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Imports: How Customs Duties Exchange Rate Hikes Influence Higher Market Prices
By Emmanuel Agaji
Many Nigerians are currently languishing in extreme poverty and this has in turn led to reactions from all parts of the country.
Perhaps, the problem started with the withdrawal of petroleum subsidy.
The subsidy withdrawal as being feared over the years has come with pains of more transport costs which in turn led to rise in prices of goods in the market. But that was not all. The fall of Naira in value to other foreign currencies has been devastating for months now.
The fall has been with speed. Early last year, the rate of Naira to Dollar was about N700/$1. Expectations were therefore that the new government would work out a way in which the exchange rate would come down. But instead of coming down, the dollar rate has kept rising to what it is now – over N1,900/$1. Observers hold the view that the Dollar can be said to have arrived at the doorstep of N2,000/$1 and will soon begin a fresh journey to N3,000/$1. The result is that importers and manufacturers have in turn continued to increase prices of their products on the basis of dollar exchange rate to Naira.
Perhaps what has been a sad event is the rate at which there is fluctuation in the rate of dollar to Naira.
The Naira keeps falling in value everyday to the dollar and other currencies, including those of the neighbouring West African countries.
The current situation is that many citizens of other African countries who have been doing business in Nigeria are now returning to their home countries because of the fact that the Naira has fallen far below their own currencies. In other words, their currencies have become far stronger than Naira.
Critics believe the devaluation of Naira against the Dollar and other currencies will continue to affect the economic life of the people negatively.
The rise in prices of goods in the market has left many dumbfounded. To worsen the matter is the Customs duties exchange rate introduced by the Central Bank of Nigeria.
This is the rate the Nigeria Customs Service uses in calculating duties on imports. First, it was about N1,357.50 before it rose to N1,413.62. It later went up to N1,617.00 with information later that it went down to about N1,500.00.
The rates have been introduced for more than 10 times in a month. While it is believed that with this scenario the Customs will make more revenue this year, triple what it made last year, yet such gains will have no positive impact on Nigerians.
This is because prices of goods have continued to go up. Traders have become confused because every minute importers and manufacturers come up with new prices in relation to the prevailing exchange rate. To observers, this is destroying businesses.
The policy has made international trade a big task because of the continued rising of the dollar rate against the poor value of the Naira. With almost everything being imported, including farmers relying on fertilizers and other foreign inputs, prices of food and other commodities have become so high for the low income group.
This explains the reason for the protest in many parts of the country. Everyone appears sad. This includes the importers, manufacturers who also import raw materials for production.
Dealers on different goods, wholesalers and retailers are all worried. The reason is that the goods are changing in prices every 30minutes as traders monitor the dollar rates. The final consumers are bitter as they find it difficult to pay for most of the goods they would want to buy. This has made market very dull.
Even traders in the market are no longer buying to stock-up as they are afraid these goods are too expensive and final consumers are not ready to buy. Keeping them in the store for too long means taking risk of damages and therefore losses of investment.
As experts suggest, what government should do is for the CBN to discuss with the management of the Customs Service and arrive at one exchange rate under which duties can be calculated. Although it was gathered that the CBN has agreed that the rate of duties to be paid by importers will be based on the prevailing exchange rate when the Form M was opened, importers still argue that this policy will continue to affect businesses and prices of goods in the market.
According to experts, this will not bring prices of goods down as importers will claim they sourced the foreign exchange at high rate of dollar exchange rate. An importer said if the government wants prices of goods to be affordable, CBN should rather peg the rate used in calculating duties at about N1,200 for it to be uniform for all.
Other possibilities for prices of goods to come down is for the government to consider ensuring that fuel prices go down by using the gains of the subsidy removal to encourage private refineries to come on board as quickly as possible.
These refineries should be expected to reduce their fuel prices since they source crude oil to be refined locally. Government should also not make the mistake of relying on big time monopolists who are likely to look for ways to suffocate other small companies.
This was what happened in the case of cement manufacturing over the years which prices have now gone out of the reach of the low income earners. Government should be fast in acting outside the box to arrest the issue of continued rise in the prices of goods.
The prices of food and other goods in the market should be affordable and the solution is in addressing the continued fall of Naira value to the Dollar and other currencies.
Delta State Governor, Sheriff Oborevwori, on Saturday received two honours at the Silver Jubilee Awards of Independent Newspapers, in what is described as a recognition of his administration’s performance, particularly in urban development.
The awards—Outstanding Independent Governor and Best Independent Governor in Urban Renewal (2025)—were presented at a ceremony held at Eko Hotels and Suites, as part of activities marking the organisation’s 25th anniversary.
The awards were determined through a combination of public voting and rigorous assessment by a jury and the organisation’s board, Managing Director and Editor-in-Chief of Independent Newspapers, Steve Omanufeme, said.
He congratulated the recipients and disclosed that further activities to mark the silver jubilee would continue later in the year.
The governor, who was represented by his deputy, Monday Onyeme, described the awards as a reflection of the administration’s impact since assuming office in 2023.
Speaking with journalists after the event, Onyeme said, “It is very evident to all Nigerians, especially Deltans, that our governor has significantly changed the narrative since assuming office in 2023.
