Reps Launch Probe Into Billions Lost From Container Diversion, Customs Duty Leakages

Date:

Abuja, November 12, 2025 – The House of Representatives has resolved to investigate massive revenue losses resulting from the diversion of containers, unremitted customs duties, and excise duty irregularities across Nigeria’s ports and bonded terminals.

The decision followed a motion by Hon. Hassan Hussain, who raised alarm over what he described as widespread malpractice and inefficiency within the Nigeria Customs Service (NCS) and bonded warehouse operations. He said billions of naira are being lost annually through improper duty assessments, overdue temporary importations, and uncollected levies.

According to Hussain, bonded terminals and fast-track warehouses were originally created to decongest ports, facilitate trade, and improve federal revenue, but many now engage in “illegal practices detrimental to the economy and national security.”

He warned that several containers meant to be transferred under bond from main ports are diverted before reaching their destinations, with their contents often unverified. “These could include dangerous items such as tramadol, arms, and ammunition,” he cautioned.

Hussain also revealed that some companies abuse the federal government’s three-year tax and excise duty holiday, using it as a loophole to avoid payments indefinitely. He further highlighted that manual excise duty collection systems lead to widespread under-assessment and underpayment.

Another major source of loss, he noted, is the Temporary Importation Scheme, which allows duty-free import of vessels, aircraft, and heavy machinery under a cash-backed bond. Many organizations, however, have overstayed the bond period without paying the corresponding duties.

He also accused some importers of exceeding approved import quotas for sugar and essential commodities, recycling permits, and exploiting quota loopholes — resulting in billions of naira in lost revenue.

In response, the House directed the Comptroller-General of Customs, Dr. Adewale Adeniyi, to investigate the officers involved in bonded container transfers and to deploy tracking technology to ensure every shipment is accounted for from port to destination.

The House Committee on Customs and Excise was also mandated to probe container diversion, excise duty leakages, temporary importation abuses, and import quota violations, and to submit a report within four weeks for further legislative action.

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