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Home » Corruption is not synonymous with Customs, it’s a collective burden!

Corruption is not synonymous with Customs, it’s a collective burden!

by Joshua
November 1, 2015
in Uncategorized

Certainly, the Nigeria Customs Service is not the only Government agency in the ports, but it is the most notorious, it is tagged the most corrupt, even by port users- its immediate constituents

Certainly, the Nigeria Customs Service is not the only Government agency in the ports, but it is the most notorious, it is tagged the most corrupt, even by port users- its immediate constituents
But, the Nigerian port system comprises of a web of suppliers and users of shipping services on one side and suppliers and users of ancillary services on the other. Spread across this winding and complex web are players such as: Nigerian Ports Authority, (NPA),Nigeria Customs Service, (NCS), and its service providers, shipping agents, Standards Organisation of Nigeria,(SON), National Agency for Food and Drugs Administration and Control, (NAFDAC), terminal operators, service providers (including scanning)  importers (big and small), licensed customs agents, dockworkers, truck owners, drivers and motor boys.
Apparently, because it is difficult to ascertain the identity of those who perpetuate fraud in the port system, because the chain of importation and clearing is long; hence it can only be situated within the chain; that is, from the point an importer opens his ‘Form M’ to when the goods are actually procured and packaged and freighted into Nigeria as an import and up to the point at which it is cleared from the port and delivered to the consignee.
In analysing the phenomenon called corruption in the port system, a lot of people tend to pin it down to the Nigeria Customs Service largely, but that is an incorrect judgment.
Our findings have revealed that corruption is (in most cases) engineered from the point at which a consignment is procured. A situation when an importer defies import guidelines and import prohibition orders of the federal government makes the consignment and its importer susceptible. By implication, the licensed customs agent inherits the liability.
To ensure that the (offending) consignment is cleared out of the port, he (the clearing agent) begins to define ways and this means being at the mercy of officials of government agencies, notably Customs officers.
The notoriety and high rating which the Nigeria Customs Service enjoys on the corruption scale is not to say that other players are angels; virtually all the actors whom we have identified above are involved at one level or the other in making the port system what it is.
Stakeholders always rush to label customs personnel as the most corrupt, but as much as we do not want to draw a corruption perception table, we will like to look at them one after the other.
The first thing that happens once a ship comes into the harbour is that officials of government agencies; notably, the Nigeria Immigration Service and the Nigerian Maritime Administration and Safety Agency go on board. Curiously, they board empty handed and disembark with loads of goodies including foreign currencies, drinks and other assorted items. That is the first act of corruption.  
From that point, the terminal operator takes over and moves the consignments to designated temporary storage facilities, while the importer or his licensed customs agent begins the process of taking delivery. From this moment, he is at the mercy of the container handler operator at the terminal, the Customs officer (and sometimes, the dockworker) at the terminal.
If he is lucky and the container is not problematic, it may not be necessary to open his container for full examination; if this is so, he moves to the gate and still contends with a horde of agencies including, NPA Security personnel, the Police and the Customs and who must again, vet the documents before the container exits.
On the strength of the above, we weren’t too surprised when the Manufacturers Association of Nigeria (MAN) told visiting Comptroller General of Customs; Col Hameed Ali (rtd) that consignees have to contend with scores of signatures before they can take delivery of their consignments at the port. The association specifically alleged that there were 70 of such signatures at Tin Can Island port and about 40 at Apapa port.
While we agree that, there are many hurdles to cross before an importer can take delivery, we also don’t agree that there are as many a s110 signatures
Industry experts have also identified  signatures required in the international trade (imports/exports clearance) flow, beginning from the; trade inquiry, to include:  opening of form M, Documentations, submission of Manifest, Berthing Meetings / operational clearance process  ( from  vessel discharge, cargo documentation, examination, Scanning, Regulatory agencies release/endorsements, Customs release, Shipping Company release, Terminal release, Cargo Exiting/Delivery.
But they also say that these are not customs signatures as the MAN wants the CG of Customs to believe.
In conclusion the many signatures would have been unnecessary if there is compliance.
We agree with the Nigeria Customs Service that, “One of the ways in which an importer/exporter can minimize the risk of delays is to abide by rules of engagements/adherence to regulatory requirements, so that they can be accommodated in the existing window of Fast Track treatments, that requires compliance for greater disclosure of information, selection interface with the Customs automated system and a requirement for a sound financial positions among possible elements”.
 
 


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