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Customs Moves to Reform Import, Export Processes

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Nigeria Customs Service
  • Customs Moves to Reform Import, Export Processes

In a bid to ensure trade facilitation at the nation’s ports and all entry points in line with the federal government’s ease of doing business in Nigeria agenda, the Nigeria Customs Service (NCS) has taken steps to modify import and export processes.

As part of the reform, the customs command has ameliorated cargo examination stress for importers by reducing announced cargo placement notice for examination given to terminal operators from 24hours to 12 hours.

This means that after customs agrees with all parties on a suitable time for physical examination, terminal operators now require only a 12-hour notice to place the cargo for examination.

Also, the NCS command said it would now schedule and coordinate the mandatory joint examinations and sign-off form to ensure that there is only one point of contact between importers and officials.

This move, top industry players believe, is expected to contribute in eradicating various delays associated with importation and export in Nigeria.

The NCS spokesman, Joseph Attah, in a statement, expressed the service resolve to reform import and export processes in Nigeria.

Attah, who listed some African countries where significant progresses have been made in the processes and duration for export said various causes of hitches, which he called bottlenecks in the trade process are being removed to achieve seamless transactions.

Customs have taken the burden of reaching out to agencies from importers as this has been identified as part of the challenges confronting the system.

”Before this intervention, the burden was on importers to reach out to all relevant agencies and the Terminal Operator to schedule a suitable time for the joint examination of cargo. We have however decided to take this tedious process off the backs of the importers and coordinate same,”Attah said.

He said Nigeria ranked 14th out of 15 Economic Community of West African States( ECOWAS) economies and 182nd out of 190 economies worldwide in the ‘Trade Across Borders’ indicator on the most recent World Bank “Doing Business” Rankings.

“Factors responsible for this low ranking, according to some port users, includes delay in export processes in Nigeria which takes up to two weeks, compared to some other countries like Kenya, it takes four days to complete same process. While Nigeria hitherto required up to 14 documents for imports compared to just five in Rwanda, government reduced the documentation recently to eight,” he said.

Attah said Nigeria will stay on the path of this reduction until it achieves a standard comparable with its peers on the continent.

He added: ”Nigeria’s desire to restore growth through economic diversification, as enunciated in the recently released Economic Growth and Recovery Plan (EGRP) of the Federal Government requires a holistic reformist approach. Reforming procedures is required to stimulate important sectors of the Nigerian economy like agriculture and manufacturing, which contribute 23.1 and 13.3 per cent respectively to its Gross Domestic Product (GDP).”

Attah said: ”As a key stakeholder in the FG’s quest to make businesses work, the NCS joined other MDAs in making commitments towards delivering reforms that would progressively make it easier for businesses in Nigeria to start and thrive. Our commitments at the NCS are focused on “Trade Across Borders,” where a target was set to reduce import and export time by up to 50 percent, and ensure that import procedures adhere to international standards.”

Under a newly released revised guideline from the Federal Ministry of Finance, Shipping Lines are required to electronically transmit advanced manifest of their cargoes to the NSC and the Nigerian Ports Authority (NPA) as soon as the vessel departs the last port of call. This is to ensure enough time for risk assessment, profiling and optimised placement of cargo.

Attah said Customs Officers will circulate the cargo manifests to other examination agencies and the Terminal Operators as soon as they are received from the Shipping Line.

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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APM Terminals in Talks with Government for Terminal Upgrade in Apapa

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APM Terminals is engaging in discussions with the government for a significant upgrade at its Apapa terminal.

Keith Svendsen, the Chief Executive Officer of APM Terminals, disclosed the company’s ambitious plans aimed at accommodating vessels with deep drafts and large ship-to-shore cranes.

The upgrade is part of APM Terminals’ long-term vision to bolster import and export opportunities in the country, create employment, and diversify local opportunities.

Svendsen emphasized the importance of fortifying existing port infrastructure, especially in Lagos, to manage increasing trade volumes effectively.

“While greenfield terminals like Lekki and later on Badagry would support economic growth in the long run, the more urgent requirement is in our view to upgrade the existing port infrastructure,” Svendsen commented.

The proposed upgrades seek to facilitate smoother operations, providing seamless connectivity through road, rail, and barge networks to mainline shipping.

Svendsen highlighted the unique position of the Apapa port in offering access to international markets for Nigerian importers and exporters, leveraging not only road but also rail and waterways, utilizing barges.

APM Terminals has been a pivotal player in Nigeria’s maritime sector for close to two decades. The company’s commitment to the nation’s economic growth is underscored by its proposed investment of over $500 million, subject to a long-term partnership with the government.

The Apapa terminal is a vital gateway for trade, handling a significant portion of Nigeria’s container traffic.

