TCIP Customs: Sustaining growth trajectory in key performance indicators

Comptroller Dera Nnadi mni has since assumption of duty on September 14, 2023 as Area Controller, Tin Can Island Command of the Nigeria Customs Service, raised the performance bar. He has equally sustained this growth trajectory in all the key performance indicators KPIs. Francis Ezem, who monitored these trends, reports.

The Tin Can Island Command of the Nigeria Customs Service has in the last 10 months undertaken several stakeholder-centric reforms designed to enhance trade facilitation through efficiency service delivery and anti-smuggling, which are the core mandate areas of the service. These reforms, which date back to September 14, 2023 when Comptroller Dera Nnadi took over the leadership of the command, are anchored on his strategy of driving competitiveness through efficient and effective service delivery. This is further borne out of his firm belief that time is of the essence to contemporary importers and businessmen, as they would rather comply with trade regulations and take delivery of their consignments in record time to forestall accumulation of demurrage and rent charges.

It was in the light of this conviction that the command under his watch rearranged worktime schedules. For instance, as against the former daily resumption time of 9am and 10am for commencement of cargo examination respectively, resumption of duty was brought to 8am while cargo examination now begins 9am. This new work schedule is applicable to everyone in the command; top-bottom, the Comptroller inclusive, though he resumes 7am daily, which typifies his leadership by example principle. This new schedule was also extended to the weekends, as all officers and men of the command report for duty at the weekend. Through the instrumentality of its robust stakeholders’ engagement, this new schedule became the norm, as agents have already keyed into the new scheme of things. This has culminated in the command’s attainment of 48-hour cargo delivery.

Speaking on the command’s policy of driving revenue growth through service delivery, Comptroller Nnadi said: “Service delivery and efficiency is what every businessman and trader wants. I would rather save someone two days in the ports for him not to pay demurrage than to allow his cargo stay two months at the port and attract heavy demurrage payment, if I am able to achieve quick delivery, which is what we’re giving now, the person will of course be willing to patronise this command and pay appropriate duty. I have also told my officers that should anyone of them delay someone’s cargo, he or she would have me to contend with. Gladly, they are all in tune with everything we’re preaching.

“We’re therefore focused on customer satisfaction by offering them quick delivery of their consignments that would save them huge sums of money that they would pay as demurrage. Mind you, modern–day importers and businessmen are time conscious and would prefer to pay correct duty and take delivery of their cargo on time rather than allow them spend two months, which leads to payment of demurrage.”

The command had also embarked on other structural reforms, which included the automation of the bond seat. It also set up a robust dispute resolution mechanism, with a view to ensuring maximum customer satisfaction while eliminating all forms of delays. It decision to automate the bond seat is in tandem with the theme of 2022 International Customs Day as enunciated by the World Customs Organisation WCO, which emphasised “Scaling up Customs Digital Transformation”. This underscores the importance the command attaches to digital transformation as a modern way of transacting business in the 21^st century, which promotes transparency, efficiency and quick service delivery.

“The automation of the Bond unit in Customs operations with Tin Can Island Port as the flagship Command directly aligns with the initiative of the WCO, signifying a major step in digital transformation by streamlining operations, promoting transparency, efficient Cargo Tracking System and enhancing data accuracy.

Despite the fact that the theme was specific to 2022, TCIP recognises that digital transformation is not a one-time event but a continuous journey and that automation and technological advancement remains a persistent goal. This ongoing process reflects an understanding that adapting to emerging technologies and continuously improving digital infrastructure are crucial for staying relevant and efficient in the ever-evolving landscape of Customs Administration”, the Comptroller further argued.

With these and several other reforms done and dusted, it was obvious that the command was set for real business in terms of delivering on the core mandates of the service such as revenue general, curbing smuggling and facilitation of trade. In carrying out these core mandates, the command was very conscious of the crucial role of the stakeholders in the supply chain, especially the trading public-importers, exporters and freight forwarders, among others.

It was in view of this consciousness that the command declared 2024 as ‘a Year of the Stakeholders’, which is to reciprocate the stakeholders’ support to the command in achieving its revenue target in 2023.

