The Nigeria Customs Service (NCS) has proposed a dramatic increase in licensing fees for customs agents, freight forwarders, and related stakeholders.
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An internal memo obtained shows that new licence applications for customs agents and freight forwarders will rise from the current N515,000 to N10 million a nearly 20-fold increase. Renewal fees will also jump from N215,000 to N4 million. Importers and exporters will be required to obtain bank bonds of up to N20 million, up from the current N350,000, as a financial guarantee.
Bonded warehouse licence fees will soar from N60,000 to N20 million, with renewals costing N10 million. Terminals will face bank bond requirements of N500 million, a 900 percent increase from the previous N50 million. Ship chandlers will see licence fees rise from N515,000 to N2 million, with renewals costing N1 million and bank bond requirements increasing from N350,000 to N2 million.
The last review of fees was in 2002, when new customs clearing agents’ licences increased from N20,000 to N500,000, and renewals from N10,000 to N200,000.
The NCS explained that the review aims to “reflect prevailing economic realities, including the value of exchange rates, address operational demands,” in line with Sections 103 and 107 of the Nigerian Customs Service Act 2023. The Service stated that individuals wishing to transact business with Customs must comply with all licensing requirements.
Despite provisions for consultations with customs representatives and traders, some stakeholders, including an inland bonded terminal in Lagos, reported only learning about the revised fees recently, raising concerns over the transparency and timing of the review.
Industry observers warn that the fee hikes could trigger a ripple effect across the import and export sector. Frank Onyebu, an importer and former chairman of the Manufacturers Association of Nigeria, Apapa, said: “The agents have to recover whatever they are paying to the government. So, it will start to trickle down to whoever their clients are. That includes all importers and manufacturers. It’s going to get back to the importers and then eventually to consumers.”
The announcement comes shortly after the government introduced a four percent free on board (FoB) charge on imports, replacing the one percent Comprehensive Import Supervision Scheme (CISS). Traders warn that implementing the new FoB alongside the licence fee increases could create undue pressure on businesses, potentially leading to reform fatigue.
George Coleman, a supplier to infrastructure and industrial projects in West Africa, said: “The pace and speed of reforms need to be calculated against the ability of the economy itself to take the hit. Introducing high fees while expecting efficiency does not solve systemic issues; it only risks counterproductive outcomes.”
The NCS has indicated that compliance with the revised licence regime would offer “priority processing, better engagement channels with Customs officers, and deeper integration with upgraded digital platforms.”
However, clearing agents remain opposed. Sulaiman Ayokunle, a clearing agent and executive member of the Association of Nigeria Licensed Customs Agents, told BusinessDay: “It’s a shame. There is no reason for it. If the economy is bad, we feel it more than Customs. Agents pay duties to Customs daily.”
With discussions ongoing, the implementation of these fees remains a major point of contention between the NCS and industry stakeholders, who fear far-reaching consequences for trade and consumers.
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