Connect with us

Customs

Freight Forwarders spoil for war  with Customs over 15 percent NAC levy.

CGC, Ali
—-Customs is confused, NAC can’t be 15 percent but 2 percent- Farinto
—-Customs invites agents to truce meeting in Abuja
Eyewitness Reporter
Weeks after the controversy surrounding the disputed Vehicles Identification Number (VIN) valuation policy seems to be simmering down, the Nigeria Customs Service may have stoked another ember of war over its recently introduced 15 percent National Automotive Council (NAC).
On April 1st, the Customs High Command, relying on the ECOWAS treaty, slammed 15 percent and 20 percent NAC levy on old or used and new vehicles respectively.
According to Timi Bomodi, the National Public Relations Officer of the Service, “the nation has adopted all tariff lines with few adjustments in the extant CET.
“As allowed for in Annex II of the 2022-2026 CET edition, and in line with the Finance Act and the National Automotive Policy, NCS has retained a duty rate of 20 percent for used vehicles as was transmitted by ECOWAS with a NAC levy of 15 percent.
” New vehicles will also pay a duty of 20 percent with a NAC levy of 20 percent as directed in the Federal Ministry of Finance letter ref. no. HMF BNP/NCS/CET/4/2022 of 7th April 2022”
However, the freight forwarders have rejected the new regime of the levy.
Kayode Farinto, the fiery Vice President of the Association of Nigerian Licensed Customs Agents (ANLCA), who described the Customs High Command as “confused” over the matter, said there was no way NAC could be 15 percent.
“NAC cannot be 15 percent but 2 percent” he declared emphatically.
” It is (NAC) 2 percent of Cost, Insurance, Freight (CIF).
” If the Customs said it is 15 percent, then they are confused and do not know what they are doing.
” By virtue of CEMA Act 6 of 2014, NAC is 2 percent of CIF.
The ANLCA High Chief also declared that Customs cannot charge NAC on old or used vehicles.
Farinto however said the freight forwarders have rejected in its entirety the new regime of NAC levy.
” We are contesting the position of the customs on the matter” he stated.
Speaking in the same vein, the Chairman of the National Council of Managing Directors of Licensed Customs Agents, Ports & Terminal Multipurpose Limited chapter, Abayomi Duyile, said the new policy could have an adverse effect on the sector.
 “As I speak to you now, the NCS has reintroduced the NAC levy, which is a 15 percent payment on used imported vehicles.
“That is a major issue; it means an additional 15 percent on the duty we are paying currently.”

Duyile said he was surprised the service was coming up with the levy in the second quarter of this year.

“We will meet tomorrow (Wednesday)and when we do, we will make our views known to the government.

“What we have in Nigeria are assembly plants, it is not as if we produce any vehicles completely in Nigeria.
” I am surprised now that towards the second quarter of 2022, the Customs is coming back again with the NAC levy.

“Why should the NAC levy be on used vehicles? I don’t know why they are coming up with the NAC levy again now.

“The Customs didn’t inform us, so we have been advised to stop the process of duty payment until this is sorted out.
” This is everywhere for now and anywhere you are clearing used vehicles, you will face the same problem.”

The Chairman of the National Association of Government Approved Freight Forwarders,(NAGAFF) PTML Chapter, George Okafor, said the outcome of the association’s meeting with its members will determine whether the agents would embark on the proposed strike or not.

“This is wrong because there is no way Customs can calculate NAC levy on used vehicles.

“It should be for new vehicles. The levy is for new vehicles, and not old or used vehicles.
“We will have to meet with the Customs command to determine the next line of action.”

Sensing the agitations of the freight forwarders, the Customs High Command has invited the leadership of the freight forwarders to a meeting on Wednesday.

“They have invited us to a meeting in Abuja tomorrow (Wednesday)”, Farinto said.
“There, we are going to state our position against the position adopted by the customs on the issue” the ANLCA chieftain declared.

However, Bomodi has said the move was in line with the Economic Community of West African States Common external tariff, 2017-2021.

In his statement, he said the service in April migrated from the old version of the ECOWAS CAT to the new version, adding that this was in line with the World Customs Organisation’s five-year review of its nomenclature.

“On Friday, April 1, 2022, the Nigeria Customs Service migrated from the old version of the ECOWAS Common External Tariff (2017- 2021) to the new version (2022- 2026).

“This is in line with WCO’s five years review of the nomenclature. The contracting parties are expected to adopt the review based on regional considerations and national economic policy.

“In Chapter 98 of the current CET – bonafide assemblers importing Completely Knocked Down and Semi Knocked Down are to enjoy a concession of zero percent and 10 percent duty rate, respectively.

