The Federal Government has ordered the immediate suspension of the four per cent Free on Board (FOB) charge earlier imposed by the Nigeria Customs Service (NCS) on all imported goods.
The directive, issued by the Coordinating Minister of the Economy and Minister of Finance, Wale Edun, was contained in a letter addressed to the Comptroller-General of Customs.
According to the ministry, the decision followed wide-ranging consultations with stakeholders, including trade experts and government officials, who raised concerns over the policy’s potential impact on the economy.
READ ALSO: Customs Shortlists 286,697 Applicants for 3,927 Vacancies
“The four per cent FOB charge posed significant challenges to Nigeria’s trade facilitation efforts, business environment, and overall economic stability,” the ministry stated.
Importers and business operators had earlier protested the levy, warning that it would heighten the cost of doing business, fuel inflation, and weaken trade competitiveness.
The charge, which was to be calculated based on the value of imported goods, including transportation costs up to the port of loading, was revived by the Customs in August as a replacement for the one per cent Comprehensive Import Supervision Scheme (CISS) and the seven per cent levy on its duties.
READ ALSO: Customs Rolls Out B’Odogwu, Introduces Single 4% Import Fee
The 4% FOB levy was originally embedded in Nigeria’s Customs and Excise Management Act but had remained dormant for years due to trade concerns. Its sudden revival in August 2025 drew sharp criticism from industry players, who argued that the timing was wrong given Nigeria’s ongoing battle with inflation, high import costs, and a weakening naira.
Business groups, including freight forwarders, manufacturers, and import associations, petitioned the government to reconsider the policy, warning that it would disrupt supply chains and worsen the already fragile business climate.
The government’s suspension of the levy is seen as a move to ease trade pressures, reassure investors, and signal a willingness to engage more closely with the private sector on economic reforms.
Esther Ososanya is an investigative journalist with Pinnacle Daily, reporting across health, business, environment, metro, Fct and crime. Known for her bold, empathetic storytelling, she uncovers hidden truths, challenges broken systems, and gives voice to overlooked Nigerians. Her work drives national conversations and demands accountability one powerful story at a time.
