Customs

Freight Forwarders applaud Customs over new VIN valuation

—- as reworked policy comes on stream Friday

Eyewitness reporter

In a rare show of satisfaction and mutual agreement, the highly critical freight forwarders have applauded the Nigeria Customs Service over the new Vehicles Identification Number (VIN) valuation policy.

The new vehicle valuation, which was first introduced about two months ago, was greeted with uproar from the freight forwarders who described the policy as inhuman and unrealistic due to the high values it placed on vehicles.

This led to the suspension of the system by the customs authority which thereafter reworked and improved the policy by accommodating the observations and grievances of freight forwarders.

At the second stage of the demonstration and sensitization of stakeholders on the new VIN valuation held at the Apapa Customs command Thursday, the freight Forwarders were full of praises for the customs over the improved valuation system which they all agreed has addressed and accommodated their views.

“This is very good. The new VIN valuation system has accommodated all our observations, even though there is room for improvement.

“It has taken care of the savage vehicles and accidented vehicles, which the first VIN didn’t consider”, Kayode Farinto, the Acting President of the Association of Nigerian Licensed Customs Agents (ANLCA) and one of the most critical voices of the system, said.

Earlier, the Customs Area Controller of Apapa Command, Comptroller Malanta Yusuf, who is the host, enjoined the stakeholders to take full advantage of the automated system which he said would make goods clearance procedure seamless and faster.

While welcoming the stakeholders to the sensitization meeting, Comptroller Yusuf urged them to be compliant with the extant guidelines to enable them to enjoy the benefits of the new system.

He assured them help desk would be created in each of the commands to help resolve the teething problems that are bound to crop up, adding that there would be continuous engagement and improvement on the new valuation policy.

He told the appreciative stakeholders that the VIN valuation policy is irreversible and will be deployed this Friday, May 20th, 2022.

Comptroller Festus Okun, the Customs Area Controller of Ports Terminal Multiservices Limited (PTML) Command said the Customs, through the VIN valuation, has imbibed basic principles of taxation which include predictability, neutrality, simplicity, and efficiency.

Comptroller Kunle Oloyede of Tin Can Island Port, described VIN as a platform for robust gathering of statistical analysis and data for national economic purposes relying on the template of accuracy that will further integrate NCS with other ministries, departments and agencies.

Comptroller Hammi Swomen of Kirikiri Lighter Terminal Command, who sought more cooperation from all stakeholders, stated that sincere declarations without tampering with relevant information contained in Single Goods Declaration or mismatching information will aid in quicker clearance and seamlessness of the VIN system.

Comptroller Anthony Udenze of the Tariff and Trade Department at Customs headquarters urged vehicle importers and their agents to avoid acts that would delay the process of clearing.

He explained that the process of identifying salvage and accident vehicles under the VIN regime would be very transparent as the declarant would be expected to attach photos showing the accidented vehicles.

He further explained that for vehicles to be treated as accidented, the chassis must be affected by the accident not just by removing fenders, bumpers and headlamps.

However, Farinto called for true declaration and compliance on the part of freight forwarders. w2hivh he said will facilitate their clearance of goods and also made the Customs to introduce more changes such as auto release for used vehicles.

Comptroller Yusuf promised that the issue of auto release of used vehicles, which is not yet accommodated in the new system, will be looked into by the Customs High Command.

The new improved VIN valuation policy has therefore addressed most of the major concerns of stakeholders who said they couldn’t wait to start using the system.

The new system has been given a human face as the assessed values are adjudged as fair and the process transparent by the freight forwarders.

It has also considered the two options of salvage vehicles and accidented vehicles.

It is harmonisation and unification of all the hitherto isolated different values at the commands.

According to Comptroller Udenze, the new VIN valuation considers all the variants and series of all vehicles.

The technological system, which is expected to promote trade facilitation, has also been amended to reflect the reduction in the value of vehicles..

