The Nigeria Customs Service (NCS) has taken a significant step towards enhancing Economic Growth by signing a Memorandum of Understanding (MoU) with the General Administration (GAC) of Customs of the People’s Republic of China. This bilateral agreement aims to foster a stronger relationship between the two nations and boost import-Export operations, particularly for Micro, Small, and Medium Enterprises (MSMEs) in Nigeria. Comptroller-General of Customs (CGC) Adewale Adeniyi, who led a team to Shenzhen, emphasized the importance of this partnership.
He stated, “We know a lot of Nigerian companies and SMEs take advantage of the opportunities aided through e-commerce.” He expressed optimism that the NCS-GACC MoU will serve as a critical component of cooperative Security and Trade relationship between the two nation’s Customs agencies. Adeniyi highlighted the significance of this partnership, citing the exponential rise in e-commerce development. He noted, “The relationship will create a cooperative mechanism for NCS and the GACC to collaborate on supply chain security standards and enhance the Economic Stability of both nations.”
Opportunities created for both agencies by the signing of the MoU.
This partnership is important to the country, as China is Nigeria’s largest trading partner, and the MoU will help address the challenges of informal trade between the two nations. CGC Adeniyi acknowledged the importance of China in Nigeria’s trade sector, stating, “China is making the biggest trade in Nigeria, and the basic context of International Trade is ‘your export is our import’.” He appreciated the significant trade volume between the two nations but also highlighted the need to account for the large volume of informal trade that exists between them.
Mr. Wang Lingjun, representing Vice Minister Sun Yuning of the General Administration of Customs, signed the MoU on behalf of the People’s Republic of China. He expressed satisfaction with Adeniyi’s vision, stating that the affiliation between the two agencies will serve as a mechanism for creating opportunities for Nigeria and the Asian country to share on a wide range of economic issues and trade facilitation. The MoU signing ceremony marked a significant milestone in the bilateral relationship between Nigeria and China.
Benefits of the agreement between the two countries.
Further, the agreement is expected to improve economic growth, boost trade, and create opportunities for MSMEs in Nigeria. As CGC Adeniyi emphasized, “The relationship will create a cooperative mechanism for NCS and the GACC to collaborate on supply chain security standards and enhance the economic stability of both nations.” This partnership is a critical step towards addressing the challenges of informal trade and enhancing the economic stability of both nations. As Adeniyi noted, “These are some of the many reasons why Nigeria Customs Service pays attention to what is happening in China.” The MoU signing demonstrates the commitment of both nations to strengthening their trade ties and promoting economic growth.
Additionally, the MoU is expected to facilitate the exchange of information and best practices between the two Customs agencies, enhancing their capacity to tackle trade facilitation and security challenges. This will help to reduce the cost and time of trade transactions, making it easier for businesses to operate and thrive. Also, the partnership will provide a platform for Nigeria and China to collaborate on trade facilitation initiatives, such as the African Continental Free Trade Area (AfCFTA) and the Belt and Road Initiative (BRI). This will help to promote economic integration and cooperation among African countries and between Africa and China.
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In all, the Nigeria Customs Service and the GAC have taken a significant step towards enhancing economic growth and boosting trade between the two nations. The MoU signing marks a key milestone in their bilateral relationship, and both nations are expected to benefit from this partnership. As CGC Adeniyi emphasized, “The relationship will create a cooperative mechanism for NCS and the GAC to collaborate on supply chain security standards and enhance the economic stability of both nations.” This partnership has the potential to unlock new trade opportunities, promote economic development, and strengthen the bond between Nigeria and China.
