World Trade Organization (WTO) Director-General, Dr. Ngozi Okonjo-Iweala, has spotlighted Nigeria’s unusually high cargo inspection rate, calling for urgent reform in customs practices to improve trade flow and reduce delays at the country’s ports.
Speaking virtually at the Nigeria Customs Service’s (NCS) Comptroller-General’s conference, Okonjo-Iweala highlighted the critical need to balance security and efficiency, pointing out that 90% of Nigerian shipments are still inspected manually, compared to less than 1% in developed economies.
The WTO chief argued that Nigeria’s reliance on physical inspections hampers port efficiency, slowing trade and adding unnecessary costs to businesses.
She urged the NCS to shift towards risk-based screening methods that would focus only on high-risk shipments, allowing the majority of cargo to pass through quickly. This approach, she noted, could help create a trade environment that better aligns with international standards.
“Progress in Nigeria’s customs efficiency hinges on adopting advanced risk management and minimizing excessive inspections,” Okonjo-Iweala emphasized. She noted that this change should be part of a broader strategy to improve compliance by setting clear regulations and reliable penalties for violations, fostering consistency in customs procedures.
Okonjo-Iweala’s comments come amid ongoing discussions to reform customs procedures in Nigeria, a critical move that could position the country as a more attractive hub for foreign investment and cross-border trade. As the country seeks to reduce bottlenecks in its import-export process, her message underscores the urgency of prioritizing reforms that would make customs processes more predictable and efficient.