Nigeria Customs Service enforces 4% charge on Free On-Board import value
The Nigeria Customs Service (NCS) has begun enforcing a 4% charge on the Free On-Board (FOB) value of imports in accordance with the provisions of the Nigeria Customs Service Act (NCSA) 2023.
The announcement was made by the NCS spokesperson, Abdullahi Maiwada, in a statement issued on Wednesday in Abuja.
According to Maiwada, the measure aligns with legal provisions and aims to enhance the effectiveness of customs operations.
Maiwada provided further clarification on the implementation of the charge, stating,
“In line with the provisions of Section 18 (1) of NCSA 2023, the NCS is implementing a 4% charge on the Free On-Board (FOB) value of imports.
“The FOB charge, which is calculated based on the value of imported goods, including the cost of goods and transportation expenses incurred up to the port of loading, is essential to driving the effective operation of the service,” he said.
Concerns over additional charges
Maiwada also addressed concerns regarding the 1% Comprehensive Import Supervision Scheme (CISS) fee, explaining its regulatory significance.
“Furthermore, the NCS acknowledges concerns raised by stakeholders over the sustained collection of 1% Comprehensive Import Supervision Scheme (CISS) fee.
“It is a regulatory charge imposed for funding Nigeria’s Destination Inspection Scheme alongside the 4 per cent FOB charge,” he stated.
He further assured stakeholders that discussions were ongoing with the Federal Ministry of Finance to address their concerns,
“As a responsive government agency, the service wishes to assure the general public that extensive consultation is ongoing with the Federal Ministry of Finance to address all agitations raised by our esteemed stakeholders,” he said
Call for compliance
Maiwada urged all stakeholders to comply with the directive, emphasizing that the decision was made after broad discussions with industry players and relevant regulatory bodies.
“All stakeholders are urged to support this legally binding initiative.
“As the measures introduced in alignment with the NCSA 2023 reflects a balanced approach born out of extensive consultations with industry players, importers, and regulatory bodies.”
He also acknowledged the vital role of stakeholders in shaping the NCSA 2023 and the customs framework.
“Their insights, expertise, and unwavering commitment have been instrumental in ensuring a robust legal framework that enhances efficiency, promotes innovation and strengthens transparency in customs operations.”
Maiwada reaffirmed the commitment of the NCS under the leadership of Comptroller-General Adewale Adeniyi to upholding transparency and fair trade practices while ensuring efficient revenue management.
According to him, the agency remains focused on strengthening customs operations and implementing policies that promote Nigeria’s economic growth.
