- NAGAFF, APFFLON commend Customs management
- Compel Shipping Lines, Terminals to waive charges Freight Agents beg regulators
![VIN Valuation: Customs Make U-turn, Gives One Month Grace Period](https://mmsplusng.com/wp-content/uploads/2015/09/Hammeed-Ibrahim-Ali.jpg)
By Kenneth Jukpor
Following the decision of Nigeria Customs Service (NCS) to temporarily jettison the problematic VIN valuation process for one month, freight forwarding groups including the National Association of Government Approved Freight Forwarders (NAGAFF) and Africa Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON) have commended the Customs management.
Customs, in a circular with reference number NCS/T&T/ACG/008/S.100/VOL 111 dated 7th March, 2022, the NCS said it has approved a one month window to enable agents clear the backlog of vehicles held up in the ports as a result of the strike action.
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The circular signed by Assistant Comptroller General (ACG) Tariff and Trade, HK Gumi on behalf of the Deputy Comptroller General (DCG) T&T directed all Area Controllers to monitor the transition period and ensure manual assessments are in full compliance with extant laws.
The circular reads, “Sequel to the Customs/Stakeholders town hall meeting held in Lagos on the VIN-Valuation, the CGC having listened to public outcry, has graciously approved one month window to enable clearing the backlog of vehicles held up in the ports as a result of the strike action.”
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“You are requested to note that the VIN Valuation protocol is still in operation as reviews and updates are being captured in our systems to reflect these adjustments.
“Area Controllers have been directed to monitor the transition period and ensure manual assessments are in full compliance with extant laws.Also note that the grace period is effective tomorrow 08 March 2022.”
Speaking on the development, the Founder of NAGAFF, Dr. Boniface Aniebonam said that the ability and capacity of leadership of any administration to respond positively to the request of the greater numbers over difficulties and cries of distress situations portrays its level of responsibility.
“I congratulate the Customs Service for the suspension of VIN valuation application for one month in favour of trade and humanity. This underscores the continued efforts on the part of Customs to exercise restraint over the application of customs laws bothering on matters of untrue declaration. I hope that the Service shall endeavour to engage the trading public and the freight forwarding practioners on matters of customs statutory functions. This is because customs laws are very strict over revenue related matters,” Aniebonam said.
He, however, stressed the need for knowledge as Customs duty collection is highly technical, even as he opined that the communication gap between the customs administration and the stakeholders should be addressed.
“Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) and customs administration must come together to develop capacity of the freight forwarding practitioners. The instances of withdrawal of services in the customs ports may continue due to lack of knowledge or limited knowledge. The buckpass between the customs and the freight forwarders over non communication of VIN valuation application is most unfortunate. I do hope that the public relations department of the Nigeria customs service shall raise the bar to undertake its corporate responsibility. This is because communication is a tool for trade facilitation in customs operations,” he added.
Meanwhile, port regulators especially Nigerian Ports Authority (NPA) and Nigerian Shippers’ Council (NSC) have been admonished to convince shipping companies and terminals to issue waivers for the strike period.
The President of APFFLON, Otunba Frank Ogunojemite made this appeal yesterday as he stressed that the impact of the storage charges for terminals and demurrage for shipping companies could lead to further inflation in Nigeria.
Noting that terminals and shipping companies were unwilling to give waivers directed by both agencies during the COVID-19 pandemic lockdown period, Ogunojemite expressed fears that such scenario may reoccur.
“It’s time for Shippers’ Council and NPA to step up their regulations and get these companies to give waivers for the period under the strike. Over N600million has been estimated as storage charges due in PTML and Tin Can. The effect of these additional costs will be transfered to the end-user if nothing is done about this”, he warned.
He, however, opined that the absence of a governing board at the CRFFN also added to the VIN valuation crisis, noting that CRFFN board could have mediated and engaged Customs to prevent the protests.