By Andrew Utulu
The President of the Council of the Managing Directors President, National Council of Managing Directors of Licensed Customs Agents (NCMDLCA), Lucky Eyis Amiwero, has described as contravention of International best practice the increase by the Federal Government, increase of the Customs Agents’ License (LCA) on new registration, renewal in relation to other professional licenses in the Country.
Amiwero stated this in a letter to President Bola Ahmed Tinubu.
The letter drew the attention of the President on the proposed increase of the Customs Agents License by Nigeria Customs Service (NCS), which he said contravenes International Best practice on registration, renewal and other professional licenses in the Country.
Giving example of Ghana, Amiwero said the Parliament of the Republic of Ghana consolidated all fees and charges levied by Ministries, Department and Agencies under FEES and Charges miscellaneous provision ACT, 1080 of August 8, 2022, asserting that this include the Customs House Agent.
He stated that the fees of Customs House Agents Licensing (Registration) and(Renewal) as concerned the Registration represented New License that is one hundred Ghana Cedis (100.00 GHc), while Customs House Agent Licensing(Renewal) is seventy Ghana Cedis(70.00 GHc), adding that the Customs House Agents(CHA) of Ghana is similar to the Licensed Customs Agents(LCA) in Nigeria, while Nigeria Customs levied N200,000:00 for yearly renewal of Custom Agent License.
He said that members wishing to renew their expired License should apply to the Institute and comply with the following terms and conditions, noting that applicant must have paid the annual license renewal fees of N25,000.
He also made reference to the Medical and Dental Council of Nigeria as regards increase in annual practicing license fees, saying that the Medical and Dental Council of Nigeria (MDCN) informed all registered practitioners that the annual practicing License fees has been revised effective January 8, 2025, in accordance with resolution passed by the Nigerian Medical Association (NMA) at various meetings:
Below, according to him are the revised annual practicing License fees are as follows: N40,000 for practitioners with experience of 10 years above and N20,000 for practitioners of less than 10 years of experience.
Amiwero also made reference to the Nigerian Bar Association saying Senior Advocates and Honourable Benchers pays N50,000; Legal Practitioners of 15 years & above post-call N25, 000; Legal Practitioners of 10-14 years post-call N17,000; Legal Practitioners of 5-9 years post-call- N10,000; while Legal Practitioners of 14 years post-call- N5000.
Based on the examples and analysis, Amiwero lamented that the Customs Agents License is currently overburdened with new registration feees and renewal fees of N200,000 in contravention of international best practice.
“The Practitioner operating Customs Agents License in Nigeria, is currently overburdened with outrageous fees of N200,000.00 with additional from C 30 of N15000 for each Customs Area Command.
“On the regional and international front, Ghana’s’ Practitioners Operating License Fees is 100 GHc, and 70 GHc is for renewal, approved by the Parliament of Ghana,
The Institute of Chartered Accountants of Nigeria is N25000., renewal fees.
The Medical and Dental Council of Nigeria is N40,000 and N20,000, renewal fees depending on the years of experience, Nigerian Bar Association is N50,000, N25000, N17000, N10,000 and N5000 respectively depending of year of call.
“The Customs Agents License Fees and the Bond are for procedural and process performance, is not tied to revenue but performance, that is the ability to Classify Harmonized System (HS), Rule of Origin, Interpret Trade policy and Treat Valuation Agreement, Trade Agreement, protocols, Treaties etc. and apply it on procedure and process.”
The frontline maritime expert called for urgent need to reduce the current N200,000 renewal and N500,000 for New Customs Agents License Fees in line with international best practice reflecting professional practice.
According to him, the Licensed Custom Agency Profession, falls under small scale business that is indigenous in nature, self-sustaining without government assistance, “no training of the Licensed Customs Agents from Nigeria Customs even with the introduction of new processes , which contravenes the World Customs Organization (WCO) Columbus Program on Capacity Building for Licensed Agent, World Trade Organization( WTO) Technical assistant on Capacity building for Licensed Customs Agents/ Trade facilitators and Agreement on Trade Facilitation (ATF) United Nations conference of Trade and development(UNCTAD)
Amiwero averred that any further increase will affect 90% of the work force in Licensed Customs Agent profession nationwide, and a complete close down of most Licensed Agency business that is struggling to survive in this difficult economic situation in the country, saying it will eventually create unemployment, security problem around the Ports and the concentration of the License Customs Business in the hands of very few friends of the Service.