The Nigeria Customs Service has emerged as a cornerstone of federal revenue mobilization, remitting approximately N3.7 trillion to the Federation Account in the first eleven months of 2025, according to data presented to the Federation Account Allocation Committee.
The figure represents a significant milestone for the service and underscores the government’s increasing reliance on trade-related revenues as oil receipts remain subdued and fiscal pressures intensify across all tiers of government.
The January-to-November collection of N3.697 trillion places the NCS on track to potentially exceed N4 trillion in total remittances for 2025, assuming December figures align with earlier monthly trends. This would mark a substantial improvement over the N3.6 trillion remitted for the entire 2024 fiscal year.
Comptroller-General of Customs, Adewale Adeniyi, while reviewing 2024 operations in January 2025, broke down the previous year’s collections into three main streams: N3.6 trillion to federation accounts, N816.9 billion in non-federation levies, and N1.6 trillion in value-added tax collections.
A granular analysis of the 2025 figures reveals the overwhelming dominance of import duties, which contributed approximately N3.03 trillion—representing over 81 percent of total customs revenue during the period. This concentration highlights Nigeria’s persistent dependence on imported goods for both consumer needs and industrial inputs, despite repeated policy commitments toward import substitution and local manufacturing.
The revenue breakdown shows excise duties trailing significantly at N257.5 billion, while the Common External Tariff special levy generated N252.4 billion. Fees accounted for N158.6 billion, and auction sales brought in N82.5 billion. Notably, no penalty charges were recorded during the eleven months.
Revenue flows demonstrated both resilience and volatility throughout 2025. January recorded the strongest monthly performance at N400.3 billion, setting an aggressive pace for the year. This early surge reflected multiple factors, including exchange rate adjustments, enhanced customs valuation of imports, and improved enforcement mechanisms at ports and border stations.
Subsequent months showed fluctuating but generally robust collections: February yielded N299.5 billion, March N283.4 billion, and April N358 billion. The middle months maintained momentum, with May recording N359.4 billion, June N315.29 billion, July N353.23 billion, and August N322 billion.
The final quarter saw September contribute N349 billion, October peak at N370.2 billion—the second-highest monthly total—before November dipped to N287.1 billion, the lowest figure since March.
The November collection represented 89.43 percent of the monthly budget target of N321.1 billion and marked a decline of N33.9 billion—or 22.44 percent—from October’s robust performance. According to the FAAC presentation delivered during a hybrid meeting on December 11-12, this shortfall was “attributable to the decrease in the volume of dutiable imported goods, excisable goods, fees, and CET levies in the month under consideration.”
The customs performance assumes heightened significance against the backdrop of the government’s aggressive fiscal reform agenda aimed at revenue expansion and deficit reduction. With oil revenues remaining unreliable, non-oil sources like customs duties have become critical to maintaining government operations and meeting debt service obligations.
The revenue structure also reflects Nigeria’s position within regional trade frameworks, with the CET accounting for nearly 7 percent of total collections—underscoring the importance of Economic Community of West African States trade arrangements in the country’s customs revenue profile.
Separately, Comptroller-General Adeniyi emphasized the critical role of intelligence in modern customs operations during a training program for officers in the Customs Intelligence Unit at the Nigeria Customs Command and Staff College in Gwagwalada, Abuja.
“No modern security or revenue operation can succeed without timely, credible, and well-applied intelligence,” Adeniyi stated, referencing recent global and domestic security developments, including successful interceptions of arms and ammunition across the country.
Assistant Comptroller General Dow Gaura, Commandant of the college, described intelligence as “a quiet but decisive force in institutional transformation,” noting its indispensable role in risk management, revenue protection, disrupting smuggling networks, and safeguarding the national economy.
The emphasis on intelligence-led operations signals the service’s recognition that sustaining revenue growth will require increasingly sophisticated approaches to enforcement, compliance, and border management in an evolving economic landscape.
WHAT YOU SHOULD KNOW
Nigeria Customs Service has solidified its position as a vital non-oil revenue pillar, collecting N3.7 trillion in the first eleven months of 2025—positioning the country to potentially hit N4 trillion for the year. This surpasses the entire 2024 collection of N3.6 trillion and underscores a critical shift: with oil revenues faltering, Nigeria is increasingly dependent on import duties, which account for over 81% of customs revenue.
However, this heavy reliance on imports also exposes a fundamental economic challenge—the country’s persistent inability to achieve meaningful import substitution despite policy commitments to local production. The revenue success, while fiscally encouraging, simultaneously highlights Nigeria’s vulnerability as a consumption-driven economy still heavily dependent on foreign goods.