“While within ECOWAS, duty rates for the same items are five percent and 10 percent, respectively. Incentivising their efforts through policy interventions guarantees a win-win situation for the nation in the long run.

” Implementing the current CET takes immediate effect, please,” the statement added.
NAC had in 2011 proposed 35 percent duty differentials between imported fully-built units and locally assembled cars. The proposal reportedly failed later.

Continue Reading
Click to comment

Leave a Reply

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

Customs

KLT Customs reaffirms commitment to stronger maritime stakeholder engagement

Deputy Comptroller Bolaji Adigun

Gloria Odion, Maritime reporter

‎The Acting Customs Area Controller (CAC) of the Kirikiri Lighter Terminal (KLT) Area Command of the Nigeria Customs Service (NCS), Deputy Comptroller Bolaji Adigun, has reaffirmed the Command’s commitment to deepening engagement with stakeholders across the maritime industry in line with efforts to promote trade facilitation, transparency, and sustainable economic growth.

‎Adigun gave the assurance through the Deputy Comptroller in charge of Administration, Comptroller T.A. Jonah, who represented him during a courtesy visit by the newly elected Executive Committee of the Maritime Reporters Association of Nigeria (MARAN) to the Command in Lagos.

‎The Acting CAC, who was unavoidably absent, underscored the importance of sustained collaboration between the Nigeria Customs Service and key industry stakeholders, particularly the maritime media, in advancing the Service’s mandate and supporting national economic development.

‎He described the media as a critical partner in disseminating information on government policies, customs reforms, trade facilitation initiatives, revenue generation, and anti-smuggling operations.

‎According to him, maritime journalists occupy a strategic position in shaping public understanding and perception of activities within the port and maritime sector, stressing the need for professionalism, accuracy, and balanced reportage in the discharge of their duties.

‎Adigun further assured the MARAN delegation that the KLT Area Command would continue to operate an open-door policy while fostering cordial and productive relationships with stakeholders within the maritime community.

‎Earlier in his remarks, the President of MARAN, Mr. Oluyinka Onigbinde, stated that the visit formed part of the association’s ongoing stakeholder engagement initiative following the inauguration of its newly elected executive committee.

‎Onigbinde explained that the purpose of the visit was to formally introduce the new leadership of the association to the Command and strengthen the longstanding relationship between MARAN and the Nigeria Customs Service.

‎He commended the KLT Area Command for its contributions to trade facilitation, revenue generation, and enforcement activities, describing the Command as a vital component of Customs operations within Nigeria’s port system.

‎The MARAN President also reaffirmed the association’s commitment to professional, objective, and development-driven journalism, noting that maritime reporters play a significant role in promoting informed discourse on issues affecting the industry.

‎He further assured the Command of MARAN’s continued support for initiatives aimed at enhancing efficiency, transparency, and competitiveness within Nigeria’s maritime sector through responsible and factual reporting.

Continue Reading

Customs

“You are worthy ambassador of Osun State” Oni of Ife eulogies Adeniyi’s leadership of Customs 

Funso OLOJO,  Editor 
The Ooni of Ife, Oba Adeyeye Ogunwusi II, has eulogized the sterling qualities of Adewale Adeniyi, the Comptroller- General of Customs, for his revolutionary leadership of the Nigeria Customs  Service.
The  first class Yoruba monarch made the commendation on Thursday, 28th May 2026, during the annual Eid-el-Kabir gathering hosted by the Comptroller-General at his residence in Modakeke, Osun State.
The Oni, who cited President Bola Tinubu’s public commendation of Adeniyi as evidence of the confidence reposed in the Customs boss, described him as a good ambassador of Osun State and a source of pride to the ancient Ife Kingdom and the Modakeke community.
Oba Ogunwusi said President Tinubu’s public expression of satisfaction with Adeniyi’s performance reflected confidence in his leadership and the results being achieved by the Service.
“We are very proud of him and the work he is doing. When Mr President publicly expressed satisfaction with his performance, it was not a casual statement.
” It reflects trust in his capacity and the results he is delivering. What he is doing in the Customs Service and in the community shows that he is a unifier.”
Reaffirming the support of the Ife Kingdom for the Comptroller-General, the monarch declared:
“He brings people together, and that is what leadership is about. We will continue to stand by him and pray for him.”
Addressing guests, the Comptroller-General of Customs (CGC) Adeniyi expressed appreciation to the Ooni of Ife, community leaders, family members, friends, associates, and well-wishers for their continued support.
He described Eid-el-Kabir as a season that reminds humanity of the virtues of sacrifice, gratitude, obedience, and service to others.
According to him, beyond the celebration, the gathering provides an opportunity to reconnect with people, strengthen relationships, and reflect on the collective responsibility of building stronger communities and a better nation.
The CGC noted that the NCS has continued to record significant progress in revenue generation, trade facilitation, anti-smuggling operations, technological innovation, and corporate social responsibility initiatives in line with the economic objectives of the Federal Government.
He said the Service remains focused on supporting the Renewed Hope Agenda of President Tinubu through reforms aimed at facilitating legitimate trade, enhancing national security, improving compliance, and creating opportunities for economic growth.
CGC Adeniyi added that Customs has continued to invest in community-focused interventions across the country, including educational support programmes, healthcare initiatives, and other projects designed to improve the lives of Nigerians.
He pledged that the Service would continue to pursue reforms aimed at strengthening its operations and delivering greater value to the nation, while assuring stakeholders of Customs’ commitment to professionalism, transparency, and service excellence.
Adeniyi also expressed gratitude to President Tinubu for the opportunity to serve the country and assured Nigerians of the Service’s continued support for government policies geared towards economic prosperity and national development.
Continue Reading

