The Role of Smuggling Activities in the Total Purchase Price of Materials

The Role of Smuggling Activities in the Total Purchase Price of Materials

“All appraisal of the role of smuggling activity in taken purchase price of material”, is the topic on which this literature review is based. The  literature review is mostly  on smuggling activities, the possible attempts made by government on our industries such as shoes, textile paper mill and cigarette industries, this is to name just a few industries.

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DEFINITION  AND TYPES OF SMUGGLING.

A.) DEFINITION OF SMUGGLING:

To smuggling is to import or export illegally. Smuggling as defined by ALJI KOKORAWA MHAMED FORMER EXECUTIVE DIRECTOR LEVER BOTHER P.C.C, as a seminar organized by immigration office on smuggling activities in the country, defines it as the process of “carrying goods passed the customs without declaring them for duties”also former CHAIRMAN OF DRUG AGENCY CHIEF ALEX AKINYEMI, on his speech with news watch concerning smuggling activities in the country states that.”it is the practices importing any central and good without payment of duty that is custom or immigration duty”.

 B) TYPES OF SMUGGLING:

      There are two most important types of smuggling, they are:

1.)  PHY SMUTGGLINGS SICAL:

This involves carrying of good by the smugglers themselves into the country without being cut by the state authorities.

1.1.         DOCUMENTARY SMUGGLING.

This implies those smugglers that produce illegal documents that is forgery papers, to import their goods into the country.

Another type of smuggler can be false declaration. False.

DECLARATION: this is the white coller smuggling. This is away where by involves maybe to read shoes whereas the goods being imported in actual fact spirit (i.e. central band goods).

 CAUSES OF SMUGGLING:

Some of the possible causes have been attributed to import duty on same products or goods and also tariffs place on them.

In most cases, members of the public patronize smuggled goods because they believed that imported goods are more superior to locally made goods. Also, the corruption in our country today added to the causes of smuggling activities into the country. This is due to the injustice, bribery, kinship relation (i.e. I’m.) and so no in our borders. It has been proved check on smuggling, team up whit those smugglers to promote the smugglers business. Those government employees that are involved are the custom officers immigration official, officers in our foresees, those goods they said help in bringing in contraband goods into  the country with government vehicles. Embargos placed on some goods by government equally caused smuggling of foods from abroad.

There are some often possible persons like goods unavailability of some goods and how quality goods are contributed in no small measure to smuggling in this country. Some smugglers are being pushed into smuggling by the high profit involves in smuggling

ITS MENACE TO THE NATION AND METHOD USED BY THE GOVERNMENT TO CURB SMUGGLING ACTIVITIES:

A.)  IT”S MENACE TO THE NATION:

Smuggling is a very big illness in the society. It has crushed many problems to the government and the people the result is that when these items are smuggled into Nigeria, they capture a good part of the market, this reducing such of regally improved goods. Import duties government is lost by way of irregular and reduced importation by legitimate importers.

The profit are high and many more people are enlisted in to the business especially in the period of scaring unemployment. The smugglers income is not known, the tax officers is unable to levy appropriate tax on this income. Government looses the l

legitimate taxes due for it from actual volume of business.

Smugglers also weaken our bargaining power on foreign goods, as smugglers export large amount of money in our country and this flood the foreign market whit our currency.

It also causes inflation because, when some goods like food items are smuggled out constantly, there is scarcity. The result is high prices are the common man suffers its example, food items like cocoa or oil like petroleum.

Smuggling Has also contributed to many industries folding up and to some they have difficulties in selling to break _ even point.1986,  AS AT THE YEAR THE MINISTER OF INTERNAL AFFAIRS LTD. COL. SHAGAYA. Announced on television broad cast that about #30 million (thirty million naira ) is lost yearly on smuggling by hard drug pusher. It has been discovered also that #2 million (two million naira ) is lost yearly by raw materials smuggling such as coffee. Government is loosing a lot financially to smugglers who evade tax which could have been used for national development such as building of road, school, electricity etc for the public. It contributed to unemployment in two ways:  the firm not being able to made enough states in order to employ more workers.

Government is loosing there revenue through, forgone duty on import contraband goods,  loss of revenue from reduced profit  and excise taxes, to the mover and sales revenue of  production, loss of revenue from personal income tax as  refundable and retrenchment reduced the smuggling.

The effect of smuggling in long run might be worst if step are not taken curb out of smuggling.

In JULY 1980, there where market raids in Maidugri which ledto densification of goods mainly textiles worth N18,00. this same year at Port Harcourt international airport smuggled clothing material values N300,00three hundred thousand Naira were impound when goods are imported the smugglers dodges payment of custom duty when exported  cultivation this smugglers  to the drainage of the duty nations economy

SSE: Magazine Newswatch of October 7th 1985 page 46 on George Otaina and Sam Bryson comment and also opcit 24th February 19876 Broadcast on importation

B. Method used by the government to curb smuggling activities

Through anti-smuggling have been passed in Nigeria yet smuggling has continued unabated largely because law entitlement agents are infective.

With increase  in petroleum process in 1986 budget the incentives to smuggle petroleum good across the boarders was greatly reduces. the federal government established adjoin security to the  nation boarder.

SEE’MAGAZINE:   Innocent Okoyo (PRO) customer & excise march 20th 1986 page 12-21.

Boarder do sure which tool place in 1984 April was done for many reasons some of them being to restrict free flew of aliens into the country was reduced smuggling activities which was mere with the boarder open problem of boarder crises can be terraced back to the  colonial past.

—This article is not complete———–This article is not complete————
This article was extracted from a Project Research Work/Material Topic

“AN APPRAISAL OF THE  ROLE OF SMUGGLING

ACTIVITIES IN THE TOTAL PURCHASE

PRICE OF MATERIALS

(A CASE STUDY OF NIGERIA IMMIGRATION ENUGU).

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