Customs Exceeds 2025 Revenue Target, Eyes N11.07tn for 2026

The Nigeria Customs Service (NCS) says it surpassed its 2025 revenue target by N674 billion, generating N7.277 trillion during the year despite challenges affecting international trade and domestic fiscal policies.

The Comptroller-General of Customs, Bashir Adewale Adeniyi, disclosed this while defending the service’s 2026 budget proposal before the Senate Committee on Customs and Excise.

Adeniyi said the agency had projected N6.584 trillion in revenue for 2025 but exceeded the target by 10.24 per cent after recording N7.277 trillion in collections.

He, however, noted that the service could have generated higher revenue if certain factors, including uncollected excise duties on telecommunications services and import duty waivers granted on Compressed Natural Gas (CNG) equipment, had not affected collections.

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The Customs chief also identified the Russia-Ukraine war and disruptions to global trade as factors that impacted revenue generation, particularly through reduced imports of wheat and other commodities.

Meanwhile, the NCS has set a revenue target of N11.07 trillion for the 2026 fiscal year, representing a significant increase from its 2025 performance.

Adeniyi said the 2026 projection would come from several sources, including N5.542 trillion expected for the Federation Account, N1.491 trillion from non-Federation accounts, N2.273 trillion from Import Value Added Tax (VAT), and about N1.266 trillion from the four per cent Free-on-Board (FOB) levy.

The Comptroller-General expressed confidence that improved technology, stronger enforcement and enhanced compliance measures would help the service achieve the target.

However, he acknowledged that recent reductions in import tariffs and levies on vehicles could affect Customs revenue in 2026.

“The tariff on vehicles and levies on vehicles have been reduced significantly. We believe this is one of the measures that may negatively affect our revenue performance,” Adeniyi said.

He explained that the reduction, which took effect on May 1, 2026, followed calls from stakeholders for a review of Nigeria’s import tariff regime and was part of government’s fiscal measures to support economic activities.

According to him, the Customs Service remains committed to implementing approved government policies despite possible revenue implications.

Addressing concerns that lower tariffs could encourage importers to divert cargo from neighbouring ports to Nigeria, Adeniyi said periodic adjustments to fiscal policies were necessary to respond to economic realities and promote trade.

The Senate Committee on Customs and Excise also expressed support for the NCS revenue target, saying ongoing reforms under Adeniyi’s leadership would help sustain improved revenue performance despite global trade uncertainties.