FG’s Food Import Duty Waiver Ends Amidst Widespread Hunger, Controversies

The Federal Government’s food import waiver policy, introduced in July 2024 to mitigate Nigeria’s worsening food crisis, has ended in failure, leaving a trail of unmet promises, rising hunger, and tragic events.

Despite being announced as a bold step to alleviate food inflation and hunger, the policy’s poor implementation and bureaucratic complexities rendered it ineffective, deepening the plight of ordinary Nigerians.

The policy, which was to run from July 15 to December 31, 2024, aimed to waive import duties on essential food items such as maize, rice, wheat, and cowpeas.

However, the initiative never took off effectively. By December 2024, when the waiver window closed, not a single importer could come out boldly and say they have benefited, and food prices remained out of reach for millions.

One of the most glaring failures was the lack of inter-agency coordination. The Nigeria Customs Service (NCS), tasked with implementing the waiver, disclosed in August 2024 that it could not proceed because the Federal Ministry of Finance failed to provide a list of eligible importers.

This delay persisted for months, with no explanation offered by the ministry. Such inefficiency reflects a deeper problem: a government that announces policies without clear execution plans, leaving critical interventions mired in bureaucratic paralysis.

Meanwhile, food inflation surged throughout 2024. According to the Nigerian Bureau of Statistics (NBS), imported food inflation rose from 26.29% in January to 42.29% by November—a staggering year-on-year increase of 55%. For low-income households, this translated into unbearable hardship. A 50kg bag of rice, for instance, cost between N106,000 and N120,000, far exceeding the minimum wage of N70,000.

The human cost of the policy failure was devastating. On December 18, 2024, a stampede at a Christmas funfair in Ibadan claimed the lives of 35 children and critically injured six others. Just days later, another stampede occurred during a rice distribution event in Anambra State, killing 22 people and injuring 32 more. In Abuja, at Holy Trinity Catholic Church in Maitama, 10 people, including children, died in another rush for food aid. These tragedies underscore the desperation fueled by the government’s inability to implement its own policy.

Adding to the policy’s failure were overly restrictive guidelines. To qualify for the waiver, companies had to be operational for at least five years, own milling plants, or have substantial farmland. These conditions excluded many potential participants, particularly smaller businesses that could have contributed to local food supply. Instead of providing relief, the government designed a policy that was overly complex and impractical for addressing an immediate crisis.

Furthermore, broader economic challenges compounded the issue. The Naira’s exchange rate, which hovered around N1,600 to the dollar, wiped out any potential gains from the waiver. Importers faced high costs for freight, terminal handling, and transportation—none of which were addressed by the policy.

As the National President of the Association of Nigerian Licensed Customs Agents (ANLCA), Emenike Nwokeoji, aptly noted, “Except the government gets involved in importation, the waiver placed on food will not be felt.”

The silence of government officials on this failure is perhaps the most disheartening aspect. The Ministry of Finance declined to comment when contacted, and the Ministry of Agriculture’s spokesperson also failed to respond.

Going forward, the government must rethink its approach to addressing food insecurity. Policies must be simplified, inclusive, and backed by effective implementation strategies.

Additionally, macroeconomic stability, particularly addressing forex volatility, is essential. The government should also consider directly importing essential food items to bypass profiteering intermediaries and ensure immediate relief.

The failure of the food import waiver policy is not just a policy misstep—it is a stark indictment of poor governance and misplaced priorities. With hunger and inflation worsening, Nigerians deserve more than empty promises. It’s time for the government to deliver on its commitments and prioritize the well-being of its citizens.