The United Kingdom (UK) today announced that it has radically simplified trading rules and cut tariffs on products from Nigeria and other developing countries to save businesses and consumers millions of pounds a year.
According to a statement issued on Monday by the British High Commission in Abuja, this development follows UK’s new post-Brexit Developing Countries Trading Scheme (DCTS) scheme – entering into force today, which covers 65 countries, including Nigeria.
The scheme removes or reduces tariffs and simplifies trading rules so that more products qualify for the scheme, making it more generous than the EU scheme the UK was previously a member of. The scheme will benefit developing countries looking to diversify and increase exports, driving their prosperity and creating jobs. Over time, as developing countries increase trade with the UK under the scheme, businesses could save millions more on import costs, the statement said.
In Nigeria, over 99 per cent of goods exported from the country will automatically be eligible for duty-free access to the UK. Nigeria will receive enhanced preferential access for almost 3,000 products. E.g. 4.5 per cent removed on cocoa paste, 26.5 per cent removed on fruit juices, and 14 per cent removed on prepared tomatoes, the statement added.
UK ministers for International Trade Nigel Huddleston launched the scheme while on a visit to Ethiopia’s largest industrial business park, Bole Lemi.
Speaking at the park, minister Huddleston said: “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.”
The Foreign, Commonwealth and Development Office’s Minister for Development and Africa, Andrew Mitchell, said “ the UK’s new trading scheme for 65 developing countries, DCTS, shows how we can use trade to deliver development.
“It will benefit traders around the world, including women-owned businesses, which we are supporting through the UK Trade Partnership programme.”
The scheme benefits businesses all over the world and British companies that trade with these countries in everyday products such as bicycles and camping gear.
Speaking on the launch, UK 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
Source:- Leadership
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