Tragic Incident Spurs Customs Service to Introduce Measures for Improved Operations

Joyce Mmereole Okoli

In a press briefing held yesterday, the Comptroller General of Customs, Bashir Adewale Adeniyi, addressed the media regarding the Nigeria Customs Service’s (NCS) first-quarter performance for 2024, highlighting both successes and challenges faced by the agency.

The briefing commenced with a somber moment as Adeniyi expressed condolences for the lives lost during a tragic incident in Lagos on February 23, 2024.

A stampede ensued as individuals sought access to the NCS premises to verify claims of food item distribution. Despite immediate efforts, four individuals succumbed to their injuries, prompting the NCS to implement measures to prevent such occurrences in the future.

Moving on to the overall performance, Adeniyi announced a remarkable increase in revenue collection during the first quarter of 2024, amounting to NGN 1,347,675,608,972.75, representing a significant surge compared to the same period last year.

“Total revenue collected during this period amounted to N1,347,675,608,972.75. The collection for the first quarter represents a substantial increase of 122.35% compared to the same period last year, where N606,119,935,146.67. Month-by-month analysis further illustrates the Service’s impressive growth trajectory.”

“In January 2024, revenue collection surged by 95.60%, reaching N390,824,148,326.55 from N199,809,974,327.52 recorded in January 2023. This upward trend continued in February 2024, with a staggering 138.68% growth, elevating revenue collection to N450,209,267,557.15 from N188,625,011,386.87 in February 2023. By March 2024, the revenue collected by NCS revenue grew by 132.76% from N217,669,949,432.28 to N506,642,193,019.05”, he said.

He attributed this growth to various factors including improved efficiency and implementation of initiatives such as the E-auction, which generated a total revenue of NGN 1.6 billion in February and March.

The NCS also recorded success in suppressing smuggling activities, with a total of 572 seizures valued at NGN 10,593,099,654.50 in Duty Paid Value (DPV) during the first quarter. Additionally, trade facilitation efforts remained a priority, with the processing of Single Goods Declarations (SGDs) and a focus on enhancing the non-oil export sector.

“Notably, January saw 111 seizures amounting to N842,992,751.50 in DPV, while February marked the highest seizure numbers of 432, totalling N3,704,703,350.34. Rice constituted 39% of the seizures, followed by petroleum products at 26%, with motor vehicles and textiles accounting for 9% and 6% of the seizures, respectively. During this period, the NCS detained 22 suspects, and appropriate legal measures will be taken in accordance with the Nigeria Customs Service Act 2023,” he said.

Despite these achievements, Adeniyi acknowledged challenges faced by the NCS, including issues related to non-compliance, infrastructure limitations, and fluctuating exchange rates.

To address these challenges, the NCS is implementing measures such as integrating geospatial technology, launching the NCS Customs Analytical Laboratory, and finalizing arrangements with the Central Bank of Nigeria to stabilize exchange rates.

“As per protocol, the exchange rate utilized by Customs in the clearance of goods via the Nigeria Integrated Customs Information System (NICIS) is based on the rate determined by the Central Bank of Nigeria (CBN). In the last quarter, a total of 28 rates were directed by the CBN, ranging from N951.94 per USD 1 in January 2024 to a peak of N1,662.35 per USD 1 in February 2024.”

“While a singular exchange rate of N951.94 per USD 1 was maintained in January, February witnessed 15 different spot rates ranging from N951.94 per USD 1 to N1,662.35 per USD 1. March saw a total of 13 different spot rates applied, ranging from N1,303.84 to N1,630.16. These fluctuations resulted in an average applied exchange rate of N1,314.03 per USD 1 in the clearance of Customs goods during the quarter,” he stated.

Looking ahead, the NCS is committed to enhancing its operations, fostering economic advancement, and ensuring security and prosperity for the nation. Adeniyi concluded the briefing by urging continued support and cooperation from all Nigerians as the NCS works towards its goals.

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