The National Association of Government Approved Freight Forwarders (NAGAFF) has called on the Federal government to provide more funds to the Nigeria Customs Service to enable it meet up with its additional responsibilities.
In a letter addressed to President Goodluck Jonathan, the Founder of the association, Dr. Boniface Aniebonam stated that the call became imperative because it was apparent that the service was being under funded which according to may be affecting its operations and the freight forwarding business.
Dr. Aniebonam recalled that under the Destination Inspection Policy the Nigeria Customs Service had been given additional duty to manage and maintain scanners, capacity building in the area of training of officers and building super structures and other projects that would enhance and sustain its operations thus the need for more funding.
According to him,” it is sad to note that the Nigeria Customs Service may be seemingly starved of funds to assist it to achieve its statutory duty. We are concerned because its current problem of underfunding does not add value to our businesses in the ports”.
“As Nigerians, we are equally worried because the Nigerian state is facing some security challenges. We wish to remind Your Excellency that the anti-smuggling functions of the Service is strategic on matters of border security. It is no longer news that our borders are porous which is aiding the activities of criminal elements like the Boko Haram”.
“Your Excellency, it is in the public domain that between 2010 and 2014 (up to July), the approved budget for the service may be #378,974,132,999.80. Our checks revealed that Nigeria Customs Service may have just received #279,423,858,602.50 leaving a balance of #99, 550,274,397.30. We have observed that the morale of officers is very low because their entitlements are not being paid on time and most times, they are not attended to”.
“The anti-smuggling officers are facing tougher resistance from smugglers who have sophisticated arms whereas incentives like leave allowances are not being paid while officers on transfer duties are not being catered for. It is sad to see senior officers on transfer sleeping at the Enforcement Unit of the Service at the various commands. With this kind of situation, how do we expect these officers to protect government revenue? The situation is merely aiding corruption in the port system”.
He noted the constant breakdown of ASYCUDA system being handled and managed by Webb Fontaine which most of the time slowed down automation suggesting that the Nigeria customs Service be allowed to build a robust system which could accommodate and take care of the problem of constant server break down even as he lamented that the project could not b done with the current under funding of the Service administration and management.
The NAGAFF Founder therefore urged the President to find out what was happening to funds due to the service as according to him, delays associated with port operations are high risk to government revenue and the economy in general.
He further suggested that the service be severed from the Ministry of Finance and granted partial autonomy because of the strategic nature of the service.
“The Nigeria Customs service administration and management should be proactive and efficient to the glory of the Nigerian people and the economy. The way forward should include the much expected new customs law pending at the National Assembly seeking to grant the service partial autonomy”.
While contending that the present arrangements of allowing the service take 7percent of duty suggested that the service be granted between 5 and 7 percent of the Free-On-Board (FOB) value of imports to enable them take up the additional responsibilities of the Destination Inspection functions.
“Whereas His Excellency shall come up with a lasting solution to the funding matters, the urgent need to pay them the outstanding budget allocation will be most appreciated to avoid total breakdown of customs operations”, Aniebonam stated.