By Tola Adenubi

Copyright tribuneonlineng

The Sea Empowerment and Research Center (SEREC) has welcomed the suspension of the 4 percent Free-on-Board (FOB) levy by the Federal Ministry of Finance, but cautioned that the directive amounts to only a temporary pause since the levy remains enshrined in the Nigeria Customs Service Act, 2023.

In a statement released by SEREC Head of Research, Fwrd. Eugene Nweke, the group recommended the reinstatement of the 1 percent Comprehensive Import Supervision Scheme (CISS) levy as an interim measure, while government engages the National Assembly to amend the law and align statutory provisions with stakeholder-accepted revenue options.

According to the SERE; “To ensure clarity and stability in trade administration, SEREC recommends reinstating the 1 percent Comprehensive Import Supervision Scheme (CISS) levy as an interim measure, while government engages the National Assembly to amend the law and align statutory provisions with stakeholder-accepted revenue options.

“A consistent, transparent approach will safeguard revenue, sustain Customs modernization, and strengthen Nigeria’s trade environment.”

Commending the Federal Government on the suspension, the SEREC stated that: “The suspension directive reflects political sensitivity to the impact of the 4 percent FOB levy on import costs, inflation, and business competitiveness.

“It signals government responsiveness to stakeholder pushback—importers, trade groups, and consumers.”

On economic implications, Fwrd. Nweke explained that: “The suspension brings relief to importers from an additional cost burden amid high inflation and forex volatility. it also prevents passing extra costs to consumers.

“However, the suspension is a policy pause, not a resolution. The issue will resurface unless the 4 percent law and policy are harmonized.

“A multi- stakeholder taskforce (FMF, NCS, NESG, manufacturers, freight forwarders, etc.) is needed to design a balanced funding formula.”

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