The Nigeria Customs Service (NCS) has bowed to the directive of the Federal Ministry of Finance to suspend the controversial 4% Free-on-Board (FOB) charge on imports, a decision that has stirred intense debate in trade and fiscal circles.
In a statement released on Tuesday, Customs confirmed it had received official communication from the Ministry and assured stakeholders that the directive would be fully implemented.
The Service described the move as part of an ongoing conversation between government agencies aimed at balancing fiscal discipline with the need to ease trade burdens on businesses.
“Consultations with the supervisory Ministry are already underway,” Customs said, adding that discussions would explore alternative measures that allow the Service to meet its obligations without compromising efficiency.
The suspension comes after weeks of speculation and criticism from traders and importers who had expressed concerns about the impact of the charge on the cost of doing business in Nigeria.
While welcoming the suspension, Customs was quick to address what it called a wave of “misreporting” in the media regarding the origins of the 4% FOB charge.
According to the Service, the provision was not a new creation but was firmly backed by legislation enacted by the National Assembly in 2023.
Section 18(1)(a) of the Nigeria Customs Service Act, Customs explained, clearly stipulates that the Service be funded through “not less than 4% of the free-on-board value of imports, according to international best practices.”
By pointing to this law, the Service sought to clarify that the 4% FOB was not arbitrarily introduced but rather a statutory mechanism designed to sustain Customs’ operations.
Customs officials stressed that despite the temporary suspension, day-to-day operations across ports, borders, and airports would continue seamlessly.
“Stakeholders, including importers, licensed agents, and international partners, can be assured that service delivery will not be disrupted,” the statement assured.
The Service also emphasized its commitment to international best practices, particularly in the facilitation of trade and the modernization of customs administration in Nigeria.
Analysts note that the suspension of the charge may open a new window for engagement between Customs, the Finance Ministry, and key industry players on more sustainable funding models.
For Customs, the issue is not only about revenue but also about reputation. By stressing compliance, transparency, and dialogue, the Service is keen to portray itself as both a loyal implementer of government policy and a responsive partner to the trading community.
The statement, signed by Abdullahi Maiwada, PhD, the National Public Relations Officer, ended on a note of optimism: that constructive engagement will ultimately strengthen Nigeria’s economy, boost revenue generation, and foster trust between government and stakeholders.
