Bill to Repeal CEMA Passes Second Reading in Senate

SENATE IN SESSION

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A bill which seeks to repeal the Customs and Excise Management Act Cap C45 Laws of the Federation of Nigeria for a new Act for the Nigeria Customs Service Act 2021 has passed through the second reading in the Senate.
The CEMA is 63 years old with criticism from stakeholders that its provisions have been overtaken by events.
The repeal of the CEMA according to the sponsor and Chairman, Senate Committee on Customs, Excise and Tariff, Senator Francis Alimikhena, was simply to modernise the CEMA to be in tune with reality.
Senator Alimikhena said the analysis of the Customs and Excise Management Act conducted in 2009 found the law to be severely lacking with respect to the World Customs Organisation’s Revised Kyoto Convention (RKC).
He added, “The Customs Excise Management Act (CEMA) as it is today does not contain provisions to support the use of electronic documents, signatures and electronic payment as well as application of risk management and a host of other information technology that are applicable to modern customs administration”.
He argued that at such a digital age, it was important to repeal the old CEMA, adding that Nigeria can no longer operate with 1958 colonial laws.
He said, “The bill will make the Nigeria Customs Service a legal organisation under the supervision of the Ministry of Finance and a Board that will operate in an efficient manner to serve the Nigerian public.
“Collection of revenue and trade facilitation will be substantially improved with full implementation of modern Customs procedures which include payments made electronically rather than by cash to reduce the possibility of corruption and increase efficiency in the system.”

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