The Nation Newspaper

Category: Maritime

  • Importers abandon 4,000 vehicles at ports

    Importers abandon 4,000 vehicles at ports

    Importers may have abandoned about 4000 vehicles at the Lagos ports because of their inab ility to pay the new 35 per cent tariff, The Nation has learnt.

    Sources said the vehicles got trapped at the ports under the new duty regime.

    A Customs officer, who pleaded for anonymity, said over 4,000 vehicles were trapped at the ports because of  the new duty rate.

    He said: “We are aware that many importers are finding it difficult to pay the new rate, but there is nothing we can do because it has been uploaded into our system. Once a clearing agent opens a site on his system and punches the name of the vehicle, its model and year of manufacturing, the amount he would pay as duty appears to him.

    “Except he pays the amount, the only alternative opened to him is to abandon the vehicle. And that is why we are having over 4,000 vehicles in the ports that have not been cleared by the importers. But my advice to them is to look for money, pay the duty and move their vehicles out of the ports before they become over-time cargo and confiscated by the  Customs.”

    A clearing agent, Mr Daniel Solomon, said they were paying between N480,000 and N486,915.70 as duty on 2009 Pathfinder Sport Utility Vehicle (SUV). Under the new regime, Daniel said they would pay N760,157 duty.

    An importer, Mr Folagbade Asekun, said they were sad over the increment. He said the government should have allowed the made-in-Nigeria vehicles to be rolled out before imposing the tariff, adding that the policy is like putting the cart before the horse.

    “Why do we need to pay through our nose since nobody has seen the made-in-Nigeria vehicles the government is talking about. The government should have allowed the manufacturers to come out with their brand of vehicles before introducing the high tariff. I understand that some of the would-be manufacturers have not commenced operations, not to talk of opening shops,” he said.

    There are fears that if not reviewed, the policy, may lead to diversion of imported vehicles to neighbouring countries and enhance smuggling through the land borders.

    Last weekend, it was learnt that some importers and their agents met in Lagos to strategise on how to bring in their vehicles through Cotonou.

    They alleged that the government imposed the 35 per cent duty and 35 per cent levy to get the money for next year’s elections.

    The charges, the agents said, were inimical to their business.

    A member, Manufacturers Association of Nigeria (MAN), Mr. John Aluya, claimed that over 2,000 containers belonging to importers were trapped at the ports because of the bureaucracy at the Ministry of Finance and the Customs.

    “There was a fiscal policy by the Finance Ministry on February 23, where the government said all those who have perfected their documentation be allowed to pay the old duty, but the Customs said no.

    “Over 2,000 containers of our members are trapped at the ports because of this wrong interpretation from the Customs and we are paying demurrage and rents, how can the country progress,” he asked.

    Customs Public Relations Officer at Tin Can Command Mr Chris Osunkwo said the 35 per cent duty on Tokunbo vehicles is being enforced by Customs formations across the country.

    In the past, importers paid between 10 and 20 per cent duty on vehicles.

    The Customs said the 35 per cent duty was imposed by the Federal Government.

    Importers are also expected to pay additional 35 per cent levy  from July 1.

    Under the regime, commercial vehicles, such as Danfo, which hitherto attracted 10 per cent duty, will now attract 35 per cent duty and 35 per cent levy.

    The 35 per cent duty has been uploaded onto Customs systems, making it impossible for importers or their agents to pay the old rate.

  • Govt, freight forwarders urged to dialogue

    A LAGOS lawyer and Alternative Dispute Resolution  Consultant, Mr Valentino Buoro, has called on the  Federal Government and freight forwarders to seek mediation on the new import tariff on vehicles.

    The Associate Convenor of the Standing Conference of Mediation Advocates, an international non-profit organisation, is worried that the government and freight forwarders are losing revenue because of the disagreement.

    He said: “While it is within government powers to make whatever policies it considers best for the economy, it also within the democratic rights of those whom the policies will affect in one way or the other to have a say on the impact of the policy and to demand some alterations or amendment.

    ‘’These divergent views and legal rights can only be harmonised  through mediation where a neutral party called a mediator will facilitate a negotiated settlement based on the merits of respective claims.

