Customs Boosts Monthly Revenue to N343bn Amid Policy Reforms

Customs Boosts Monthly Revenue to N343bn Amid Policy Reforms

*Adeniyi insists petrol smuggling remarkably minimised

James Emejo in Abuja

The acting Comptroller General of Customs (CGC), Mr. Bashir Adeniyi, yesterday, disclosed that the ongoing policy reviews implemented on his assumption of office had resulted in a substantial increase in average monthly revenue collection to N343 billion between July and August.


This represented a 70.13 per cent boost in collection compared to N202 billion recorded in the first half of the year.
Speaking at a media briefing to commemorate his first 100 days in office, Adeniyi said the service has consistently exceeded the monthly revenue target of N307 billion, marking a remarkable departure from previous performances.


He pointed out that the ongoing revenue recovery review activities contributed an additional N8 billion during the review period, further underlining the new administration’s commitment to revenue generation.


The acting customs boss said, “Subject to unforeseen circumstances, our aim is to sustain and even expand this momentum until the end of the year.
“This commitment is driven by our resolve to minimise the deviation from the target, especially in light of the substantial shortfalls recorded during the first half of the year.


“The service was handed a revenue target of about N3.6 trillion in 2023, implying that it must collect about N307 billion monthly to meet the mark.”
However, he noted that uncertainties in the first half of the year, including the general election and currency swap among others negatively impacted its performance.


Adeniyi added, “We are witnesses to what happened in the first half of the year; the uncertainty, the currency swap, the elections, and all the crisis. In the first part of the year, we were practically struggling to collect an average of about N200 billion per month.


“But since July and August, we have reviewed our strategies and we have been doing better and it’s about N343 billion. And if we maintain this momentum, we hope that we will be able to at least cover the shortfalls that we have recorded in the first half of the year.”


He said further, “We are not saying the target is impossible; we will do our best to ensure the shortfall recorded in the first part of the year is recovered.”
Also commenting on the smuggling of petroleum products in view of the comparative cost of buying PMS across the west coast, Adeniyi said, “We are not there yet, at a level where we could say the smuggling of petroleum products has been controlled 100 per cent. But the incidence of smuggling from our seizure report has greatly reduced.”


According to him, “We have also done this analysis and what our seizure report has shown is that the incidence of smuggling still persists.
“Sometimes, it is not about the comparative cost; sometimes, smugglers and those who patronise these smugglers also look at the quantity of the PMS.
“One of the intelligence that we got from our neighbouring countries tends to suggest preference of PMS in Nigeria because of the quality.
“The statistics tend to show that there is a reduction in the smuggling of petroleum products across the borders.”


Nonetheless, he said in his first 100 days in office, “We embarked on a comprehensive overhaul of the Nigeria Customs Service, guided by our policy thrust. We recognised that to effect real change, we needed to incrementally challenge the status quo and instigate a transformation that was both dynamic and results-oriented.


“One of our primary objectives was to optimise revenue collection. We introduced a series of reforms aimed at plugging revenue leakages, streamlining the customs clearance process, and addressing the existing gaps at the time.”


The acting customs CGC listed some of the noteworthy measures implemented during the timeframe including the immediate set up of a Revenue Review Performance Recovery Team; Dissolution of existing Strike Force Teams that constituted the multiple layers of enforcement into the recognised structure of Federal Operations Unit (FOU), adding that this was done to reduce the multiple checkpoints from about five units of checks at every stretch to just two that should comprise either the command or the FOU.


Other measures included the introduction of the Advanced Ruling system which represented a notable stride in aligning the service operations with global best practices, in line with the recommendations of the WTO TFA (World Trade Organisation Trade Facilitation Agreement); the inauguration of a steering committee on the implementation of the Authorised Economic Operators for Compliant Traders, with a clear focus on transitioning from the existing Fastrack 2.0 to the AEO concept among a host of other reforms initiatives under the new regime.

Adeniyi said, “The policy thrust of ‘Consolidation, Collaboration, and Innovative Solutions’ is not merely a collection of words; it represents the very essence of our mission in the Nigeria Customs Service.

“It signifies our unwavering commitment to building upon the foundation of excellence laid by our predecessors, forging stronger partnerships with key stakeholders, and continuously seeking innovative solutions to the challenges we face.

“This policy thrust holds profound significance for several reasons. Firstly, it acknowledges the need to consolidate the positive legacies of the Customs Service, recognising that our history is rich with achievements that must be preserved and built upon.

“Secondly, it places a strong emphasis on collaboration, understanding that we cannot operate in isolation. To thrive in the complex landscape of international trade and security, we must work closely with our fellow agencies, the private sector, and other stakeholders.

“Lastly, it underscores the importance of innovation as a driving force behind our progress. In today’s dynamic world, embracing innovative solutions is not an option but a necessity.”

He said, “Our chosen policy thrust seamlessly aligns with the overarching vision for the Nigeria Customs Service – ‘To become the most efficient and service-driven government organ, with a relentless focus on revenue growth and border security’.

“By consolidating our strengths, collaborating effectively, and fostering innovation, we are not only fulfilling our vision but also setting the standard for excellence in government service.

“The synergy between our vision and policy thrust creates the requisite momentum that propels us forward. We recognise that to be the best, we must consistently strive to improve our efficiency, enhance our service delivery, and secure our borders.

“This alignment ensures that our efforts remain steadfastly directed toward achieving our mission and, ultimately, serving our great nation with dedication and distinction.

“Our chosen policy thrust was not arrived at by chance; it was deliberately aligned with the Policy Advisory Council Document of the President Tinubu-led administration and the eight priority areas of the government.

“These priorities include food security, ending poverty, economic growth and job creation, access to capital, improving security, improving the ease of doing business, upholding the rule of law, and fighting corruption.”

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