Connect with us

Customs

CTN as panacea for insecurity,  importation of contraband goods through ports.

Since the collapse of scanners at the nation’s  seaports and land borders,  the Nigeria Customs Service has been using manual method(100 percent examination)  to inspect cargoes but experts believe that  re-introduction of CTN at the ports would minimise the high incidence of insecurity through curbing of importation of arms and ammunitions through our ports into the country.

Eyewitness reporter writes

In 2015, the Nigerian Shippers Council was desirous to re-introduce the Cargo Tracking Note (CTN) into the nation’s maritime industry.

But this was met with stiff opposition especially from local Manufacturers who thought it will add to cost of doing business at the ports.

But, the  Council at that time was interested in the overall national security and safety of Nigerians because it is believed that the CTN will help check importation of arms, ammunition and hazardous materials into the country.

Two years after the council bowed to pressure and suspended the laudable projects, arms and ammunitions were being imported freely into the country but few are being intercepted in and outside the nation’s seaports, a situation the council want to avert through the CTN but was thwarted by stakeholders.

For instance,  in January 2017, the Federal Operations Unit (FOU), Zone A of the Nigeria Customs Service (NCS) intercepted 49 boxes containing 661 pieces of pump action rifles.

The ammunitions were intercepted by officers of the federal operations unit (FOU), Zone A, Ikeja, in a Mark truck with registration number BUG 265 XG, the 40 feet container with number; PONU/825914/3 along Mile 2 Apapa Road, in Lagos.

Thee boxes were concealed with steel and other merchandise goods.

Also in  May,  2017, another 440 pump action rifles were intercepted at the Tin Can Island Command, Lagos.

According to the then Zonal Co-ordinator of the Zone, Monday Abue, the cargo was shipped into the country from Turkey and concealed in POP.

On the 7th of September, 2017 another 1,100 rifles were further intercepted in a 20ft container  with No GESU2555208 during examination, while the Bill of Lading falsely indicated wash hand basins and water closets.

A week after, another container with about 475 pump action rifles with container number, CMAU189817/8 carrie about 475 pump action rifles.

However,  2018 was not spared as the Customs Service intercepted live ammunitions at the Tin-Can island port.

The Tin-Can Island Command of the service said the live ammunitions were concealed in a vehicle and container at the Lagos Port.

It was gathered that the interception were done in two different operations on the 9th and 10th of July respectively.

According to the Public Relations Officer of the command, Uche Ejiesieme , the first incident at the Terminal ‘C’, involved 1 x 40ft container No. TGHU 60143419, which on scheduled examination was found to contain 150 rounds of live ammunition and jack knives while  149 rounds of 38mm calibre live ammunition, 92 rounds of 9mm calibre live ammunition, 2 rounds Of 7.62MM calibre live ammunition,  11 cartridges of live ammunition,12 expenses empty shells of various calibre and one empty magazine were uncovered in another vehicle.”

This is part of the few interceptions that were made by the service while  many more may have eluded the eagle eye of the customs service.

But, stakeholders have argued that the CTN, if it had been  implemented in 2015 ,would have detected the contrabands before it was loaded on vessels to Nigeria.

Even,  the Central Bank of Nigeria agreed that the CTN would not only checkmate under declaration and share trade information but will also assist the Nigeria Customs Service to risk mitigation on imports, enhance and block revenue leakages at the ports.

Speaking, a frontline Importer, Ikechukwu Shedrack ,said the CTN would serve as a security measure to ensure safety and security of goods shipped from one part of the world to another.

“It is meant to be implemented worldwide. The regulation requires shippers to have a Cargo Tracking Note (CTN) accompanying all shipments.

“The CTN will help enhance security at a time Nigerian government is have difficulties in replacing obsolete scanners at the ports. It will give information of cargoes to be imported even before loading and it will help know what should be imported and what not to be imported into the country, especially if it were to be arms and ammunitions it will be intercepted at point of loading”

“Aside under declaration, the CTN will also bring trade information.

Research had also shown that the CTN, when reintroduced, is different from the old ways of monitoring cargoes as it has four distinct features from the previous tracking device.

It is noteworthy that, as can be seen from the agreement, four important features distinguish the current ICTN Scheme from the abolished version.

That is, the current scheme will be implemented at no cost to the shipper/consignee, at all and the current scheme is web based and therefore paperless,thus making the delay associated with obtaining Cargo Tracking Note and associated documentation by Shippers, under the abolished version of the scheme completely eliminated as the shipper needs not do anything apart from declaring in advance (i.e. at the loading port), information relating to the cargo.

Also,  the one hundred and fifty dollars ($150) per container CTN fee charged under the abolished version, paid by the shippers, which led to the stakeholders vehement protest against the scheme and its eventual abolishment, was radically modified and reduced to a token administrative fee of twenty five dollars ($25) per container, thereby making it the lowest in our West and Central African Sub-region.

