The Kano/Jigawa Customs Area Command held a stakeholders’ meeting on Wednesday to explain the 4 per cent Free On Board (FOB) collection and its suspension.
Area Comptroller, Dalhatu Abubakar, addressed the gathering, stating that the new revenue law benefits all stakeholders, including exporters, importers, and customs agents.
He explained that the FOB collection had been temporarily suspended due to the termination of the Nigeria Customs Service (NCS) contract with service providers.
Abubakar assured that the NCS would resume direct collection of the 4 per cent FOB once the suspension is lifted.
“The FOB collection suspension is due to the termination of our contract with service providers.
“We are engaging stakeholders during this period to raise awareness about the levy’s importance,” Abubakar said.
The Comptroller noted that the suspension aligns with the NCS’s efforts to transition to direct levy collection by the service.
He added that the suspension period allows the NCS to educate stakeholders on the necessity of the 4 per cent FOB, legally backed by Section 18 (1) of the NCS Act (2023).
“Our aim today is to discuss the ongoing FOB suspension.
“This engagement is ongoing, and we will invite you again in the coming weeks to further explain the levy’s purpose and significance,” Abubakar stated.
The Comptroller explained that the 4 per cent FOB, also known as the Financial Customs Service Operation (FCSO), is essential for NCS operations and stakeholder interactions.
He emphasised that the levy is legally mandated and vital for smooth customs operations.
Stakeholders at the meeting were educated on the benefits and legal basis of the FOB, while some expressed concerns about the additional financial burden.