Furthermore, APM Terminals’ operations in Lagos and Onne collectively manage about half of the containers in Nigeria, demonstrating their pivotal role in the country’s logistics landscape.

The proposed upgrades signify APM Terminals’ dedication to supporting Nigeria’s economic reforms and attracting international investments.

The company has already invested over $600 million since its inception in Nigeria in 2006, directly employing approximately 2,500 Nigerians and indirectly contributing to employment for about 65,000 individuals.

“At APM Terminals, we believe strongly in the prospects for the Nigerian economy and the long-term opportunities that the current economic reforms and invitation for international investments will generate,” Svendsen affirmed.

As talks between APM Terminals and the government progress, stakeholders are optimistic about the positive impact of the proposed terminal upgrades on Nigeria’s maritime sector and overall economic development.

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Uber Rolls Out Flex Pay Feature: Daily Earnings for Nigerian Drivers

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Uber has rolled out a feature in Nigeria that promises to revolutionize the way drivers receive their earnings.

Dubbed “Flex Pay,” this innovative initiative allows Uber drivers across the country to access their earnings daily, a significant departure from the previous weekly payment system.

The announcement came during a recent media briefing led by Tope Akinwumi, Uber Nigeria’s country manager.

Akinwumi expressed the company’s commitment to supporting its drivers by introducing Flex Pay, which aims to help drivers meet their financial obligations more promptly and efficiently.

With Flex Pay, drivers now have the flexibility to access their earnings directly through their mobile wallets on a daily basis.

This move is poised to bring about a host of benefits for drivers, offering them greater financial stability and control over their finances.

In addition to the introduction of Flex Pay, Uber also unveiled a set of new features designed to enhance the driver experience on the platform.

One such feature is the ability for drivers to see upfront details about a trip request, including the destination and expected fare.

This added transparency empowers drivers to make more informed decisions about which trips to accept, ultimately improving their overall experience on the platform.

Speaking about the new features, Akinwumi emphasized Uber’s commitment to prioritizing the needs and feedback of its driver-partners.

He highlighted the company’s ongoing efforts to innovate and develop solutions that enhance the driver experience and ensure their satisfaction with the platform.

“We are constantly listening to feedback from our driver-partners and striving to provide them with the tools and support they need to succeed,” said Akinwumi.

“The introduction of Flex Pay and other new features is a testament to our commitment to empowering our driver-partners and enhancing their experience on the Uber platform.”

The implementation of Flex Pay marks a significant milestone for Uber in Nigeria, demonstrating the company’s dedication to driving positive change and innovation in the ride-hailing industry.

As drivers begin to benefit from daily earnings and increased transparency, Uber is poised to strengthen its position as a leading provider of flexible earning opportunities in the country.

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Exxon Mobil’s $1.28 Billion Asset Sale to Seplat Energy Set for Approval, Ending Two-Year Wait

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After a prolonged two-year wait, Exxon Mobil’s anticipated $1.28 billion asset sale to Seplat Energy is poised for approval by Nigeria’s oil regulator.

The deal, which has been in limbo since 2022, could finally see the light of day following recent communication from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

Gbenga Komolafe, the chief of NUPRC, revealed to Reuters on Thursday that the regulatory body is on the verge of giving its consent to the transaction.

Komolafe disclosed that Exxon Mobil and Seplat Energy are scheduled to attend a pivotal meeting on Friday, during which they will discuss the final steps towards approval.

He expressed optimism, stating, “Subject to the outcome of the meeting, consent… could be given in less than two weeks from the date of the meeting.”

According to Komolafe, NUPRC will present the companies with two mutually exclusive options, the acceptance of which would pave the way for the deal’s approval.

While he didn’t delve into specifics, he emphasized that Nigerian law mandates provisions for decommissioning, host community development, and environmental remediation.

“We don’t want our nation to carry unwarranted financial burdens arising from the operations of the assets over time by the divesting entities,” Komolafe asserted, underscoring the importance of responsible asset management.

The $1.28 billion sale holds immense significance for Nigeria’s oil industry, which has faced challenges stemming from underinvestment and security concerns in recent years.

With oil majors like Shell and TotalEnergies divesting from onshore shallow water operations due to security issues, regulatory approval of the Exxon-Seplat deal could inject much-needed capital into the sector.

Analysts view the impending approval as a potential catalyst for improved oil output in Nigeria. Moreover, it could serve as a positive signal to investors, paving the way for similar deals in the future.

The regulatory clearance of Shell’s asset sale to Renaissance in January has further bolstered expectations regarding the viability of such transactions.

As Nigeria looks to revitalize its oil sector and attract investment, the imminent approval of Exxon Mobil’s asset sale to Seplat Energy marks a significant milestone, bringing an end to a prolonged period of uncertainty and setting the stage for renewed growth and stability in the country’s vital energy industry.

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