By Balarabe Alkassim, Abuja
The House of Representatives Committee on Customs and Excise has disclosed that, it planned to conduct an investigation spaning the last five years to recover all revenue lost by the government due to sharp practices by companies in the country’s Free Trade Zones (FTZs).
Chairman of the Committee, Hon. Leke Abejide (ADC, Kogi) states this while speaking during an oversight visit to the Kano/Jigawa Command of the Nigeria Customs Service on Wednesday.
According to him, several companies operating in the Free Trade Zones of the country were allegedly engaged in sharp practices leading to loss of several billions of naira in revenue to the government.
Hon. Abejide said the law establishing the free trade zones, allowed the companies to import their raw materials duty free and produce for export while they are permitted to sell only 25 perfect of their products in the local market while exporting 75 percent to generate foreign exchange for the country.
He noted that, companies that want to sell their locally will be required to pay duty on the imported raw materials on such manufactured products.
The Committee Chairman said while some of the companies operating in the Free Trade Zones have resorted to bringing finished products instead of raw materials, others were selling their manufactured products 100 percent in the local market rather than exporting them.
He, however, acknowledged the sharp increase in revenue from the Kano Free Trade Zone within six months saying that when adequate measures are taken, the country will gain a lot from the revenue.
He also disclosed that the committee will introduce an amendment to the pension reform Act to introduce a Pension Fund Administrator for the Customs and other paramilitary agencies as well as ensuring that the Comptroller General is appointed on a four year tenure basis.
In a submission before the Committee, the Comptroller Kano/Jigawa Command of the Nigeria Customs Service (NCS), Abubakar Dalhat informed that, they generated over ₦10 billion between January and June 2025 from the Kano free trade zone as against about ₦1 billion it generated within the same period of 2024.
He informed the lawmakers that, between January and June 2025, the command siezed about 1,662,300 dollars, 441,050 Saudi Riyals, 560,000 CFA Franc, 200 Euros, 5,825 Pounds Sterling’s among other foreign currencies in three separate operations at the Mallam Aminu Kano International Airport.
On revenue generation, he said the command generated about ₦18.439 million from Baggage operation, ₦1.173 billion from the Maigatari border post, ₦10.824 billion from the Kano Free Trade Zone and N3. 070 billion from excise operation within the first six months of the year.
He further informed that, the command siezed 17 cartons of camera drones, 16,082 cartons of foreign spagetti, 582 bales of smuggled used clothes, 491,100 tablets of tramadol, 172 parcels of cannabis sativa, 1430 cartons of banned paraquat herbicides among others within the same period.
At the Kano Free Trade Zone, the Head of the Office, Richard Bassey told the lawmakers that the zone has so far attracted about 2.2 billion dollars in Direct Foreign Investment, with about 45 foreign investment in the zone.