Related Topics:featured New VIN comes on Frday

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Customs

Exclusive! Customs heads to court to vacate injunction against Customs concession project

CGC, Ali

—-accuses aggrieved litigants of pulling out of project

Eyewitness Reporter

The Nigeria Customs Service has instructed its legal team to head to court in a bid to vacate the restraining order on the implementation of the $3.2billion Customs concession programme.

A Federal High Court in Abuja on Friday has restrained the Federal Government from enforcing or giving effect to an agreement on the Customs Modernisation Project otherwise known as E- custom allegedly executed by its agents on May 30, 2022.

Justice Inyang Ekwo issued the orders while ruling on an ex-parte motion filed by two firms – E-Customs HC Project Limited and Bionica Technologies (West Africa) Limited, which was argued on Friday by their lawyer, Anone Usman.

However, the Nigeria Customs, through its National Public Relations Officer, Deputy Comptroller Timi Bomodi, said the service will go to court to challenge the order.

In an exclusive interview with our reporter, Bomodi declared that the management of the agency will not engage in what he called small talk over the matter that is already in court because that would be sub-judicial.

”We will go to court”, he declared emphatically.

We can’t be making small talk over a matter that is already in court, that will be sub judicial.

”Customs will make its reaction in court and that will be for the public to judge what the issues are”, the Customs spokesman stated.

He further explained that the litigants, E-customs HC Project Limited and Bionica Technologies (West Africa) Limited, pulled out of the agreement on their own accord when they said they could not accept the terms and conditions of the projects.

Bomodi stated that the Trade Modernization Project Limited; Huawei Technologies Limited and African Finance Corporation, who eventually won the concession bid, agreed with the same terms and conditions that the litigants rejected for the same amount.

”The people that took the Customs to court were in the beginning part of the process, they disagreed with certain parts of the agreement and they couldn’t go forward.

”Of course, if you have some people who disagreed with what you are planning together and they pulled out and they were not asked to leave, they pulled out on their own, does that mean because they were there in the beginning, the project cannot go on?”, he asked rhetorically.

”That doesn’t make sense.

”The project was conceived to help the service better and those that we started the journey together couldn’t agree with the terms and conditions of the project and they left and some other people came in to take up their slot.

”Those ones said they could achieve the same results with the same terms and conditions which the other party rejected” Bomodi said.

He stated that the Customs shall argue its case in the court and will leave the judge to decide the merit or otherwise of the case.

Customs shall be in court and do the needful”, the Customs spokesman concluded with emphasis.

The court, on Friday, also issued an order of interim injunction against the Federal Government or its agents acting through the Federal Executive Council from retrospectively ratifying the decision to concession the Customs Modernisation Project also known as the e- custom project to Trade Modernization Project Limited, Huawei Technologies Company Limited and African Finance Corporation.

The restraining order issued by Justice Inyang Ekwo of the Abuja Division of the court shall last till the hearing and the determination of a suit brought against the Federal Government and other parties by two aggrieved companies.

The two aggrieved companies, E-customs HC Project Limited and Bionica Technologies (West Africa) Limited jointly challenged the alleged unlawful and fraudulent concession of the E-custom project to the defendants.

Counsel to the two aggrieved companies, Anone Usman, had on behalf of the two plaintiffs, argued an ex-parte application praying the Federal High Court for the interim orders against the defendants to protect the interest of his clients.

Justice Ekwo, while ruling on the ex-parte application, granted the prayers of the plaintiff having placed sufficient evidence of interest in the concession project.

The judge also granted permission to the aggrieved companies to serve a writ of summons and all other filed processes on the African Finance Corporation at its head office, located in Ikoyi, Lagos through DHL courier services.

Defendants in the suit are the Federal Government of Nigeria; Attorney-General of the Federation; Minister of Finance, Budget and National Planning; the Infrastructure Regulatory Concession Commission; Nigeria Customs Service; Trade Modernization Project Limited; Huawei Technologies Limited; African Finance Corporation and Bergman Security Consultant and Supply Limited being 1st to 9th defendants respectively.

Justice Ekwo subsequently fixed June 28 for the hearing in the matter.