Customs

World Bank strengthens Customs capacity in post clearance Audit in two- week capacity building exercise

Gloria Odion,  maritime reporter 
The Nigeria Customs Service (NCS) has commenced a two-week Technical Assistance Mission on Post Clearance Audit (PCA) in collaboration with the World Bank Group under the Accelerated Revenue Mobilisation Reform (ARMOR) Programme, aimed at strengthening compliance management, revenue assurance, and trade facilitation through modern audit practices.
The workshop, which runs from June 1 to June 12, 2026, is taking place at the Service’s  Headquarters in Maitama, Abuja.
Delivering the opening remarks on behalf of the Comptroller-General of Customs, Adewale Adeniyi, Assistant Comptroller-General , Babatunde Olomu, described the mission as a significant step in advancing the Service’s modernisation agenda and strengthening its capacity as a technology-driven, intelligence-led, and globally competitive customs administration.
He noted that modern customs administrations increasingly rely on intelligence-led, risk-based, and post-clearance interventions that promote voluntary compliance while supporting legitimate trade and economic growth.
According to him, the mission offers an opportunity to assess existing processes, identify operational gaps, adopt international best practices, and develop practical solutions to strengthen the Post Clearance Audit framework.
Olomu identified risk-based targeting, case management, registry management, quality assurance, standardisation, and integrated audit systems as key areas of focus.
He emphasised that effective Post Clearance Audit enables Customs to move beyond transaction-based controls to a strategic compliance management approach that enhances revenue assurance, facilitates legitimate trade, strengthens transparency, and boosts public confidence.
“This mission presents a valuable opportunity to critically assess our existing processes, identify gaps, learn from international best practices, and develop practical solutions that will strengthen our PCA framework and overall compliance management system.” he stated.
The ACG commended the Comptroller-General for his commitment to modernisation and capacity building and also appreciated the World Bank and other development partners for their sustained support for Customs reforms.
He urged participants to actively engage throughout the programme and ensure that lessons learned are translated into measurable improvements in daily operations.
Speaking at the event, World Bank Task Team Lead, Moses Kajubi, said the mission is designed to strengthen the capacity of Post Clearance Audit officers through modern customs practices, practical audit tools, and internationally recognised methodologies.
He explained that participants would be exposed to global best practices, case management techniques, and compliance management strategies that can be adapted to Nigeria’s operational environment.
Kajubi stressed the importance of leveraging technology, structured case management systems, and data-driven decision-making to improve audit quality, compliance monitoring, and trade facilitation outcomes.
“This engagement will equip participants with practical tools and global best practices that can be applied directly in the field to improve the effectiveness of Post Clearance Audit operations.”He stated.
.
He expressed confidence that the engagement would strengthen institutional capacity and contribute significantly to the Nigeria Customs Service’s modernisation objectives.
Lead Consultant for the ARMOR-P, Colonel Aloke Dutt, said the mission seeks to enhance trade facilitation, optimise revenue, and improve compliance management through a more structured and unified approach to Post Clearance Audit.
He emphasised the need for standardised audit methodologies, effective monitoring mechanisms, and the integration of data analytics into audit processes to improve accountability and operational efficiency.
Dutt also highlighted the importance of leveraging technology-driven solutions such as the B’Odogwu platform and developing Standard Operating Procedures (SOPs) to support a competency-based audit system across the Service.
During a technical session, Assistant Comptroller of Customs, Muhammad  Jubril, demonstrated the Post Clearance Audit process on the B’Odogwu platform, explaining how officers can initiate audit reviews using Harmonised Commodity codes and other risk indicators.
In his closing remarks, Comptroller Muhammad Shattima encouraged participants to maximise the opportunities provided by the workshop and apply the knowledge gained to achieve the strategic objectives of the NCS.
Continue Reading

Trending