Investment and it adopted the recommendations of the TTC.

“Furthermore, peer country comparisons were also carried out showing Nigeria as being behind the curve in the review of excise duty rates on alcoholic beverages and tobacco.”

Following the President’s approval, Adeosun disclosed that the new excise duty rate on tobacco was now a combination of the existing ad-valorem base rate and specific rate while the ad-valorem rate was replaced with a specific rate for alcoholic beverages.

The Minister added, “For Alcoholic Beverages, the current ad-valorem rate will be replaced with specific rates and spread over three years to moderate the impact on prices. This will curb the discretion in the Unit Cost Analysis (UCA) for determining the ad-valorem rate and prevent revenue leakages.

“For Tobacco, the Government will maintain the current ad-valorem rate of 20 per cent and introduce additional specific rates with the implementation to be spread over a three-year period to also reasonably reduce the impact on prices.”

Under the newly approved excise duty rates for tobacco in addition to the 20 per cent ad-valorem rate, each stick of cigarette will attract a N1 specific rate per stick (N20 per pack of 20 sticks) in 2018, N2 specific rate per stick (N40 per pack of 20 sticks) in 2019 and N2.90k specific rate per stick (N58 per pack of 20 sticks) in 2020.

The Minister explained that Nigeria’s cumulative specific excise duty rate for tobacco was 23.2 per cent of the price of the most sold brand, as against 38.14 per cent in Algeria, 36.52 per cent in South Africa and 30 per cent in Gambia.

The new specific excise duty rate for alcoholic beverages cuts across Beer & Stout, Wines and Spirits for the three years 2018 to 2020.

Under the new regime, Beer & Stout would attract N0.30k per centiliter (Cl) in 2018 and N0.35k per Cl each in 2019 and 2020.

Wines would attract N1.25k per Cl in 2018 and N1.50k per Cl each in 2019 and 2020, while N1.50k per Cl was approved for Spirits in 2018, N1.75k per Cl in 2019 and N2.00k per Cl in 2020.

The Minister added that the new excise duty regimes are in line with the Economic Community of West African States (ECOWAS) directive on the harmonisation of member-states’ legislations on excise duties.

It would be recalled that the ECOWAS Council of Ministers had at its 62nd and 79th Ordinary Sessions in Abuja in May 2009 and December 2017, respectively, issued directives on the harmonisation of the ECOWAS Member States’ Legislations on Excise Duties.

The directives seek to harmonise member-states’ legislations on excise duties of non-oil products and also stipulate the scope of application, rate of taxation, taxable event and amount.

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Politics

APC Secretariat Violence: Oyo Lawmaker Denies Assault, Alleges Smear Campaign

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The lawmaker representing Akinyele/Lagelu Federal Constituency of Oyo State, Olafisoye Akinmoyede, has denied allegations of violence at the All Progressives Congress (APC) state secretariat, describing claims that he assaulted a party member as false and politically motivated.

An online platform, IMPARTNEWSNETWORK, had alleged that Akinmoyede assaulted one Gafar Oyebade during a meeting convened by the state chairman of the party, Alake Adeyemo, to resolve issues surrounding the executive list of the APC in Lagelu Local Government Area.

However, Akinmoyede, in a statement on Tuesday, said the meeting was peaceful and attended by key members of the state executive, including the chairman, deputy chairman, and secretary, who witnessed the proceedings.

He clarified that contrary to Oyebade’s claim of being the party secretary, the official list presented by the state leadership recognised him as the Public Relations Officer.

According to the lawmaker, following the clarification, the state executive directed the Lagelu Local Government chairman, Fatai Awoyoola, to proceed with the swearing-in of other party officials.

Akinmoyede also faulted attempts to link the incident with the 2019 killing of a former federal lawmaker, noting that a court of competent jurisdiction had already ruled on the matter.

He said, “In Suit No. I/70c/2019, delivered by Justice Mufutau Adegbola on January 23, 2020, all those accused were discharged and acquitted.”

The lawmaker expressed concern over what he described as a deliberate attempt to mislead the public, alleging that Oyebade, a public school teacher under the Oyo State Government, should not be involved in partisan politics.

He described the allegation as a “recycled script” aimed at tarnishing his image ahead of political activities, urging constituents to remain calm.

Akinmoyede also called on journalists to verify information before publication and urged security agencies to take action against individuals who file false reports.

“These tactics surface every election cycle. Those behind them should learn to accept the outcomes of political processes. They failed before and will fail again. Power comes from God,” he added.

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Oyo Reps Member Denies Assault, Dares APC Chieftain to Prove ‘Hospitalisation’ Claim

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‎The lawmaker representing Akinyele/Lagelu Federal Constituency in the House of Representatives, Hon. Olafisoye Akinmoyede, has denied allegations of assault levelled against him by a member of the All Progressives Congress (APC) in Lagelu Local Government Area, Mr. Gafar Oyebade.