The two plaintiffs had in their statement of claim narrated how they proposed to carry out customs modernization project through several government officials for the benefit of the Nigeria Customs Service.

They claimed that after a series of meetings and negotiations with some of the defendants, President Muhammadu Buhari granted anticipated approval for the e- custom Project

They averred that on September 2, 2020, the Minister of Finance presented a memo number EC2020/153 to the Federal Executive Council, (FEC) the highest decision-making body of the Federal Government, and secured approval for the two plaintiffs to be granted the concession.

Plaintiffs further claimed that trouble started when the Nigeria Customs Service unilaterally reviewed the FEC approval and imposed other conditions among which are the shareholding formula and governance structure.

They claimed that the power of the NCS to unilaterally review FEC approval was protested and that the Comptroller General of Customs stood his ground.

Plaintiff asserted that to their surprise, they read in the news that the Nigeria Customs Service had executed a concession agreement with Trade Modernization Project on May 30, 2022, Huawei Technologies Company and African Finance Corporation, in total breach of the Concession Agreement vetted by the AGF in conjunction with the Minister of Finance.

They averred that Trade Modernization Project was incorporated April 2022 at the Corporate Affairs Commission with one Alhaji Saleh Amodu, a close friend of the Comptroller General of Customs as the chairman.

Plaintiff asserted that the new company, having been just incorporated in April 2022, could not have obtained and did not obtain the full business case compliance certificate from the Infrastructure Regulatory Concession Commission and the approval of the Federal Executive Council to carry out the e- custom project.

They, therefore, asked the court to make a declaration that the decisions of the Federal Government and its agents to enter into a concession agreement with Trade Modernization Project, Huawei Technologies Company and African Finance Corporation in respect of the e-customs project is illegal, null and void, having been made in gross violation of Section 2 of the Infrastructure Concession Regulatory Commission Act 2005.

They also asked the court to declare that E-customs HC Project Limited is the approved and rightful concessionaire for the e-customs project as approved by the Federal Executive Council at its meeting of September 2, 2020 and in line with Section 2 of the Infrastructure Concession Regulatory Act.

They also applied for an order of the court directing the Federal Government through the AGF, Finance Minister, ICRC and NCS to consummate the E- custom project with the 1st plaintiff as approved by FEC in September 2020.

Besides, the two plaintiffs asked the court to compel the defendants to pay them a sum of Two Hundred Million Naira as the cost of litigation.

The Federal Government had on May 30, 2022 signed the e-Customs concession agreement with Africa Finance Corporation (AFC) and China’s Huawei Technologies Limited.

The Comptroller-General, Nigeria Customs Service (NCS) Hameed Ali, while signing the agreement in Abuja, enthused that the implementation of the project will generate a revenue of $176 billion over the next 20 years.

Ali said, the e-Customs concession project would ease the cost of doing business, boost revenue, enhance productivity and put a stop to every arbitrariness in the service.

“The $3.2 billion e-Customs project to be financed by the Africa Finance Corporation (AFC) and managed by Huawei Technologies Limited under a 20-year concession window, when fully implemented, will quadruple Customs’ current N210 billion average monthly revenue collection” Ali declared.

The agents who allegedly executed the disputed concession agreement are the Nigeria Customs Service, Trade Modernization Project Limited, Huawei Technologies Company Nigeria Limited and African Finance Corporation.

Customs

Apapa Customs frustrates covert attempt to exit illicit drugs from port

—–intercepts 300 cartons of tramadol in separate seizures

Eyewitness reporter

Deploying intelligence through credible information and collaboration with other government agencies, the Apapa Customs of the Nigeria Customs Service has intercepted a cache of illicit drugs in two separate seizures.

On Thursday, the command showcased 150 cartons of tramadol containing 4,500,000 tablets worth about N3.7bn.

100 cartons of these illicit drugs were interdicted in Jaelith bonded terminal while the 50 other cartons were uncovered at ESS Libra terminal, Ikorodu.

