The Lagos Chamber of Commerce and Industry (LCCI) is speaking out against the sudden enforcement of a four per cent Free-on-Board (FOB) levy by the Nigeria Customs Service (NCS). The NCS recently announced that a four per cent fee would be applied to the FOB value of imports, causing concern among businesses and stakeholders.
Chinyere Almona, the Director-General of LCCI, expressed worries about the lack of consultation and preparation time given to businesses before implementing the levy. She emphasized the importance of transparency and inclusivity in trade-related policies, citing international best practices.
While acknowledging that the 4% charge is supported by the Nigeria Customs Service Act 2023, specifically under Section 18, Almona raised issues with the sudden implementation without engaging relevant stakeholders. She highlighted the negative impact of this levy on business operations, transaction costs, and overall economic stability, leading to a decrease in investor confidence.
The Chamber urged the government to focus on improving port efficiency to facilitate trade and reduce opportunities for corruption. Almona emphasized the need for a balance between trade facilitation and revenue generation to support businesses and enhance the ease of doing business in Nigeria.
In conclusion, LCCI called for the immediate suspension of the levy and a more collaborative approach to policy implementation. It is essential for government agencies to consider the impact of additional costs on businesses and work towards creating a more conducive business environment for all stakeholders involved.
