Market Overview
Benin is a comparatively small market however with its efficient port; it can be used as a re-exporting country for its landlocked neighboring countries and for Nigeria which has a market of 150 million consumers.
Like many other countries in Africa, buying used cars makes more sense for Benin than buying new cars. Thus, every year, many used vehicles enter the automotive market in Benin. In four years, between 2010 and 2014, the vehicles imported moved from 200,000 to 314,000 (1)
According to the blog Best Selling Cars Toyota, Honda, and Mitsubishi hold the largest market share in the country. (2)
Pros
- Healthy demand in the domestic market spurred on by cars being exported from Benin to neighboring countries.
- One of the most stable democracies in Africa
- Strategic position (provides access to the sea for the countries of the hinterland
Cons
- Demand for cars that remain in Benin has dropped due to growth in the new car market.
- Deficiencies in governance (endemic corruption)
- Inadequate financial regulation and control
- Economy and Fiscal revenues affected by domestic economic policy decisions taken by Nigeria (33 times the GDP of Benin) (3)
Departure Ports Serving Benin
RORO
- Galveston, TX
- Jacksonville, FL
- Savannah, GA
- Portsmouth, VA
- Bayonne, NJ
- Baltimore, MD
Container Shipping Departure Ports (Shared and Full Containers)
- Oakland, CA (Shared & Full)
- Long Beach, CA (Shared & Full)
- Houston, TX (Shared & Full)
- Miami, FL (Full)
- Savannah, GA (Full)
- NJ (Full)
Arrival Ports
Arrival Port (RORO Ships)
- Cotonou
Arrival Ports (Container Ships)
- Cotonou
Documentation Requirements
- Commercial or Purchase Invoice
- Original Bill of Lading (BoL)
- Non-Sale Certificate- a declaration from the client to not sell the vehicle.
- Original Certificate of Title and Registration
Other Requirements
- There is no age restriction on vehicles being imported to Benin
- Pre-Shipment Inspection on used vehicles is required prior to their importation into the country.
Other Import Procedures
Additional import procedures for Benin.
Import Duties and Taxes
Overview
Import duty and taxes are due when importing goods into Benin by a private individual or commercial entity. These are calculated on the CIF value, i.e. the sum of the value of the imported goods and the cost of shipping and insurance. In addition to duty, imports are subject to Sales Tax, and Excise Duty.
Duty Rates
Benin applies duty rate of 3.65%.
Sales Tax
Imports are subject to VAT at a standard rate of 50% on the sum of the CIF value, duty, and Excise Duty if applicable.
Minimum Threshold
There is no minimum threshold in Benin; therefore, all imports are subject to duties and taxes regardless of the import value.
Local Customs office and contacts
More information on import declaration procedures and import restrictions can be found by contacting the Beninese Customs authorities.
Market Guides For Additional Countries.
Explore our Vehicle Auctions, Buying With Us and International Shipping Rates.
References
(1) http://www.afroautos.com/african-autos/used-car-market-in-benin/
(2) http://bestsellingcarsblog.com/category/benin/
(3) http://www.coface.com/Economic-Studies-and-Country-Risks/Benin
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