However, on Friday, the command, under the leadership of Comptroller Ibrahim Malanta Yusuf, showcased a similar seizure of 150 cartons of tramadol.

According to Comptroller Yusuf, the illicit drugs were laden in a 1x 20 container marked PCIU 0183241 which was declared as Static Converter and Switches.

Addressing journalists Friday at the APMT where the seizure was made, Comptroller Yusuf declared that the command received credible intelligence and the container movement was tracked, traced from the port of loading in Singapore through Hong Kong and China before it was intercepted at Apapa port, the port of destination, having passed through about four ports to cover its track.

Yusuf said that, when the container was offloaded at the APMT, the officers immediately ordered its dropping for examination before the importer could transit the offensive consignment.

“On examination of the container, there are 69 cartons of 250 mg tramadol and 81 250 cartons of tramadol.

Each of the cartons contains 72 rolls, each roll contains 10 packets, each packet contains 10 sachets while each sachet contains 10 tablets”, CAC said.

Comptroller Yusuf warned that Apapa Command is not a safe haven for the importation of illicit drugs as intelligence officers will continue to intercept such uncustoms goods.

He revealed that the command has a robust inter-agency collaboration with other government agencies and the closely- knitted bond among them has been solid, producing spectacular seizure results.

“We shall continue to arrest the perpetrators of this illicit trade and bring them to book” the Customs chief stated.

He declared that information to unravel the culprits behind the illicit consignment is ongoing.

“We have a bill of laden which is a cardinal point that there is a declaration and that is why we are able to trace and intercept this illicit consignment.

An investigation is going on and our searchlight is on the description of the consignee on the bill of laden” Comptroller Yusuf stated.

Customs

20 containers of gold, silver ore stolen within Customs control in biggest heist operation.

Eyewitness reporter with agency report

The Mexican Customs Authority has announced the biggest heist in the history of the port when 20 containers laden with expensive gold, silver Ore and television disappeared from a freight yard within the Mexican Customs control.

According to the Head of Mexican Customs, Horacio Duarte, thieves stole the shipping containers this month from a freight yard in what was described as an organised crime.

Horacio Duarte told the Associated Press that the theft was the result of “a very serious organized crime operation.”

The region, known as the state of Colima, is dominated by the Jalisco Cartel, a semi-militarized group of criminals that is led by Nemesio Oseguera Cervantes, a drug trafficker who is known as the most-wanted man in Mexico, as well as one of the most-wanted in the US.

The Mexican Employers Federation and Mexico Customs Regulations did not respond to a request for comment from Insider.

The theft took place earlier this month but was not reported until Monday.Local newspaper, El Pais, reported that over a dozen fully-armed thieves broke into a private freight yard near a port in Manzanillo, dubbing it the “biggest heist’ in the port’s history.

The thieves reportedly gagged the guards at the yard and took eight hours to pick out the high-value shipping containers.

El Pais reported that the men knew how to use the cranes and other gear at the location and connected the containers to several trucks before driving away.

“It is unprecedented, there had been no robbery of this nature before this,” Gustavo Adrin Joya, a spokesperson for the security department of Colima state, said in a statement to El Pais.

The goods have not been seen since then, the local newspaper reported.

Jos Medina Mora, President of the Mexican Employers Federation, told Associated Press the theft is a sign that safety concerns in the nation are growing.

El Pais reported that the port is a main thoroughfare for the cartel, especially for unloading synthetic drugs that are made in Mexico and sold in the US.

While freight theft is not uncommon, it is unusual for dozens of containers to be stolen at once.

CargoNet’s Vice President of operations, Keith Lewis, told Insider freight yards can be a vulnerable place for high-value goods.

“A shipment is most vulnerable anytime it is parked,” Lewis said.

In 2020, cargo theft hit a record in the US as hundreds of thousands of shipping containers flooded ports and nearby shipping yards amid the supply-chain crisis.

Lewis said that multi-million dollar shipments like containers full of semiconductor chips or television sets are often fitted with security devices in the US, including covert trackers and specialty locks to deter thieves.