Central Bank of Nigeria - Export Trade

Export Trade

The Trade & Exchange Department captures non-oil exports statistics in the form of shipments and proceeds repatriated into the export proceeds domiciliary accounts of the exporters, maintained with the deposit money banks.

The liberalization of the proceeds of export in the domiciliary account has afforded exporters unfettered access to the funds.

In October 2004, there was the reintroduction of pre-shipment inspection of exports which was suspended in March, 1999.

The re-introduction of the scheme was part of the Federal Government economic reform programme aimed at diversifying the export base of the country and a measure to ensure that only goods with acceptable quality were exported from Nigeria.

Consequently, the Federal Government of Nigeria appointed Messrs Cobalt International Services Limited as the Pre-Shipment Inspection Agent for non-oil exports in October 2004. In January 2007, the Government enlarged the scope of the exports pre-shipment inspection scheme to include crude oil and gas. Since the scheme came into operation on October 2004, the company charged with the responsibility for exports Pre-shipment inspection has opened a number of offices across the country.

From January – December 2006, a total of 7,720.00 Clean Certificates of Inspection with corresponding FOB value of US$957,305,374 were issued by the Inspection Agent, compared to the 7,642 CCIs with the corresponding FOB value of US$749,472,220.00 issued in 2005, respectively. During January to October, 2007, a total of Clean Certificate of Inspection CCIs issued was 8,133 valued US$1,145,109,938.13.

Following the completion of the banking sector consolidation exercise in January 2006, 13 banks were designated to collect NESS fees were reduced to 12. However, 2 more banks, Ecobank and Spring Bank were appointed on the 26/1/2007 by the Government, bringing the total to 14 banks. The current list of the banks designated for the collection of NESS fees includes the following:

Afribank Nigeria Plc Diamond Bank Plc

Fidelity Bank Plc First Bank Nigeria Plc First Inland Bank Plc Guaranty Trust Bank Plc Oceanic Bank Plc Skye Bank Plc United Bank for Africa Plc Union Bank Nigeria Plc Wema Bank Plc Zenith Bank Plc Spring Bank Plc EcoBank Plc

Under the Nigerian Export Supervision Scheme (NESS), all exports from Nigeria are subject to inspection by the Inspection Agents prior to their shipment; with the exception of the following:

Personal effects

Used motor vehicles Day old poultry Human parts for transplant purpose Human remains Vaccines Yeast Periodicals / magazines

- Non-commercial exports, such as gifts, trade samples/printed business matter, machinery and equipment for repairs abroad and return to Nigeria, machinery and equipment for replacement, return of machinery and equipment after execution of a specific contract, re-exports and trans- shipments.

Supplies to diplomatic consular missions and international organizations for their own use.

In order to avoid multiple examinations and minimise delays during inspections, all the relevant agencies (e.g. Nigeria Customs Service, National Agency for Food and Drugs Administration and Control, Standards Organisation of Nigeria, Nigerian Drug Law Enforcement Agency, Department of Petroleum Resources, Weights and Measures Department of Federal Ministry of Commerce, etc.) are encouraged to simultaneously work with the Inspection Agent in order to ensure that the quantity, quality and prices of Nigerian exports conform to the International standard.