The Comptroller General of the Nigeria Customs Service (NCS), Bashir Adewale Adeniyi has ordered all Customs Area Controllers (CAC) to sensitise importers and stakeholders about the recently introduced 4 percent Free On Board (FoB) levy.
The CG in a circular NCS/FATS/ABJ/S.797, signed by Deputy Comptroller-General Finance, Admin and Technical Services, B.M Jibo, said the four per cent Free on Board (FOB) levy is aimed at enhancing revenue generation and ensuring compliance with the NCS Act 2023.
The circular titled, ‘Sensitisation Of Importers And Stakeholders On The Collection Of Four Per cent FOB,’ said the four per cent Free on Board (FOB) levy is aimed at enhancing revenue generation and ensuring compliance with the NCS Act 2023.
“In line with the implementation of the four per cent Free on Board (FOB) levy, it is imperative that all Customs Area Controllers take proactive steps to engage and educate importers, clearing agents, and relevant stakeholders on the modalities for its collection.
“The four per cent Free on Board (FOB) levy is aimed at enhancing revenue generation and ensuring compliance with the NCS Act 2023. As such, all Area Commands are directed to organize stakeholder meetings, workshops, and sensitization sessions to provide clarity on the purpose, process, and compliance requirements of the four per cent FOB collection.
“Your cooperation in this regard is essential for the successful implementation of this directive. Kindly ensure strict compliance and provide periodic updates on the level of stakeholder engagement and compliance rates. Treat as urgent, please.”
Meanwhile, the public relations officer, Nigeria Customs Service (NCS) Abdulahi Maiwada, urged stakeholders’ to support legally binding initiative Maiwada said the measures introduced was in alignment with the NCSA 2023 and reflects a balanced approach born out of extensive consultations with industry players, importers, and regulatory bodies.
“In line with the provisions of Section 18 (1) of NCSA 2023, the NCS is implementing a four per cent charge on the Free On-Board (FOB) value of imports.
“The FOB charge, which is calculated based on the value of imported goods, including cost of goods and transportation expenses incurred up to the port of loading, is essential to driving the effective operation of the Service.
“Furthermore, the NCS acknowledges concerns raised by stakeholders over the sustained collection of one per cent Comprehensive Import Supervision Scheme (CISS) fee (a regulatory charge imposed for funding Nigeria’s Destination Inspection Scheme) alongside the four per cent FOB charge. As a responsive and responsible government agency, the Service wishes to assure the general public that extensive consultation is ongoing with the Federal Ministry of Finance to address all agitations raised by our esteemed stakeholders.
“Under the leadership of the Comptroller General of Customs, Bashir Adewale
Adeniyi, the NCS reaffirms its commitment to transparency, fair trade practices, and efficient revenue management. All stakeholders are urged to support this legally binding initiative, as the measures introduced in alignment with the NCSA
2023 reflects a balanced approach born out of extensive consultations with industry
players, importers, and regulatory bodies.”
