Relief for businesses as FG suspends 4% FOB import charge
There is relief for Nigerian businesses as the Federal Government under President Bola Ahmed Tinubu has suspended the 4 per cent Free on Board, FOB import charge collection by the Nigeria Customs Service, NCS, amid outrage from stakeholders.
The suspension was contained in a letter dated September 15, 2025, signed by the Permanent Secretary (Special Duties) at the Ministry of Finance, O. Omachi, on behalf of the Minister, Wale Edun, to the Comptroller-General of the Nigeria Customs Service.
According to the minister, the suspension follows engagement with stakeholders, trade experts, and relevant government officials on the implementation of the 4 per cent FOB charge.
The Federal Government noted that it had become clear the 4 per cent FOB charge posed significant challenges to trade facilitation, the business environment, and economic stability in Nigeria.
According to the letter: “I write to direct the immediate suspension of the implementation of the collection of 4 per cent Free on Board (FOB) recently levied by the Nigeria Customs Service on all imported goods.
“Following extensive consultations with industry stakeholders, trade experts, and relevant government officials, it has become clear that the implementation of the 4 per cent FOB charge poses significant challenges to the Nigerian trade facilitation environment and economic stability. Many importers and businesses have raised concerns about the increased financial burden this levy imposes, with potential adverse effects on inflation, trade competitiveness, and the overall business climate in Nigeria.
“This suspension will provide an opportunity for comprehensive stakeholder engagement and a thorough review of the levy’s framework and its broader economic implications. The Ministry of Finance looks forward to working closely with the Service and all relevant parties to devise a more equitable and efficient revenue structure that supports both revenue generation and economic growth and stability.”
DAILY POST reports that in February, NCS suspended the FOB charges, but they were later reintroduced without announcement.
Manufacturers in Nigeria have fumed over the return of the FOB, calling for its suspension.
