We are happy that the CEMA has finally been assented to by the President of the Federal Republic of Nigeria and we have seen some new features that were not in the old CEMA of 1958 as amended. Licenses will be renewed every four years now and freight forwarders will be represented on the board of Customs. There are a whole lot of changes that are featured in this new CEMA. We are still going through it to discover and identify other features. But for now, it is a good and welcome development.
Customs themselves will see the need to modernize and reawake to the modern-day international supply chain of Customs services. Gone are the days when Customs will be more concerned with revenue. This time around, it goes beyond revenue. We are now talking about trade facilitation, Artificial Intelligence, and people-oriented service. It is a good development and I am looking forward to seeing a new reformed Customs Service operation.
Yes, I am. If not for anything, at least this one is almost a 100 percent Nigeria Customs and Excise Management Act. At least, let me assume that this is Nigerian; whether it is favorable or not. At least from over a 100 years, we have been able to design a Nigerian oriented, created, criticized, accepted and enacted Law. So, it is now fit to suggest that we have begun the process of indigenization for the Nigeria Customs. This is my singular reason for being happy. I have not fully read through yet, so I don’t know the pitfalls of the Law.
To be frank and candid, certain parts of the CEMA are okay while there are other parts that are not okay. The extension of years of license renewal and the appointment of the CG from Customs are okay. Virtually everything about the CEMA was okay apart from certain products that were included in the ban list. There is also an increment on the percentage to be paid on vehicles. It will greatly affect our businesses and the economy. The increment in excise duties is going to cause inflation. Those are some of the few areas I feel are not okay. They were supposed to brainstorm and engage with stakeholders before the government signed it into law.
Yes, we are very happy with that development. At least it won’t be like before. Many things in the system will no longer be like it used to be. However, I have not seen the full details of the new CEMA to know if it is for us or against us. We are looking up for changes in the system.
Of course, we have been waiting for it for a long time. We are happy over it, but there are some clauses that they needed to have sought stakeholders’ consent. However, we are happy that the career officers will now be CG of Customs. The other issue of the four years renewal of license for freight forwarders is also a welcome development instead of run helter-skelter to Abuja to renew our license every year. We know how things are been run in Nigeria, however we are happy that they have come up with a new CEMA. Those are the two agenda that I can refer to as something that is good to us as stakeholders. We are waiting. If it is going to work, we would be very happy with that.
I don’t think we still have the same person as the President of the country because no right-thinking person will sign that kind of law. Let him tell us the importance of that CEMA he signed. The law is contained with punishments of agents who will go to prison excluding Customs who are the major culprit. There is no area of the law that involves Customs. It only involves agents who will go to prison if they do certain things. He is going out in less than 30 days, so why is he signing laws? It is quite unfortunate.
Of course we are happy because we have been clamoring that the CEMA had been obsolete for a long time. It is no more in tune with the current reality. The World Customs Organization (WCO) and other organs have identified that most of the things in the other CEMA is obsolete. The new CEMA is a welcome development. The appointment of CG is clearly-defined. It is not like the current one that the President appointed a retired Colonel to head to Customs. I think we welcome it hoping that it would have a positive effect on the economy.
Yes, I am happy and what makes me happy particularly is the bringing Customs back under the Ministry of Finance. I am happy with some of the details contained in the law. As a matter of fact, that is what I am reading now. The CG which must be appointed amongst the ACGs is a good one so that we would not have a situation where the system picks someone irrespective of the rank. Now licenses will only be renewed after four years unlike the long procedures and money involved, we go through every year. That one in particular is a very patriotic development. I am not done reading the document, I am yet to know if the inputs we gave have been effected in the final draft.
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