By Gadia Mercy
The Senate Committee on Customs has applauded ongoing reforms in the Nigeria Customs Service, declaring that the agency’s improved performance reflects the impact of sustained government support and policy consistency under President Bola Tinubu.
Chairman of the Committee, Senator Jibrin Echuochuo, gave the commendation during the defence of the NCS 2026 budget proposal, noting that the Service had surpassed its revenue target for the review period.
Echuochuo said, “We must commend Mr President for his unwavering support for the reforms in the Nigeria Customs Service. His patience, confidence and commitment have significantly strengthened revenue generation, boosted investor confidence and improved economic activity.”
He added that despite initial challenges, the administration remained resolute in ensuring the success of the reforms.
According to him, “The six-month extension granted to the Service is a strategic opportunity to consolidate on ongoing reforms and deliver even greater results.”
The lawmaker emphasised that sustained collaboration between the Committee and the Service had enhanced revenue generation and accelerated infrastructure development aimed at improving trade facilitation and national connectivity.
He stressed that tax revenue remains a critical source of government income, urging the Service to sustain its reform momentum through 2026.
Earlier, the Comptroller-General of Customs disclosed that the Service generated ₦7.27tn between January and May, exceeding its target of ₦6.5tn.
He said, “This performance represents a 10.2 per cent increase compared to the same period in 2025, despite prevailing economic and policy challenges.”
The Customs boss explained that certain fiscal decisions impacted revenue projections, including the suspension of excise duties on telecommunications services and the non-implementation of the Green Tax.
He added that duty waivers on essential imports such as food items, medical supplies, machinery and petroleum products also reduced collections in line with the Federal Government’s economic relief measures.
According to him, “Imports benefiting from duty waivers were valued at about ₦34.5tn, while only four out of eleven proposed excisable items were implemented, limiting expected revenue.”
The Comptroller-General further highlighted the impact of global disruptions, including the Russia–Ukraine war and tensions involving Iran, the United States and the Strait of Hormuz, noting that these developments had reduced cargo volumes and affected revenue projections.
Despite these challenges, he said the Unified Customs Management System, known as B’Odogwu, is now fully operational across Nigerian ports.
“This has significantly improved customs administration, trade facilitation and revenue collection,” he said.
He added that the Service is strengthening revenue recovery strategies, modernising operations and expanding capacity-building initiatives in partnership with global institutions such as the World Bank, the International Monetary Fund and the World Customs Organization.
On projections, the Comptroller-General disclosed that the Service is targeting approximately ₦1.235tn in revenue for 2026.
He also outlined proposed expenditures, including ₦421.77bn for personnel costs, ₦300.77bn for overhead and about ₦1.65tn for capital projects covering infrastructure, ICT upgrades, equipment procurement and ongoing contractual obligations.
Reaffirming commitment to transparency, he assured lawmakers that the Service would continue to submit to legislative oversight while enhancing trade facilitation and revenue generation.
He appealed to the Committee to approve the 2026 budget proposal, expressing appreciation for its continued support.