    “It is a worldwide phenomenon that when the government decisions have potentially serious impact on people’s lives and economic interests, conflicts are bound to arise. Emotions run high and people are ready to fight either through protests, the courts or sometimes even through angry confrontations or violence.”

    Buoro urged the government and the agents to see their divergent views as a joint problem, which could be harmonised and resolved by their representatives under the guidance of a neutral third party.

    The lawyer urged Federal Government to ask the Nigerian Shippers Council (NSC), a commercial regulator, to convene a mediation where competent neutral parties would be appointed to facilitate the negotiations.

    “It is only by such acts that the government can institutionalise  alternative dispute resolution to engender a user-friendly maritime industry, which in no distant time, will attract additional foreign investments into our economy,” Buoro said.

  • Inland Authority bans night boat operations

    The National Inland Waterways Authority (NIWA) has limited boat operation to 6 pm daily, directing that only qualified captains should be allowed to operate ferries.

    Its Managing Director, Hajia Inna Maryam Ciroma, gave the directive in Lagos during the agency’s “Safety and awareness campaign.”

    The agency, she said, imposed the ban because of accidents.

    She said boats and ferries would be only move between 6 a.m and 6 p.m.

    She urged owners to replace the boats that are above 10 years.

    She advised passengers to wear life jacket before boarding. “The boat operators should avoid carrying excess passengers. Any locally made boats that is above 10 years must be replaced. Only trained and certified captains should operate ferries and boats and the standard regulations allow boats and ferries to move from 6am to 6pm because it is dangerous to travel after 6pm and several accidents in Lagos were recorded after 6.pm, “ she said.

    The NIWA boss distributed life jackets, and other informative material, such as posters, flyers, T-shirts, stickers and other safety items to operators and stakeholders, saying that the agency role is to encourage them to adhere to safety rules.

    She said the donations became necessary to stem the tides of boat mishaps in Lagos State and other areas in the country.

    She urged waterway users to be safety alert and conscious by adhering strictly to NIWA regulations.

    The President, Association of Tourist Boat Operators and Water Transport of Nigeria (ATBOWATON), Ganiyu Balogun, who received the gifts on behalf of its members, thanked the NIWA management team for the gesture.

    He said life jackets are vital for safety. He solicited for more jackets for his colleagues.

    In March, about 11.30 pm, 11 dead bodies were recovered after a boat carrying 15 passengers capsized opposite 41 Road in FESTAC Town, Lagos.

    Also, on Wednesday, April 2, eight persons were confirmed dead following a boat accident during a trip between Eko Bridge and Ikorodu in Lagos.

    In the incident, 12 persons were rescued from the boat which had 20 passengers on board.

    The Information Officer of the National Emergency Management Agency (NEMA), Mr Ibrahim Farinloye, confirmed to reporters that  rescue began about 8 p.m. and ended three hours later.

    He said the boat took off about 6 p.m. The incident was reported to NEMA by the boat company about 8 p.m. when rescuers swung into action.

    The NEMA spokesman said the boat took off from Ebute-Ero on the Lagos Island for Majidun, near Ikorodu but capsized midway following a collision with a rock.

    Meanwhile, the Ikorodu, Lagos boat mishap probe panel  has indicted the State Emergency Management Authority (LASEMA) over the high casualty figure.

    The Olajide Tairu-led panel said the authority’s slow response to the boat operator’s distress call led to the death of eight of the 20 passengers when it capsized.

  • NIMASA acquires surveillance platform to check piracy, terrorism

    NIMASA acquires surveillance platform to check piracy, terrorism

    The Nigerian Maritime Administration and Safety Agency (NIMASA) has acquired a Maritime Surveillance System (MSS) to tackle piracy and oil theft.

    The platform, a source said, is expected in the country before the end of next month.

    The platform will protect legitimate businesses in the Exclusive Economic Zones (EEZ), territorial waters, rivers and lakes against piracy, terrorism, sea robbery, resource plundering, smuggling and illegal immigration.

    The source said: “It would assist NIMASA in tackling the challenges of large and unrestricted navigational areas, small and non-cooperative objects taking advantage of dense maritime activity to conceal their actions and it would also protect the ports and ships against attacks.”

