With Drop in Trade, Yet More Revenue, FG Is Over-stretching Customs, Lament Agents

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*N4.1 tn target will undermine trade facilitation, affect overall economy badly – Nwabunike
* FG asked to stop $3.1bn customs modermisation project under 20 years concession arrangement
By Francis Ugwoke
Customs agents weekend raised alarm over the N4.1tn revenue target for the Nigeria Customs Service (NCS) for the 2022, describing it as a killer for trade facilitation with consequences of undermining the overall economy.
The agents also cautioned the federal government against signing the $3.1billion customs modernization project expected to run for 20 years.
President of the Association of Nigerian Licensed Customs Agents (ANLCA) Iju Tony Nwabunike weekend said emphasis on bogus revenue collection without considering the negative implication on trade facilitation and economy was not the best.
Nwabunike said that while there was a drop in trade in recent times, the Nigerian Customs has continued to collect more revenue, a development he argued was because of double taxation on importers and exporters.
Speaking during the National Executive Council (NEC) meeting of his association held in Lagos he said that by giving Customs high revenue target, government was over-stretching the Customs.
Nwabunike said “We read about N4.1trn 2022 revenue target for Nigeria Customs Service in the media. Giving these seemingly outrageous targets will undermine the productivity of the overall economy.
“This high target will place the NCS under pressure of high revenue collection and undermine the trade facilitation role the service should render.
“Pursuing bigger revenue and failing to strengthen trade results in greater losses to the economy as investments are either threatened, reduced or made non-existent.
“Totality of customs efforts deployed into revenue pursuit reduces the service productivity in many ways”.
The customs agent also advised the federal government not to sign the $3.1bn customs modermisation project which will run for 20 years.
According to the agents, “we urge President Muhammadu Buhari and the Finance Minister to avoid assenting to the deal.
“Nigeria is already in serious debts and customs being a strategic non oil revenue earner for government should not be tied to another long term repayments for two decades.
“On this, we call on the National Assembly to take very closer look at the details and ensure the Federal Ministry of Finance, Nigeria Customs Service and all parties involved observe due diligence that would entrap the country into another long debt repayment for 20 years and may be for lesser value”.
The association also commended the federal government for the for recent inauguration of an expanded partnership committee on blue economy chaired by the Vice President, Prof Yemi Osinbajo.
“We want to commend the federal government for its recent inauguration of an expanded partnership committee on blue economy chaired by the Vice President, Prof Yemi Osinbajo, We consider this a very bold step in the right direction.
“For us, this shows more commitment by the Buhari administration to maritime matters. We urge that the committee go beyond conference room talk and paper work to addressing real challenges militating against full harvesting of our marine environment benefits in a sustainable manner”.
The association also urged the federal government to consider it as member of some of its committees being a body of customs brokers, practitioners and investors with vast experience in trade matters.