Customs, Manufacturers Agree on Partial Suspension of 4% FOB Levy to Ease Business Pressure

By Diafa Doubra,

The Nigeria Customs Service (NCS) and the Manufacturers Association of Nigeria (MAN) have reached a major agreement to exempt selected cargoes from the controversial 4% Free on Board (FOB) levy, following weeks of tension between the two bodies.

The breakthrough came after a series of meetings aimed at addressing manufacturers’ complaints that the levy had worsened the cost of doing business and disrupted supply chains. The Customs Service explained that the decision to partially suspend the levy was taken to support local industries and promote economic stability.

In a joint statement released after the meeting, both parties pledged continued collaboration to ensure smooth cargo clearance processes and improve trade facilitation at the nation’s ports. MAN’s President, Otunba Francis Meshioye, described the move as a “welcome relief” for Nigerian manufacturers, adding that it showed the government’s willingness to listen to stakeholders.

The Comptroller-General of Customs, Adewale Adeniyi, reaffirmed the service’s commitment to balancing revenue generation with economic growth, stressing that Customs would continue to review its policies to reduce bottlenecks for businesses.