yes alway fuse as close to the battery as possible. most recommend within 18 inches.
reason for this is that if something happens and there is a cut or short in the wire, the fuse will blow. the less wire there is between the fuse and the battery. the less chance there is for a fire, sparks, anything of the sort.
i personally would rather have a fire in the engine bay then a fire in the trunk that would lead into the cabin and then the whole car.
if i were you i would relocate it as quick as possible.