Nigeria loses over $600mn in Customs duty, VAT to illegal sales of empty containers -Expert - The Sun Nigeria

Nigeria is facing a significant financial setback, reportedly losing over $600 million in Customs duty and Value Added Tax (VAT) due due to the illegal sale of empty shipping containers. This alarming figure was highlighted by an expert, as reported on June 1, 2026, by The Sun Nigeria.

The core issue revolves around the illicit trade of empty containers, which are typically used for transporting goods into the country. When these containers are illegally sold instead of being properly re-exported or declared for domestic use, they bypass the necessary customs procedures. This circumvention leads directly to a substantial loss of revenue for the Nigerian government, impacting funds that would otherwise be collected as import duties and Value Added Tax. The practice undermines the integrity of the import and trade compliance system, creating an uneven playing field and potentially facilitating other forms of illicit trade.

The reported financial impact is considerable, with the expert estimating a loss exceeding $600 million in uncollected Customs duty and Value Added Tax. While the specific duty and VAT rates applicable to containers themselves were not detailed in the report, the magnitude of the loss underscores the volume of containers involved in these illegal transactions. This information was published on June 1, 2026, drawing attention to a critical area of revenue leakage and compliance failure within Nigeria's trade sector.

For importers, customs brokers, and trade compliance officers operating in or with Nigeria, this development serves as a crucial reminder of the importance of stringent compliance and due diligence. To mitigate risks and avoid inadvertently contributing to such illicit activities, stakeholders should ensure robust processes for tracking and managing shipping containers. This includes verifying the legitimate disposition of empty containers, maintaining accurate records, and adhering strictly to all Nigerian Customs Service regulations regarding temporary importation, re-exportation, or formal entry of containers. Proactive measures and thorough documentation are essential to safeguard against involvement in illegal schemes and to support a transparent and compliant trade environment.