    NIMASA, it was learnt, will begin the first leg of the pilot tests on the MSS in Lagos.

    “This equipment is from the United States. The US used the equipment for land-based operations in Afghanistan. It is an integrated state-of-the-art border surveillance system for coastal and terrestrial supervision. The effectiveness of the equipment in maritime domain is high and that is why NIMASA has gone for it to monitor activities on our waters,” the source said.

    With the equipment, NIMASA would be able to monitor even the “unusual movement of vessels” at sea and keep their records, the source said, adding that the MSS will help in NIMASA’s maritime safety operations, search-and-rescue (SAR) mission and environmental protection.

    The MSS, it was learnt, draws on the latest technology to provide a reliable, round-the-clock monitoring solution for the agency. With it, NIMASA will equip the waters with radar, camera, and visual sensors to ensure a comprehensive coverage of the territorial waters.

    When a vessel is detected, the source said, its images would be transmitted directly to a control centre.

    NIMASA’s Director-General Patrick Akpobolokemi said it was important in the changing security environment in the North to have an accurate and up-to-date picture of the situation at sea.

    The agency, he said, was striving to ensure the government and security agencies have access to accurate, comprehensive and up-to-the-minute situation data of the vessel traffic at sea.

    Akpobolokemi said the system for collecting, processing and distributing this data would involve the co-operation of some government agencies at the ports.

    NIMASA, he said, was taking pro-active steps to keep the waters safe, and partnering with the Nigerian Navy because the country is highly dependent on shipping for its foreign trade.

    The Navy, the NIMASA boss said, has the responsibility for the surveillance and protection of the nation’s territorial waters.

  • Lagos, Onne ports to host big vessels

    • 4,500Teu vessel for Onne tomorrow

    The Nigerian Ports Authority(NPA) has dredged the Lagos and Onne ports to accommodate big vessels, The Nation has learnt.

    The ports were dredged to between 13.5 and 14.3-metre depth from the former seven to nine-metre depth before the joint venture contract for their dredging was entered into by NPA and the dredging firms.

    The dredging may have started yielding results.

    Sources close to NPA told The Nation that a container vessel, West African Maximum (WAFMAX) with a capacity of 4,500 twenty-foot equivalent unit (Teu) will call at Onne Port tomorrow.

    The ship is 37.4 metres wide and 249 metres long. It is the largest vessel that can be be accomodated at West Africa’s major container ports.

    The vessel is the largest ship to visit the Eastern port.

    A source said the coming of WEFMAX to Onne shows the Bonny Channel has been dredged to accommodate big vessels.

    The source also said NPA had removed all shipwrecks on the Lagos and Bonny channels to boost operations.

    A dredging firm, Lagos Channel Management Limited (LCM), it was learnt, has a venture agreement with the NPA, in which the latter is the parent company with 60 per cent stake.

    LCM is responsible for the dredging and removal of certain shipwrecks along the Fairway Buoys. It also operates a marine operation centre where data is processed for port operations.

    Fairway Buoy covers the region from the entry point of the Atlantic Ocean into the Lagos Ports, Tin Can Port and Badagry.

    NPA’s Managing Director Mallam Habib Abdullahi confirmed that the WAFMAX vessel would call at Onne port tomorrow.

    “Not only are our navigational channels now safe and navigable, but they have also started attracting bigger vessels who thereto do not call on our shore.

    “It is in fulfillment of its commitment to Nigerian customers that Maersk line, operated by AP Moller Terminal (APMT), is bringing its WAFMAX vessel to call at Onne port on May 14 (tomorrow).

    “Already, all preparations are on top gear to receive the vessel and to ensure that its calling at Onne is safetly handled,” he said.

    Abdullahi said the benefits derivable from the economies of scale in the deployment of the vessels to the country is a prelude to the attainment of hub port status as enunciated in the transformation agenda of President Godluck Jonathan.

  • Shipowners kick over foreign domination of oil trade

    Shipowners kick over foreign domination of oil trade

    Can indigenous shipowners match their foreign counterparts in the capital intensive crude oil lifting business? Yes, says the Nigeria Shipowners Association (NISA), which has launched a campaign to be involved in the business.

