The Nigeria Customs Service (NCS) has suspended the implementation of 4 per cent Free-on-Board (FOB) value on imports as provided in Section 18(1)(a) of the Nigeria Customs Service (NCSA) 2023.
The suspension notice made known yesterday in a statement signed by the Assistant Comptroller of Customs, National Public Relations Officer, Abdullahi Maiwada, is sequel to ongoing consultations with the Minister of Finance and Coordinating Minister of the Economy, Mr Olawale Edun and other Stakeholders.
Spokesperson for Customs explained this suspension will enable comprehensive stakeholder engagement and consultations regarding the Act’s implementation framework.
“The timing of this 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). 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“Under the previous funding arrangement repealed by the NCSA 2023, separating the 1% CISS and 7% cost of collection created operational inefficiencies and funding gaps in customs modernisation efforts.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,” the statement read.
This transition period, the notice said, will allow the Service to optimise the management of these frameworks to serve our stakeholders and the nation’s
