Category: Maritime

  • LCCI blames Customs for delay in goods clearance

    The Lagos Chamber of Commerce and Industry (LCCI) has attributed the delay in goods clearing at the ports to the Pre-Arrival Assessment Report (PAAR) by the Nigeria Customs Service (NCS).

    The chamber said the delay was adding to the cost of doing business.

    Its President, Mr Remi Bello said the delay was a major cause for concern for importers.

    He urged the Customs, shipping firms and terminal operators to waive the accumulated demurrage for those concerned because the delays “were not caused by importers and it would be unfair if they are compelled to pay for what is not their fault”.

    “Persistent delays in the clearance of cargo at the Lagos ports have become a major cause for concern for the business community. One of the major shortcomings of the investment environment in Nigeria is the speed of cargo clearance at the ports; the 48-hour target set by the government is far from being achieved,” Bello said.

    He listed the implications of the current situation to include high demurrage charges and disruption of production schedules, as raw materials were not delivered in good time to factories.

    Others are high risk of corruption at the ports; risk of exacerbation of inflation; and high cost of borrowed funds by importers.

    Others, according to him, are frequent breakdown of the server of the Nigeria Customs Service, delays in cargo release from shipping lines, and tight deadlines for cargo examination booking.

  • Senate Committee gives NIMASA pass mark

    The Senate Committee on Marine Transport has given the Nigerian Maritime Safety Administration Agency (NIMASA) a pass mark over what it called the successful implementation of its last year’s budget.

    Speaking at the agency’s Headquarters in Lagos, its Chairman, Hajia Zaynab Kure, said they were happy that the management of NIMASA did well on the projects it embarked upon last year, urging its Director-General, Mr Patrick Akpobolokemi to keep the good job.

    Briefing the Senators, Akpobolokemi said the agency had a good working relationship with the military and other security agencies to reduce piracy, oil theft and stem the cycle of criminalities on the nation’s territorial waters.

    “We have awarded contract for the installation of radars and GNPS in our entire domain, and in the next few months, we should be able to capture vessels that operate in our maritime domain and that will increase our anti piracy war, oil theft campaign and help stop all illegalities in our maritime domain,” he said.

    NIMASA, Akpobolokemi said, has also given about N5 billion to four universities for establishment of maritime training institutions and that they have started operating apart from the University of Nigeria, Nsukka (UNN),S where he said, internal wrangling is affecting the take-off of the programme.

  • ‘Pay more attention to maritime’

    The Federal Government has been urged to give greater attention to to the sector.

    The President, Association of Nigerian Licensed Customs Agents (ANLCA), Alhaji Olayiwola Shittu, said the government should ensure that more facilities to improve revenue generation were put in place at the ports.

    He said the problem of access roads to the Onne Port, which was generating billions of naira, should also be resolved.

    “There is the need to enhance the welfare of the goose that lays the golden eggs. There should be efforts to do intervention in the maritime sector like in the aviation,’’ he said.

    The ANLCA chief said the Cabotage Fund would have been used to improve inland water transportation if it had been disbursed last year. He said the fund would have enabled indigenous shipping firms to key into shipping business while waiting for products to be able to buy ocean going vessels.

    Shittu appealed to the government to carry stakeholders along while formulating policies that affect them.

    “Government’s policy on used vehicles will have adverse effects on the economy if not properly handled.

    “We need to let the government know how many of our members will lose their jobs and how smuggling will increase if nothing is done on the policy,’’ he said.

    Shittu said 90 per cent of the imports of the terminals built for Roll- on-Roll-Out (RORO) were for used vehicles.

    He said since the price of imported vehicles had risen by 100 per cent, people would have no choice than to smuggle in vehicles.

    This, he said, would affect revenue generation by the ports, especially the Tin Can Port, Lagos where touts and ‘port rats’ are disturbing people.

    Shittu said many unwanted persons enter the port daily despite the recent efforts by Customs.

    He said the call became necessary because the sector was seen as the second largest source of revenue for the country after the oil and gas industry.

    Besides, he said multinationals and others pay taxes or duties and import charges to the government.