Recall that the command collected a total of N716.5billion for the 2023 fiscal year, which represented 89.43per cent of the revenue target issued to the command by the management of the Service. This revenue was adjudged remarkable, especially given the harsh economic conditions that pervaded the country particularly in the first half of the year.

Speaking on the significance of this morale-boosting measure, Comptroller Nnadi noted that the gesture was particularly to reciprocate the support the command received from its stakeholders in the previous year.

“We have decided that 2024 is going to be the year of stakeholders in Tin Can Island Port Command. We pledge to devote our time, resources, human capacity to serve them and deliver quality service to them.

“Let me state that in doing that, again, we will encourage those who are already compliant to do more, we will encourage those who are not compliant but are willing to change to do more. But we will not hesitate to deal decisively with those who are not compliant and are not willing to change”, he said emphatically.

It was gathered that as part of efforts to speed up the process of cargo release in order to directly impact the stakeholders, the Command has opened up its system electronically to sister agencies including the SON, NAFDAC, Nigeria Copyright Commission, NESREA, NDLEA etc, to enhance a seamless examination and release of cargo to forestall demurrage charges.

Comptroller Nnadi said: “We have been relating with sister agencies, but most importantly, our critical stakeholders, the freight forwarders, we relate with them effectively and we intend to do more by introducing a reward system that will make sure that any agent that is so compliant, gets expedited action in clearance of his cargo.

“At the national level, we already have the fast track. The CGC has also upon resumption launched the Authorised Economic Operator AEO programme, all to reward compliant traders who do it right. But what we want to do particularly in Tin Can is to further entrench what we started in 2023 and what are those things? Extended work hours, 24- hour operation, weekend operations as I declared in 2023, the port weekends should not be translated to ‘Owambe’ weekends. The port operates 24 hours, seven days a week. So, I shouldn’t see any reason why our stakeholders should devote weekends to parties and weddings. We have to be coming to work during weekends.

“In the past, we blame our stakeholders for every infraction in the system. Now, I have told the officers this morning, that I will no longer be blaming just the stakeholders. For every declaration made by a stakeholder but released by an officer, and through the supply chain, it is intercepted, that officer will have to answer for it at the Enforcement Unit. So, we are going to give a window to allow the stakeholders to breath.”

With these reforms in place, little wonder the Command under his watch has sustainably set new records in its core mandate areas, especially revenue generation, anti-smuggling and trade facilitation, thus maintaining high growth trajectory across all key performance indicators.

Available records for the first half of the 2024 fiscal year show that the Command recorded a superlative revenue performance of N575.5billion for the first half of the 2024 fiscal year (January-June), which represents 121.2 per cent growth rate compared to the N260.3billion recorded in the comparative period of 2023. This also shows a difference of N315.3billion in real value over the figures of last year.

In terms of non-oil export, the Command has remained a major ally of the Federal Government in its efforts to diversify the economy from the current oil-driven mono economy. Thus, within the review period, it handled a total of 489,594.50 metric tonnes of non-oil exports, especially comprising commercial agricultural and allied produce such as cocoa, soya beans and self-adhesives, among several others with a Free-On-Board value of N1.32trillion. This is against the 291, 436 metric tonnes of non-oil exports recorded in the first half of 2023 valued at N182.3billion. Available statistics further show that in terms of value, Soya beans was the highest export commodity; accounting for N92.06billion while self- adhesive was the lowest export commodity with a value of N17.6million.

Speaking on this superlative revenue performance, the Comptroller believed that these reforms, which embodied the rejigging of the Command’s operational processes, which focused on improved service delivery and trade facilitation as well as improved stakeholder engagement, played a very significant role, as they further boosted the confidence of the trading public in the Command.

He also said that the high revenue profile was further attributable to the efforts of the officers and men of the command as well as the stakeholders, especially the compliant traders, who have decided to play by the rules.

“The Tin Can Island Port Command operations for the first half of the 2024 fiscal year (January – June) significantly aligned with the statutory functions of the Service in the areas of revenue generation, trade facilitation and enforcement/anti-smuggling activities.

“The Command’s operations were performed in consciousness of the theme of the 2024 International Customs Day: ‘’Customs Engaging Traditional and New Partners with Purpose’ with focus on Customs Administrations providing an enabling environment for stakeholders that facilitates and supports businesses and people to recover from the negative effects of the floating exchange rate through collaboration with relevant stakeholders in the supply chain and the use of technology.

