Nigeria Customs Service Grows Revenue By 74% From N2.58tr To N4.5tr In One Year
... Records 70.13% Monthly Collection Of N343b As Against N202b In 2023
By Edu Abade
The Nigeria Customs Service (NCS) has disclosed that its declaration of a state of emergency on revenue generation, review and restructuring of existing incentives, waivers and tariffs aimed at plugging economic leakages and boosting key sectors of the Nigeria economy, paid off handsomely in the last one year.
Comptroller-General of Customs (CGC), Bashir Adewale Adeniyi, stated this in Abuja, at a media briefing on the performance of the NCS since he assumed office in June 2023 as Customs helmsman after his appointment by President Bola Ahmed Tinubu.
Specifically, he revealed that the Service recorded an impressive 74 percent increase in revenue generation to N4.49 trillion as against N2.58 trillion generated in the corresponding period of 2023, maintaining that the NCS under his watch also grew monthly collections by an average of 70.13 percent from N202 billion in the previous year to N343 billion in 2024.
He also explained that the service mandate on collaboration with stakeholders, prioritizing strategic communication and engagement with key stakeholders as endorsed by the Minister of Finance and Coordinating Minister of the Economy during its inaugural briefing with the NCS Management, also contributed to the improved performance in the past one year.
Other factors that contributed to the performance include strengthening national security to promote peace and prosperity; enforcing cross border prohibition to achieve food security; prioritizing education, health and social investment as pillars of national development; accelerating diversification through industrialization, digitization, creative arts, manufacturing and innovation, as well as improving governance for effective service delivery.
Presenting further details of his scorecard, he said: “Notably, there was a substantial 122.35 percent rise in revenue collection in the first quarter of 2024 compared to the same period in the previous year. These gains were attributed to various strategic initiatives, including: N15 billion recovered by the Revenue Review Performance Recovery exercise and N2.79 billion recovered from the 90-day window for the regularization of the documents of un-customed vehicles.”
Others are N1.5 billion recovered from the decongestion of 1,705 overtime containers and 981 vehicles from the ports, daily All-Time-High of N58.5 billion in revenue collection as of June 13, 2024, deployment of officers to sensitive posts on the basis of merit and capacity, trade facilitation through decongestion of ports and the reopening of previously inaccessible access roads.
“Particularly noteworthy is the NCS’s recent ranking under the Presidential Enabling Business Environment Council (PEBEC), which aims to streamline business operations in Nigeria through reforms and policies. Ministries, Departments and Agencies (MDAs) are ranked by activities under eight broad indicator levels, including efficiency reforms based on service delivery within stipulated timelines, transparency reforms, review and update of Service Level Agreements (SLAs) and support for manufacturing and agricultural exports.
“Between 2020 and 2022, the NCS maintained an average percentage score of 18.45 percent, ranking 28th of the 37 MDAs ranked. By 2023, the NCS ranking fell further to 34th of 39 MDAs, with a percentage score of 18.53 percent. However, by 2024, the NCS moved up 33 points, now tied at the top with four other MDAs of the 36 MDAs assessed, with a percentage score of 100 percent, amounting to a 81.5 percent increase.
“This remarkable improvement is directly attributed to the trade facilitation measures implemented within the past year. The NCS remains committed to ensuring that all recommendations and global best practices are implemented to the highest standards,” he stated.
Adeniyi further explained that the designation of a dedicated terminal for exports yielded significant gains in facilitating the processing of export goods through the Lilypond Command, adding: “The Command, which initially handles 317 Single Goods Declarations (SGDs) in transactions, now manages 7,464 SGDs, accounting for 19.49 percent of the total 38,294 export transactions recorded in 2023.
“By the first quarter of 2024, the Service processed 10,786 transactions, with 3,162 or 29.32 percent processed through the dedicated export terminal. Our anti-smuggling efforts in the last year have intensified, resulting in significant interceptions, high-value seizures and several arrests.
“Notably, the Service recorded 63 seizures related to animal and wildlife products valued at ₦566 million. Additionally, seven seizures of arms and ammunition were made through our ports and borders. In terms of illicit drugs, a combined total of 127 cases involving narcotics and pharmaceutical products were seized, valued at over ₦6 billion.
“We also recorded 724 seizures of 2.93 million litres of Premium Motor Spirit (PMS) meant to be smuggled out of the country, while the ongoing Operation Whirlwind will continue to intercept and disrupt the activities of smugglers in this regard, among others.”
He pointed out that in a bid to guarantee food security and suppress the smuggling of food in and out of the country, the NCS recorded seizures of over 1,744 cases of rice and grains valued at ₦4.4 billion.
These concerted efforts underscore our commitment to protecting society and ensuring national security. The 81.5 percent gain in the service reform indices under the PEBEC ranking can be attributed to the recent trade facilitation and collaborative engagements of the NCS. These led to smoother operations with stakeholders and facilitated by regular interactions,” he said.
