Nigerians React As Customs Announces 4% Charges On FOB

The Nigeria Customs Service (NCS) has announced the introduction of a 4 percent fee based on the Free On-Board (FOB) value of imports.

This development was shared in a statement issued to the press in Abuja on Wednesday by the service’s spokesperson, Abdullahi Maiwada.

Maiwada explained that the new initiative is in line with the provisions of the Nigeria Customs Service Act (NCSA) 2023.

Under Section 18 (1) of the NCSA 2023, the NCS is set to implement a 4 percent charge on the FOB value of imported goods.

The FOB charge is calculated based on the total value of the imported items, including both the cost of the goods and the transportation expenses incurred up to the loading port. This charge is deemed essential for the smooth operation of the service.

In addition, the NCS acknowledges the concerns raised by stakeholders regarding the continued collection of the 1 percent Comprehensive Import Supervision Scheme (CISS) fee.

“It is a regulatory charge designed to fund Nigeria’s Destination Inspection Scheme, in conjunction with the 4 percent FOB charge,” Maiwada stated.

He reassured the public that the service is engaged in ongoing consultations with the Federal Ministry of Finance to address all concerns raised by stakeholders.

Maiwada urged all stakeholders to comply with the directive, emphasizing that the initiative was developed following extensive consultations with relevant stakeholders and organizations.

“All stakeholders are encouraged to support this legally binding measure, as it reflects a balanced approach shaped by comprehensive consultations with industry players, importers, and regulatory bodies,” he said, highlighting the invaluable contributions of stakeholders in shaping and implementing the NCSA 2023.