Government defends tax hike

Nigeria's newly increased tax on alcohol and tobacco is not targeted at local manufacturing industries, the government claims. The Premium Times reports that Finance Minister Kemi Adeosun said the new excise duty rates would cover a three-year period from 2018 to 2020 in order to moderate the impact on product pricing. ‘Contrary to claims that the rates were selectively imposed on local manufacturers, there is currently a 60% duty rate imposed on imported alcoholic beverages and tobacco as part of measures by the Government to encourage local production and protect local manufacturing industry,’ he said.