    The association says its involvement in the trade would be in the national interest.

    Its participation would reduce youth unemployment, generate revenue and ensure security, its General Secretary, Captain Niyi Labinjo, told The Nation.

    Labinjo said it was more profitable for a Nigerian ship to lift crude as the country was losing using foreign vessels.

    “We will gain about N968 million a day if we use our own indigenous ships to lift crude oil. This is because Nigeria carries about 2.5 million barrels of crude a day at the rate of $2.50 per barrel,” he said, adding that the huge sum would have accrued to Nigeria and created employment for at least 5,000 professionals in the sector. The advantage is that indigenous ships will get their water, food, tug boats, chandelling, engineers and rags from Nigeriam he noted.

    Labinjo said there were many qualified Nigerians in these fields but they have no jobs, stating that using foreign vessels was not in the best interest of the nation because when the dependent country has crisis, Nigeria may have challenges lifting its crude.

    The Minister of Petroleum Resources, Mrs Diezani Alison-Madueke, said in Abuja last month that indigenous shipowners lift about 60 per cent of Nigeria’s crude. She said over 60 per cent of the 2014 /2015 annual term contracts for the lifting of Nigeria’s crude have been awarded to local firms.

    She said  as at the last count, indigenous investments in the sector have created over 40, 000 jobs across the hydrocarbon value chain.

    Meanwhile, the Shippers Association, Lagos State has attributed the drop in the revenue collected by the Nigerian Customs Service (NCS) to inconsistency in government policies.

  • Expert pushes for charter of ANCLA

    National President of the Association of Nigerian Licensed Customs Agents (ANLCA) Alhaji Olayiwola Shittu has promised to facilitate the passage of the bill for the group’s charter.

    Speaking after his reelection for a second term, Shittu urged the Nigeria Customs Service to give clearing agents commission on earnings for the service.

    Besides, he would also focus on how to draw the government closer to the group.

    He urged the Ministry of Finance and the Customs to sponsor a bill on ANLCA chartered.

    When ANCLA is chartered, it would lead to professionalism in Customs brokerage, he said.

    Shittu said the ministry’s involvement through the Customs would expedite the passage of the bill, unlike if sponsored privately.

    Members of the national executive committee, he said, were working to ensure the bill sees the light of the day.

    “If you make it as a private bill from outside, it will not see the light of the day, if you make it private members’ bill, which means that we will give it to one member of the assembly to start moving on it, it will not see the light of the day because passing bill in Nigeria requires a lot of funds and they will always tell you that there is no money,” he said.

    He continued: “Even for the committee to sit down and look at the bill is a lot of money, so the only success we can get is if the Nigeria Customs Service through the ministry Finance decides to do executive bill, then it will be fast for enactment and we are working towards that.

    “We are happy that ANLCA is one big family, so we are going to work hard to also get our association chartered.

    “Chartering of our association does not remove us from been regulated or controlled by CRFFN and Customs, which you know were established under different acts.

    “Chartering gives us the opportunity to be professionally recognised to Chartered Institute of Customs Brokerage and that is what we want the National Assembly to do for us.”

    He said when enacted into law, the association will be affiliated to training institutes because CRFFN is a certification institution.

    Meanwhile, the Comptroller- General, Nigeria Customs Service (NCS), Alhaji Dikko Abdullahi, has congratulated Shittu on his re-election as president of ANLCA.

    In a letter from his office, dated April 30, this year and signed by Customs Deputy Comptroller Headquarter II, Bello A. N, Dikko  pledged his partnership with ANLCA.

    “The Comptroller-General sends his congratulatory message to you and members of your association for the peaceful conduct of your election and promised to continue to partner with your association for the overall good of our organisations and the country,” the letter read in part.

  • NPA relocates 2,279 overtime cargoes to decongest port

    NPA relocates 2,279 overtime cargoes to decongest port

    • Customs may auction goods soon

    To decongest Apapa Port, the Nigerian Ports Authority (NPA) has moved 2,279 20-foot Equivalent Unit (TEU) overtime containers from there to the Ikorodu Lighter Terminal.
    The containers had been clogging the port, hindering the clearing of incoming cargoes.
    NPA Assistant General Manager, Public Affairs Musa Illiya said the containers were moved between February and last month.

