Barring any last-minute changes, the Nigeria Customs Service (NCS) is expected to announce the suspension of the 4% Financing Customs Service (FCS) Operation Fee, CFCTERMINAL has learned.
The suspension aims to allow for adequate sensitization of the trading public and ensure a structured introduction of the fee. Reports indicate that the Tariff and Trade Department of the NCS was not involved in the fee’s introduction, leading to confusion among importers and customs agents.
Cargo Clearance Stalled Amidst Confusion
A reliable source speaking to CFCTERMINAL revealed that cargo clearance at seaports has come to a standstill, as clearing agents have halted the processing of their imports due to uncertainty over the new fee.
The source cautioned that the lack of proper sensitization could lead to cargo abandonment and port congestion.
“There is confusion, and the Tariff and Trade Department has stated that they were not consulted before the introduction of this fee. A meeting is currently underway, and it is highly likely that implementation will be suspended to allow for proper engagement with stakeholders,” the source disclosed.
The source further explained:
“Customs Area Controllers (CACs) are unaware, manufacturers are stranded, and agents are confused—everything is at a standstill. However, I believe a resolution will be reached soon.”
Concerns from Industry Experts
Former President of the National Association of Government Approved Freight Forwarders (NAGAFF), Dr. Eugene Nweke, had earlier expressed concerns about the fee in a statement titled:
“The 4% FCS Fee as Contained in Part Five, Section 18 of the Customs Act 2023 – A Professional Opinion/Explanation.”
He warned that implementing a 4% charge on the CIF value of goods without proper notification or an official circular could create uncertainty among importers and customs brokers.
“Introducing this charge without a formal presidential directive to lawmakers and an official announcement may be considered unilateral and inconsistent with the provisions of the Customs Act.
Given the current situation, the implications are significant, as many shipments undergoing duty payment and clearance are now trapped across various customs ports,” he cautioned.
As stakeholders await an official resolution, industry players continue to push for greater transparency and structured implementation of any new customs policies.