Nigeria Customs to auction off overtime vehicles, containers after expiration of 30day ‘grace’ period
The Nigeria Customs Service (NCS) has issued a 30-day grace period for importers and agents to process and clear overtime containers and vehicles currently held at various commands, in line with provisions of the NCS Act 2023 as it will proceed to auction these items upon expiration of the grace period.
In a public notice posted on its website, the Service advised importers and agents to clear their goods within the stipulated timeframe to avoid forfeiture to the Federal Government of Nigeria.
This directive, accompanied by a Motion of Ex-parte with Suit No: FHC/L/MISC/680/2024 dated October 15, 2024, has been published to inform the public.
The statement reads, “Accordingly, Importers/Agents of the overtime goods are given 30 days grace period from the date of this publication to process and clear their goods or forfeit same to the Federal Government of Nigeria.”
“Please note that, in accordance with NCS Act 2023, Nigeria Customs Service will commence the auction of all uncleared overtime goods immediately after the expiration of the grace period.”
What you should know
The Nigeria Customs Service’s (NCS) recent directive stems from ongoing challenges with the accumulation of overtime goods—containers and vehicles left uncleared for extended periods at ports and border commands.
- These goods are classified as overtime if they remain unclaimed for more than 30 days after arrival in airports or 90 days in seaports, contributing to congestion at ports and storage facilities. Over the years, the backlog of such goods has impacted the efficiency of Nigeria’s trade logistics, resulting in higher operational costs for port authorities and delays in cargo handling.
- Historically, auctioning uncleared goods has been a strategy used by Customs to recover revenue and create space at congested terminals. However, previous attempts have faced criticism, with allegations of favouritism in the auctioning process and disputes over transparency.
- In early 2024, the Customs Service announced the launch of an upgraded e-auction portal for transparent disposal of seized and overtime goods. Launched on January 15, 2024, the platform represents a shift towards greater transparency and accessibility in the auctioning process.
- To participate, individuals must possess a valid Tax Identification Number (TIN) issued by the Federal Inland Revenue Service (FIRS). This TIN must be verified on the TaxPro Max platform, ensuring that only those who meet tax obligations are eligible to bid.
- Additionally, participants are required to have an active email address, which is necessary for signing up on the portal. This step facilitates communication between the NCS and bidders throughout the auction process.