Think tank attacks French plans to impose tax on African palm oil imports as protectionist

NIGERIAN palm oil producers have criticised a recent French government proposal to tax imports which they see as a protectionist measure designed to keep African suppliers out of a potential lucrative market.

 

Under fresh plans, the French government plans to impose a tax of €90 per tonne on palm oil produced imports into the country. According to the Initiative for Public Policy Analysis (IPPA), the Nigerian public policy think tank, the discriminatory levy will disadvantage Africa and undermine efforts to alleviate poverty across the continent.

 

IPPA director Thompson Ayodele, said: “The French government’s proposed tax on palm oil at the behest of rich agricultural interests in Paris is shameful and will undermine small farmers and efforts to alleviate poverty across the African continent. The differential tax proposed by certain European Union companies and Western elite green groups is equally discriminatory.

 

"This is a neo-colonial attempt by the French to dictate to Africa, and enrich large European companies at the expense of poor African small farmers. Small farmers produce 80% of Nigeria’s palm oil and they rely on it to feed their families and improve their living conditions.

 

"How the French government now responds is a test of their honesty and integrity. The French Development Agency – AFD – invests in palm oil in Africa because they know it is a lifeline for escaping poverty."

 

He added that the French tax on palm oil is not only unfair and unjustified but also illegal under World Trade Organisation laws and undermines France’s commitment to the United Nations Millennium Development Goals. According to Mr Ayodele, the new tax undermines French president Francois Hollande's claims that he wants to strengthen France’s ties with Africa.

 

"The French government is supporting an anti-palm oil campaign by radical green and socialist politicians and this action will not only undermine poverty alleviation but is also discriminatory towards African small farmers. Segolene Royal, the French environment minister, is leading the campaign to discriminate against Africans and palm oil small farmers, who will be dramatically cut from supply chains if these proposals become law.

 

“French President Hollande cannot claim to be helping African countries out of poverty while at the same time preventing market access for palm oil. This is an act of protectionism and neo-colonialism towards the people and communities of Africa," Mr Ayodele added.

 

According to Mr Ayodele, the new French foreign minister, Jean-Marc Ayrault, stated clearly that France would never impose taxes on palm oil. He added that this new palm oil tax, if left as it is, undermines all of those words and shows that the French government merely pays lip service about helping poverty reduction in Africa.