Customs brokers operating at Tin Can Island port have urged the Ministry of Finance and the Central Bank of Nigeria (CBN) to address the fluctuating exchange rate hampering trade and deterring investors from the country.
They said the unpredictability of the exchange rate makes planning difficult for importers who have taken high-interest loans from financial institutions.
The Managing Director of Rozac International Nigeria Limited, Ada Akpunonu, lamented that the floating exchange rate is a worrisome issue that impedes trade and scares investors from the country.
Akponuno said the Ministry of Finance and the Central Bank of Nigeria (CBN) should as a matter of urgency intervene to bring sanity to the system and restore the sagging confidence of investors.
The Sole Administrator of the Association of Nigerian Licensed Customs Agents (ANLCA), Tin Can chapter, Sunday Eforha, said the fluctuations in exchange rates in the last three to four months, scare importers, who are afraid and cannot plan as most of them took loans from the banks with high interests.
He claimed that the situation has given rise to a paucity of cargo at the port, saying, “Cargo throughput has dropped and Tin Can port now looks like a graveyard.
The customs brokers, however, expressed satisfaction with the current Customs administration led by Comptroller General Adewale Adeniyi, noting that it marks a significant shift from the challenges they have faced.
They also praised Adeniyi’s one-year tenure for bringing peace, stability, and efficiency to port operations, thereby highlighting the positive impacts on trade facilitation, revenue collection, and staff welfare.
The brokers noted that the Nigeria Customs Service (NCS) Act 2023, which allows professionals to manage customs affairs, has significantly improved operations.
They said issues like function duplication and task force multiplication, which hampered trade, have been resolved, resulting in faster clearance times for compliant importers now between 24 to 48 hours.
“There are no longer multiple task forces checking consignments, which previously led to delays and extortion. Staff morale is high due to better welfare programmes, resulting in efficient service delivery. This improved atmosphere has boosted trade compliance and revenue generation,” Akponuno said.
The ANLCA officials also refuted claims of favoritism in duty collection, asserting that duties are applied based on declarations, not influenced by individual whims.
The Managing Director of Lungwu Nigeria Limited, Usman Baba, explained that duty application is uniform and triggered by the system, not on the whims and caprices of an individual.
Baba remains hopeful that as the Customs administration continues its reforms, the brokers remain hopeful that further improvements will enhance Nigeria’s trade environment, despite the ongoing economic challenges.