“To this end, the Command further enhanced the existing operational processes to conform to the malady of the floating exchange rate regime with the use of technology made available by the NICIS II software. “Such facilities as the ‘846’ Non Standard VIN valuation application, Pre-Arrival Assessment Report PAAR, Advance Manifest and Selectivity engine enabled a more efficient risk management process, mitigating delays in cargo clearance, facilitating legitimate trade and ensuring the collection of appropriate duty and taxes. With these measures, the Command ensured continuity in the supply chain and the Service’s commitment to providing an enabling environment for business”, the Comptroller said.

On enforcement and anti-smuggling operations, which are parts of the core mandate areas, the Command seized a total of 12 semi-automatic rifles and six pistols within the review period. Other arms and ammunitions seized in the last six months include Sterling high quality shot gun cartridges comprising 12 cal 32 grammes contained in 10 packs of 25 and 23 pieces apiece as well as 55 pieces of Seller & Bellot Buck shotgun.

Other ammunitions include 123 pieces of Crossman CO2 12 gramme cartridges, one unit of USP CO2 air gun pistol with accessories Cal. 117 (4.5mm) BB, units of mace pepper gun, all of which have been handed over to the Department of State Services DSS for further agency function.

Other seized contraband items, especially illicit substances seized within the period under review include three plastic drums concealing several packets of Cannabis Indica, 46 bags containing 2,144 packets of Cannabis Indica all weighing 1,072kilogrammes seized from one 40-foot container No. GAOU 669921/5 imported from Canada. The approximate street value of the illicit substances is N3.2billion.

Others are 877 cartons of Barcadin cough syrup with codeine comprising 200 bottles of 100ml per carton and 82 cartons of Really Extra Diclofenac Sodium 50mg tablets containing 600 packs per carton imported from India. The estimated street value of the cough syrup is N964.4million.

He pledged to further deepen the existing robust stakeholder engagement with a view to ensuring its sustainability to enable the Command build on the current performance and possibly surpass it.

“The Tin Can Island Area Command has in the past few weeks engaged with different sections of stakeholders. These meetings have both been virtual and physical. The Command has engaged Shipping companies/lines on modalities to automate communication channels to reduce fraudulent manifest transmission, recycled bills of lading and other channels that could lead to revenue loss.

“The Command also engaged Terminal Operators and Barge Operators on Reforms and Standardisations for transire management and seamless movement of cargo in the trade cycle. The Command had guests from The Ministry of Environment who came to enlighten us that the ban on Wood and Charcoal has been lifted.

“Furthermore, in the area of trade facilitation, the Command made available facilities for resolving disputes and addressing legitimate complaints of stakeholders as it relates to the customs clearance process via the Dispute Resolution Committee and the Helpdesk. These facilities have been strategic and significant in assisting the Command to maintain a balance between facilitating legitimate trade and collecting appropriate taxes on behalf of government.

“In the meantime, the port access and terminal access roads are undergoing reconstruction works and further decongestion, the Command has continued to facilitate the use of barge as an alternative means of transport for the movement of custom cargo in line with international best practices, helping to maintain business and flow in the customs clearance process.

In line with his goal-getting nature, Comptroller Nnadi does not bask in the euphoria of this superlative across-board performance as indicated by the major KPIs. He is rather working towards optimising the improved business environment at the Tin Can Island Ports Complex, especially with the clearing of the Mile2-Apapa Road, which has reduced travel time from over 10 days to less than 10 minutes. With his resolve to further improving on service delivery through automation, while boosting stakeholders’ engagement, the current performance is definitely a tip of the ice berg.

He said: “While we are optimistic for better performance ratings, the implementation of the e-Customs project and the installation of smart technology at the ports will be a turning point in the digitalisation of Customs processes and procedures and will significantly boost the Command’s capacity to enforce compliance and generate revenue in line with international best practices.”

From the foregoing, it is obvious that the Tin Can Island Command under Comptroller Dera Nnadi mni has just scratched the surface in its trail blazing performance. Only time will tell!