NIGERIA CUSTOMS SERVICE YIELDS TO FEDERAL MINISTRY OF FINANCE DIRECTIVE ON IMPLEMENTATION OF 4% FOB
The Nigeria Customs Service (NCS) has conceded the directive from the Federal Ministry of Finance to suspend the implementation of the 4% Free-on-Board (FOB) charged on imported goods. The Service said it appreciated the Ministry’s engagement on the matter and remained committed to supporting government fiscal policies.
Following the directive, the Service disclosed to have commenced immediate consultation with the supervisory Ministry to seek guidance on alternative measures during the suspension to ensure seamless service delivery to all stakeholders.
According to a press release signed signed by the National public Relations Officer NPRO of the Nigeria Customs Service, Abdullahi Maiwada PhD, for the Comptroller of Customs, the NCS said it remained optimistic about ongoing discussions with the Federal Ministry of Finance and other relevant stakeholders to address the concerns raised while ensuring that the Service’s statutory obligations are effectively met. “We look forward to constructive engagement that will ultimately serve the best interests of the Federal Republic of Nigeria, enhance revenue generation, and support the nation’s economic growth objectives through efficient customs administration.”
“It is also necessary to draw attention to ongoing media reports suggesting that the Service introduced the 4% FOB only recently. For clarity, the Service wishes to emphasise that the National Assembly established the 4% FOB provision through Section 18(1)(a) of the Nigeria Customs Service Act, 2023, which stipulates “not less than 4% of the free-on-board value of imports according to international best practices” as a statutory funding mechanism for the Service’s operations.”
“The Service assures all stakeholders, including the trading public, licensed customs agents, and international partners, that our operations will continue without any disruption. We remain firmly committed to delivering efficient service, upholding international best practices and supporting Nigeria’s economic growth through effective revenue collection and enhanced trade facilitation,” the statement read.
