ABUJA: Revenue generation from the seaports, airports and land borders is projected to drop significantly in March following uncertainty pervading the forthcoming general elections and high exchange rate, which have diminished import, export trade in the country since the beginning of the year.
Most importers have cut down on importation since December 2014; some have not even placed new orders because of the exchange rate which skyrocketed since the beginning of the year, hovering around N198 and N211 to a dollar.
Already, revenue generation of Nigeria Customs Service (NCS), has dwindled since January, and expected to slump further in the coming months as cargo import declines gradually, forcing management of the Service to send emissaries to the various commands over worries of fall in revenue generation since the beginning of the year, according to sources in Apapa.
Area Controller, Lilypond Command of the Nigeria Customs Service (NCS), Comptroller Mustapha Atiku said out of a monthly target of N1.9 billion, the Command has been able to collect only N852 million in January and has so far collected N198 million in February. He expressed doubt over the Command’s ability to realize in February what it collected in January.
This is the same trend in virtually all the Customs Commands. February and March revenue are expected to be far lower than January because this is when the evidence of impact of high exchange rate, postponed elections would mainly show.
The postponed general election and the depreciating value of the Nigerian currency are factors that have combined to work against international trade especially importation of consumer goods into the country.
A source in Customs noted that no new Form M has been opened at the Apapa Area One Command of the Service since the beginning of 2015. Forms M currently being used for cargo clearance were opened since last year, between June and July. This is because Form M has a lifespan of one year. Form M is usually issued for a particular supply contract and allows for part shipments.
