The Senate Committee on Finance on Wednesday submitted its report on a Bill for an Act to repeal the Customs and Excise Management Act (CEMA), 2004 and other Customs and Excise laws.

Senator Ahmed Makarfi, Chairman of the Committee, appeared before the floor of the Senate to file the draft of 217-page bill.

The bill seeks to reform the administration and management of Customs and Excise in Nigeria and to bring the CEMA Act of 1958 inline with modern day best practice.

Makarfi (PDP-Kaduna) told the Senate that the committee made recommendations based on “specific issues raised by the various stakeholders with the relevant sections of the bill.”

The Tide source reports that the recommendations by the committee include provisions in the bill to boost the financing of customs service operations.

The committee also recommended the “prohibition of mandatory pre-shipment and post-shipment inspections, as outlined in Clause 43 of the proposed legislation.

On Clause 43, it recommended that “the president may on the recommendation of the minister, approve the use of mandatory pre-shipment inspection services for Customs purpose.”

It also recommended a new insertion in Clause 43(2), which grants the Customs Board the power to approve and engage the services of service providers “through competitive bidding”.

It would be recalled that the original bill had recommended the prohibition of mandatory, pre-shipment and post-shipment inspections.

The initial bill also recommended the termination of service providers used by customs for pre-shipment and post-shipment services not later than December 2012.

However the draft, which the Senate Committee on Finance worked on and circulated to the Senate, has deleted the aforementioned provision.

Besides, the Committee in the new draft also proposed an amendment of Clause 31 (1), which deals with the power of the Comptroller-General of Customs to designate customs control zone.

The new draft proposed that the Board should have the power to designate areas within and outside the customs territory as customs control zone.

The bill was not discussed in the Senate because of its bulky nature.

Senate President David Mark, therefore, requested the Committee to circulate it to all members of the Senate for due perusal before discussions.

Mark expressed the hope that the bill would be passed into law before the end of the year.

Several senators who spoke in favour of the bill described it as a “major and very important bill” second to the Petroleum Industry Bill.

The bill if passed into law, will consolidate, in a single reference document, the Nigeria Customs Service legal authority scattered in eight different enactment.