Nigeria Customs Develops AEO Program for Trade Facilitation

Nigeria Customs Develops AEO Program for Trade Facilitation

The Nigeria Customs Service (NCS) has championed an Authorised Economic Operators (AEO) program.

This is to enhance the efficiency and predictability of trade facilitation efforts in the country, a statement by the agency disclosed, on Tuesday.

The Comptroller-General of Customs (CGC) Adewale Adeniyi, during a stakeholders meeting in Abuja today, said the program would foster collaboration between their Customs Service, Other Government Agencies (OGAs) and experts to boost AEO programmes.

The Customs helmsman emphasized that a strong determination is needed to work together, to change the narrative of doing business in and around Nigerian ports.

“And if you have observed, you will also see that AEO cuts across virtually every player in the sector, the exporter, the importer, the government agencies, regulatory agency, the customs and everybody in one way or the other.

“So this allows us to address some of those issues. So that when next operators talk about compiling how much it takes them, we will see data that are a little bit more friendly,” he said.

He recalled that the NCS in February 2024 launched a Time Release Study (TRS) as another measure to optimise the trading experience within Nigeria.

Assuring the stakeholders of Nigeria Customs’ commitment to run the pilot program of AEO successfully, Adeniyi said, “As we are taking the steps with you with the implementation of the Authorised Economic Operator program, which hopefully will start from the 15th of April 2024.”

He also explained that the objectives of the pilot program as a course were to evaluate the visibility and effectiveness of implementing the AEO program within the Nigeria Customs Service and to solicit feedback from all our key stakeholders.

He said, “All these pilots that we want to run, we aim to identify potential challenges, fine-tune our processes, and lay the groundwork for a full-scale rollout of the AEO program.”

He expressed optimism that the Service will be committed to fostering transparency, inclusivity and collaboration while ensuring that the program’s designs and execution align seamlessly with international standards.

Awa Nnenna, Chief Superintendent of Custom and Project Manager of the Authorised Economy Operator said the pilot phase of the program is designed to streamline Customs clearance processes while ensuring transparency and inclusivity in line with international standards.

Awa noted that the key benefits of the AEO program include expedited Customs clearance procedures and the establishment of mutual trust between Customs authorities and accredited operators.

“By facilitating smoother trade operations, the programme aims to stimulate economic growth.”

On his part, Charles Odii, Director-General of the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), commended the Nigeria Customs Service for its proactive approach to engaging small-scale business owners through the Authorised Economic Operator (AEO) program.

Odii, while reiterating his commitment towards supporting the AEO programme, said the initiative will contribute to the growth of Nigeria’s GDP and Foreign Exchange reserves.

He emphasised the importance of creating avenues for domestic business owners, particularly SMEs, to participate and benefit from such initiatives.

“I believe that this program will enable SMEs to enhance their investments and leverage the opportunities presented by the AEO window.”

He added that the program will not only streamline trade processes but also change the narrative surrounding trade in the country, ultimately fostering a more conducive environment for business growth and development.

“As we are launching this scheme, I am looking forward to the many more testimonials within the next six months.

“What we want to do is get all the testimonials to help ease the operations at the port and see how these will trickle down to job creation and just helping to increase livelihoods of small business owners in Nigeria,” he added.

Mr Pius Akutah, CEO of the Nigeria Shippers Council, commended the NCS for the initiative and reiterated the council’s commitment towards supporting and ensuring the success of the AEO programme.