The Lagos Chamber of Commerce and Industry has urged the Federal Government to protect domestic manufacturers from unfair competition by foreign companies in the face of the high cost of production that will be triggered by the new excise duty on carbonated drinks.
The chamber also advised the government to use the revenue generated from the excise tax to improve the country’s grossly inadequate health infrastructure.
The Director-General, LCCI, Dr Chinyere Almona, said this in a statement by the chamber on Thursday. According to her, since the government is insisting on the new tax, obliging to it is inevitable.
“If the President insists he wants it, we have to oblige him,” she said in the statement.
In the statement, some of the downsides of the new tax were stated to include decreasing demands and job loss.
In light of this, the chamber advised the government to protect those producing domestically by enforcing the prohibition of imported drinks.
The statement read in part, “The Federal Government has announced it will charge an excise levy of N10 per litre on all non-alcoholic carbonated sweetened beverages to discourage excessive sugar consumption and boost revenue.