.As Adeniyi highlights achievements and Challenges
.Worries about statistics of leadership transition
ZAINAB JUNAID
President Bola Ahmed Tinubu GCFR has lauded the tremendous contribution of the Nigeria Customs Service to economic transformative change while simultaneously fulfilling its core mandates.
Speaking at the three- day 2024 Comptroller General of Customs Conference held at Transcorp Hilton Hotel Abuja, from Wednesday, 13 to Friday, 15 November 2024, President Tinubu stated that the Service clearly aligned it’s statutory responsibilities with the broader national economic objectives through its comprehensive modernization agenda.
Represented by National Security Adviser, Mallam Nuhu Ribadu, at the conference themed “Engaging Traditional and New Partners with Purpose”, President Tinubu noted that in response to the presidency’s call for enhanced trade facilitation and economic growth, the Service introduced significant reforms including the Advanced Ruling system and Authorised Economic Operator Program.
An initiative which align with global best practices, show how agencies can innovatively implement solutions that advance the national economic objectives while meeting international standards.
“Such reforms not only enhance trade facilitation but also create a more predictable business environment that supports our broader economic goals.
“The results of these initiatives across the Service’s core mandates have been encouraging as they have shown remarkable progress in revenue generation, enhancing the government’s capacity to fund critical national development projects.
“Through their reforms, they’ve strengthened Nigeria’s position as a trade-friendly nation, particularly in the areas of export promotion and port efficiency. This has contributed significantly to our improved global ranking in the ease of doing business. The Service has also demonstrated that effective trade facilitation can coexist with strong regulatory compliance, as evidenced by its enhanced border security and anti-smuggling operations. These achievements affirm our administration’s belief that public institutions, when properly aligned with national objectives, can effectively drive transformative change,” he said.
The President who declared the three-Day Conference Open, reassured his administration’s commitment to supporting the Nigeria Customs Service in its modernization and reform initiatives, saying “We will continue to provide the necessary policy backing and enablement required to strengthen the Service’s capacity to deliver on its mandates. This includes support for technological advancement, infrastructure development, and capacity building programs that align with global best practices”.
Speaking further, President Tinubu informed that the administration’s commitment to creating an enabling business environment has resonated with the international investment community, this is as the economy currently witnessed a significant surge in foreign direct investments, which has exceeded $30 billion in the past year.
This landmark achievement, according to him demonstrated that Nigeria policies are yielding positive results, making Nigeria increasingly attractive for both domestic and international investors. More importantly, these improvements gradually creates new opportunities for Nigerian businesses to participate more actively in global trade.
In his speech, the Comptroller General of Customs, Bashir Adewale Adeniyi, disclosed that the Service achieved its 2024 revenue target of N5.07 trillion with over a month remaining in the fiscal year.
Adeniyi informed that the revenue figure recorded surpassed 2024 targets by 10%, underscored the positive impact of stakeholders collaboration and modernised customs systems, which have both enhanced efficiency and transparency across the Service.
“This accomplishment aligns with President Bola Ahmed Tinubu’s economic transformation agenda and showcases our commitment to a transparent and efficient customs system,” he stated.
He added that the milestone depicted the Service’s ongoing dedication to trade facilitation and economic growth.
In his words, “This achievement is not merely about numbers but demonstrates how enhanced Stakeholders’ collaboration, improved processes, and modernized systems can deliver positive results for the nation’s economy”.
“Our commitment to modernization initiative has continued to yield positive benefits to Stakeholders-Major reforms which includes rolling out a 24-hour cargo clearance initiative at key ports, launching a one-stop cargo alert system, and streamlining examination protocols, have been put in place to enhance trade facilitation.
“Additionally, the Service has introduced the Authorized Economic Operator (AEO) scheme, selecting initial participants who have demonstrated exceptional compliance with customs regulations,” he added.
CGC Adeniyi emphasised Nigeria’s advancing role in African trade integration, announcing the country’s first successful shipment under the African Continental Free Trade Area (AfCFTA) agreement.
He noted that the NCS’s commitment to facilitating trade led to Nigeria’s improved ranking on the Presidential Enabling Business Environment Council (PEBEC) index, where the Service rose by 33 places, now ranked among the top five agencies for trade facilitation.
“Our commitment to trade facilitation has contributed to this improved standard and strengthens our position in regional trade,” he stated.
On enforcement efforts, CGC highlighted the NCS’s robust enforcement measures, which have been instrumental in protecting Nigeria’s borders and economy.
“This year, the Service intercepted illicit goods valued at NGN 28.1 billion. A key initiative, “Operation Whirlwind,” in collaboration with the Office of the National Security Adviser and the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), has specifically targeted the smuggling of petroleum products, preserving Nigeria’s resources and economic interests.
“Our enforcement activities, which includes a state of emergency declared at major ports, has been effective in intercepting a wide range of illegal goods, from narcotics to counterfeit pharmaceuticals,” he noted.
However, amidst these success stories, Adeniyi outlined challenges encountered by the Service to include- the unprecedented rate of leadership transition within the Service, which he said needs strategic intervention.
“The Statistics of leadership transition in the Service tells a compelling story. We saw 60% of our management team exit in 2022, 36% in 2023, and this year, we will experience a 76% change in our management composition. With projections indicating another 40% of our management staff retiring in 2024, we recognize the urgent need for strategic intervention. In response, we have launched an ambitious Human Resource Development Plan that addresses both immediate and long-term needs.
“This includes accelerated career progression opportunities for deserving officers, ensuring that talent and dedication are appropriately rewarded. Most significantly, we are making a historic investment in human capital infrastructure through the establishment of a Customs University – a testament to our commitment to building a knowledge driven service. These initiatives, aligned with the World Customs Organization’s focus on youth leadership development, complement our comprehensive talent management program that identifies and prepares promising officers for leadership roles, ensuring the Service’s continued stability and effectiveness.”
Another major concern according to him is the misconception of NCS role amid monetary policy changes, where stakeholders viewed NCS activities as trade-restrictive rather than recognizing it’s commitment to trade facilitation.
“Additionally, we continue to grapple with widespread noncompliance among the larger population of traders who, though numerous, contribute relatively smaller portions to our trade volumes, values, and revenue. These external challenges have required us to intensify our stakeholder engagement and compliance initiatives,” he stressed.
The Customs Chief further pledged continued efforts towards trade facilitation, enforcement, and international collaboration, which will position Nigeria for a more robust economic future.
The conference was graced by Bigwigs from various sectors who brainstormed on ways of strengthening customs operations through collaboration and innovation, as they looked forward to the next Conference.