Akinmoyede described the allegation as “false” and “a lie taken too far,” insisting that no physical altercation occurred.

The denial was contained in a statement issued on Monday by his Legislative Aide, Dr. Isiaq Akintunde.

Oyebade had alleged that he was hospitalised following a confrontation during a meeting held at the office of the state party chairman in Oke-Ado, Ibadan, convened to resolve a leadership dispute in the local government.

‎But the federal lawmaker maintained that the meeting was peaceful and attended by top party officials.

‎“The meeting was convened to clarify Mr. Oyebade’s position within the local executive, and it was attended by the State Party Chairman, his deputy, the secretary, the publicity secretary, and other key state executives, all of whom witnessed the peaceful proceedings,” the statement read.

‎He added that contrary to Oyebade’s claim of being the party secretary, the official list presented by the Lagelu Local Government Party Chairman, Hon. Fatai Awoyoola, identified him as the Public Relations Officer.

‎According to Akinmoyede, the state executive thereafter directed Awoyoola to proceed with the swearing-in of the remaining members of the local government executive.

‎The lawmaker accused Oyebade of fabricating the allegation to advance political interests.

‎“I wonder why Mr. Gafar Oyebade, a secondary school teacher, would claim he was assaulted in the presence of the State Executive. This is an attempt to justify money allegedly collected from an aspirant to tarnish my image,” he said.

‎Akinmoyede further claimed that Oyebade was seen walking freely after the meeting and was not hospitalised as alleged.

‎He also raised concerns over Oyebade’s involvement in partisan politics, noting that civil servants are restricted from active participation in political activities.

The lawmaker called on security agencies and the media to investigate the incident at the party’s Oke-Ado office to ascertain the veracity of the claims.

‎Efforts to reach Oyebade for comments were unsuccessful as of the time of filing this report.

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2027: Oseni kicks off Oyo South Senate bid, rallies support for one million Tinubu votes

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The lawmaker representing Ibarapa East/Ido Federal Constituency and Chairman, House Committee on Federal Roads Maintenance Agency, Aderemi Oseni, has declared his intention to contest the Oyo South Senatorial seat in the 2027 general elections.

Oseni made his aspiration known during a high-level meeting with the Ibarapa APC Elders’ and Leaders’ Forum, comprising the G9 and the expanded G64 caucus, held at the party secretariat in Eruwa, Ibarapa East Local Government Area, over the weekend.

The G9 and G64 groups consist of influential stakeholders drawn from Ibarapa East, Ibarapa Central, and Ibarapa North local government areas.

In a statement issued on Monday by his media aide, Idowu Ayodele, and made available to journalists in Ibadan, the lawmaker expressed appreciation to the forum for their support and confidence in his leadership and vision.

He said his ambition to represent Oyo South Senatorial District was anchored on a determination to consolidate and expand his record of performance.

Oseni said, “This aspiration is not built on mere rhetoric, but on the continuity and expansion of a proven track record of quality representation and grassroots-oriented governance.”

While soliciting the support of party leaders, he described his ambition as a divine call to serve the people with renewed dedication.

According to him, “This is not a time for self-glory but a sacred responsibility to intensify efforts towards real development, bring more relief to our people and ensure inclusive governance.”

He pledged not to betray the trust reposed in him by party elders and faithful, stressing that his aspiration is rooted in progressive ideals and a genuine commitment to the development of the district.

Oseni also urged leaders in the zone to mobilise support towards delivering one million votes for President Bola Tinubu in the forthcoming election.

Speaking at the meeting, a leader from Ibarapa East, Chief Michael Morawo, lauded the lawmaker for delivering democratic dividends and strengthening the party structure. He added that Oseni has demonstrated commendable leadership through his performance, noting that his impact in stabilising the party within the constituency is evident.

Similarly, a former council chairman in Ibarapa Central, Chief Theophilus Adenrele, commended the lawmaker for not betraying the trust reposed in him. Also, a chieftain from Ibarapa North, Chief Francis Babalola, described Oseni as a humble leader committed to progressive ideals, dismissing speculations about his possible defection if he does not secure the governorship ticket.

In his remarks, the Chairman of the forum, Chief Timothy Jolaoso, said the lawmaker enjoys widespread grassroots acceptance that cuts across political divides.

Jolaoso said, “All indicators consistently point to Oseni as a candidate with acceptance that transcends party lines. He is not only capable but a man of deep faith with proven empathy for the downtrodden.”

He added, “He possesses the goodwill, financial strength, and public trust required for leadership.”

The elder statesman further noted that Oseni’s performance in the House of Representatives, alongside his role as Chairman of the FERMA Committee, underscores his competence and commitment to development.

 

 

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