The Nigeria Customs Service (NCS) has announced the suspension of the 4% Free-on-Board (FOB) value charge on imports, following widespread concerns from stakeholders.
NCS spokesperson Abdullahi Maiwada disclosed this in a statement on Tuesday, citing ongoing consultations with Nigeria’s Minister of Finance, Wale Edun, and other key stakeholders.
According to the service, the suspension aims to allow for “comprehensive stakeholder engagement” regarding the implementation framework of the Nigeria Customs Service Act (NCSA) 2023.
The timing of this decision coincides with the expiration of contract agreements with service providers such as Webb Fontaine, which were previously funded through the now-repealed 1% Comprehensive Import Supervision Scheme (CISS). The new NCSA 2023 seeks to streamline revenue collection by consolidating customs funding under a 4% FOB charge.
“This transition period will allow the service to optimise the management of these frameworks to better serve stakeholders and the nation’s interests,” the statement read.
The Act also empowers the NCS to modernise its operations through various technological innovations, including electronic data exchange, risk management systems, and non-intrusive inspection equipment. The agency highlighted the recent deployment of the B’Odogwu clearance system, which has enhanced efficiency and transparency in cargo clearance.
The suspension of the 4% FOB charge is expected to provide room for further stakeholder engagement while ensuring that customs modernization efforts are sustainably funded.
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