Customs brokers claim importers face N100,000 daily penalties due to congestion at Nigerian ports.

Importers and clearing agents have voiced their concerns over the escalating demurrage costs at Nigerian seaports, citing delays associated with the National Single Window platform as a major factor in prolonged cargo clearance processes.

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Lucky Amiwero, the National President of the National Council of Managing Directors of Licensed Customs Agents, along with other customs agents, claim that some importers are now incurring demurrage costs of up to N100,000 daily to shipping companies and terminal operators while awaiting approvals from regulatory agencies.

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Amiwero has described the National Single Window platform as ineffective, contending that it has complicated port operations rather than streamlining them, with delays in obtaining approvals from agencies such as the National Agency for Food and Drug Administration and Control and the Standards Organisation of Nigeria exacerbating congestion and increasing the cost of doing business.

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According to Amiwero, the current structure of the National Single Window falls short of the globally accepted model of a true single-window platform, which should involve single administration, single transaction, and single delivery, allowing for seamless cargo clearance once processes are harmonised at the backend.

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Amiwero argued that the platform's shortcomings are evident in the fact that importers are still required to interact separately with agencies like the National Agency for Food and Drug Administration and Control and the Standards Organisation of Nigeria, which defeats the purpose of a single-window system.

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The Nigerian Revenue Service, which is driving the National Single Window initiative, lacks the necessary expertise in customs and import procedures, Amiwero alleged, emphasizing that tax administration and customs operations should remain separate.

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Consignments are often trapped at terminals for weeks due to delays in approvals and documentation processing, resulting in significant financial losses for importers, with some importers paying close to N100,000 daily in demurrage because their cargoes remain uncleared for two or three weeks.

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Amiwero urged the government to review the system and properly harmonise the process to address these issues, highlighting the need for a more efficient and streamlined approach to cargo clearance.

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Tola Fakolade, the Director of Communications for the National Single Window, responded to the allegations by stating that criticisms of the platform largely stem from resistance to stricter compliance procedures introduced under the system.

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Fakolade clarified that the first phase of the initiative was never designed to guarantee one-day approvals for all regulatory processes, but rather to provide a unified entry point where importers and stakeholders can process documentation seamlessly without moving from one agency office to another.

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He acknowledged existing implementation challenges, particularly inherited backlogs within some agencies, but noted that efforts are ongoing to resolve them, citing the example of the National Agency for Food and Drug Administration and Control, which is working to clear pending applications that account for some of the delays currently being experienced.