Nigeria Customs Service Begins Rewarding First Set of Authorized Economic Operators

Tayo Busayo, Abuja 

DAILY COURIER - The Nigeria Customs Service (NCS), in a significant move aimed at enhancing the ease of doing business in Nigeria has commenced the administration of rewards under its Authorized Economic Operator (AEO) program. This initiative, effective from September 2, 2024, targets the first set of selected importers, exporters, small and medium enterprises (SMEs), customs licensed brokers, and logistics operators. The AEO program is designed to streamline trade processes, reduce supply chain bottlenecks, and align Nigeria’s trade practices with global standards.

The NCS, under the leadership of Comptroller-General Bashir Adewale Adeniyi, MFR, selected the initial participants based on their strong compliance records within the supply chain. These companies and operators underwent a rigorous three-month validation process to qualify for the program. The AEO initiative is a pivotal part of NCS efforts to modernize its operations and promote transparency and efficiency in Nigeria’s trade environment.

According to the NCS, the AEO program is being implemented in collaboration with the World Customs Organisation (WCO), which has been instrumental in providing expertise and capacity-building resources. Other key partners in the success of this initiative include the World Bank's Accelerating Revenue Mobilization Reforms (ARMOR) program, along with customs administrations from the United Kingdom (His Majesty’s Revenue and Customs), South Africa (SARS), and Uganda (URA), which served as benchmarks for best practices.

Authorized Economic Operators participating in the program will enjoy a range of benefits, including automatic Pre-Arrival Assessment Report (PAAR) registration, green lane routing for consignments, a dedicated relationship manager, and AEO branding. These measures are expected to significantly expedite the customs clearance process for the selected operators. The pilot phase, which is now in operation across all ports in the country, will provide valuable insights for the eventual full-scale rollout of the program.

As part of the pilot phase, NCS will evaluate participants’ compliance with the program's provisions before issuing formal certificates recognizing their status as Authorized Economic Operators. The service emphasized that continuous compliance is essential for maintaining the privileges associated with the AEO status.

In a statement, Comptroller-General Bashir Adeniyi underscored the importance of collaboration with other stakeholders, including government agencies and development partners, to ensure the success of the program. “Collaboration is not just vital; it is essential for unlocking the full potential of the AEO program, which promises to significantly streamline trade processes and elevate Nigeria's standing in the global trade arena,” Adeniyi said.

The NCS reaffirmed its commitment to promoting a seamless and secure trading environment for Nigeria’s businesses. The AEO program is expected to boost Nigeria’s trade facilitation efforts, ensuring that the country keeps pace with international best practices. The successful implementation of the pilot phase marks a critical milestone in the NCS’s ongoing efforts to modernize and optimize service delivery for all Nigerians.

With the introduction of the AEO program, the NCS aims to reinforce its role as a key player in fostering a transparent, efficient, and business-friendly customs environment, ensuring that compliant traders are duly recognized and rewarded for their contributions to the Nigerian economy.