Bitumen Import Duty in Nigeria
Last updated: 2026-10-04
Bitumen Import Duty in Nigeria
Importing bitumen into Nigeria attracts a 5% Customs Import Duty, a 7% Port Development Levy (port surcharge), a 0.5% ECOWAS Trade Liberalisation Scheme (ETLS) levy, and a 0.5% West African Examination Council (WAEC) levy, giving a combined statutory levy of roughly 13% of the CIF (Cost, Insurance, Freight) value. On top of that, importers pay 7.5% VAT on the duty-inclusive value, plus 1% Comprehensive Import Supervision Scheme (CISS) and the 4% FOB Nigerian Ports Authority (NPA) charge. In practice, the total landed cost uplift on a tonne of bitumen CIF Lagos is typically 18–22% over the invoice value. As of 2024–2025, a 20-foot container or drummed/bulk shipment of PG 60/70 bitumen landed in Lagos from the UAE or Iran commonly carries a full customs and port cost of ₦280,000–₦420,000 per tonne, depending on exchange rate and HS code classification.
That headline number is what most buyers search for, but the real duty position depends on three variables: the HS code you declare, the incoterm you import on, and the exchange rate the Nigeria Customs Service (NCS) applies on the day of assessment. Get the HS code wrong (for example declaring cutback bitumen under the same code as penetration-grade bitumen) and you invite a valuation query that can hold your cargo for 10–21 days and add demurrage of $80–$150 per container per day. This article breaks down the exact duty stack, compares landed costs across sourcing origins, and shows how to estimate your true per-tonne cost before you book freight.
Bitumen HS Codes and the Duty Stack in Nigeria
Bitumen is classified under HS Chapter 27.13 — "Bitumen and asphalt, natural; bituminous or oil shale and tar sands; asphaltites and asphaltic rocks." The specific subheadings matter:
| HS Code | Product Description | Base Import Duty (ECOWAS CET) |
|---|---|---|
| 2713.20.00.00 | Bitumen and asphalt, natural; bituminous or oil shale | 5% |
| 2713.90.00.00 | Other residues of petroleum oils / bituminous mixtures | 5% |
| 2714.90.00.00 | Bituminous mixtures based on natural asphalt | 5% |
| 2715.00.00.00 | Bituminous mastics, cut-backs, emulsions | 10% |
Note the last row: bitumen emulsions and cutbacks attract 10%, double the rate for straight-run penetration grade. Many importers misclassify emulsion as 2713 and face a ₦2–5 million penalty on a single container when NCS reclassifies at destination.
The full levy stack applied on the CIF value at Lagos/Onne:
| Charge | Rate | Base |
|---|---|---|
| Customs Import Duty | 5.0% | CIF |
| Port Development Levy | 7.0% | CIF |
| ECOWAS ETLS Levy | 0.5% | CIF |
| WAEC Levy | 0.5% | CIF |
| CISS (Comprehensive Import Supervision) | 1.0% | FOB |
| NPA 4% Charge | 4.0% | FOB |
| Subtotal (levies) | ~18% blended | CIF/FOB mix |
| VAT | 7.5% | CIF + all duties/levies |
Important 2024–2025 development: the Federal Government's fiscal policy reforms removed VAT on diesel and some petroleum products, but bitumen is not VAT-exempt as a general goods line. Confirm the current VAT status with your clearing agent at the time of import, because Finance Act amendments have shifted treatment more than once since 2023.
What a Tonne of Bitumen Actually Costs to Land in Nigeria
The tables below model a 20-tonne bulk consignment (drums or flexitank) of PG 60/70 penetration-grade bitumen shipped CIF Apapa, Lagos, with an assumed exchange rate of ₦1,600/USD (adjust to the NCS rate on your assessment date).
| Cost Component | Amount (USD) | Amount (₦) |
|---|---|---|
| FOB value (20 t @ $480) | $9,600 | ₦15,360,000 |
| Freight + insurance | $800 | ₦1,280,000 |
| CIF total | $10,400 | ₦16,640,000 |
| Customs duty (5% CIF) | $520 | ₦832,000 |
| Port levy (7% CIF) | $728 | ₦1,164,800 |
| ETLS + WAEC (1% CIF) | $104 | ₦166,400 |
| CISS (1% FOB) | $96 | ₦153,600 |
| NPA 4% (FOB) | $384 | ₦614,400 |
| Subtotal duties/levies | $1,832 | ₦2,931,200 |
| VAT (7.5% on CIF + levies) | $918 | ₦1,468,800 |
| Total landed | $13,150 | ₦21,040,000 |
| Per tonne | $657 | ₦1,052,000 |
| Cost Component | Amount (USD) | Amount (₦) |
|---|---|---|
| FOB (20 t @ $360) | $7,200 | ₦11,520,000 |
| Freight + insurance | $600 | ₦960,000 |
| CIF total | $7,800 | ₦12,480,000 |
| Customs duty (5%) | $390 | ₦624,000 |
| Port levy (7%) | $546 | ₦873,600 |
| ETLS + WAEC (1%) | $78 | ₦124,800 |
| CISS (1% FOB) | $72 | ₦115,200 |
| NPA 4% (FOB) | $288 | ₦460,800 |
| VAT (7.5%) | $688 | ₦1,100,800 |
| Total landed | $9,862 | ₦15,779,200 |
| Per tonne | $493 | ₦789,000 |
The takeaway: duties and levies alone add roughly 17.6% to CIF, and once VAT is applied on the duty-inclusive base, the total uplift sits near 26% — but because NPA 4% and CISS are charged on FOB (a smaller base), the blended effect on landed cost averages 18–22% across real shipments.
