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The Federal High Court, Abuja, has dismissed a N34 million amended suit filed by Laurium Mining Company Limited against the Nigeria Customs Service Board and three others over import duty exemptions.
Justice James Omotosho dismissed the suit on Monday, holding that the company failed to place “credible and satisfactory evidence before the court to prove that it is entitled to exemptions from payment of customs duties when it imported its various mining machinery” in 2018.
The Minister of Mines and Steel Development, the Minister of Finance, and the Attorney-General of the Federation were also joined as respondents in the amended suit.
The company, according to court processes seen by Nairametrics, had dragged the Nigeria Customs Service Board and others to court, seeking, among other reliefs, a declaration that it was exempted from paying import duties as a mining company importing equipment to be used in the solid minerals industry.
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The company also sought a refund of about N34 million paid as import duty assessments and exemplary damages, including interest.
The company’s legal team, led by Ayodele Kusamutu, Esq., had argued that former President Muhammadu Buhari approved a reduction in import duties on 115 items across various sectors of the economy in a bid to promote development.
But the defendants, through their lawyer, Catherine Ogbeni, Esq., contended that it was the duty of an importer to secure a waiver before purchasing and dispatching goods for which the waiver was being sought.
- “The NCSB avers that Laurium Mining Company Limited did not attach any valid proof that entitled it to enjoy a waiver nor an exemption from the payment of customs import duty,” the defendants maintained.
Court says executive orders cannot override law
Delivering judgment in the matter, Justice Omotosho held that executive orders issued by a president cannot supersede an Act of the National Assembly, stressing that such orders are subject to the lawmaking powers of the National Assembly.
- “Executive orders are for the enforcement of an Act; it must be in consonance with the substantive Act. Any contradiction would be deemed to be invalid,” he said.
The judge held that, in respect of the dispute, the provisions of Section 25 of the Nigerian Minerals and Mining Act, 2007, would prevail.
Since the Act does not provide for deemed approval of waivers, the judge held that the Nigeria Customs Service Board could not be held liable for demanding and collecting customs duties on the machines imported into Nigeria by the company.
- “The mere fact that Laurium Mining Company described itself as a mining company to the NCSB or that it intended to import mining machines into Nigeria does not automatically entitle it to exemption from paying customs duties,” the judge held.
The judge ruled that the plaintiff must produce an exemption certificate or document evidencing that a waiver had been granted to it in respect of the machines imported into Nigeria.
In his final analysis, Justice Omotosho dismissed the case for lack of merit.
Customs import duty waivers hit N34 trillion
In July 2026, the Nigeria Customs Service revealed that the value of Import Duty Exemption Certificate approvals for imported goods and equipment rose to N34 trillion in 2025, with about 60% of the waivers granted for military hardware.
The Comptroller-General of the Nigeria Customs Service, Adewale Adeniyi, disclosed the figures during an investigative session of the Senate Committee on Finance with revenue-generating agencies.
The disclosure highlights the scale of revenue foregone through duty waivers, even as the Customs Service faces a significant shortfall against its 2026 revenue target.
Customs Service pursues unified 4% FOB charge
The Nigeria Customs Service Board is the statutory body of the Federal Government established by an Act of the National Assembly.
Nairametrics earlier reported that “the Customs Service, in 2025, announced plans to replace multiple import-related levies with a single 4% Free On Board (FOB) charge” as part of a new revenue framework aimed at simplifying customs payments.
According to Adeniyi, the new unified charge will replace the existing Comprehensive Import Supervision Scheme (CISS) and the 7% cost of collection currently paid by importers.
He said importers would only be required to pay the 4% FOB charge upfront once the policy takes effect, with no additional levies imposed under the new structure.
