Customs Brokers React to Proposed License Fee Hike

 By Lod Onyeji

The Sea Empowerment and Research Center (SEREC) has expressed concerns over the Nigeria Customs Service's (NCS) proposed 2000% increase in customs license fees. In a position paper released on August 22, 2025, SEREC argued that such an astronomical increase would be detrimental to the customs brokerage industry and the economy as a whole.

*SEREC's Recommendations*

SEREC recommended a balanced licensing fee structure that takes into account the needs of small and medium-sized enterprises. The organization proposed a tiered licensing system with different levels of licenses based on experience and specialization. SEREC also suggested that licensing requirements should focus on demonstrating competence in customs procedures and regulations.

*Concerns about the Proposed Fee Hike*

SEREC expressed concerns that the proposed increase would disproportionately affect small and medium-sized enterprises, which may struggle to absorb the increased costs. The organization also believes that the proposed increase could lead to increased costs for traders, which could negatively impact trade facilitation and economic growth.

*Alternative Fee Structure*

SEREC proposed an alternative fee structure that is balanced and takes into account the needs of small and medium-sized enterprises. The proposed fee structure includes:

- Standard License: N50,000 - N100,000 (approximately $125-$250 USD) for new licenses and N20,000 - N50,000 (approximately $50-$125 USD) for renewal fees every 2 years.

- Advanced License: N100,000 - N200,000 (approximately $250-$500 USD) for new licenses and N50,000 - N100,000 (approximately $125-$250 USD) for renewal fees every 2 years.

- Specialized License: N150,000 - N300,000 (approximately $375-$750 USD) for new licenses and N75,000 - N150,000 (approximately $187-$375 USD) for renewal fees every 2 years.

*Next Steps*

SEREC has called on the NCS to consider a more balanced and nuanced approach to licensing reform, taking into account the needs of small and medium-sized enterprises and the industry as a whole. The organization is willing to work with the Customs Consultative Committee, the Freight Forwarding/Agents Associations, and the NCS to finalize the fee structure.

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