The Lagos Chamber of Commerce and Industry (LCCI) has voiced significant apprehension regarding the Nigeria Customs Service’s (NCS) persistent enforcement of the four percent Free-on-Board (FOB) charge, despite an official suspension order issued by the Federal Government.
Dr. Chinyere Almona, the director-general of LCCI, emphasized that “the Customs Service references Section 18(1)(a) of the NCS Act 2023 to justify the levy. While we acknowledge the legislative framework, it is the Minister of Finance who holds the constitutional authority over fiscal policies. Any ministerial suspension, once properly issued, should be effective immediately unless reversed by the National Assembly or a competent judiciary.”
She highlighted that the ongoing imposition of this levy inflates import expenses, diminishes Nigeria’s competitive edge, and weakens investor trust.
In response, LCCI has urged the Nigeria Customs Service to promptly update its operational systems to align with the ministerial suspension and to publicly confirm adherence to this directive.
Furthermore, the chamber called on both the Ministry of Finance and the National Assembly to swiftly resolve any legal uncertainties. “Clear and coordinated policy measures are essential for Nigeria’s business sector to thrive, supporting trade, employment, and economic progress,” the statement added.
It is important to recall that the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, had earlier instructed the Nigeria Customs Service to halt the enforcement of the four percent FOB charge on imports.
This instruction was communicated through a circular titled ‘Suspension of the Implementation of four per cent FOB Charge by the Nigeria Customs Service,’ dated September 15, 2025, and signed by Raymond Omachi, the Permanent Secretary for Special Duties in the Ministry of Finance.
The FOB levy was initially introduced in early 2025, but it faced opposition from manufacturers, importers, and customs brokers who warned that it could exacerbate inflationary pressures in the country.
Minister Edun noted that the levy, as implemented by Customs, threatened to disrupt trade facilitation, destabilize the economy, and negatively impact Nigeria’s business environment.
“Under the authority granted to me by Part III, Section 12 of the Nigeria Customs Service Act, 2023, and as chairman of the Customs Board, I hereby order the immediate suspension of the four percent FOB charge on all imports,” the circular declared.
The minister further explained that this suspension was in response to widespread concerns from stakeholders, including manufacturers and clearing agents, who argued that the levy would fuel inflation, reduce trade competitiveness, and deter investment.
He added that this pause would enable comprehensive consultations with all relevant parties and allow for a thorough reassessment of the levy’s structure and its broader economic impact.