Origin Comparison: UAE, Iran, Singapore, and Local Refinery Supply
Sourcing origin changes both freight and the CIF base, which directly moves your duty figure. The table below compares landed per-tonne cost into Lagos at ₦1,600/USD.
| Origin | Typical FOB ($/t) | Freight to Lagos ($/t) | CIF ($/t) | Landed ($/t incl. duty+VAT) | Transit Time (days) |
|---|---|---|---|---|---|
| UAE (Jebel Ali) | 430–480 | 45–65 | 475–545 | 590–680 | 28–35 |
| Iran (Bandar Abbas) | 340–400 | 40–55 | 380–455 | 475–570 | 30–40 |
| Singapore | 460–500 | 55–75 | 515–575 | 640–720 | 35–45 |
| Bahrain | 420–460 | 50–65 | 470–525 | 585–660 | 30–38 |
| Local (Refinery supply) | — | — | — | 700,000–950,000 ₦/t | 2–7 |
Two practical notes:
- Iranian-origin cargo can attract enhanced scrutiny and documentary delays at Apapa and Tin Can Island. Budget 5–10 extra clearing days.
- Local refinery supply (from the Dangote refinery and modular plants) eliminates import duty entirely and cuts lead time to under a week, but priced at ₦700,000–₦950,000 per tonne ex-works it is often competitive with landed imports only when the naira weakens past ₦1,750/USD.
Clearing Timeline and Hidden Costs Importers Underestimate
Duty is only part of the landed cost. Terminal and clearing charges commonly add ₦180,000–₦350,000 per container:
- Terminal handling / storage: ₦35,000–₦60,000 per day after the free window (typically 3–5 days)
- Shipping line demurrage: $80–$150 per container per day after free time
- Clearing agent fee: 2–4% of duty paid, minimum ₦150,000
- Form M and PAAR processing: ₦30,000–₦70,000
- SONCAP / product certification (if applicable): ₦120,000–₦250,000
- Haulage from port to yard: ₦200,000–₦450,000 depending on distance and truck availability
Total clearing cycle: with complete documentation — Form M, Bill of Lading, Commercial Invoice, Packing List, Certificate of Origin, SONCAP/PC, and PAAR — expect 7–14 days from vessel arrival. Incomplete documentation pushes this to 21–30 days, at which point demurrage alone can add $1,500–$3,000 per container — more than the entire duty bill on a low-value shipment.
How to Legally Reduce Your Bitumen Import Duty
There is no legal mechanism to zero out duty on bitumen, but four levers consistently reduce cost:
- Import on FOB terms where possible. Because NPA 4% and CISS are charged on FOB, shifting freight cost out of the CIF base reduces the levy base. The trade-off is that you carry freight risk.
- Apply the correct HS code. Straight-run bitumen at 2713.20 is 5%; accidentally declaring it under a 10% heading (emulsions, 2715) doubles duty on the same cargo.
- Use the ECOWAS Trade Liberalisation Scheme only for qualifying ECOWAS-origin goods. Imported bitumen from outside the bloc does not qualify — but if you are sourcing from a certified ECOWAS producer, duties can drop substantially.
- Verify the NCS exchange rate before assessment. The NCS applies its own rate, which can differ from the CBN rate by 5–10%. On a $10,000 CIF shipment, a ₦100/USD rate difference equals ₦1 million in levy and VAT movement.
Always model your numbers before you place a Form M, not after. The single biggest cause of unprofitable bitumen import cycles in Nigeria is a landed-cost estimate that omitted VAT on the duty-inclusive base.
FAQ: Bitumen Import Duty in Nigeria
What is the current import duty on bitumen in Nigeria?
Bitumen under HS 2713.20 attracts a 5% Customs Import Duty on CIF value, plus 7% Port Development Levy, 0.5% ETLS, and 0.5% WAEC, bringing the levy total to about 13% of CIF. Add 7.5% VAT on the duty-inclusive value and the effective uplift on landed cost is 18–22%.
Is bitumen VAT-exempt in Nigeria?
As of the current fiscal position, bitumen is not VAT-exempt — the 7.5% VAT applies to the CIF value plus all duties and levies. Note that petroleum product VAT treatment has changed repeatedly since the 2023 Finance Act, so verify the rate with your agent on the assessment date.
How long does it take to clear a bitumen container at Apapa or Tin Can?
With complete documentation and pre-cleared Form M and PAAR, clearing takes 7–14 days from vessel arrival. Missing documents such as SONCAP certification or a Certificate of Origin can push this to 21–30 days, during which demurrage runs $80–$150 per container per day.
Which HS code should I declare for PG 60/70 bitumen?
Declare 2713.20.00.00 for straight-run penetration-grade bitumen. Bitumen emulsions and cutbacks fall under 2715.00.00.00 and attract 10% duty — double the rate. Misclassification is one of the most common and costliest errors for Nigerian bitumen importers.
Can I import bitumen into Nigeria duty-free?
Duty-free entry is only available through specific exemptions, such as qualifying ECOWAS-origin goods under the ETLS scheme, or government-approved project waivers. Standard commercial bitumen imports from the UAE, Iran, or Asia always attract the 5% duty plus levies and VAT.
Estimate Your Exact Landed Cost with the 6Tar Cost Calculator
Duty rates are fixed, but freight, exchange rate, demurrage, and clearing fees swing your true per-tonne cost