The Lagos Chamber of Commerce and Industry has urged the Federal Government to suspend the newly introduced four per cent Customs processing charge (Comprehensive Import Supervision Scheme), citing a lack of consultation and the burden it places on businesses.
The Director-General of LCCI, Dr Chinyere Almona, in a statement on Wednesday, condemned what she described as a sudden implementation of the charge, also known as Free On-Board valuation on imports, which she noted took effect on Tuesday.
The Nigeria Customs Service announced the charge in a statement on Tuesday.
Almona said, “We call on the Federal Government and the NCS to suspend the enforcement of this charge and engage in a structured sensitisation process to ensure stakeholders are adequately informed and prepared before its implementation.”
While acknowledging that the charge is backed by Section 18 of the NCS Act 2023, Almona criticised the absence of stakeholder engagement, which Section 23 of the same Act mandates.
She noted that importers, exporters, freight forwarders, and clearing agents were not given prior notice.
The LCCI warned that businesses are already struggling with multiple taxes, high interest rates, forex scarcity, and inflation. Almona pointed out that the planned 50 per cent hike in telecom tariffs and rising logistics costs due to high energy prices have further strained the business community.
The chamber also argued that the sudden implementation of the charge contradicts international best practices.
“The sudden enforcement of this charge is already disrupting business operations, increasing transaction costs, and causing uncertainty in the trading environment. Such an approach is detrimental to economic growth and investor confidence,” Almona remarked.
Further, the LCCI urged the government to focus on trade facilitation and port efficiency rather than imposing new levies.
The chamber highlighted that the NCS exceeded its 2024 revenue target by over a trillion naira, collecting N6.1tn.
“With the massive revenue generation from the ports, we expect more investment into boosting port infrastructure, process automation, and a conducive business environment to support export earnings and boost our foreign exchange revenue,” Almona added.
The chamber warned that the new charge could lead to port congestion, as traders and clearing agents may hesitate to process shipments, causing supply chain disruptions.
The LCCI DG stressed that “uncertainties and controversies are toxic to our business environment and must be carefully avoided.”
LCCI called on the NCS to withdraw the charge immediately and ensure future trade policies are implemented through inclusive and transparent processes.
“We stand ready to collaborate with the government and other stakeholders to ensure that trade-related policies support sustainable economic growth and prosperity for all Nigerians,” Almona concluded.
Other members of the private sector have lent their voices to protesting the implementation of the charge, especially the Chairman of the Organised Private Sector of Nigeria, Dele Oye.
Oye, who is also the President of the Nigeria Association of Chambers of Commerce, Industry, Mines, and Agriculture, in a live interview on Thursday, called for a suspension of the charge or an exclusion of the productive sector.
He warned that enforcing the policy on manufacturers would increase the cost of production, contradicting President Bola Tinubu’s directive to reduce inflation to 15 per cent.
