The Nigeria Customs Service (NCS) has held its pre-launch stakeholder engagement for Authorized Economic Operator (AEO) program gearing up towards the official launch of its AEO program, scheduled for February 14, 2025.
The event which was themed AEO Pre-launch Stakeholder Engagement/Advance Ruling & PCA Sensitisation took place in Lagos on 15th January, 2025
Assistant Comptroller-General KC Egwu, head (Tariff &Trade) department in his opening remarks highlighted the program’s key benefits as streamlined customs clearance processes, reduced costs, and improved efficiency. He told stakeholders that the AEO program that was launched in its pilot phase on 15 April , 2024 has yielded remarkable results with six beneficiaries from diverse sectors, including importers, logistics operators, and small and medium-sized enterprises (SMEs) after the Service commenced the administration of AEO on 2nd September, 2024.
Speaking further, the ACG stressed that complementary initiatives, such as the Advance Ruling and Post-Clearance Audit (PCA), plays a vital role in ensuring the program’s effectiveness, as they promote a culture of compliance and reliability , thereby enhancing the overall efficiency of the trading environment.
” The AEO program is a key component of our Service’s modernization efforts, designed to align Nigeria with global standards in trade facilitation and supply chain security. It reflects our dedication to fostering a seamless and efficient trading environment, promoting a trusted partnership between Customs and economic. Over a four-months period, the beneficiaries have realised cost savings of approximately 100 million naira. Truly, this is ease of doing business in action. Beyond the financial impact, the program has also brought about a notable improvement in efficiency, streamlining processes and ensuring that goods move more swiftly and securely through the supply chain.
” The NCS Advance Ruling programme was implemented to fulfill legal obligations under Standard 9 of the WCO-RKC 2006 and the WTO-TFA 2017 to provide predictability and transparency for trade while providing a facility for voluntary compliance and securing Government Revenue”
In the same vein, Assistant Superintendent of Customs Lauretta Utobor, the Team Lead of advance ruling in Nigeria while speaking on the benefits of e-Advance Ruling to AEOs said that it promotes predictability and certainty in tariff classification of goods. It is legally binding and cannot amended randomly unlike other classification opinions.
” The Advance Ruling system is a game-changer for economic operators. It empowers them to make informed business decisions and strategic plans, giving them the clarity they need to navigate complex trade regulations.
“By providing a clear and binding ruling on tariff classification, we minimize delays and associated costs at the port as disputes over classification are a thing of the past, and economic operators can now plan with confidence .
“The system also promotes trust between economic operators and customs as applicants can now track the status of their application in real-time, giving them unprecedented visibility and control over their business. It’s a major step forward in our efforts to streamline trade and promote economic growth “
