The Nigeria Customs Service (NCS) has announced that its newly introduced Authorised Economic Operator (AEO) programme has significantly boosted trade value among participating companies.

The six companies involved in the pilot scheme increased their collective trade from NGN 185.8 billion in 2023 to NGN 563.8 billion in 2024. 

Speaking at the official launch of the AEO programme in Lagos, Comptroller General of Customs, Adewale Adeniyi, highlighted the initiative’s impact on revenue generation, which surged from NGN 18.4 billion in 2023 to NGN 51.1 billion in 2024. 

The AEO programme, designed to enhance trade facilitation and compliance with global supply chain security standards, will now be expanded to include companies in key industries such as manufacturing, agriculture, and logistics. 

Adeniyi assured stakeholders that the AEO registration portal will open on February 17 for eligible companies, urging compliant businesses to apply and benefit from the initiative.

Speaking on the impacts of the scheme on operational efficiency, Adeniyi said, “We set an ambitious target to reduce clearance time from 168 hours to 48 hours. By December 31st, 2024, our AEO-certified companies were achieving an average release time of 43 hours – surpassing our target by 5 hours.

This, he said, “Represents a remarkable 66.9% reduction in cargo clearance time compared to the pre-AEO status of 5 days and significantly outperforms the 7-day clearance period required for regular Economic Operators (EOS).”

The key benefits of the AEO programme, outlined by Adeniyi, include accelerated Customs clearance processes; substantial reduction in physical inspections; priority treatment in Customs processes; enhanced predictability in supply chain operations; and measurable cost efficiencies.

He pointed out that the pilot companies achieved cost savings exceeding N100 million within a quarter.

According to him: “The true measure of this partnership’s success is beyond the metrics, it is in the quality of relationships we are building. One compelling example is how our AEO partners have embraced the principle of self-regulation. Recently, one of our pilot beneficiaries demonstrated exceptional integrity by voluntarily disclosing an underpayment of duty amounting to several millions of naira. This level of trust and transparency where partners self-audit and bring oversights to our attention – exemplifies the essence of the AEO programme,” Adeniyi said.

He said through these successes, Nigeria is positioning itself as a reliable, predictable, and competitive trading partner, aligning with President Bola Ahmed Tinubu’s vision of achieving a $1 trillion economy by 2030.

“The AEO programme strategically complements the President’s 8-Point Agenda by supporting food security through faster clearance of agricultural inputs and machinery; contributing to economic growth through trade facilitation; creating jobs through expanded business opportunities; improving access to capital by reducing operational costs for businesses; and fighting corruption through enhanced transparency in customs processes.

“Furthermore, it reinforces the administration’s commitment to boosting non-oil exports, strengthening agricultural value chains, and improving the manufacturing sector’s competitiveness. This programme also supports the government’s focus on technological advancement and digital transformation of government services, while contributing to the Presidential initiative on Customs modernization,” Adeniyi said.

At the event was the Lagos State governor, Babajide Sanwo-Olu who was represented by Commissioner for Commerce, Cooperatives, Trade & Investment, Folashade Kaosarat Ambrose,  the Managing Director of Nigerian Ports Authority (NPA) Dr Abubakar Dantsoho, and the Executive Secretary of Nigerian Shippers Council, Pius Akutah

Others are Director General of the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), Charles Odii, President of the National Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), Dele Kelvin Oye, Director-General of the Presidential Enabling Business Environment Council (PEBEC), Princess Zahrah Mustapha, all of them said they were happy that the AEO programme has the potential to reduce bottlenecks, facilitate trade and meet international standard.