From Adanna Nnamani, Abuja
The Kano Free Trade Zone (KFTZ), strategically located in northern Nigeria, stands as a gateway for industrial growth, export diversification and regional economic integration. Yet, despite its vast potential, the zone remains largely underutilised.
In this interview, Alhaji Abdulrashid Nasidi, a Kano-based businessman and Chairman/Chief Executive Officer of Shaaban Poly and Chemical KFTZ, speaks on the urgent need for greater awareness and stakeholder engagement to unlock the full spectrum of benefits the zone offers.
From attracting investors to driving non-oil exports, Nasidi highlights how improved sensitisation and policy support could reposition the zone as a key player in Nigeria’s economic revival.
How has the deployment of B’Odogwu technology under the new Controller transformed operations at Kano Customs?
Since the coming of this new Controller—immediately he arrived—the team from headquarters inaugurated the B’Odogwu in the command. They also visited the command and started by inviting stakeholders to a sensitization meeting.
During the meeting, explanations were made on the aim of the team, and they sought the cooperation of all stakeholders so that the objective would be achieved timely and successfully. Details were requested by the ICT team in order to register every licensed agent on the B’Odogwu platform.
Many agents have complied, and a lot of agency profiles have already been created. I don’t have the data for those still in process; that data is still with the Association of Nigerian Licensed Customs Agents (ANLCA). For now, the majority of our licenses have been registered.
Talking from a stakeholder’s perspective, what is your view about Customs–stakeholder relationships so far?
From an honest perspective, the present Controller is very cooperative when it comes to engaging with relevant stakeholders. There has been very fruitful cooperation and engagement. It’s the reason why our successes are coming very fast, unlike in the past.
From your own perspective as private sector stakeholders, what is your level of compliance with government rules so far? Can you appraise yourself?
Yes, I can appraise myself. On a scale of 1 to 10, I would rate myself an 8.
To what extent are the bonded terminals serving your interest, and how much are you utilizing rail transportation?
Right now, I can say 90% of our consignments come by road. However, some of us are using the Lagos–Ibadan rail to at least move containers from the Lagos ports down to Ibadan, where we then use trucks to transport them to Kano. Actually, that area of rail is one that needs urgent involvement of the government or related authorities to step up efforts and make rail haulage a feasible and successful option. That will really help in terms of cost-effectiveness and timeliness of cargo delivery. Investment in that rail infrastructure will definitely pay off.
How much has your company lost in 2024 and Q1 2025 by relying on road haulage instead of the cheaper rail option?
Actually, for my company, I can estimate a loss of N1,000,000 per container, taking into account the difference in haulage costs. Comparing last year to this year, I estimate a total difference of around N4 billion.
Four billion Naira could have been saved if we were using rail—just in terms of the cost difference alone. We also have to consider time, demurrage costs, and the risks associated with road transport. I assume that if the rail service were prompt, it would be far more beneficial.
Please give us an overview of your operations at the Kano Free Trade Zone. Is it progressing as expected, and what gaps do you think should be filled?
We operate assembly-line activities under our licensed enterprises. We apply for the transfer of cargo that has arrived at the port to Customs through the Free Zone management, down to the Free Trade Zone, where the examination team inspects the cargo.
After arrival, the cargo is subjected to processing. At the point of export to Nigeria—if the goods are destined for Nigeria—Customs examines the cargo and confirms the appropriate duty payments before release. That’s just an overview.
The major challenge we face is the lack of proper awareness about the zone among various government agencies, which on many occasions has caused delays in transferring consignments from the port to the Free Zone.
There is a real need for better understanding of Free Trade Zone operations among stakeholders and government agencies involved in the importation of shipments into Nigeria.
Are you referring to awareness on the part of the Nigeria Export Processing Zones Authority (NEPZA)?
No, not from them, but from regulatory agencies like the National Agency for Food and Drug Administration and Control (NAFDAC), the National Drug Law Enforcement Agency (NDLEA), and some units of the Nigeria Customs Service (NCS). They need to be more aware of the existence and operations of the Kano Free Trade Zone.
Prior to the appointment of the current Controller, some enterprises were operating improperly, exploiting procedural gaps and incentive privileges. However, under the new leadership, operations have been significantly streamlined and brought into greater legal and administrative order. While there has been some resistance to these reforms, we commend the Controller’s consistency and commitment to upholding integrity and due process within the Zone.
He put an end to all the wrong practices and has now restructured the Free Trade Zone, especially in terms of Customs operations. They tried to harass him with strikes about 15 times because he stopped them. The Controller insisted that everyone must follow due process. They even threatened to ban Kano because he wouldn’t let them do as they pleased, but he stood firm for what is right. So now, whether you like it or not, you have to commend him. He has already done what he had to do.
He brought an end to the irregular practices previously taking place and has since restructured the operations within the Free Trade Zone, particularly regarding Customs procedures. Despite facing significant resistance—including multiple attempts to undermine his efforts through planned industrial actions—he remained steadfast in enforcing due process. At one point, there were even threats to shut down Kano due to his refusal to compromise on ethical standards.
Nonetheless, his commitment to transparency and accountability prevailed. Regardless of differing opinions, his contributions are undeniable and deserve recognition.
There is an urgent need for increased public enlightenment, education, and awareness to promote a clearer understanding of the roles and responsibilities involved.
Many people remain unaware of the positive developments within the Free Zone. Several enterprises are operating on impressively large scales—one with over 2,000 employees, others with more than 500, and advanced manufacturing and processing taking place—yet their contributions often go unrecognized due to limited public outreach. Unfortunately, it’s the negative narratives that get the most attention, overshadowing the successes.
People only seem to know about the bad stories. If they want to talk, they talk about the bad ones. But when he came, he fought the bad ones.
Most of the issues stem from NAFDAC. When people hear “Free Zone,” they think it only concerns Customs. So, when there’s abuse, it’s Customs that gets blamed. But it’s not their fault. Now, the Controller ignores anything that isn’t genuine. He only attends to genuine matters.