This became necessary not only in view of Nigeria’s volume of trade but also to substantially downplay the insinuated revenue generation motive of the old version of the scheme in favour of the actual and more important Trader Information Generation motive which has tremendous potential to impact positively on the nation’s effort in Trade Facilitation, National Planning and National Security;

The NSC-TPMS Sharing Ration of the collectible Administrative fee was negotiated and reviewed from 60-40, under the abolished scheme, to 65-35 thereby raising the share accruable to the government.

Also,  all vessels loading and unloading or in transit (Export/Import and Transit) departing from Nigeria Ports or having Nigerian Ports as final destination or transiting through Nigerian ports shall, before any movement, obtain a Movement Reference Number (MRN).

The MRN will be allocated to the vessels by Nigerian Shippers’ Council irrespective of the origin of the vessel of cargoes.

 The Executive Secretary of the Nigerian Shippers Council, Barr. Hassan Bello had then disclosed that the CTN would be reintroduced to help curb importation of arms and ammunition into the country.

He said, “The Cargo Tracking Note would soon be reintroduced at a very negligible cost. CTN is a security thing because when we have it, there won’t be smuggling of firearms and all other contrabands.

” Smuggling of contraband won’t happen because everything coming in will be tracked, we will know the weight of the cargo, values and materials used.”

Bello stated further that the CTN would also help the Standards Organisation of Nigeria (SON) and National Agency for Food Drugs Administration and Control (NAFDAC) to fight substandard products and fake drugs respectively.

 “SON and NAFDAC will benefit by knowing whether products being imported are fake or not.

“I am calling on all the port stakeholders such as manufacturers, shippers and the rest to support this. That is why the Nigerian Shippers Council wants to develop the port community system because what the port needs is unity.

” There is need for everyone to come together on a platform to know what the other is doing. It is good for data collection for planning and for you to know your customers,” said Bello.
But the desire of the Shippers’Council to reintroduce the controvesial CTN was not to be at that period as it  was again aborted as stakeholders effectively shut down the move despite the efforts of the council to convince them.
But the country may once again have a shot at the CTN few years after  it was shot down by the sceptical stakeholders.
Following the resurgence of insecurity in the country which has assumed a verocious dimension, the Federal government has asked the Nigerian Shippers’Council to resuscitate the move to reintroduce the controvesial CTN to track all imports in order to identify and curtail importation of arms and ammunitions into the country through the ports.
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Customs

Customs buckles as it suspends implementation of 4 per cent FOB charge

Funso OLOJO 
In a manner demonstrative of a listening administration,the management of the Nigeria Customs service has suspended the implementation of the controversial 4 per cent Free on Board(FOB) charge on imports.
The suspension followed the outcry that greeted the implementation of the novel charge which importers and their agents said was jumped on them by the customs without notice nor consultation.
To allow enough time for stakeholders’ consultation and sensitization, the Customs said the suspension was sequel to the ongoing discussion with the Minister of Finance, Mr Adewale Edun.
In a press statement by the Customs management , the service disclosed that the timing of the suspension aligns with the exit of the contract agreement with the Service providers, including Webb Fontaine, which were previously funded through the 1% Comprehensive Import Supervision Scheme (CISS).
” The Nigeria Customs Service (NCS) hereby announces the suspension of the
implementation of 4% Free-on-Board (FOB) value on imports as provided in Section 18(1)(a) of the Nigeria Customs Service (NCSA) 2023.
“This is sequel to ongoing
consultations with the Honourable Minister of Finance and Coordinating Minister of the Economy, Mr Olawale Edun and other Stakeholders.
“This suspension will enable comprehensive stakeholder engagement and consultations regarding the Act’s implementation framework.
“This presents an opportunity to
review our revenue framework holistically.
“Under the previous funding arrangement repealed by the NCSA 2023, separating the 1% CISS and 7% cost of collection created operational inefficiencies and funding gaps in customs
modernisation efforts.
“The new Act addresses these
challenges by consolidating “not less than 4% of the Free-on-Board value of
imports,” designed to ensure sustainable funding for critical customs operations and modernisation initiatives.
“This transition period will allow the Service to optimise the management of these frameworks to serve our stakeholders and the nation’s interests better.
“The Act further empowers the Service to modernise its operations through
various technological innovations.
“Specifically, Section 28 of the NCSA 2023 authorises developing and maintaining electronic systems for information exchange between the Service, Other Government Agencies, and traders.
“The Service is already implementing several digital solutions, including the recently deployed B’Odogwu clearance system, which stakeholders are benefiting from through faster clearance times and improved transparency.
“Other innovative solutions authorised
by the Act include; Single Window implementation (Section 33), Risk management systems (Section 32), Non-intrusive inspection equipment (Section 59) and Electronic data exchange facilities (Section 33(3)).
“The suspension period will allow the Service to further engage with
stakeholders while ensuring proper alignment with the Act’s provisions for
sustainable funding of these modernisation initiatives.
 “The NCS remains committed to implementing the provisions of the Act in a manner that best serves our stakeholders while fulfilling our revenue generation and trade facilitation mandate.
“We will communicate the revised implementation timeline following the conclusion of stakeholder consultations” the service promised.
Continue Reading