    He said poor facilities, sea piracy and insecurity could scare away investors and hamper ports operations.

    He said importers and clearing agents were not left out of the menace as many of them have also suffered.

    He said huge traffic on the major roads to and within the ports and insecurity are some of the major problems that need to be addressed by the Federal Government intends to sustain investment growth in the sector.

    “The high level of insecurity in the nation’s seaports has become so widespread that every importer must have at one time or the other experienced losses arising from theft within or on the roads that lead to the ports. As a Nigerian, I think it is not too much to ask the government to secure our ports,” he added.

    In another development, maritime lawyers have urged the Federal Government to put policies in place to promote the industry.

    Speaking with reporters in Lagos, the lawyers said the dearth of human and material capacities has become a source of worry in the sector.

    They called on relevant government agencies at the ports to complement stakeholders’ efforts in capacity-building, noting that businesses blink first in the event of any government’s policy breakdown.

    A maritime lawyer and consultant, Mr. Frank Simpson, said the dream of the youth, who seek employment, is only realised through job creation via the sector and human capacity building.

    He said the country could be the number one maritime nation in Africa, if human capacity building was taken seriously.

  • NPA MD incurs senators’ anger

    NPA MD incurs senators’ anger

    • ‘I didn’t shun meeting with committee’

    Nigerian Ports Authority (NPA) Managing Director Mallam Habib Abdullahi has drawn the ire of the Senate Committee on Marine Transport for not being on hand to receive it during its visit to the agency’s Lagos headquarters.

    The senators accused him of “deliberating” avoiding them when they came to inspect the agency’s projects and appraise its budget performance for last year before considering its appropriations for this year.

    The senators, who said they wrote Abdullahi two weeks ago to inform him of their visit, wondered why he was not around to receive them.

    They said rather than write them officially, Abdullahi called their chairman, Senator Zaynab Kure on phone after some of them had arrived in Lagos.

    Senator Kure said they were not happy with the way Abdullahi, who was represented by the Executive Director, Finance & Administration, Mr. Olumide Oduntan, treated them.

    She said: “On behalf of my distinguished colleagues, I want to express my disappointment and displeasure, and of course, embarrassment at your MD’s inability to receive an esteemed committee made up of distinguished senators that have come on an oversight function to the NPA.

    “The committee wrote about two weeks ago to NPA that we are coming on a constitutional and statutory assignment. If, for any reason the MD, who must have received the letter, knew he won’t be around to receive us, he should have written back to us that he has another assignment that he feels is much more important than receiving a committee as this.

    “But there was not that communication. I only got a call from the NPA MD on my way to the airport, by which time all my other colleagues have boarded the aircraft, informing me that he won’t be able to receive us.

    “I did not tell my other colleagues because I thought that if I had done that, I won’t be doing justice to what has brought us here. I wanted everybody to come and see things for themselves. Except for one of us, every other member of this committee is here for this oversight visit.

    “We are all here because we have taken our job so seriously. Most of us left other important assignments back home, because we want to discharge our responsibilities as a committee that is concerned about the maritime sector of this country.

    “But for us to get here and the MD is not here, I must tell you that the committee is seriously disappointed and we are not happy at all. We want you to communicate same to your MD.

    “We know that you are working as a team, but the MD has no right, whatsoever, to have treated us the way we are treated today. We should have known that he won’t be here and would have possibly rescheduled our trip.”

    The committee, Senator Kure said, came to see things for itself before the agency’s 2014 budget would be passed.

    She said: “We feel it is pertinent that we appraise NPA’s performance with the 2013 budget before passing the 2014 budget. But now that nobody is here to give us brief of what has been done with the 2013 budget, our hands are tied on what to do with the 2014 appropriation budget.

    “If we wanted just the budget performance appraisal, we could do it in Abuja. But we wanted to come and see on-going projects, that is why we came down to Lagos.”

    A member of the committee, Senator Ben Ayade, accused Abdullahi of “disrespect”.

    He said: “I feel highly compromised. I think there is an absolute disrespect for the National Assembly. This conduct is deliberate. I find it very insulting. In this committee, we have at least two ex-governors. We have wives of former governors; we have former directors of the NPA. I find it very insulting for the MD of the NPA to be away when we are here on oversight duties.