    Illiya said they were moved to avoid congestion at the ports.

    Overtime containers are those that have stayed for months at the ports.

    “Normally, the port is supposed to be a transit point. It is not supposed to be a storage facility. There should be room for new cargoes to come in,” Illiya said.

    The movement of the containers was done with the Customs, which had gazetted them, he said, adding that the owners could visit the Customs to claim the containers.

    The containers may be auctioned, unless the importers clear them within two weeks.
    In November 13, 2009, the Customs Comptroller-General issued a circular on overtime cargo clearance.

    The document signed by M. Mohammed, Assistant Comptroller-General, Headquarters, was addressed to all Deputy Comptrollers-General (DCGs), all Assistant Comptrollers-General (ACGs)/Zonal Coordinators, Customs Area Controllers (CACs), all Comptrollers (Federal Operation Units – FOUs) and all Head of Units.

    To avoid congestion, Customs has directed that the ageold procedure for clearance or auctioning of overtime cargo which is in accordance with the Customs and Excise Management Act (CEMA) Cap 84 LFN (Laws of Federation of Nigeria) 2004, and Customs and Excise Notice No.11 (6) of 1st April, 1959, would be applied.
    Findings revealed that all gazetted goods not cleared by importers within 30 day after the containers have been gazetted would be forfeited to the Federal Government and the Controller General of Customs will, in line with extant laws, for the disposal of the cargoes.

    Sources said the length of days it takes an importer to clear and take delivery of consignments in Nigerian ports has put businesses and multi-million dollar investments in the ports at risk of being crippled by the looming port congestion before the containers were moved to Ikorodu.

    Meanwhile, the National Association of Nigerian Licensed Customs Agents (ANCLA), the Nigerian Association of Chamber of Commerce, Industry, Mines and Agriculture (NACCIMA) and other stakeholders have expressed concern over the continuous gridlock on the Oshodi-Apapa and Ijora-Apapa Express roads, urging that the government should find a solution to the problem that is crippling their businesses.

    They lamented that some of their members have been forced to close shop due to the traffic challenge in and out of the Lagos ports.

    The Chairman, Export Group of NACCIMA, Mr Oluyenuwo Olabisi, said the congestion and long queue of vehicles are creating problems for the export group because their containers are sometimes turned back, while most of the time they miss their ships, leading to huge losses for their members.

    Olabisi also called on the Nigerian Ports Authority (NPA) to address the perennial delays suffered by exporters, saying priority should be given to exporters, as against the return of empty containers that go into the ports.
    Shittu also said the bad state of ports’ access roads is affecting businesses, adding that the bad roads are the cause of major challenges experienced by stakeholders.

    He called for the revitalisation of the rail tracks within the ports to surmount the challenges of haulage businesses and ensure prompt movement of cargoes in and out of the ports.

    The ANCLA chief lamented that some of the concessionaires do not have enough capacity for containers, saying the situation is impacting negatively on containers movement.

  • ‘Channelise waters to curb mishaps’

    Lagos State government has been urged to channelise lagoons to curtail accidents on waterways.
    The Operrations Manager of Metro Ferry Servies, Mr Zakari Dekina, gave the advice in Lagos during a chat with reporters
    Dekina said the channelisation of waterways would guarantee security and safety.
    “There is the need for proper channelisation of our waterways and markings as it isdone on the roads.
    “We expect that this would help guide our boat captains to identify bad spots and tell them where to navigate. They should give us a channel where the commercial boat operators would be operating. If the regulatory authorities do this, it would go a long way to ensuring that accidents are reduced,” he said.
    Dekina added that a situation where various categories of users plied the same route was unhealthy for water transportation.
    “At the moment, boat operators, fishermen, loggers and even dredgers travel the same route on our waterways. This is not safe.
    “On many occasions, when loggers lose logs on the water, they are left to float aimlessly on the lagoon. These pose serious dangers to our boats,” he noted.
    The manager said, however, that apart from being beneficial to boat operators, having dedicated routes could douse tensions between fishermen and loggers.