Customs

We feel your pains — Customs seeks support of stakeholders over introduction of 4 percent levy on customs operations

Funso OLOJO
Nigeria Customs service has explained the rationale behind the introduction of the 4 percent  levy on the value of imported goods which has now become a subject of controversy among the freight forwarders.
The levy, which is the 4 percent Free on Board (FOB) of imported goods, was introduced into the assessment notice of a cargo declarant.
This has caused an outrage among stakeholders, especially the freight forwarders who have vowed to resist it.
However, in its official reaction to the new fee, the Customs management sought the understanding of the agitated stakeholders, acknowledging their importance relevance and invaluable contributions to the emergence of the new Customs Act.
Explaining the rationale behind the new fee, the Customs said this was in line with the provisions of the Customs Act of 2023.
“The Nigeria Customs Service (NCS) proudly recognises the invaluable
contributions of stakeholders in shaping and actualising the Nigeria Customs Service Act (NCSA) 2023.
“This landmark legislation, which replaces the long-standing
Customs and Excise Management Act (CEMA) and other related laws is a product of extensive consultations, constructive dialogue, and collaborative efforts with key industry players, government agencies, and other stakeholders.
“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.
“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 cost of goods and transportation expenses incurred up to the port of loading, is essential to driving the effective operation of the Service”
The customs also acknowledged the  concerns raised by stakeholders over the
sustained collection of 1 pet cent Comprehensive Import Supervision Scheme (CISS) fee (a regulatory charge imposed for funding Nigeria’s Destination Inspection
Scheme) alongside the 4% FOB charge.
“As a responsive and responsible 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” the service pledged
 “Under the leadership of the Comptroller General of Customs, Bashir Adewale
Adeniyi, the NCS reaffirms its commitment to transparency, fair
trade practices, and efficient revenue management.
“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, the service concluded.
Continue Reading

Customs

ANLCA divided over increment in CISS fee

Funso OLOJO 

There seems to be a discordant tune from the umbrella body of the freight forwarders in Nigeria, the Association of Nigerian Licensed Customs Agents(ANLCA) over the increment of the Comprehensive Import Supervision Scheme(CISS).
It would be recalled that the Customs brokers woke up on Tuesday, February 4th, 2025 to discover that the CISS fee, which used to be 1 per cent of the value of Import has been jerked up to 4 per cent.
The increment,which they claimed was slammed on them without a prior notice, has therefore sparked off heightened tension among the agitated freight forwarders who were said to be calling for a showdown with the customs.
While some of them were hinting at possible shut down of the Port to give vent to their anger and frustration, the National President of ANLCA, Mr Emenike Nwokeoji, has backed the decision of the Customs to increase the CISS fee.
Apparently scolding those who are allegedly “spoiling for war” with the Customs for their lack of knowledge of Customs law, Emenike said the Customs acted within the 2024 Customs Act to make the increment.
“I am not aware that ANLCA is protesting over the increment of the CISS from one per cent to four per cent.
“What I am aware of is that the ANLCA NECOM is meeting to take a decision on the increment.

“I, however, know that the increment is backed by the Nigeria Customs Service Act 2023. The increment is in the Act. That is where they brought it from” Emenike declared.

He however expressed his disappointment over the manner the customs jumped the increment on Customs brokers.
“They( Customs )should have, however, held sensitisation meetings to ensure all stakeholders are well aware.

“The increment started today. NECOM will be meeting very soon to take a stance on the new development.”, the ANLCA high Chief stated.

His stance on the issue contradicted the position of Alhaji Mukaila Abdullaziz, the former Sole Administrator of ANLCA who believed the increment by the customs may spark off an outrage among freight forwarders.
Also, Segun Oduntan, the Vice President of ANLCA holds contrary view with his principal, Mr Emenike when he allegedly issued 24 – hour ultimatum to the Customs to reverse the increase or get prepared to contend with the wrath of the irate customs brokers.
“We noticed the NCS has introduced 4% and renamed it Customs Operation Finance as appeared on this assessment.
“The Customs CG needs to call for an emergency meeting within 48 hours to address this development because it is already causing uproar in the freight forwarding system.

“All the freight forwarding associations would have to come together on this matter” Oduntan thundered .

Kayode Farinto, the former Acting National President of ANLCA however advised freight forwarders not to pay the increased tariff, asking the Customs authority to give the Customs brokers 90- day window through which the trading public will be adequately sensitized about the new fee
Meanwhile, the customs authority has said it would respond to the development as soon as possible in order to douse the gathering tension.
The CISS is a regulatory fee charged by Customs on all imported goods into Nigeria.
The fee, which used to be 1 per cent of the FOB (Free on Board) value of the shipment, has now been adjusted to 4 per cent, according to Section 18 of the Nigeria Customs Service Act 2023.
Continue Reading

Trending