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Vox Pop: Is the NIPOST license fee increment a positive move?

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It emerged on Saturday, July 25 that the Nigerian Postal Service (NIPOST) was introducing new regulations for the logistics and courier service industry in Nigeria.

Tasked primarily with postal services in Nigeria, NIPOST also has the right to regulate the courier and logistics under the monitoring of the Ministry of Communications and Digital Economy.

Under the proposed new regulations, courier and logistics services are supposed to pay the following fees for registration:

Logistics companies operating at the national level will pay N10 million for license and N4 million yearly.

Logistics companies operating within regions will pay N5 million for license and N2 million annually.

Logistics companies operating within states will pay N2 million for license, and N800,000 for annual renewal.

Logistics companies operating within the Municipal area will pay N1 million for license and N400,000 for renewal annually.

After the reports emerged, there was an uproar on social media platforms with many Nigerians calling the move insensitive.
Following that, Techeconomy’s Saviour Adugba sampled the opinions of Nigerians on the recent move by NIPOST. Excerpts are below:

Chidera Obiora, Lawyer:

“This is appalling. One thing about most of our government policies is that they keep trying to copy taxation ideologies of sane countries but totally ignore the tactics and plans these countries have put in place to develop their countries. This government has proved that they have no economic plans for the citizens. It will be a disaster to many logistic companies of this tax is implemented because many of them are still struggling in their businesses and I don’t think many of them can afford that fee”.

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Cecilia Ogunduyile, Student:

“I was really shocked when I got the information. To be candid, how much are these logistic companies even making per annum for NIPOST to think of punishing them with such a crazy courier license increment. I guess NIPOST is on a mission to push many of these courier service organisations out of business.

John Chisoba, Writer:

“So many of these tax collecting government institutions are nothing but a group of plundering rogues. To what good is the increment going to be for the common Nigerian man. It is one thing to regulate private courier services another thing to make them redundant with outrageous fees and taxes. If we may ask, have they come out with any reasonable blueprint on how the taxes will be used towards developing courier services in Nigeria?

Blessing Enenaite, Entrepreneur:

“If NIPOST has done well in its duties, they would have been an active competitor to the private courier services which would have gone a long way in making the logistics industry more developed but that is not the case. NIPOST has decided to be a parasite doing nothing but feeding on the sweats and industriousness of private courier organisations. This tariff increase makes no sense and must not be allowed to see the light of day.

Kolade Olaniyan, Real Estate Consultant:

“Many Nigerian private organisations including courier service providers are still trying to adjust to the economic disruptions caused by the Covid 19 pandemic. It is really unfair for such an outrageous increment to be placed on these private investors. The government is supposed to ease the pressure off their shoulders rather than inflict more pressure on them.

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Onyeka Chiemele, Teacher:

“NIPOST should think of a more sensible way to regulate the courier industry. NIPOST is supposed to be a force to reckon w with in the haulage and courier service sector but mismanagement and corruption has rendered it almost useless. While the private courier services are making strides, NIPOST has been more of a plague. The increment on courier taxes and fees is ludicrous.

Augusta Osamor, Journalist:

“It is evident the Government Treasury is no longer boisterous and the price of oil has fallen drastically. The only way they can generate revenue is to tax its citizens. The proposed increment on logistics companies by NIPOST should be discouraged and prevented from being implemented because I see it as outright robbery.

David Amuge, Content Creator:

“This is a very absurd and insensitive decision by NIPOST. Many businesses are currently struggling to stay afloat and the increase in courier operation fees is baseless. While other countries are granting tax rebates to encourage businesses to grow, businesses are being suffocated with exorbitant taxes and charges. I think NIPOST executives need to be investigated and made to account for reasons being suggesting such outrageous fees and they need to tell the public what they intend to do with the new tariff if implemented.

Saviour Adugba is a journalist by day and a poet by night. He is fascinated by the internet of things, virtual reality and connecting the dots for brands. Saviour is the Lead, Content Development at TechEconomy.ng.

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