Olusegun Ariyo
The Nigeria Customs Service has explained why smuggling of Premium Motor Spirit out of Nigeria has remained prevalent despite fuel subsidy removal.
NCS said that petrol smuggling to Nigeria’s neighboring countries such as Cameroon, Niger, and the Benin Republic has remained profitable due to the price arbitrage.
The Comptroller General of NCS, Bashir Adeniyi, disclosed this on Tuesday while reeling out the first quarter of 2025 performance report in Abuja.
The NCS revealed that rice, followed by petroleum products, recorded the most prevalent seizures made in Q1, 2025.
He emphasized that the price of PMS in Nigeria, which stands between N880 and N950 per litre, is lower compared to around N1600 and N2000 per litre in Cameroon, Niger, and the Benin Republic.
“Despite the removal of the fuel subsidy, it is still profitable for smugglers to take fuel illegally from Nigeria. You know that the prices are dynamic.
“In Nigeria we are noticing a sort of fuel price reduction to something between N850 and N900 per litre in those places; in Cameroon it is close to N2,000 per litre, in Niger it is N1,600 per litre, and the same with the Benin Republic.
“This arbitrage provides the incentive. That is why we launched the operating Whirlwind,” he said.
In Q1 2025, the Service announced that total seizures made were valued at N7.7 billion.
On the aspect of revenue collection, the Nigeria Customs Service earned N1.75 trillion from N36 Trillion Total Worth of Trade Handled In Q1 2025
