The Federal Government has granted additional four per cent of Free-On-Board( FOB ) value of imports handles by the Nigeria Customs Service ( NCS ), courtesy of the newly Customs Act 2023 signed into law April this year by the im- mediate past President, Muhammadu Buhari. The fresh four per cent incentive for Customs, is outside the existing seven per cent cost of excise duty collection statutorily enjoyed currently by the Service. This came to fore on Mon- day in Abuja where top officials of Customs are engaging in a retreat to distil details of Customs’ Service Act, 2023.
The new Customs Act 2023 repealed Customs and Excise Management Act, Cap. C45, Laws of the Federation of Nigeria, 2004 (CEMA). This was as the Acting Comptroller General, Adewale Adeniyi, hinted at impeding plans “to review procedures, processes around border areas; and review of enforcement strategies, with a pledge that they will be done in a way that will pro- mote user friendliness , promote economic growth with out compromising national security.” A former House Committee Chairman on Customs, Hon. Leke Abejide, who initiated the private Bill that produced Customs Act 2023, told Journalists in an interview that the introduction of Section 18 of the Act, which provides for a sum not less than four per cent of the Free-On-Board value of imports was in accordance with the international best practice. He said it would be part of the funds the service shall keep and maintain for its operation.
“What it means is that, even where there’s a waiver either from the ministry of finance or else where, customs will get its four per cent FOB. The four per cent is outside its statutory seven per cent cost of revenue collection,” Abejide said in an interview. According to him, “reforms introduced by the new Act has tremendous effect on every facet of our national economy and also the officers’ career progression with some enhanced level of professionalism and job motivation which has hitherto been deprived of the Service. “This new legislation further marks a significant milestone in our efforts to streamline Customs procedures, enhance trade facilitation, and foster a conducive environment for economic growth and development.”
“Today every Customs officer is assured that his labour is not going to be truncated at the peak of his career neither is he going to be denied the fruit of long, faithful and dedicated service to his/her mother land. The provisions of Section 14 (1) of the new Act is very instructive on professionalism, by providing appointment of a career officer from the Service to be head of management of the Service,” he said. In an interview with media, Acting CG, Adeniyi was optimistic the law would boost operations both in terms of revenue generation and efficient administration. “It has been stated that there are number of obsolete provisions associated with the previous Act apart from the fact that it came into existence 63 yeah ago. “A lot of things have changed in the way we conduct our business; the dynamic, the volume of inter- national trade has changed tremendously; technology has revolutionised the way we do things and the cus- toms pace is not exempted . There is need for flexible frame work that allows cus- tom to infuse technical solu- tions into operations.”