“Today, he stands out as one of the best governors in the area of urban renewal. The impact is visible and undeniable.”
He pointed to ongoing infrastructure development across the state, noting that Delta, as one of Nigeria’s most urbanised states, has witnessed rapid transformation within a short period.
According to him, projects such as flyovers in Ughelli, Warri, Effurun, and Enerhen Junction have improved traffic flow while enhancing the functionality of major urban centres.
Onyeme also disclosed that the administration had delivered about 300 kilometres of roads in the past year, describing it as a major step towards addressing infrastructure deficits.
“When organisations carry out independent assessments and recognise this administration, it does not come as a surprise. The results speak for themselves,” he said.
He added that the recognition would serve as motivation for the government to sustain its development efforts.
“We have not rested, and we will not rest. We were elected to serve the people of Delta State, and we remain committed to that promise. The more responsibility we are given, the more we will deliver,” he said.
The deputy governor further noted that Oborevwori remained focused on leaving a lasting legacy, driven by what he described as a strong commitment to service.
“His desire is to ensure that before he leaves office after his second tenure, the difference will be clear and undeniable. He aims to set a standard that future administrations must strive to meet or surpass,” he added.
The Socio-Economic Rights and Accountability Project (SERAP) has asked President Bola Tinubu to direct the National Broadcasting Commission (NBC) to withdraw its recent directive to broadcasters, describing it as unlawful and repressive.
SERAP, in a letter dated April 18 and signed by its Deputy Director, Kolawole Oluwadare, said the directive “represents a dangerous attempt to impose prior censorship on the media and suppress legitimate journalistic expression”.
It urged Tinubu to ensure that the Minister of Information and National Orientation, Mohammed Idris Malagi, and the NBC “immediately withdraw the unlawful “formal notice “which threatens sanctions against broadcast stations and presenters on vague and unjustified grounds”.
SERAP also called on the government to immediately abstain from imposing prior censorship on broadcast stations and Nigerian journalists and allow them to freely carry out their constitutional responsibilities.
The organisation argued that key provisions cited by the NBC were inconsistent with constitutional guarantees of free expression.
“The Nigerian Constitution and international human rights law protect both the absolute right to hold opinions and the qualified right to express ideas of all kinds. Journalistic opinion is protected expression,” SERAP said.
It further criticised restrictions on presenters’ conduct, noting that, “a blanket prohibition on the expression of ‘personal opinions by anchors and presenters’ amounts to an impermissible restriction”.
According to SERAP, the use of vague standards such as “professionalism” opens the door to abuse.
“The NBC’s reliance on an undefined and subjective standard of ‘professionalism’ introduces vagueness and opens the door to arbitrary enforcement,” it said.
The group warned that the threat of sanctions could have a chilling effect on the media, discouraging critical journalism and public debate.
“The imposition of punitive measures based on vague and broadly defined infractions creates a chilling effect on broadcasters… and undermines democratic discourse,” the letter stated.
SERAP also raised concerns about the timing of the directive ahead of the 2027 general elections.
“Ahead of the 2027 general elections, the NBC’s Formal Notice undermines Nigerians’ democratic rights to receive diverse information, hear competing political viewpoints, and engage in open debate,” it added.
The organisation gave the federal government 48 hours to act, warning that it would pursue legal action if its demands were not met.
The NBC had issued a formal notice on April 17, 2026, citing a rise in unprofessional conduct and warning that it would enforce strict compliance with the Nigeria Broadcasting Code, including sanctions for violations.
The Northern Christian Association (NCA) has called for the immediate arrest and prosecution of an Islamic cleric allegedly captured in a viral video placing a ₦2 million bounty on a pastor accused of blasphemy against Prophet Mohammed.
The association warned that failure by security agencies to act swiftly could trigger reprisals and threaten public peace in northern Nigeria.
Chairman of the association, Joseph John Hayab, made the demand in a statement issued to journalists in Kaduna on Sunday.
Hayab described the development as a dangerous act of incitement capable of worsening religious tensions in the region.
He expressed concern that a religious leader, who should ordinarily promote tolerance and peaceful coexistence, was allegedly involved in actions capable of destabilising society.
The cleric noted that the association had consistently advocated peace, stressing that its commitment was for the collective good and not a sign of weakness.
He urged the Department of State Services (DSS), the Nigeria Police Force, and other relevant security agencies to immediately investigate the incident and ensure those responsible are brought to justice.
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Hayab warned that failure to act decisively could embolden lawlessness and escalate tensions across communities.
He also called on Islamic leaders across the country to openly condemn the alleged action and distance themselves from any form of violence carried out in the name of religion.
According to him, silence from moderate voices could embolden extremism and deepen divisions within society.
The NCA chairman stressed that placing a bounty on an individual’s life undermines the rule of law and violates the sanctity of human life.
Citing Section 33(1) of the 1999 Constitution (as amended), he noted that every Nigerian has a guaranteed right to life, except in execution of a court sentence following lawful conviction.
“There is no monopoly of violence. The fact that we choose peace should not be taken for granted,” he said.
Hayab, however, urged restraint among all parties and advised citizens to channel grievances through lawful means rather than taking the law into their own hands, reaffirming the association’s commitment to peaceful coexistence and respect for fundamental human rights.
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