Nigeria Customs rolls out SIGMAT digital platform to streamline trade efficiency across the ECOWAS region

The Nigeria Customs Service (NCS), in collaboration with the Benin Republic Customs Administration, has launched the Interconnected System for the Management of Goods in Transit (SIGMAT), a groundbreaking digital customs platform designed to standardise and streamline customs procedures across the Economic Community of West African States (ECOWAS). The platform aims to enhance trade efficiency, reduce clearance times, and foster regional integration by digitalising cross-border trade processes.

SIGMAT, a web-based platform developed under the ECOWAS framework, facilitates the seamless exchange of customs data among member states, enabling faster clearance of goods in transit and improving compliance with regional trade protocols. The system integrates advanced technologies, including artificial intelligence (AI) and data analytics, to modernise customs operations, replacing outdated manual processes with a paperless, digital-first approach.

This launch marks a significant step in Nigeria’s ongoing efforts to digitise its customs operations, aligning with global best practices and supporting the country’s digital economy ambitions.

How SIGMAT works

The SIGMAT platform operates as a centralised digital hub that connects customs administrations across ECOWAS member states. It enables real-time data sharing, harmonises customs documentation, and automates key processes such as cargo clearance and transit monitoring. Here’s a detailed breakdown of its functionality:

• Digital Declaration and Data Sharing: Importers, exporters, and customs agents submit declarations electronically through the SIGMAT portal. The platform integrates with the Nigeria Customs Service’s existing systems, such as the B’Odogwu trade management system, which replaced the older Single Window system. Declarations are standardised across ECOWAS countries, reducing discrepancies and ensuring compliance with regional trade agreements. The system allows customs officials in Nigeria and Benin to access shared data instantly, eliminating the need for redundant paperwork.
• AI-Driven Risk Assessment: SIGMAT leverages AI to analyse declarations and identify high-risk shipments based on intelligence and historical data. This enables targeted inspections, reducing physical container checks by up to 50%, as announced by the NCS. By prioritising high-risk cargo, the platform minimises delays for compliant shipments, potentially cutting clearance times to as little as two hours at key ports like Apapa.
• Transit Tracking and Monitoring: For goods in transit, SIGMAT provides end-to-end visibility. The platform issues electronic transit documents, such as the ECOWAS Transit Guarantee, which are tracked in real time as goods move across borders. This ensures that duties and taxes are properly managed, reducing the risk of smuggling and revenue leakage. For example, a shipment moving from Lagos to Cotonou is monitored digitally, with automated alerts for any deviations.
• Interoperability with Regional Systems: SIGMAT is designed to integrate with other national customs systems within ECOWAS, such as Benin’s customs platform. This interoperability ensures seamless cross-border trade, allowing goods to move efficiently without repeated inspections at each border. The system also supports the ECOWAS Common External Tariff (CET), ensuring uniform duty rates across member states.
• Paperless Operations: By replacing manual processes with digital workflows, SIGMAT eliminates paper-based documentation, reducing errors and processing times. The platform supports e-payments for customs duties and electronic risk-based inspections, aligning with recommendations from a 2015 NAFITH survey that advocated for paperless customs operations to decongest Nigerian ports.

Implementation and impact

The SIGMAT pilot, launched between Nigeria and Benin, is the first phase of a broader rollout across ECOWAS. The NCS has already issued its first Pre-Arrival Assessment Report (PAAR) under the B’Odogwu system, which integrates with SIGMAT, demonstrating early success in digitalising trade processes. The platform is supported by a $300 million investment in Nigeria’s e-Customs project, approved in 2019, involving a consortium of firms including Bionica Technologies West Africa Ltd and Huawei. This investment has facilitated the deployment of advanced infrastructure, such as X-ray scanners and AI tools, to enhance port efficiency.

The platform’s most significant benefit is its ability to streamline trade efficiency, reducing clearance times by up to 40% and lowering costs for businesses. By minimising physical inspections and automating processes, SIGMAT reduces demurrage and storage charges, which have long plagued Nigerian ports due to delays. For instance, a 2018 survey by NAFITH highlighted that automation could alleviate port congestion, a persistent issue at Apapa and Tin-Can Island. The platform also enhances transparency, curbing corruption—a goal reinforced by Nigeria’s earlier adoption of blockchain technology, which officials claimed could boost customs revenue by 50%.

Broader implications

The launch of SIGMAT aligns with Nigeria’s broader digital transformation agenda, backed by President Bola Ahmed Tinubu’s administration. The Federal Executive Council has prioritised the digital economy, with initiatives like the $1 billion digital education deal and the Anambra State data platform underscoring Nigeria’s commitment to technology-driven growth. SIGMAT’s regional focus supports ECOWAS’s vision of a unified economic bloc, fostering trade integration and competitiveness.

Stakeholders have praised the platform’s potential. “SIGMAT will revolutionise trade by making it faster, cheaper, and more transparent,” said a spokesperson for the NCS. However, challenges remain, including the need for robust infrastructure and training to ensure customs officers can operate the system effectively. Past attempts at digitalisation, such as the Nigeria Customs Integrated System (NCIS II), faced issues like server downtime, highlighting the importance of reliable technical support.

As SIGMAT expands to other ECOWAS countries, Nigeria aims to position itself as a leader in regional trade facilitation. The platform’s success could attract further private sector investment in Africa’s digital infrastructure, as urged by industry experts. By reducing trade barriers and enhancing compliance, SIGMAT has the potential to transform West Africa’s economic landscape, benefiting businesses, governments, and consumers alike.