    “It means we are not a priority to him. There can’t be anything more insulting. For me, as far as I am concerned, I am done with NPA.”

    A former NPA director and member of the Committee, Senator Abubakar Sadiq Yar’Adua, described the development as sad.

    He said: “It means the NPA MD does not take us serious. I was his boss when I was in the NPA. He reported to me as a General Manager. I think there is no need for us wasting time here.

    “Let us just go and leave them. If NPA thinks it can operate without us, we will see to that. We are here to ask questions on the performance of the budget, but it’s a pity that all those who are in a better position to give us such details are not here. This behaviour is totally wrong and unacceptable.”

    Contacted, NPA’s Principal Manager, Public Affairs, Mr Isa Suwedi said Abdullahi did not shun meeting with the committee. He said his boss would soon meet the committee to sort out things.

  • Akpabio backs Navy’s war against pirates

    Akpabio backs Navy’s war against pirates

    The Akwa Ibom State Government has promised to support the Navy on its onslaught against oil thieves and sea pirates on the waterways.

    Governor Godswill Akpabio gave the pledge when the Flag Officer Commanding (FOC), Eastern Naval Command, Rear Admiral Harry Ngonadi, visited him at the Governor’s Office in Uyo, the state capital.

    Akpabio praised the FOC as the pioneer Commander of Jubilee Naval Base at Ikot Abasi, saying: ”When you came to Akwa Ibom as pioneer Commander of Jubilee, you helped us to fight bunkering and illegal refineries along the shorelines to a standstill.

    “You have many states under your command, but I want to assure you that this is one state that you will enjoy the greatest cooperation from for mobilising your men and brought that menace to an end.

    “We are very proud of men in uniform that have been posted to Akwa Ibom State. We are happy the way you have cooperated to ensure the security of life and property.”

    The governor prayed for the protection of Naval officers in the discharge of their duties. He reminded Ngonadi of the need to establish a Naval Secondary School in the state. “We have applied to the Chief of Naval Staff to give us one secondary school in Ikot Abasi, and I hope the Flag Officer will follow up so that our children can begin to wear this uniform at tender age,” he said.

    Ngonadi thanked Akpabio for supporting the Nigerian Navy.

    He said: “I came in here as the pioneer commander of Jubilee Naval Base in Ikot Abasi and that Jubilee is what is today because of the uncommon nature of the governor. I have come to pay this courtesy call and register my presence here as the Flag Officer Commanding Eastern Naval Command and to solicit again your cooperation as usual.”

    He said the planned Ibaka Industrial City would open up the state, stressing the need for the government to factor in the Navy for security purpose.

    “The Ibaka project is a gigantic project that would open up the potentials of Akwa Ibom State. In doing that, I want to solicit that the Nigerian Navy be factored into it. Whatever we are doing, we must put in place security architecture and factor it into whatever we are doing so that as soon as that project takes off we would not have security issues to contend with,” he said.

  • Customs, agents trade words over ports delays

    Customs, agents trade words over ports delays

    • World Bank seeks trade facilitation

     

    The Customs and the Association of Nigerian Licensed Customs Agents (ANLCA) are trading words over the delays in cargo clearance at the ports.

    ANLCA claims the Customs is responsible for the delay, an allegation which the para-military agency denies.

    The Customs alleges that the agents cause the delay through insincere declaration and documentation of import papers.

    At a meeting with a World Bank delegation in Lagos, ANLCA said physical examination of goods was responsible for the large number of people at the ports.

    The process, the agents noted, requires the presence of importers or their agents and others involved in it.

    ANLCA also accused the Federal Government of contributing to the delay because of its emphasis on revenue generation rather than trade facilitation by the Customs.

    The four-man World Bank team led by Antoine Coste, an international trade consultant, looked at the challenges hampering international trade, transport and logistics and how to facilitate trade at the ports and the international borders.

    ANLCA urged the World Bank to prevail on the government to strike a balance between trade facilitation and revenue generation by the Customs.

