Customs Agents Threaten Service Withdrawal Over Proposed License Fee Hike

In a bold show of unity, licensed Nigerian customs agents are pushing back against the Nigeria Customs Service (NCS) over a proposed dramatic hike in license fees. At a Lagos meeting organised by the Association of Nigerian Licensed Customs Agents (ANLCA), industry representatives warned that they may withdraw their services at the nation’s ports if the fee increase moves forward.

What’s at Stake?

  • Proposed license fee changes: The plan would raise the cost of a new license from ₦515,000 to ₦10 million, and the annual renewal fee from ₦215,000 to ₦4 million.
  • Impact on costs: Agents warn that these costs will be passed down to importers and, ultimately, consumers, potentially driving up prices for goods and increasing the cost of doing business at the port.

The meeting also demanded that current rates be maintained and that license renewals be pegged at three to five years.

Key Voices from the Meeting

  • Emenike Nwokeoji (ANLCA National President): Led the gathering and spoke against the proposed hike, highlighting that higher costs would be transferred to customers and worsen poverty among Nigerians.
  • Dr. Ikenna Nwosu (LCCI Deputy Chairman, Clearing and Forwarding Trade Group): Argued that the NCS’s aim appears to be revenue generation rather than simply issuing a permit, noting that globally, license fees are not typically treated as revenue-based.
  • Lewis Ogunojemite (Retired Comptroller of Customs): Described the ₦2,000% increase for a new license as illogical and part of a strategy to push agents out of work.

Participants cited examples from other countries—Canada, the United States, Singapore—and several West African nations where licenses are renewed on three- to ten-year cycles, with some being permanent. This contrast underlined what they see as the global norms and potential misalignment with international practices.

The Broader Context

Agents argue that the proposed renewal policy is out of step with international norms and would position licensing as a revenue-raising instrument rather than a straightforward permit process. The concern is also about the long-term sustainability of their businesses and the broader trade facilitation role that customs services are expected to play.

Where This Goes from Here

A focal point of the meeting was a firm resolve: if the NCS does not budge following consultations, the agents will “down tool”—a drastic step that could bring port operations to a standstill. The gathered representatives stressed the need for a unified front and called on the NCS to consider the livelihoods of practitioners and the downstream effects on trade and prices.

What This Means for Businesses and Consumers

  • The potential service withdrawal would add significant uncertainty to import/export timelines, potentially disrupting supply chains.
  • If fees rise dramatically, importers may seek alternative channels or pass costs onto consumers, affecting retail prices and inflation.
  • The situation underscores the critical balance between licensing revenue for governments and maintaining a competitive, efficient trade environment.

Final Thoughts

This development highlights the ongoing tension between regulatory revenue measures and practical trade facilitation. As negotiations unfold, stakeholders—from port operators to business owners and everyday consumers—will be watching closely to see whether the NCS adjusts its proposals or stands firm. The next steps will likely shape licensing norms and port operations in Nigeria for years to come.

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