Alarmed by the recent interception of arms and ammunition destined for Bonded Terminals and other illegal activities, the House of Representatives Committee on Customs and Excise announced on Wednesday, July 10, that it will investigate activities within Bonded Terminals and Free Trade Zones nationwide.
Chairman of the committee, Hon. Leke Abejide, disclosed this during an oversight visit to the Headquarters of the Nigeria Customs Service.
He stated that the objective of the investigation is to ensure these areas operate within the law and contribute positively to the nation’s economy.
Abejide emphasised that the House Committee will scrutinize the operations of the bonded terminals to identify and eliminate any illegal activities.
Those found non-compliant with regulations will face severe consequences, including possible closure.
He said the action is imperative to prevent these zones from becoming havens for illicit activities that threaten our national security and economic stability.
He said the Committee is committed to working closely with the Nigeria Customs Service and other relevant authorities to enforce strict measures and restore integrity to the Bonded Terminals and Free Trade zones while ensuring that they serve their intended purpose of facilitating legitimate trade and contributing to the growth and prosperity of our nation.
He commended the service for the recent achievements in Lagos and Rivers States, with the ceasure of a large cache of arms, describing it as a testament to their vigilance and effectiveness.
He said these interceptions were not routine seizures as they have potentially saved countless Nigerian lives and demonstrated the exceptional skills and dedication of your personnel in protecting our borders. These successful operations highlight the importance of international cooperation and intelligence sharing.
He said: “Let us not celebrate too quickly. The very fact that such massive quantities of weaponry and contraband were attempting to enter our nation within such a short span chills me to the bone. These items had they slipped through — could have unleashed untold terror on innocent citizens, ripped apart communities, and destabilized entire regions of our beloved country.
“While I commend the exceptional skills and bravery of our Customs personnel, these incidents serve as a stark, horrifying reminder of the enormous challenges we face. We cannot — we must not — become complacent. Every weapon and illicit item seized is a victory, but every attempt to smuggle them into Nigeria is a call to redouble our efforts.
Abejide said the recent announcement on waivers has sparked significant discussion regarding their impact on the Service’s revenue targets.
He said that inspired by the challenges, Service, with a revenue target of N2.5 trillion for the first half of 2024 (i.e, June 30, 2024), commendably collected $2.7 trillion, exceeding the projected targets by approximately $200 billion, adding that this achievement demonstrates the efficiency and effectiveness of the existing revenue generation mechanisms.
He said further that the $318 billion lost to exemptions, waivers, and concessions poses a challenge to meeting the ambitious annual revenue target of N5.079 trillion.
He said the suspension of excise policies on goods such as single-use plastics and telecommunications has adversely impacted revenue generation, adding that the situation highlights the delicate balance we must maintain between incentivizing economic activities and ensuring robust revenue streams.
He said the Committee is particularly interested in the progress of the e-Customs modernization project and acknowledges the project’s potential to streamline customs operations and enhance revenue collection, reports of network outages causing delays and disruptions raise concerns.