    Sources at the meeting said ANLCA’s President Alhaji Olayi-wola Shittu complained of interferences from some banned government agencies at the ports, which, he said, were hampering cargo delivery.

    Shittu claimed that the profiling of importers by the Customs was halted because majority of the importers were not honesty.

    Profiling, a source said, would have facilitated trade, but it is not so because many importers make wrong declarations.

    On the crowd at the ports, the source said, Shittu told the team that over 60 per cent of those coming to the ports were not supposed to be there.

    “Shittu informed the World Bank team that the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) registered five associations to carry on the business of moving cargoes across international borders. They are ANLCA, National Council of Managing Directors Licensed Customs Agents (NCMDLCA), National Association of Government Approved Freight Forwarders (NAGAFF), Association of Registered Freight Forwarders, Nigeria (AREFFN) and National Association of Air Freight Forwarders and Consolidators (NAFFAC). All these associations have their areas of specialisation. He said the ‘Honey Pot’ is the Licensed Customs Brokers, because there are no defined roles for others,” the source said.

    Shittu, who confirmed the World Bank’s visit, said it was to facilitate bilateral trade.

    Customs spokesman Wale Adeniyi said the team met with Customs to assess what the Service is doing with the Pre-Arrival Assessment Report (PAAR) and consolidate on its gains.

    In Port Harcourt, the Rivers State capital, Customs Comptroller, Federal Operations Unit Zone C Mr David Dimka said honest declaration of goods enhanced speedy clearance and effective Customs services.

    “We have always said that whenever you make an honest declaration, Customs will release your goods within the stipulated time.

    “When you fail to document properly, Customs will be forced to delay your goods in order to achieve the required standards.

    “The Customs is concerned with revenue generation for the country and security of what comes in and goes out of the country,” Dimka said.

    He said importers should be blamed whenever goods were delayed at the ports because of improper documentation.

    Dimka urged port users to play by the rules to avoid delays.

  • ‘Three million to use Lagos waterways’

    No fewer than three million persons are expected to be transported monthly through Lagos waterways this year, Managing Director of Lagos State Waterways Authority (LASWA) Mr Olayinka Marinho has said.

    He said over two million persons travel by water monthly, adding that the government is investing on water transportation to de-congest the roads.

    He said the government was willing to push high capacity boats on the waterways.

    “A great number of people are now getting to know the gains in water transportation. It is safe, cheap and very quick. You get to your destination in good time. We have been able to move about two million people per month; and if you look at our figures, they are still rising.

    “And we aim to increase the number to three million monthly as we plan to push more boats on the waterways,” Marinho said.

    He said the authority has increased its awareness campaign on the advantages of the waterways and more operators and vessels are now on the waterways.

    “The Lagos State government will, before the end of the first quarter, push out more high capacity ferries on the waterways to enhance water transportation.“

    According to him, more than 200 vessels are being operated by about 50 operators on the waterways, adding that more are being expected.

    The LASWA boss said the authority is making concerted effort to ensure safety on its waterways through the enforcement of life jackets usage before embarking on voyage.

    “Our water guards usually supervise each of the jetties to ensure that passengers comply with the safety requirements of LASWA.

    “The agency enforces a lot of safety check; we certify and inspect all the boats that travel within the waterways to enhance safety,“ he said.

    He said that safety is paramount to the authority and advised operators and passengers to always obey the rules.

  • Council warns against collection of illegal dues

    The Nigeria Shippers’ Council (NSC) has warned terminal operators against collection of unlawful dues at the ports, assuring clearing agents of its support in recovering all unlawful money collected from them by terminal operators if they could provide evidence.

    The council said it assisted clearing agents in the recovering of N25.88 million allegedly collected unlawfully by some terminal operators.

    Its Public Relations Officer, Mr Ignatius Nweke, said the council embarked on the recovery of the funds following complaints by the freight forwarders.

    He said the complaints were centred on delays caused by physical examination of cargoes by Customs, vandalism of cargoes, fraudulent cargo clearance, delay in accepting returned empty containers, cargo loss, and unjustifiable excessive demurrage.

    Others, he said, were issues on shipping charges, delays in the positioning of cargoes and additional charges in foreign exchange.

