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Cost of Clearing a Car in Nigeria 2021

Buying foreign cars is sometimes better and more affordable than brand new ones in Nigeria. Although clearing them through Nigerian customs is challenging due to the complex bureaucratic processes in the country. If you want to know the cost of clearing a car in Nigeria in 2021 keep reading this article.


Cost of Clearing a Car in Nigeria 2021
Cost of Clearing a Car in Nigeria 2021


Why Clearing Cars in Nigeria

Nigeria does not manufacture great cars, except for Innoson, which does not satisfy most Nigerians' enthusiasts for vehicles. There are also a few assembly lines, which used foreign cars that are preferable to them.

They estimate that over 90% of cars used in Nigeria are all made abroad and imported into the country.

Clearing cars from the Nigerian ports and borders are affordable comparing some other African ports; however, it does not come cheap.

You have to pay the clearance fee to the Nigerian Customs Service (NCS) before you can bring your car into the country.

Importing cars into Nigeria is relatively cheap in the first phase, but not at last. The last phase of the clearance phase isn't always a walk in the park!

While considering getting a used or new car to Nigeria, you should also look out the cost of clearing it from customs.

The cost for clearing cars different cars varies for each vehicle, making it necessary to check the price of clearing a car in Nigeria 2021 when you wish to purchase or you already purchased.


The Cost of Clearing a Car in Nigeria 2021

There are fees for clearing imported cars on the borders, ports, airports, and seaports. These fees are compulsory, and they include:

· The Nigerian Customs (NCS),

· Clearing Charges or Agent fees,

· The carrier of the cars to the port,

· The terminal where it was offloaded.


Aside from the above fees, the Nigerian customs also charge for your imported car; this duty depends on the vehicle, model, and other factors.

It would help if you also settled the car carrier, the shipping company, which brought your car into the country. Their charge is dependent on the size and weight of the vehicle.


What are Duty Rates

While looking for the total cost of clearing cars, you should know that depending on the products, duty rates in Nigeria vary from 0% to 35%, where the average duty rates are about 17%. Some products, like books, can be imported for free without having to pay duty.


How Much is Sales Tax

About 5% of your import value is a standard fee levied for VAT on the sum of the CIF value, duty, and other taxes, if applicable. However, there is no minimum threshold in Nigeria. Therefore, imports are subject to taxes and obligations regardless of their value.


Cost of Clearing a Car in Nigeria 2021

The cost of clearing a car in Nigeria 2021 depends on the exchange rate of Naira to the US dollar. The given cost varies for different years. Customs charges may change depending on the strength of Naira currency.


Where to Clear Cars in Nigeria

Apapa and Tin Can ports are the most popular ones in Nigeria for importing cars. If you are importing from Cotonou, you can clear at the Seme border.

There are four centers of the Nigerian Customs Service, and this is where you verify your car status. These centers include:

· Zone A: No. 1 Harvey Road, Yaba, Lagos,

· Zone B: Kabala Doki, Kaduna,

· Zone C: Nigeria Ports Authority, Port Harcourt and,

· Zone D: Yelwa Tudu Road, Bauchi State.


No one can avoid paying to import taxes and duties. It doesn't matter if you are an institution or an individual, shipping goods to Nigeria warrants import Duties.

CIF (Cost, Insurance, and Freight) is the primary mode for valuation. It signifies that both the import duty and taxes are estimated on the entire shipping value.

Interestingly the whole shipping value includes the charge of freight, the value of the imported goods, and the insurance cost.

Imported goods are subject to sales tax and other fees for specific products, including rice levy, sugar levy, cigarette levy, and automative levy. The total cost of clearing a car in Nigeria in 2021 is dynamic.


Duration and Cost of Clearing a Car in Nigeria 2021

Several factors determine the duration of clearing cars. These could include the validity of forms, the number of clearance applicants, etc. The average time is about two to three days.

The cost of clearing a car in Nigeria 2021 might vary depending on your agent. The following list comes from an experienced agent:

· Nissan Pathfinder 2001: ₦350,000

· Nissan Pathfinder 2005: ₦400,000

· Toyota Highlander 2005: ₦450,000

· Toyota Highlander 2008: ₦500,000

· Toyota Corolla 2005: ₦300,000

· Toyota Corolla 2006: ₦300,000

· Toyota 4Runner 2006: ₦450,000

· Toyota 4Runner 2011: ₦900,000

· Toyota Camry 2013: ₦1,350,000

· Toyota Camry 2015: ₦1,500,000

· Lexus RX 330 2004: ₦370,000

· Lexus RX 350 2007: ₦600,000

· Lexus RX 350 2008: ₦700,000

· Lexus RX 350 2009: ₦800,000

· Lexus RX 350 2010: ₦950,000


How to Clear Imported Cars in Nigeria

After valuation the cost of clearing a car in Nigeria 2021 let's see how we should remove cars in Nigerian customs. The following is step-by-step guidance:


1. Get Your Car Bill of Lading

The first step is to obtain this receipt. Bill of Lading or BL or as sometimes represented as BoL, is a receipt given by the carrier to the shipper. It acknowledges the receipt of the car being shipped and specifies the terms of car delivery. It also contains the vehicle details you are importing from the US to Nigeria; it's imperative.


2. Ascertain Car's Import Duty

Import duty is the importation taxing and does not refer to responsibility. This step is where we need a clearing agency. Since it requires simple letter writing, there are computer stalls around that'll draft an agency's letterhead for you. They have various registered clearance agencies' letterheads, and you'd have to pick the one you prefer.


3. Obtain Valuation Site and Perform DTI

DTI (Direct Trader Input) refers to the input of car valuation on the customs web base. It should cost just a few minutes, if not seconds, of your time. It is a simple upload that requires sincerity. Apart from the car, whatever other items are in the vehicle must be stated and must undergo valuation.


4. Print SGD and Assessment Notice

SGD (Single Goods Declaration) involves a simple printing of forms, and these forms must contain the appropriate car information. Whatever happens, do not change or falsify any information about your car. If you should dare to forge any info, let it not be the customs import valuation of your vehicle.


5. Import Duty Valuation Payment

There are two options for payment; it's either the bank or online. Whichever payment method you use, do not fail to obtain a payment receipt.


6. Request for Car Release

Now you should make your final payments to the shippers. Again, you'll gather your initial forms, including BL, SGD, Copy of Exit, and a valid means of identification. Your identity ID could be your National ID, Driver's License, and even Voter's Card. Various shipping agents have their requirements regarding your title, but it won't differ from this.


7. Proceed to Terminal Operator Office

Now you should make your final payments and to the terminal operator's office. You will be issued a debit note or terminal charge, and you have to pay at a given bank. Return here after making payments to get your DO (Delivery Order) and have your car released by the shipper. The terminal operator will issue a TDO (Terminal Delivery Order) to finish the process.


8. Final Vehicle Movement and Final Verifications

Finally, the car moves to the final gate for final verifications. The customs officer there would check every detail of the vehicle. When it's inevitable that it tallies with your documents, you'll be allowed out. You can park somewhere, call your lover, inform them of your new wheel's arrival, and run the Nigerian roads.


Conclusion

Nigeria does not manufacture great cars, so buying vehicles from the US is sometimes better and even more affordable than domestic ones; however, clearing a car in customs is another story!

We believe this information on the process and cost of clearing a car in Nigeria 2021 is helpful to you. Ask your questions or share your information regarding the clearance cars in Nigeria in the comment section.

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