Nigeria Customs Service Raises Export Duty Exchange Rate To N589/Dollar

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The Central Bank of Nigeria and the Nigeria Customs Service have taken the ongoing foreign exchange reforms to the maritime sector with a 40 percent increase in the exchange rate used for calculating import duty.

The NCS raised the exchange rate used for the calculation of import duty from N422.30/dollar to N589/dollar.

The development, which has led to a corresponding 40 percent increase in import duty on imported cargoes including vehicles, has made operators in the maritime sector including clearing agents, freight forwarders, and importers to call for a reversal of the policy.

Stakeholders said the policy would lead to job losses in the maritime sector and a drastic fall in the number of imported vehicles.

This, they said, could affect business and economic growth. Economists also said the policy was capable of affecting Nigerians.

The National Public Relations Officer, NCS, Abdullahi Maiwada, who confirmed the new exchange rate on the NCS portal, said the agency was only implementing a CBN policy.

He said, “Whatever you see in our system is what has been communicated to us. It is determined by the Central Bank of Nigeria. So whatever we are using is what is obtainable as communicated to us. It is a monetary policy, we only implement what is given to us. It is a monetary policy and anything monetary is not determined by us, it is determined by the CBN. We only use what is communicated to us.”

Also confirming the development, the Youth Leader of the Association of Nigerian Licensed Customs Agents, at Tin Can Island, Remilekun Sikiru, said that the new rate had been effected on the Customs portal.

Sikiru, also said that the customs duty payable on vehicles had increased astronomically.

He said, “For instance, the total duty payable on a Toyota Camry was N901,000 before now; but it has been increased to N1,270m; duty payable on Venza was N1.632m before now, but it has been increased to N2.278m. In the same vein, Toyota Corolla was N786,000, but now it has been increased to N1.097m while Lexus Rx which used to cost N1,828,000 now costs N2,550,447.”