    He said between January and June, last year, N16.94 million was recovered on account of 43 complaints by the freight forwarders, while N8. 88 million was recovered on 93 complaints brought before it between July to December same year.

    Nweke said the council resolved 36 complaints by port operators between January and June and 75 complaints from July to December last year, adding that 29 complaints made during the year were yet to be resolved.

    He, however, blamed freight forwarders for most of their travails in the hands of providers of shipping services, saying lack of professionalism among them was negatively affecting their operations.

    He said many freight forwarders lacked the requisite skills to operate professionally.

    “Nobody feels happy that an operator is suffering. If you have a proof that you have been over-charged or treated unlawfully, inform the NSC,’’ he said.

    He said allegations by freight forwarders over alleged increase in tariff, excess charges and extortion were without justification and evidence.

    Nweke said all formal complaints against terminal operators to the council had received documented response.

    “In June 2013, we received a petition from Wali Waziri and Sons Ltd in Apapa against APM Terminal on poor handling of cargoes, resulting in excess demurrage and, by November, the matter was settled.

  • NPA boss urges dedication

    The Managing Director of Nigerian Ports Authority(NPA), Mallam Habib Abdullahi, has challenged its members of staff to rededicate themselves to work and ensure effective service delivery.

    Speaking at a one-day seminar on the five-year strategic plan organised for the management team of NPA, its boss said the organisation has a duty to Nigerians.

    Abdullahi commended the staff for their support and cooperation in ensuring good performance of NPA over the years.

    He said the event was timely because it was designed to come up with the strategies to ensure steady growth, enhance productivity and improve efficiency in the NPA in the next five years.

    The Executive Director Finance and Administration of NPA, Olumide Oduntan, said the seminar was a preparation forw the retreat.

    Oduntan said the plan would positively structure NPA for the challenges ahead and that it would also assist successive NPA managements because they would have a comprehensive document to work with, adding that it would make things easy for terminal operators and other stakeholders.

  • Govt: Tokunbo vehicles not banned under auto policy

    The Federal Government did not ban the importation of tokunbo vehicles under the controversial auto policy, the Customs has said.

    The implementation of the policy, the Customs said, would take off on February 28.

    The policy, it said, only seeks to encourage the growth of local industries and discourage the importation of tokunbo vehicles through high protectionist tariff.

    Last October, the government unveiled new duties and levies for imported new and used vehicles and imported new tyres.

    Under the policy, a fully built car will attract 35 per cent duty and another 35 per cent levy of the vehicle cost, raising the tariff from 20 per cent to 70 per cent.

    Customs Public Relations Officer Mr Wale Adeniyi said the implementation of the tariff had yet to start because the Service is waiting for the February 28 take-off date.

    Adeniyi said the Service had not received any order banning the importation of used vehicles.

    But some dealers of imported vehicles told the paper that the new rate would translate into an increase of 60 per cent on prices of imported cars.

    They also estimated that cars being sold for between N3 million and N5 million would be sold at between N4.8 million and N8 million, while tokunbo vehicles selling for N800,000 would go up to N1.28 million.

    Six auto dealers, including Elizade Motors, Globe Motors, Coscharis Nigeria Limited, CFAO Motors, SCOA and Toyota Nigeria Limited, acting under the Auto Manufacturers’ Representatives Group in Nigeria, also protested against the new policy which was approved by the Federal Executive Council ( FEC) on October 2, last year.

    In a petition sent to President Goodluck Jonathan , the group accused one of them Stallion Group of Companies of having unfair access to the contents of the policy ahead of the announcement, thereby creating an unfair competition over others.

    In the petition, the group alleged that Stallion Group made use of its privileged information to open letters of credit of about $382 million which covers three years of import for 20,000 cars. The group also alleged that the speed with which Stallion Group opened the letters of credit on October 2, last year, while the FEC was still deliberating on the policy, indicated it did to beat the deadline and gain unfair advantage over others

    The group warned: “ The Federal Government will be committing a grave error if such a group is giving monopoly over the automotive industry in Nigeria.”

    It urged that a fair and level playing field be provided for all the importers to compete.