Nigeria’s Federal Government has approved a new set of fiscal policy measures that lower import duties on a wide range of goods, including some food items, industrial inputs, vehicles and machinery, in what appears to be an effort to ease cost pressures, support production and stimulate growth in priority sectors. According to a circular dated April 1, 2026 and signed by Finance Minister Wale Edun, the new measures supersede the 2023 Fiscal Policy Measures and introduce revised tariff treatment for 127 tariff lines. The changes were first reported by TheCable, which said the document provides for reduced duty rates on selected imports considered important to the wider economy.
Among the notable revisions are lower effective tariff rates for several staples and industrial goods. Imported rice in bulk or in packs above 5kg now attracts a total effective tariff of 47.5%, down from 70%, while broken rice falls to 30%. Crude palm oil is set at 28.75%, down from 35%, and raw cane sugar ranges from 55% to 57.5%, compared with the previous 70% regime. Fully built passenger vehicles, four-wheel-drive vehicles and station wagons now attract a total effective tariff of 40%, down from the 70% rate contained in the 2015 policy framework.
The changes also extend to industrial and capital goods. The new schedule reduces tariffs on items such as zinc-coated steel sheets, aluminium-coated steel coils and hot-rolled steel bars, while setting zero-duty treatment for selected imports including railway and tramway locomotives in semi-knocked down or completely knocked down form, cargo ships above 500 tonnes, breathing apparatus, gas masks, and some agriculture and manufacturing machinery. Other products, such as modular surgical operating theatres, air compressors and automatic circuit breakers, also see reduced rates.
To cushion the transition, the government granted a 90-day grace period for importers who opened Form M before April 1, allowing them to clear goods at the previous rates. But the circular also signals tighter fiscal moves ahead: a new excise duty regime and a green tax surcharge are due to take effect from July 1, 2026. Items excluded from the green tax include vehicles below 2000cc, mass transit buses, electric vehicles and some locally manufactured vehicle categories.
Taken together, the new measures suggest the government is trying to strike a balance between protecting domestic industry, easing inflationary pressure and preparing for broader tax and revenue reforms. I could verify the policy details through TheCable’s report,
