The Comptroller General, (CGC), Nigeria Customs Service (NCS), Bashir Adeniyi, says the launching of Authorised Economic Operator (AEO) programme by the service would enhance trade facilitation across the globe
Adeniyi said this during the inauguration of the programme in Lagos on Friday night.
He said that the evolution in customs-business relationships reflected the dynamic nature of international trade and the growing need for secure and efficient supply chains.
According to him, AEO as defined by the World Customs Organisation (WCO) is a party involved in the international movement of goods.
“This has been certified by a National Customs Administration as complying with WCO or equivalent supply chain security standards,”he said.
Adeniyi acknowledged the success of the AEO programme which relied heavily on collaborative efforts across all stakeholders.
He also expressed gratitude for the exceptional support that the service had received at the highest levels of government.
“The direct oversight and strategic guidance from President Bola Tinubu, coupled with the support of the Chairman of the Nigeria Customs Service Board, Mr Olawale Edun, have been instrumental in driving this initiative forward.
“The synergy established with the Ministry of Marine and Blue Economy and other agencies in the ports have further strengthened our implementation framework.
“The decision of NCS to implement the AEO programme aligns with global best practices that began around April 2024,”he said.
He said that the service, in developing its framework, strategically, benchmarked against two leading customs administrations.
“His Majesty’s Revenue and Customs (HMRC) UK and South Africa Revenue Authority (SARS) represented best practices both globally and within the African continent,”Adeniyi said.
The Customs boss said that AEO certification validated a company’s commitment to security, compliance, and operational excellence in international trade.
He said that through the AEO programme, certified operators would gain access to streamlined customs procedures and reduced physical inspections.
Our six pilot AEO companies have demonstrated exceptional growth, with their collective trade value increasing significantly from N185.8 billion in 2023 to N563.8 billion in 2024.
“This growth is mirrored in the customs revenue generated from these companies, which rose from N18.4 billion in 2023 to N51.1 billion in 2024.
“This contributed meaningfully to our overall revenue which grew from N3.2 trillion in 2023 to N6.1 trillion in 2024,”he said.
He said that the pilot phase had yielded transformative improvements in operational efficiency.
According to him, an ambitious target was set to reduce clearance time from 168 hours to 48 hours.
“By Dec. 31, 2024, our AEO-certified companies were achieving an average release time of 43 hours, surpassing our target by 5 hours.
“This represents a remarkable 66.9 per cent reduction in cargo clearance time compared to the pre-AEO status of five days, and significantly outperforms the seven-day clearance period required for regular Economic Operators (EOs).
“This aligns perfectly with our national economic objectives, particularly President Bola Tinubu’s vision of achieving a one trillion-dollar economy by 2030,” he said.
He said that the AEO programme strategically complemented the President’s eight-point agenda by supporting food security through faster clearance of agricultural inputs and machinery.
“This is contributing to economic growth through trade facilitation and creating jobs through expanded business opportunities,” Adeniyi said.
Also during the launching of AEO programme by NCS, The World Customs Organisation (WCO) and the Lagos State Government also commended the Nigeria Customs Service for its Authorised Economic Operators (AEO) programme to improve trade facilitation.
They gave the commendation during also the inauguration of the AEO programme .
The Secretary General of WCO, Mr Ian Sanders, in a virtual message congratulated the NCS for delivering on its commitment to efficiency, security and prosperity in line with the organisation’s standards
He said that NCS, with a committed leadership and a sense of purpose, embarked on the effort using a phased approach.
He said that the service had tested the programme in a pilot that included businesses of various sizes and models, including small and medium-sized enterprises.
“We celebrate the inspiring journey toward implementation of an authorised economic operating room aligned with international standards and best practises, specifically the WCO’s safe framework of standards.
“Over the past 24 months, the NCS has translated its commitment to trade,
exploitation and supply chain security into visible steps to align its operations with the WCO revised,” Sanders said.
The Lagos State Governor, Mr Babajide Sanwo-Olu, said that the AEO Programme would serve as a catalyst towards economic growth, trade facilitation, and global competitiveness.
Represented by Folashade Ambrose, Commissioner for Commerce, Cooperatives, Trade and Investment, Sanwo-Olu said that the initiative reflected the Federal Government’s resolve to encourage investment, trade expansion, and national development.
He said that the programme would ensure faster cargo clearance, fewer trade barriers, and a more seamless business environment.
“The AEO programme is nothing short of a game-changer for trade and security as it will strengthen partnerships between customs and businesses committed to compliance, security, and best practices in supply chain management.
“By granting AEO accreditation to businesses that meet these high standards, we are not only enhancing security but also streamlining trade operations,” he said.
According to the governor, as Nigeria integrates into the global trade ecosystem, the AEO programme stands as a pivotal initiative.
“It will not only boost national revenue but also solidify the country’s position as the preferred trade hub in West Africa, ” he said.
He commended the customs for its unwavering dedication to modernising procedures and aligning Nigeria with international best practices.
The House of Representative Committee Chairman, Custom and Excise, Mr Leke Abejide, said that the AEO programme was for efficiency and also about building compliance and competitiveness for businesses in the global chain.
Abejide was represented by the Deputy Chairman, Mr Shehu Husaain.
He urged stakeholders to embrace AEO initiative with commitment and cooperation, adding that the success of the programme depended on strong public-private collaboration.
The Representative of Private sector, Mr Muda Yusuf, urged players in the sector to balance their commitment of revenue generation to trade facilitation.
According to Yusuf, the private sector contributes enormously, perhaps over 80 per cent to the GDP of the country, as well as contributing to employment and revenue generation.
The Managing Director, Nigeria Ports Authority, Dr Abubakar Dantsoho, said that with the launching of AEO, Nigeria was focusing on efficiencies and productivities.
Dantsoho said that those would enable Nigeria to be a preferred destination and port of origin in West and Central Africa.
The Executive Secretary, Nigeria Shippers’ Council, Mr Pious Akutah, commended NCS for successfully innaugurating AEO, and for championing initiatives to improve cargo clearance, enhance trade facilitation and improve customs operations.
President, National Association of Chambers of Commerce, Industry Mines and Agriculture ( NACIMA), Mr Dele Oye,
commended customs for providing clear guidelines for its operation to assist the private sector to remain in business.
He urged customs to invest more in capacity building by providing training and further tackling e-commerce deploying technology to improve transparency.
The Deputy Comptrollers General of Customs in charge of Tariff and Trade, Caroline Niagwan, said that the AEO programme would not only improve efficiency at the borders but also enhance Nigeria’s competitiveness in the global markets.
She urged stakeholders to show commitments to the programme to encourage eligible businesses to embrace the initiative and leverage on related clearance, reduce costs and earn global recognition.
The News Agency of Nigeria (NAN) reports that the Comptroller General of Customs, Bashir Adeniyi presented certificate to the six pilots of the AEO programme.
They include Lelook Nigeria Ltd., Frieslandcampina WAMCA Nigeria Ltd., Double one PLC, First Class Refreshments Ltd., Huawei and Ideal Royal Crown Logistics Ltd.,
Adeniyi also said that NCS would bbegin certification of the Authorised Economic Operators in Feb. 17. (NAN/vitalnewsngr.com)
