Customs Exceeds Revenue Target with N2.74tr Collection in H1 of 2024
By Patience Ikpeme
The Nigeria Customs Service (NCS) announced on Monday that it has surpassed its revenue target for the first half of 2024, collecting a total of N2.74 trillion. This figure exceeds the target of N2.54 trillion by 8% and represents a 127% increase compared to the revenue collected during the same period last year.
Customs Spokesperson Abdullahi Maiwada confirmed the figures in a statement. He noted that the N1.395 trillion collected in the second quarter alone exceeded the quarterly target by 10%, marking a 131% increase over Q2 2023. Key contributors to this revenue surplus include the e-auction platform, which generated over N1.34 billion, and the 90-day duty payment window for uncustomed vehicles, adding N4.37 billion to the revenue.
“These measures have significantly enhanced transparency, compliance, and efficiency in customs processes, underscoring the NCS’s commitment to excellence,” the statement read.
In addition to revenue collection, the NCS has intensified its anti-smuggling operations, achieving notable success in the first half of 2024. From January to June, the NCS made 2,442 seizures with a Duty Paid Value (DPV) of N25,520,652,942.87, which is 203% higher than the DPV of seizures in the first half of 2023. In the second quarter alone, the NCS made 1,334 seizures with a DPV of NGN 17,564,384,378, representing a 121% increase over the first quarter of 2024. Seized items included wildlife products, vehicles, arms and ammunition, foreign rice, pharmaceuticals, and narcotics, with 32 suspects currently in custody.
Trade facilitation remains a core priority for the NCS. In the first half of 2024, the Service processed 620,467 Single Goods Declarations (SGDs), reflecting a reduction of approximately 39% compared to the same period in 2023. Despite this decline, the NCS has implemented several key initiatives to simplify and expedite customs processes.
“These include reinforcement of NCS automation procedures, capacity-building programs for officers, and public-private partnerships to enhance customs clearance efficiency. These efforts are crucial for enhancing Nigeria’s trade competitiveness and supporting economic growth,” the statement added.
The NCS also faced significant challenges during this period, including fluctuations in the exchange rate, a lower volume of transactions, low compliance levels among importers and exporters, and periodic downtime. These challenges impacted the consistency of revenue collection and overall operational efficiency.
“To address these challenges and enhance revenue collection, the NCS implemented several strategies, including real-time system auditing, post-clearance audits, verification of documents for the Pre-Arrival Assessment Report (PAAR), ensuring compliance with import guidelines, and the implementation of a pilot test for the Authorized Economic Operators (AEO) scheme,” the statement noted.
Additionally, the NCS recently introduced the Advance Ruling System (ARS), a legally binding decision on classification, valuation, and rules of origin before the importation or exportation of goods. This system aims to provide greater certainty and predictability for traders, further supporting the efficiency and effectiveness of customs operations in Nigeria.
