Customs: Import Duty Waivers Hit ₦34tn In 2025, Slash Revenue Potential

The Comptroller-General of the Nigeria Customs Service (NCS), Adewale Adeniyi, has disclosed that the value of Import Duty Exemption Certificate approvals rose to ₦34 trillion in 2025, describing government-approved waivers as one of the major factors affecting the Service's revenue generation.

Adeniyi made the disclosure during an investigative session of the Senate Committee on Finance with revenue-generating agencies in Abuja.

He said while the Nigeria Customs Service had continued to improve its revenue performance, government fiscal policies had both positive and negative implications for the agency's collections.

According to him, the Service would have generated substantially more revenue over the years if not for import duty waivers approved by the Federal Government and other external factors affecting collections.

"The Nigeria Customs Service would have generated significantly higher revenue over the years if not for government-approved import duty waivers and other external factors affecting collections," Adeniyi said.

He explained that the Import Duty Exemption Certificate (IDEC) scheme, introduced in March 2020, accounted for approximately ₦34 trillion worth of approvals in 2025.

According to the Customs boss, nearly 60 per cent of the approved exemptions covered the duty-free importation of military hardware, reflecting the country's prevailing security challenges.

He added that other government-approved waivers covered the importation of Compressed Natural Gas (CNG) equipment, electric and hybrid vehicles, healthcare equipment and medical supplies, as well as industrial machinery.

Adeniyi said the exemptions were part of broader government policies designed to support national security, promote cleaner energy, improve healthcare delivery and encourage industrial development.

The Comptroller-General maintained that while such fiscal incentives are important for achieving strategic national objectives, they continue to reduce the revenue that would ordinarily accrue to the Nigeria Customs Service.

His presentation formed part of the Senate Committee on Finance's ongoing scrutiny of revenue-generating agencies as lawmakers assess government revenue performance and the implementation of fiscal policies.